Huawei has warned that its survival is at stake following the US government’s latest efforts to cut the Chinese company off from international semiconductor supplies, reported the Financial Times.
In its first official reaction to last Friday’s announcement by the Department of Commerce of the planned new restrictions, Huawei called Washington’s decision “arbitrary and pernicious.”
While the company said it was too early to define the consequences of the US’s planned stricter export controls for its business, it indicated that Washington’s move would deal a heavy blow. “We will now work hard to figure out how to survive,” said Guo Ping, rotating chairman, at Huawei’s annual analyst conference. “Survival is the key word for us now.”
Huawei missed its original revenue target for last year by $12 billion due to restrictions resulting from last May’s listing and reported revenues of $123 billion for 2019. But the company argued that the US’s latest move would have a significantly bigger impact.