HUAWEI HAS SCRAPPED the launch of a new laptop as US trade sanctions prevent it from using Microsoft software and Intel processors.
Huawei CEO Richard Yu confirmed the move, first reported by The Information, to CNBC, saying the firm has "indefinitely postponed" the launch of a new Windows laptop which was due to debut at CES Asia in Shanghai this week.
When asked if the laptop would be launched at a later date, Yu said it "depends on how long the Entity List will be there". He noted that, if Huawei remains on the blacklist for the foreseeable, the laptop will not be able to be launched.
This product, likely a new member of Huawei's acclaimed MateBook line, is the first the company has been forced to cancel as a result of the US sanctions imposed last month.
It might not be the last, though, as a report out of Digitimes this week claimed that Huawei could be planning to kill off its PC business completely. The firm has cancelled parts orders with suppliers, while others have been told to suspend deliveries of components.
Microsoft has remained tight-lipped on the matter, though it last month quietly removed all references to Huawei's flagship laptop, the MateBook X Pro, from the Microsoft Store.
Intel is also remaining quiet on the matter, though reports claim it recently joined ARM in barring Huawei from using its hardware.
The controversial US ban looks set to have a substantial impact on Huawei's smartphone biz too. The firm originally aimed to surpass Samsung as the world's largest smartphone distributor by Q4 this year, but the firm has now admitted that this goal is being on hold for now.
Speaking at CES Asia, Huawei's chief strategy officer Shao Yang sobbed: "We would have become the largest in the fourth quarter but now we feel that this process may take longer."
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