Earlier this week, it was revealed that US regulators are open to making changes that will help in fixing loopholes within the new sanctions that may allow Huawei to still receive US chipsets.

Huawei
Huawei’s Kirin chipsets are manufactured by TSMC

For those unaware, Huawei had its mobile processor from TSMC cut off earlier this month by the US Department of Commerce. While this was done to hinder the company’s operations within the US, it also pressurized the company to conform to American regulations. At the moment, the Chinese tech giant will require special licenses to acquire semiconductors made overseas but utilized US made technology.

In other words, TSMC is no longer taking orders from Huawei. However, a loophole of this rule is that this rule only covers chips designed by Huawei (HiSilicon Kirin). These do not include shipments that are sent directly to Huawei’s customers, something certain industry lawyers see as a potential loophole. Thus, US regulators are aiming at plugging this gap within the new set of regulations.

Huawei

According to the US State Department, the new rule will “give us a great deal more information upon which to base export control decisions as we move forward and try to find the right answer to these challenges including by adapting, if we need to, if Huawei tries to work around our rules in some way,” adding that these steps are “necessary,” as the Trump administration looks at the consumer product maker as a security threat.

 

(Via)