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U.S. federal contractors are not allowed to buy telecommunications equipment from Huawei and four other Chinese companies. Washington claims the products could be used for espionage and pose threat to the U.S. national security. The administration of U.S. President Donald Trump had already banned federal agencies from doing business with these companies last August. But the ruling has been expanded to cover the whole U.S. federal supply chain.
What will be the impact on these U.S. contractors in the long run? U.S. chip-maker Qualcomm is lobbying the government to reverse a ban that stops it from selling advanced components to Huawei. Will that work?