According to some new reports, major US security agencies are debating whether to blacklist Honor. Authorities are currently due to debate whether the company poses a threat to US national security and whether it should be banned. The Honor ban could have many negative effects on the already bad relationship between the US and China.
The news was reported by The Washington Post, which said Pentagon and Department of Energy officials are discussing Honor’s potential for listing while the Department of Commerce and State Department opposed the decision.
The final decision as to whether the company poses a risk and should be included in the entity list has been split between employees and departments. The top Republican on the House Foreign Affairs Committee said “the same concerns about technology exports to Honor when it was part of Huawei should apply under its current state-sponsored ownership structure.”
The Washington Post Also reminds us that “Huawei Honor sold to Shenzen Zhixin New Information Technology Co., a company founded by two government-sponsored investors affiliated with the Shenzen city government.”
Some of the members mentioned that Honor does not manufacture any nuclear materials or components, or sell its equipment in the United States, which gives them ample reasons not to ban the company and list it. It stated that it could do more harm to the US economy than it does to China.
It is unclear what will happen to Honor in the US and around the world. Clearly, if the company were added to the list of companies, it would have a big impact on its business, and possibly even shut it down entirely, which could hurt innovation and hurt US-China relations even more.
What is the Entity List?
It is a list of companies prohibited from trading with other US companies unless specifically requested and approved by the US government. Huawei was also put on that list, which prevents it from doing business with most American companies. Even if companies are allowed to do business with some American companies, there are many caveats and restrictions. One such example can be demonstrated with Huawei, which has the latest Snapdragon 888 chips in its Devices of the P50 series. The chip can support 5G technology by default, but Huawei’s P50 devices are limited to only using 4G.
Roland is a technology enthusiast and software engineer based in the UK. He is also a content creator and author and is best known by the name “Techusiast”.