The U.S. Commerce Department issued a temporary license that will allow American companies to continue doing business with Huawei Technologies Co. Ltd. for the next three months.
The temporary general license, effective May 20, authorizes engagement in transactions with Huawei and its affiliates under certain conditions. These include transactions "necessary to maintain and support" existing and currently fully operational networks and equipment, including software updates and patches. The license also allows Huawei to take action "necessary to provide service and support, including software updates or patches, to existing Huawei handsets that were available to the public on or before May 16, 2019."
Additionally, it permits the Chinese telecom-equipment provider to receive security vulnerability disclosures and authorizes engagement with Huawei and its affiliates for the development of 5G standards.
The license, effective through Aug. 19, scales back the restrictions imposed by the U.S. government on Huawei and will allow the company to purchase U.S. goods so it can help existing customers maintain the reliability of networks and equipment.
The U.S. recently blacklisted Huawei due to perceived threats to national security. The move to add Huawei and its affiliates to the "Entity List" means companies will have to seek Washington's approval before doing business with Huawei. As a result, Alphabet Inc.'s Google LLC suspended some of its business with Huawei.