GOOGLE SUSPEND HUAWEI TO USE ANDROID SERVICES AND UPDATES

Huawei has said it will be able to roll out its own mobile phone operating system “very quickly” if its smartphones are cut off from Google’s Android software. The world’s second-largest smartphone maker is facing the prospect of being shut out of the world’s most popular smartphone operating system after being placed on a “banned entity” list by the White House, which forbids US companies to supply it with technology.

Huawei, which last year sold 200m phones, promised its customers that their current phones would continue to work and have access to Google’s Play Store to buy apps. These phones are certified so that Google can provide them with updates and downloads without going through Huawei. But Tim Watkins, Huawei’s vice-president for western Europe, warned: “The future is not so certain.” Huawei has cast itself as the victim of the ongoing trade war between the US and China, and Mr. Watkins said the company was “caught in the middle”. He said the group had been preparing for the worst, after becoming a target for the US last year, and that it had been working on its own operating system, which “can kick in very quickly”. 

He noted that the OS has been trialed in some parts of China. Huawei, which uses Microsoft’s Windows on its laptops and tablets, has long sought to develop its own operating systems. In an interview with Germany’s Die Welt newspaper, and subsequently confirmed by Huawei, Richard Yu, chief executive of the consumer division, said the company would “be prepared” in the event of any blacklisting. “That’s our plan B. But of course we prefer to work with the ecosystems of Google and Microsoft,” he told the German publication in March. Microsoft declined to comment. Huawei also relies on silicon chips made by US companies including Qualcomm and Intel and Mr. Watkins said the company has stockpiled five years of spare parts for its phones and one year’s worth of components. In a research note to clients, Citi analysts said the potential software ban “could paralyze Huawei’s smartphone and equipment business”.

 Google said on Monday that it would comply with the orders from the White House and was “reviewing the implications”.

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