British multinational chip and software designer ARM has instructed its employees to halt “all active contracts, support entitlements, and any pending engagements” with Huawei as a result of the recent US government ban on Huawei telecommunications products over security concerns.
While ARM is not a US company, it is worried that the ban still applies because it uses “US origin technology” in its chip designs. The firm explained that it is “complying with the latest restrictions set forth by the US government and is having ongoing conversations with the appropriate US government agencies to ensure we remain compliant.” The move is a massive blow to Huawei, as the company may now be forced to start designing it’s own chips without the use of US technology, which will be a daunting task.
Read more: ARM cuts ties with Huawei, threatening future chip designs