January 28, 2020, 23:17

Samsung to Gain From Huawei’s Losses in US-China Trade War – Report

Samsung to Gain From Huawei’s Losses in US-China Trade War – Report

The South Korean tech company should make its moves while its major Chinese competitor Huawei is driven away from the US market, Fitch Rating says in its report.

South Korean tech giant Samsung can use the current Huawei predicament to strengthen its positions in the smartphone market, says a Fitch Ratings report cited by Reuters. Amid the ongoing trade war between Washington and Beijing, US tech giant Google — the maker of Android OS — and British ARM Company — the developer of mobile processors — have announced their decision to cut ties with the Chinese manufacturer.

The loss of both the software and hardware necessary for the production of smartphones will hurt Huawei’s sales outside of China, giving Samsung a window of opportunity to improve its market share.

In the meantime, Fitch pointed out that the US tech company Apple is likely to suffer from the trade war as well, as the company will likely lose its market in China.

Earlier this month, the US government hit Huawei with severe sanctions, banning it from conducting business with US companies. The company has been accused of violating anti-Iranian sanctions re-imposed after the US unilaterally withdrew from the so-called Iranian deal.

The company was also forced from the US 5G wireless market under the pretext that Chinese technology can be used by Beijing to spy on everyone in the US and the rest of the world.

Source: sputniknews.com

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