Intel Escapes Bid to Halt Chip Sales to Huawei

Survival Amidst Pressure

Intel successfully thwarted an attempt to halt its chip sales worth hundreds of millions of dollars to Huawei, sources reveal. The move provides a lifeline to one of the world’s largest chipmakers and allows continued sales to the heavily sanctioned Chinese telecoms company.

Biden Administration Under Scrutiny

Pressure had been mounting on President Joe Biden to revoke a license, issued during the Trump administration, permitting Intel to supply advanced central processors to Huawei for laptop use.

Uneven Terrain for Tech Giants

The disparity in treatment between Intel and its rival, Advanced Micro Devices (AMD), highlights the uncertain landscape faced by companies amid U.S. efforts to restrict Beijing’s access to American technology.

Impact on Huawei’s Market Share

Intel’s ability to retain its license has enabled Huawei to maintain a significant share of the global laptop market. Meanwhile, AMD faced a substantial revenue loss due to restrictions on chip sales to the Chinese firm.

Ongoing Diplomatic Maneuvers

The decision regarding Intel’s license coincides with Washington’s efforts to mend relations with Beijing, following recent tensions triggered by security concerns.

Future Prospects

While Intel’s license is expected to expire soon and is unlikely to be renewed, Huawei’s reliance on Intel chips for its laptops remains evident, suggesting continued collaboration despite geopolitical tensions.