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Huawei cancelling laptop launch due to U.S. blacklisting

June 14, 2019

Huawei announced that it has cancelled plans for a new laptop launch due to U.S. blacklisting.

It’s the first time the company has cancelled a product launch due to being barred from doing business with American suppliers.

CEO of Huawei Richard Yu said to CNBC that the company had planned to launch its Matebook series of laptops without a specified date but that it has been put on indefinite hold.

He credited the cancellation to the company’s placement on the U.S. Entity List, which places restrictions on U.S. companies from selling products to Huawei.

“We cannot supply the PC,” Yu said, calling the situation “unfortunate.”

Yu said a possible future launch of the Matebook laptop “depends on how long the Entity List will be there.” He said that if Huawei remains on the blacklist for too long, the laptop would not be launched.

Huawei uses U.S. technology for vital components within its consumer products. Its Matebook X Pro, which is the top-of-the-line product in that range, uses Microsoft’s Windows as its operating system and Intel chips.

Huawei has been taking measures to deal with the U.S. blacklisting. It has been stockpiling vital components and developing its own operating system, which Yu said could launch in China early this year. Though Huawei designs its own core processors for its smartphones, it still uses U.S. technologies for other pieces of their devices.

Though Huawei’s largest share of profits comes from the sale of smartphones, it has said that it wants to become one of the largest global PC makers.

Huawei’s phones haven’t been seriously affected by the U.S. blacklisting yet, but on Tuesday, Shao Yang, a top Huawei executive, said the company would face a longer path to becoming the dominant smartphone company in the world. It currently holds second place in that arena, behind South Korea’s Samsung.

– MK. II

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