US trade sanctions have severely impacted Huawei's access to advanced chips. With limited options, the company might be considering renewing its partnerships with Korean chip manufacturers.
Previously, Huawei procured approximately $10 billion worth of chips annually from Samsung and SK hynix. However, the US sanctions have disrupted this relationship, impacting both Huawei and the Korean firms.
"Before the sanctions...we purchased about $10 billion worth of chips annually from Samsung and SK hynix...since the U.S. sanctions, we can no longer procure semiconductors from them." - Huawei spokesperson.
While Huawei has attempted to collaborate with SMIC to develop 5nm chips, low yields due to older DUV equipment have hindered commercialization. Other strategies, such as attracting TSMC engineers with tripled salaries, have also been employed.
Although a successful partnership with Korean firms faces significant hurdles due to US policies, Huawei's persistence highlights the company's determination to overcome the trade ban's challenges.
Read the original report from The Korea Times.
