Huawei has been operating for the past three months on a “general license” that gives it the ability to continue limited work with some US companies. As Huawei is still on the US Entity List and that license has just expired, the US Government has confirmed a 90-day extension that will prevent a full ban on the company.
When the ban on Huawei was first implemented earlier this year, the company was quickly granted a lifeline in the form of a temporary license. That 90-day license expires today, but the US has announced in the final hours that an extension was granted. US Commerce Secretary confirmed the news this morning on (via ).
A big reason for this extension is that some rural parts of the United States rely on Huawei networking equipment, with Wilbur Ross saying that this extension gives them more time to “ween themselves off.” Of course, given the cost of that project, 90 days may not be enough.
On top of that, Wilbur Ross also called the “big news of the day” that 46 more subsidiaries of Huawei to the Entity List. He explains that this makes it “more difficult for Huawei to get around the sanctions.”
This ban extension could also give Huawei more time to continue maintaining its other products such as smartphones and tablets. Huawei recently announced more details about its Android Q update, and this extension could make it easier for that update to be rolled out depending on whether or not the US allows Google to work with Huawei.