Following Micron Technology
Samsung Electronics and SK Hynix have recently sent official letters to the U.S. Department of Commerce so that they can continue to sell their memory chips to Huawei even after the U.S. government’s new restrictions on the Chinese tech company.
The restrictions are scheduled to take effect on Sept. 15, and then no semiconductor chip incorporating U.S. technology can be supplied to Huawei without a special license from the U.S. government.
Micron Technology made the same request last month. Micron Technology, Samsung Electronics and SK Hynix are the top three oligopolistic players in the global DRAM market. The U.S. Department of Commerce is unlikely to issue the special licenses to them in the near future. This is because President Donald Trump is continuing to put pressure on China with the upcoming presidential election around the corner.
The three DRAM manufacturers’ stance on Huawei has to do with the Chinese government. Two years ago, the Chinese government conducted price fixing investigations on them. At that time, it was predicted that they might have to face a fine of up to US$8 billion. Although the Chinese government has made no move, both Samsung Electronics and SK Hynix may have to pay the fine once the restrictions take effect.