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Samsung wins US license for display supply to Huawei

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Reuters reported that sources revealed on Tuesday that Samsung Electronics’ display unit has obtained permission from the US authorities to continue to supply certain display panel products to Huawei Technologies. However, the report said that other manufacturers in the Samsung display supply chain also need to obtain US licenses.

Seek US Permissions to supply to Huawei

The US-China relationship is in its most severe period in decades. The Washington authorities have been pushing governments to squeeze out Huawei. Claiming that the Chinese telecom giant will hand over data to the Chinese government for espionage. Huawei has denied the US allegations. The new US regulations have come into effect on September 15, prohibiting US companies from supplying goods and services to Huawei.

US-China relationship

Samsung Display declined to comment on this news. The major OLED screen customers of this panel manufacturer include Samsung Electronics and Apple.
Huawei has not yet commented on this news.
It is not clear whether Samsung Display can export OLED panels to Huawei. This is because other companies in the supply chain that manufacture the parts needed for the panels must also obtain US licenses.
Samsung’s rival LG Display said on Thursday that LG and other companies, including most semiconductor companies, need to obtain US permission to resume business with Huawei. Intel announced last month that it has obtained permission from the US authorities to continue to provide some products to Huawei.
The industry believes that Samsung Display’s approved products may not include the panels required for high-end mobile phones. At this stage, the United States only approves manufacturers to supply Huawei-made computer components. Applications from Huawei mobile phone memory suppliers such as SK Hynix and Samsung Electronics have also not been approved.

SK Hynix and Samsung Electronics

In addition, Japanese companies such as Sony have also disclosed their applications to the United States to supply Huawei. But there is still no news that these companies have obtained permits.
At present, most mobile phones with the highest specifications use Samsung display products on their panels. Most of the world’s three major mobile phone brands Apple, Huawei, and Samsung’s flagship phones use Samsung panels. For example, in the latest iPhone 12 series, 3 out of 4 models use Samsung panels.

Huawei

In terms of Huawei, although it has been cooperating with mainland panel manufacturer BOE and others. For example, in the latest flagship mobile phone Mate 40 series, the highest-spec Porsche co-branded model uses Samsung panels. This has become one of the most important factors for many consumers when purchasing a machine.
In addition to Samsung Display, LG Display, another South Korean panel giant, has previously stated that the company decided to stop supplying Huawei after the US ban was initiated. If it wants to resume trading, it needs to apply for permission from the US.
Huawei is currently increasing its investment in products such as laptops, tablets, and screens when the supply of mobile phone components is cut off. However, whether it is also subject to the US ban and implementation difficulties is worthy of attention. Samsung is expected to benefit from the global mobile phone market in the future when the outlook for Huawei’s mobile phones is unclear.

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  1. Report: Samsung gets license to supply Huawei with displays

 

 

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