We’re about to cross one year since the US government decided to add Huawei to the “entity list” banishing from dealing with US companies. The company already found ways to continue its operation like the development of its own AppGallery and Mobile Services as well as a massive investment in its chipset division. Furthermore, the company also has been partnering with several non-US companies to work together in new technologies. The latest company to join Huawei is the French-Italian STMicroelectronics. The deal between the two will bring chips for automotive and mobile devices.
According to a report by Nikkei Asian Review, Huawei’s partnership with the Geneva-headquartered STMicroelectronics in developing chips began last year. However, it was only made public now. The company has been selectively looking partners since it can’t work with US-based firms. The ban also prohibited the company from using technologies that originated from the US.
The new deal may serve as a backup plan if US bans Huawei from dealing with TSMC
The US government may eventually broaden restrictions for Huawei by including TSMC as it uses US-based technologies. Apparently, the Chinese Behemoth partnership with STMicro will work as a backup plan. While Huawei does need Qualcomm for its smartphones, TSMC plays a keyhole in manufacturing the company’s range of chips and network equipment. All these chips are based on the TSMC’s processes.
In addition, Huawei is collaborating with STMicroelectronics in the manufacture of automotive sensor chips like gyroscopes, accelerometers, motion, optical and image sensors. It’s not the first time that the company shows its interest in the automotive business. With the partnership, the company can attract the interest of mainstream car manufacturers that are interested in technology.
The first fruits of this partnership will come through new chips developed for Honor and Huawei smartphones.