Taiwanese chip designer MediaTek seeks licence to supply Huawei amid US sanctions

The latest US trade sanctions on Huawei choke off the company’s ability to buy off-the-shelf chips developed or produced using US technology

MediaTek’s move echoes that of US semiconductor company Qualcomm, which has been lobbying Washington for permission to sell its chips to Huawei

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The latest restrictions imposed by the Trump administration on Huawei Technologies further complicates the battleground in the US-China tech war. Photo: AP

Published: 6:21pm, 28 Aug 2020Updated: 6:27pm, 28 Aug 2020

Semiconductor designer MediaTek has applied with the US government for a licence to continue supplying chips to Huawei Technologies after new US sanctions take effect on September 15, the Taiwan-based company said on Friday.

A MediaTek spokeswoman declined to comment on previous Chinese media reports that Huawei had placed a large order with it.

“MediaTek reiterated its stance of respecting global trade rules. We have applied for a US licence and now are waiting for US approval,” MediaTek said in a written statement to the Post.

On August 17, the Bureau of Industry and Security (BIS) under the US Department of Commerce further restricted access by Huawei and its non-US affiliates on the Entity List to items produced in the US and abroad from American software and other technology.

That restriction prevents Huawei from sourcing commercially available chips from third-party suppliers, including MediaTek, unless a licence is granted by the US government. This essentially chokes off Huawei’s ability to acquire off-the-shelf chips developed or produced using US technology.

The Trump administration’s latest moves further complicates the battleground in the US-China tech war, which has widened from semiconductors and next-generation 5G mobile networks to apps and cloud services in recent weeks.