The Trump administration on Friday moved to block shipments of semiconductors to Huawei Technologies from global chipmakers, in an action that could ramp up tensions with China.
The U.S. Commerce Department said it was amending an export rule to “strategically target Huawei’s acquisition of semiconductors that are the direct product of certain U.S. software and technology.”
The department added the “announcement cuts off Huawei’s efforts to undermine U.S. export controls.”
The rule change is a blow to Huawei, the world’s no. 2 smartphone maker, as well as to Taiwan’s TSMC, a major producer of chips for Huawei’s HiSilicon unit as well as mobile phone rivals Apple and Qualcomm.
Huawei, which needs semiconductors for its widely used smartphones and telecoms equipment, is at the heart of a battle for global technological dominance between the United States and China.
The United States is trying to convince allies to exclude Huawei gear from next-generation 5G networks on grounds its equipment could be used by China for spying. Huawei has repeatedly denied the claim.
Huawei has continued to use U.S. software and technology to design semiconductors, the Commerce Department said, despite being placed on a U.S. economic blacklist in May 2019.
Under the rule change, foreign companies that use U.S. chipmaking equipment will be required to obtain a U.S. license before supplying certain chips to Huawei, or an affiliate like HiSilicon.
In order for Huawei to continue to receive some chipsets or use some semiconductor designs tied to certain U.S. software and technology, it would need to receive licenses from the Commerce Department.
National security concerns
The rule change is to “prevent U.S. technologies from enabling malign activities contrary to U.S. national security and foreign policy interests,” Commerce Secretary Wilbur Ross said in a statement, adding Huawei and its affiliates “have stepped-up efforts to undermine these national security-based restrictions.”
The Commerce Department said the rule will allow wafers already in production to be shipped to Huawei as long as the shipments are complete within 120 days from Friday. Chipsets would need to be in production by Friday or they are ineligible under the rule.
The United States placed Huawei and 114 affiliates on its economic blacklist citing national security concerns. That forced some U.S. and foreign companies to seek special licenses from the Commerce Department to sell to it, but China hawks in the U.S. government have been frustrated by the vast number of supply chains beyond their reach.
Separately, the Commerce Department extended a temporary license that was set to expire Friday to allow U.S. companies, many of which operate wireless networks in rural America, to continue doing business with Huawei through Aug. 13. It warned it expected this would be the final extension.
‘We have dirt on Trump’: dark web hackers demand huge ransom
A notorious hacking group claims to have “dirty laundry” on President Donald Trump and have threatened to publish it next week if one of the biggest cyber ransoms ever isn’t paid.
Cyber extortionists stole a trove of private data from US entertainment law firm last week Grubman Shire Meiselas & Sacks, before publishing documents relating to Lady Gaga and Madonna on the dark web.
In a blog post on Thursday on the dark web, hacker collective ‘REvil’ – who are holding thousands of the law firm ‘s documents hostage – said Mr Trump will be the next subject of a data dump.
“The next person we’ll be publishing is Donald Trump,” the blog post said.
“There’s an election race going on, and we found a ton of dirty laundry on time.”
The hackers added, “And to you voters, we can let you know that after such a publication, you certainly don’t want to see him as president. Well, let’s leave out the details. The deadline is one week.”
The White House has been contacted for comment.
In a statement provided to Variety through a representative, Grubman Shire Meiselas & Sacks said, “Our elections, our government and our personal information are under escalating attacks by foreign cyber criminals.
“Law firms are not immune from this malicious activity. Despite our substantial investment in state-of-the-art technology security, foreign cyber terrorists have hacked into our network and are demanding $US42 million ($A65 million) as ransom. We are working directly with federal law enforcement and continue to work around the clock with the world’s leading experts to address this situation.”
The statement continued, “The leaking of our clients’ documents is a despicable and illegal attack by these foreign cyber terrorists who make their living attempting to extort high-profile US companies, government entities, entertainers, politicians, and others.”
According to the firm, other organisations and companies including HBO, Goldman Sachs and the Department of Defence have been victims of similar cyber attacks.
It isn’t clear what info the hackers might have on Mr Trump or how it pertains to Grubman Shire Meiselas & Sacks, which is not known to have represented the US President in any legal matter.
https://thenewdaily.com.au/news/world/us-news/trump-news/2020/05/16/trump-ransom/