TSMC to continue making chips for Huawei: Report

Image
IANS Taipei
Last Updated : May 24 2019 | 1:11 PM IST

Taiwan Semiconductor Manufacturing Company (TSMC) - the world's largest contract chipset maker - has said it would continue delivering critical semiconductors to Huawei Technologies even as chip designer ARM has cut ties with the tech giant.

"TSMC said at a technology symposium that while intellectual property and materials used for semiconductor development would be subject to US restrictions on sales to Huawei, chipmaking equipment would not fall under the new rules.

"As a result, the chips would not breach rules requiring a license for sales to the Chinese company of products containing 25 per cent or more US technology," the Nikkei Asian Review reported late on Thursday.

Japanese multinational conglomerate Toshiba reportedly said it has resumed all shipments of electronic parts to Huawei.

However, it did not clearly mention what products it supplies to the Chinese company.

"The list likely includes large-scale integration chips used to process large amounts of data at once.

"The company had previously suspended certain shipments, but has now concluded that they do not violate restrictions imposed by the US," the report added.

Other firms that will continue shipping products that do not violate US restrictions to Huawei include Panasonic and Chinese computer maker Lenovo Group.

On May 15, US President Donald Trump effectively banned Huawei with a national security order.

The US publicly asked its allies to steer clear of using Huawei products over concerns that the equipment could be used by the Chinese government to obtain private information.

Following the trade clampdown, tech majors including Google, Microsoft, Intel and Qualcomm put restrictions on businesses with Huawei.

--IANS

ksc/mag/

Disclaimer: No Business Standard Journalist was involved in creation of this content

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: May 24 2019 | 12:54 PM IST

Next Story