Huawei CEO and founder Ren Zhengfei has acknowledged the US export ban will reduce the two-year lead it claims to have in 5G over rivals Ericsson and Nokia, Bloomberg reported.
Ren said to stay competitive in 5G as well as smartphones it will expand chip production or look for alternative suppliers.
Last week he said the block will have only a limited impact on its business, expressing confidence it will survive the restrictions as it has been preparing for the eventuality.
The company’s HiSilicon unit has invested heavily to develop its own chip technology, but the company is heavily dependent on US semiconductors.
Ren also reportedly said the company can and will develop its own operating system.
Meanwhile, a number of standards and industry organisations have put some aspects of collaboration with Huawei on hold. These include the Wi-Fi Alliance and SD Association.
In a statement, Huawei said: “We are disappointed by these decisions, but they will not have an effect on our daily operations. Huawei has not violated the articles of association for any of these organisations, and yet a small group of them have decided to suspend collaboration without any legal basis.”
The company said is an active member of more than 400 standards organisations, industry alliances and open source communities and moving forward it “will keep doing our part and work with standards and industry organisations to build a robust industry ecosystem for everyone”.
