Huawei: Staring into the Abyss

Huawei: Staring into the Abyss

Huawei is putting on a brave face. The Chinese networking equipment giant, banned from acquiring US technology last month over alleged violations of international sanctions against Iran, last week claimed it had assigned 10,000 engineers to work around the clock to find ways to break its reliance on American code and computer chips. Spoiler: It's not going to work. If the US ban stays in place, today's Huawei won't survive.

Technology: To make its phones and networking gear work, Huawei needs semiconductors. To make those semiconductors, Huawei relies on software tools that are built by only a handful of US and European companies, which have suspended doing business with Huawei to comply with the US ban. Without access to these tools, or the software updates needed to keep them running, Huawei can't make viable products, and its business will collapse. It's as simple as that.

Politics: Huawei could try to seek a settlement. If Huawei were to admit guilt over the violation of Iran sanctions, fire some executives, and submit to US inspections to allay espionage fears, as it's already done in the UK, Washington might be willing to deal. But Huawei is China's most important and innovative tech giant. Kowtowing to the US would be humiliating both for company, the country, and in particular Chinese President Xi Jinping. There is no sign yet that Huawei or China are willing to go down that path.

But what about all those other countries that have signed deals with Huawei? Governments from Brasilia to Moscow to Kuala Lumpur have signaled they are sticking by Huawei despite US pressure. Just last week, Huawei signed a 5G deal with a Russian mobile telecom company. But unless the US ban is lifted, Huawei won't be able to deliver much beyond signatures.

What if Trump changes his mind? He's seeking leverage in his broader trade dispute with China, and as we know, he's turned on a dime before. All it would take is a single tweet and presto, Huawei's saved. But even if Trump decided to suspend the technology ban as part of a potential deal, the firm's reputation as a supplier may already be compromised. Telecom companies that are preparing to shell out billions of dollars to build their 5G networks would have to think hard about signing deals with a company that from now on will be squarely in the US crosshairs.

And so Huawei is probably going down. As that fact becomes clearer over the coming days and weeks, it will send shockwaves through both the $1 trillion global telecoms sector and through geopolitics. Don't say we didn't warn you.

Yau Abdul Karim lives and works in Garin Mai Jalah, located in the Yobe State of northeastern Nigeria. Essential to his work raising cattle is reliable access to water, yet environmental degradation has led to fewer water sources, severely impacting communities like his that depend on livestock. In 2019, with the help of FAO, Eni installed a special solar-powered well in Yau's town that provides water during the day as well as light at night.

Watch Yau's story as he shows how his family and community enjoy life-enhancing access to both water and light.

Ian Bremmer's Quick Take:

Hi, everybody. Ian Bremmer here. And I thought I'd talk a little bit today about the latest in Israel, Palestine. It's obviously been driving headlines all week. And of course, on social media, there's no topic that we all get along and agree with each other more than Israel, Palestine. It's an easy one to take on. Yeah, I know I'm completely full of crap on that. But I thought I would give you some sense of what I think is actually happening where we're going. So first point, massive fight, big conflict between Hamas in Gaza and the Israeli defense forces. Not only that, but also more violence and a lot of violence breaking out between Israeli Arabs and Israeli Jews. Extremists on both sides taking to the streets and fairly indiscriminate violence, in this case, worst since 2014.

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Nicola Sturgeon, Scotland's first minister, says another independence referendum for Scotland is now a matter of "when not if," and that after leaving the UK, Scotland will launch a bid to rejoin the EU. But there are formidable obstacles ahead.

Getting to a vote will force a complex game of chicken with UK Prime Minister Boris Johnson. If a majority of Scots then vote for independence — hardly a sure thing – the process of extricating their new country from the UK will make Brexit look easy. Next, come the challenges of EU accession. In other words, Scotland's journey down the rocky road ahead has only just begun.

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Cyber is a tool, and sometimes a weapon. Whether espionage for commercial gain or indiscriminate attacks on critical infrastructure, actions taken in cyber space affect you directly, potentially upending even the most mundane realities of everyday life.

Join GZERO Media and Microsoft for a live conversation on cyber challenges facing governments, companies, and citizens in a Munich Security Conference "Road to Munich" event on Tuesday, May 18.

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Get insights on the latest news in US politics from Jon Lieber, head of Eurasia Group's coverage of political and policy developments in Washington:

Who is Elise Stefanik and what does she mean for the Republican Party right now?

Elise Stefanik is a young member from Upstate New York. She had originally started her career as a staffer in the George W. Bush administration, but in recent years, has turned into one of the most outspoken defenders of President Donald Trump, particularly during the impeachment trial last year. She's relevant right now because it looks like she'll be replacing Liz Cheney, the Representative from Wyoming and also the daughter of the former Vice President, who has been outspoken in her criticism of President Trump since the January 6th insurrection, and probably more importantly, outspoken in her criticism of the direction of the Republican Party.

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According to Delhi-based journalist Barkha Dutt, while the Indian government has finally started to mobilize in response to the COVID crisis, there's still a lot of denial about the severity of the ourbreak. "Our Health Minister, for instance, made a statement in the last 24 hours saying that India is better equipped to fight COVID in 2021 than in 2020. That's simply rubbish. We had India's Solicitor General telling the Supreme Court that there is no oxygen deficit as of now. That's simply not true." In an interview on GZERO World, Dutt tells Ian Bremmer that only the connection between fellow Indians, helping each other when the government cannot, has been a salve.

Watch the episode: India's COVID calamity

Listen: Ask national security experts how they view China today and they'll likely the use a term like "adversary" or "economic competitor." But what about "enemy?" How close is the world to all-out-war breaking out between United States and China? According to US Admiral James Stavridis (Ret.), who served as Supreme Allied Commander to NATO, those odds are higher than many would like to admit. In fact, Stavridis says, the US risks losing its military dominance in the coming years to China. And if push comes to shove in a military conflict, it's not entirely clear who would prevail. Admiral Stavridis discusses his bestselling new military thriller 2034 and makes the case for why his fictional depiction of a US-China war could easily become reality.

Subscribe to the GZERO World Podcast on Apple Podcasts, Spotify, Stitcher, or your preferred podcast platform to receive new episodes as soon as they're published.

Carl Bildt, former Prime Minister and Foreign Minister of Sweden, shares his perspective on Europe In 60 Seconds:

What's the issue with the letter in France talking about the "civil war"?

Well, I think it is part of the beginning of the French election campaign. We have some people in the military encouraged by the more right-wing forces, warning very much for the Muslim question. That's part of the upstart to the election campaign next year. More to come, I fear.

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Beyond SolarWinds: Securing Cyberspace. Watch on Tuesday, May 18, 2021 10am PT/ 1pm ET

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Beyond SolarWinds: Securing Cyberspace | Watch on Tuesday, May 18, 2021 10am PT / 1 pm PT

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Subscribe to GZERO Media's newsletter: Signal