[wbraun]

What are the near term implications of this? I was under the impression that this was always considered a pretty extreme option. Between this and the plans for the TSMC fab in the USA I wonder what suddenly shifted in US - Taiwan relations.

Does this mean that Huawei loses the 5G competition because they are not going to be able to get the chips they need fabricated?

Is China going to try to split up Huawei into a bunch of "totally not Huawei" companies?

[teruakohatu]

I am sure 5G chips can be built with older processes. They might just need more cooling and be less efficient.

[kyboren]

That makes Huawei's 5G chips much less commercially competitive, giving Qualcomm a leg up in the handset market and making it much harder for Huawei to win.

However, for base stations, which are the real prize, Huawei already has a ~1y stockpile of Xilinx FPGAs, so any effects on Huawei's 5G market position will take some time to manifest.