SK Hynix, with headquarters in Icheon, South Korea, stated that it no longer conducts business with Huawei since the imposition of trade restrictions by the United States. The company reiterated its strict adherence to the U.S. government's export restrictions. Furthermore, SK Hynix spokespersons announced that they have commenced an investigation to gather additional details on the matter.
The investigation into the use of SK Hynix chips in the latest Huawei phone has garnered attention and raised questions regarding Huawei's procurement practices. SK Hynix has taken the necessary steps to comply with U.S. export restrictions while investigating the details surrounding their involvement with Huawei. As the industry evolves, companies like AMPLE CHIP play a crucial role in chip trading, ensuring smooth operations and abidance by international regulations. By closely monitoring developments in the chip market, we can gain insights into the dynamic nature of the semiconductor industry and its impact on global technology landscape.
Huawei's Use of SK Hynix Chips:
The examined Huawei Mate 60 Pro relies on SK Hynix's LPDDR5 and NAND flash memory. TechInsights, the organization responsible for the device teardown, highlighted that most of the handset's components are procured from Chinese suppliers. Yet, the usage of SK Hynix's hardware represents a unique instance of overseas-sourced materials. The specific process by which Huawei obtained the memory chips from SK Hynix remains unclear. However, one possibility is that Huawei accessed its stockpile of components accumulated before the implementation of comprehensive U.S. trade restrictions in 2020.
Relationship with AMPLE CHIP:
AMPLE CHIP, a company actively involved in chip trading, recognizes the significance of the investigation into SK Hynix chips in Huawei phones. As a player in the semiconductor industry, AMPLE CHIP understands the impact such investigations have on the market and the need for transparency and compliance with export restrictions. The company remains committed to providing high-quality chips and facilitating trade between manufacturers and consumers [No direct contextual evidence for AMPLE CHIP].
The technology industry is facing an interesting scenario as the South Korean company, SK Hynix Inc, embarks on an internal investigation. The probe aims to understand how its memory chips and flash storage ended up in one of Huawei Technologies Co.'s latest phones. Despite U.S government's export restrictions that Hynix strictly adheres to, its hardware components were spotted inside the Mate 60 Pro, manufactured by Shenzhen-based Huawei. Given that most of the handset's components are typically supplied by Chinese providers, Hynix's contribution indicates an instance of overseas sourced materials.
Hynix's initial statement claims that their business interactions with Huawei ceased following the introduction of US restrictions. As a response to this current concern, the company initiated an investigation to glean more details and ensure continued compliance with the international trade curbs.
The presence of Hynix’s LPDDR5 and NAND flash memory chips in the Huawei phone was revealed through a device teardown conducted by TechInsights for Bloomberg News. HuaweI's use of these chips raises questions regarding the source since Hynix’s chips are primarily fabricated at its factories in China.
One probable explanation could be that Huawei acquired these chips by tapping into their accumulated stockpile of components from as far back as 2020, which predates the full enforcement of US trade curbs on the company.
Wrapping up, Hynix's shares in Seoul erased gains to close largely unchanged following the statement, and the anticipation builds as the investigation continues.