Huawei to unveil mapping service, started U.S. lobbying effort
August 20, 2019 Category China News Round-up, Weekly
Huawei said it plans to unveil its own mapping service in October, as the company works hard to cope with the U.S. government’s ban on using Google Map in its overseas smartphones. Huawei’s mapping service, known as Map Kit, is not directly for consumer use, but is designed to encourage software developers to come up with applications based on its mapping capabilities. Huawei Map Kit will be connected to local mapping services and covers 150 countries and regions. Huawei Map Kit will be available in 40 languages. It will offer real-time traffic conditions and a highly sophisticated navigation system.
Meanwhile the U.S. government has extended with 90 days the “temporary general license” for U.S. companies to continue delivering products and services to Huawei and for Huawei to do the same to U.S. companies, despite its inclusion on the blacklist. The original exemption elapsed on August 19. Huawei is still prohibited from buying American parts and components to manufacture new products without additional special licenses. But 46 of Huawei’s subsidiaries were added to the blacklist. U.S. Commerce Secretary Wilbur Ross commented: “As we continue to urge consumers to transition away from Huawei’s products, we recognize that more time is necessary to prevent any disruption,” adding that the latest extension was to aid U.S. customers, many of which operate networks using Huawei equipment in rural America.
Huawei’s first 5G-capable smartphone, the Mate 20X 5G, went on sale for CNY6,199 in China over the weekend. China will roll out its 5G network in major cities later this year. Apple has yet to release a 5G phone, and Samsung’s Galaxy Note 10+ 5G is not on sale in China yet. Yu Chengdong, CEO of Huawei’s consumer business group, said the U.S. government restrictions reduce the annual shipment forecast of its smartphones from about 300 million units to around 240 million units in 2019.
Huawei has hired the law firm Sidley Austin to lobby on trade as the U.S. pressures allies to join it in blacklisting the company. The lobbying, which began in July, will focus on export controls, trade sanctions “and other national security-related topics”. Huawei is no longer allowed to pre-install Google’s popular apps, like Gmail and YouTube, on its devices. Huawei has unveiled its own operating system called HarmonyOS, which it said can replace Android if Google’s software is barred from its future smartphones, but the company needs a lot more time to build an apps ecosystem. The Chinese firm, which had all but shut down its Washington lobbying operation at the end of 2018, has also recently hired the law firms of Steptoe & Johnson and Jones Day as lobbyists.
Huawei’s smartphone shipments in Europe fell by 16% year-on-year in the second quarter of 2019, according to Canalys.
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