Huawei‘s US research arm Futurewei seems to have kickstarted the process of severing ties with the parent company. Futurewei has reportedly banned Huawei employees from its offices, moved Futurewei employees to a new IT system and forbidden them from using the Huawei name or logo in communications. Reuters reports a Futurewei employee to have said on condition of anonymity but the employee claimed Huawei will continue to own Futurewei.Huawei Logo

Futurewei is Huawei’s U.S.-based research and development arm. The firm employs hundreds of people at offices in Silicon Valley and the greater Seattle, Chicago and Dallas areas, according to its workers’ LinkedIn pages. Futurewei has filed more than 2,100 patents in such areas as telecommunications, 5G cellular networks, and video and camera technologies, according to data from the United States Patent and Trademark Office. Until now, Futurewei’s operations have been largely indistinguishable from Huawei and it had no separate brand or even a website, the employee said. Its staff often identified themselves as Huawei employees.

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The division of operations, which is being reported for the first time, comes as many U.S. universities have halted research partnerships with Huawei in reaction to U.S. government allegations that the company poses a national security threat. Many universities are also rethinking their partnerships with other Chinese firms. However, Futurewei is not on the “entity list” and isn’t affected by Huawei’s sanctions. This may just be Huawei’s effort to ensure the research arm doesn’t get the US sledgehammer.

Milton Frazier, Futurewei’s general counsel, declined to comment on the separation or the strategy behind it, referring questions to Huawei spokesman Chase Skinner. Skinner did not answer questions about the effort.

Huawei is among the world’s largest telecommunications equipment manufacturers. The Commerce Department in May placed the firm on its “entity list” of organizations that pose security risks. Companies on the entity list are banned from buying parts and components from American firms without U.S. government approval. The Justice Department earlier filed charges against the firm alleging theft of trade secrets and other crimes.

 

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(source)