Apple vs Huawei 2: The Google Ban

a new chapter of the trade war between
the US and China has been opened the two largest super powers on earth last week
President Donald Trump signed an executive order that gave him power to
control the US trade and thus he poha way one of the global smartphone leaders
on the American government's blacklist now no US company can trade with the
Chinese company without first obtaining government authorization the scenario is
already very complicated to begin with Google the company that owns the Android
operating system which is the default system of the vast majority of
smartphones all around the world hooting Huawei was forced to comply with the
white house orders thus Google had announced that Huawei
phones but no longer have updates to the Android operating system in Google
applications such as YouTube Gmail and Google Maps himself the largest
microchip company in the world also one of Huawei suppliers had also announced
that ahead cut ties with the Chinese company following orders from DC the
impact only creates a deeper scar and the trade war between Donald Trump and
Xi Jinping and there's no sign of this ever dying down soon both powers have
imposed tariffs of between 15 and 25 percent making their products cost
billions of dollars more in the market the White House presidential veto is the
new extreme that no administration had ever went to before in this context DC
never vetoed Samsung or Nokia the way that has done to Huawei drop stated that
Huawei who has strong ties that the Chinese Communist Party is a Trojan
horse and a critical national security threat other parties believe that Trump
has taken this step to prevent Apple from bleeding to death as a result of
Huawei's explosive growth in recent years a couple of weeks ago always
surpass Apple and the number of sales of smartphones while Apple sees its profits
and unit sales of iPhones decrease at every consecutive quarter today we will
see the consequences of this new declaration of war within the biggest
trade dispute of the last decades let's begin about a billion users will be affected
by the abrupt decision from the White House to ban Huawei from freely working
with US companies repercussions of this action could go very deep and it could
even be considered as an act of aggression towards China according to
some Huawei was virtually unknown just a decade ago today has become a highly
respected company in its field the u.s.

Accuses Beijing stating that Huawei has
stolen American and European technology however there are contradictory reports
on both sides but the purpose of this video is not to judge whether or not
China is stealing technology because both parties are accused of espionage
and theft of patents what is clear is that hallway has expanded to every
corner of the globe as Apple once did with its iPhone and computers China has
gradually become a very rich economic giant with close to a market of 1.3
billion potential customers but unlike Europe in the US China is an
authoritarian regime in a heavily censored country where a large majority
of young people never knew the atrocities such as the massacre of
Tiananmen Square and the concentration camps in eastern China where thousands
of Muslims are executed by orders from Beijing China is a country where
censorship and control of the media prevail and in that sense when Google
tried to expand in the country in the 2000s it had achieved it but the Chinese
regime challenged its expansion Google announced that it was being subjected to
espionage and intimidation by Beijing which was trying to take advantage of
its computer systems the result Google and all its entities were blocked from
mainland China and to this day it still remains the case
neither Google nor YouTube nor any affiliate companies operate in the
largest market in the world and Google was not the only victim there are
thousands of companies and websites banned by the Chinese government which
is known as the Great Firewall of China in short Beijing sets its conditions for
anyone who wants to enter China and sometimes the price to pay is espionage
and censorship of their technologies neither Facebook nor any other social
networks such as whatsapp are allowed in China for a long time China has been an
important market for Apple and could not enjoy losing access to such a valuable
market and therefore it was willing to sacrifice certain functionalities Apple
began to see their profits and revenues decrease in China partly due to the
growth of the Chinese company Huawei which is heavily promoted by the Chinese
government in the country and abroad the ongoing trade war between the US and
China was a originally caused by Trump with the
tariffs that he imposed on China on its exports Trump's executive power gives
him the power of Commerce and under the same power he has forced American
companies to cut ties with Huawei under the excuse of national security
Google as the company it is has no interest in cutting ties with one of its
major trading partners Huawei but in this case Google has to abide by the
presidential order from the White House the same goes for companies such as
Intel Facebook and Microsoft these companies will be forced to cut off any
relationship with Huawei and as a result the company could potentially be
paralyzed there's a large part of its components come from American companies
such as Intel and Microsoft in the first instance for example the latest
smartphones will no longer utilize Android and American companies such as
Facebook Twitter and YouTube will no longer be available in the case of their
laptops for example Microsoft will be forced to not provide more assistance
the hallways operating system ie Windows and it will also be left without the
logistical support of their microchip producer in this case Intel in the case
of chips without Intel always a bit paralyzed and in fact if they want to
find another alternative it would be AMD the problem is AMD is also American far
away as well as hundreds of millions of users and hundreds of other companies
have been paralyzed due to Trump's orders and many would consider this as
an attack on free trade and the free market in a way it is true that China is
an authoritarian power that promotes censorship and we could even say that
they promote espionage but the u.s.

Is not much better to give moral lessons
when it is the number one country that spy on the world that being said its
censorship is also evident when dealing with revealed state matters as was the
case with Australian journalist Julian Assange with the latest decision from
the White House Huawei is paralyzed for the short term medium term but as a
matter of fact alway was already working on developing its own operating system
because they already foresaw that something like this could happen the
problem though is not just the operating system it is also the electrical
components that it uses as well as other hardware and software that is mostly in
the hands of American companies while we will have to develop its own operating
system apart from looking for different software and hardware alternatives to
American companies always alternatives as a leader in Chinese technology is to
entirely develop every single component and only using its own technology so in
other words it has to stop relying on components or systems that are
in the US but that in the short term is highly unlikely
another option would be to try it to find non-american suppliers such as
South Korea Samsung or European technology it is very realistic to say
that the consequence of this economic embargo on huawei will greatly limit its
growth projection the company plans to dethrone Samsung this year as the
company with the highest number of sales but having to develop a new operating
system and other components will impact the time that it will take for hallway
to achieve their goals now think of the actual impact this has on consumers
would you use a phone that couldn't use whatsapp Facebook YouTube Google Twitter
and Gmail probably not unless you are willing to give up the vast majority of
social networks the entrance of hallway to the u.s.

Blacklist is one of the
latest actions in order to stop hallways expansion but this affects much more
than just smartphones it also affects new data technology such
as 5g which has become a geopolitical game all around the world in Europe
Huawei has also been under attack for their development of 5g the US
government has already threatened its allies with a stop of intelligence if
governments accept Huawei developed 5g technology in their country some
governments such as Australia and New Zealand have already given in to that
pressure but recently London had decided to allow hallway to develop the 5g
networks evidently under the surveillance of the British government
that being said Washington has stated that it would limit its intelligence
with London but this will also be a loss for the u.s.

Sense to stop sharing
secret information with London will also be harmful
considering the geographic importance of Britain to filter information between
Russia the European Union and the u.s. Germany has also allowed Huawei to
develop the 5g network recently Chancellor Merkel came to the defense of
Huawei in view of Trump's executive order Germany has stated that the
current trade war between the US and China is also harming European consumers
after failed attempts at negotiations China is seeing it's complicated
position the United States has many other options on the table
China could very well do the same to the US by banning Apple which would
undoubtedly be an act of retaliation for leaving Huawei without Google and
Intel's technical support it is clear that Huawei will be affected in the
medium to long term reducing their exponential growth that they have
experienced recently Trump's executive order will evidently discourage users
from buying Huawei products since in the future they may not have access to
Google Apps and even Facebook or what and even for laptops many will be
discouraged due to the lack of support from Intel chips the Windows operating
system and Adobe programs both of these countries depend a lot on each other but
China depends on the u.s.

Slightly more than the other way around in terms of
exports China is a country that exports a lot to the US 20 percent of China's
exports go to American territory but the u.s. exports only 10 percent to China in
fact Mexico is its main commercial partner on the other hand Trump wants to
reduce the commercial balance of the US a country that traditionally imports
more than it exports especially from China with close to 25 percent of
imports coming from the Asian country the US has a trade deficit of nearly 1
trillion dollars the largest deficit on earth Trump has been trying to penalize
the consumption of Chinese imports imposing them with tariffs of between 15
to 25 percent in order to reduce the American consumption of these products
based on the tariffs more than seventy billion dollars have been collected by
the Treasury Department Trump has boasted that the country has received
billions of dollars from China thanks to taxes but this is incorrect a
part of the income from these taxes have been paid by American citizens who have
BA are consumed Chinese products therefore the trade war between the two
largest world powers and between their largest tech companies has already
claimed its first victims at the moment if you already have a huawei the product
is still usable but in the future these products may not have security updates
from Google and even though Huawei has already insured system updates at the
moment we don't know what will happen to the Play Store for those who are
thinking of buying a Huawei smartphone in the future we will have to know that
they might not have an updated operating system like Android and you may not have
access to the Google Play Store to download applications alway has stated
that will replace Android with their own operating system but at the moment is
still being developed and for now we don't know what capacities that will
have and we don't know if we can access Google applications such as Maps YouTube
and Gmail massively use applications such as Facebook whatsapp and Instagram
may also not be present thus a new chapter of the trade war has been opened
and we will have to wait and see for what will happen next so what do you
think of the trade war at this point do you think it was reasonable for Trump to
block Huawei from working with American companies or do you think this was just
an attempt to save Apple I hope you liked this video and don't forget to
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