Huawei will be facing an annual loss of $10 billion due to Trump’s moves

It was stated by the Chinese company that it will be taking a revenue smash of this scale because of export curbs.

It is being anticipated by the Huawei Technologies that the export restrictions by the United States will reduce the annual revenue at its consumer devices business by nearly 10 billion dollars, as the firm got banned in the US to buy any components such as semiconductors or software from the country.

Huawei is on the pursuit to seek measures for replacing the main suppliers of the United States such as Synopsys and Cadence Design Systems, informed Eric Xu, the deputy chairman of Huawei. He added that the overall loss suffered by the firm will be marginally less than the initial estimate of the founder ‘Ren Zhengfei’.

After coming under the strong pressure from the administration of Trump, which has claimed the Chinese firm to be a security threat for the country, Huawei is now looking for developing alternatives. On Friday, the most effective artificial intelligence chipset was introduced by the firm, called as the Ascend 910, which will be competing against some of the best offerings from Nvidia and Qualcomm. At the beginning of this month, it revealed a glimpse of an in-house software called as the HarmonyOS which has the potential of replacing the Google’s Android someday.

The firm is also looking for ways for replacing the chip-design software tools which were previously supplied by Synopsys and Cadence, without further elaboration Xu informed a news briefing in Shenzhen. He said that there weren’t any chip design tools a decade back, however, the industry still produced chips. He argued that Synopsys and Cadence were not necessary for design. He also gave an example of Intel which developed chips without existence of Cadence and Synopsys.