It was immediately announced that Samsung would stop shipping chips to Huawei from next week. The Korean company has also stopped shipping Huawei OLED panels, according to a new report.
According to SamMobile, in addition to Samsung, LG will also stop supplying mobile screens to Huawei. It is known that Huawei currently uses Samsung OLED screens for devices like the P40 and P40 Pro. Meanwhile, LG said that the US government’s move would have minimal impact on its business as the Korean company only supplies limited display panels to Huawei.
LG Display and Samsung Display’s decision to stop supplying Huawei with OLED panels because they both use certain chips to operate and these chips are based on technology developed by US-based companies.
After imposing a ban on Huawei last year, the US government recently introduced new regulations requiring any semiconductor company to use hardware or software produced by US-based companies. Developers must obtain their approval before transacting with Huawei.
It will be interesting to see how Huawei has adjusted its operations since the new US government ban was enacted. Although they can buy LCD and OLED panels from Chinese display manufacturers such as BOE and CSOT, the use of memory chips, internal memory and other chips produced by Chinese processes will result in Company products were weak compared to competitors.