Skip to content
Home » Intel Holds Onto Exclusive Huawei License Despite Pressure

Intel Holds Onto Exclusive Huawei License Despite Pressure

  • 2 min read
Decorative image: Semiconductor-factory

The chip war heats up as Intel maintains its exclusive export license to supply laptop processors to Huawei. This decision comes after opposition from rival chipmaker AMD and criticism from China, according to a report from Reuters.

AMD Seeks Parity, China Cries Foul

The license, granted in 2019, effectively gives Intel a monopoly on Huawei’s laptop CPU market. AMD reportedly applied for a similar license in 2021 but received no response. This has caused frustration within AMD, with internal presentations showing their market share in Huawei laptops dropping from near parity (47.1%) in 2020 to a mere 9.3% by mid-2023.

China has also voiced its disapproval of the exclusive license, viewing it as a potential restriction on Huawei’s access to essential technology.

License Likely to Expire in 2024

While Intel has benefited significantly from the license, with hundreds of millions of dollars in sales to Huawei, the deal is not expected to be renewed. The current license is set to expire later in 2024, and with the ongoing political climate, approval for an extension seems unlikely.

Uncertain Future for Huawei Laptops

The expiration of the license raises questions about the future of Huawei laptops. The company is reportedly developing its own chip production capabilities, but it’s unclear if they’ll be ready in time to replace Intel processors entirely.

Impact on the Global Chip Market

This situation highlights the complex interplay between geopolitics, trade regulations, and the global chip market. The outcome will likely have ripple effects across the industry, impacting chipmakers, consumers, and international relations.

This news is a significant development in the ongoing saga of the US-China trade war and its impact on technology giants. As the story unfolds, we’ll be sure to keep you updated on any further developments.