ZTE could be banned from using Google’s Android operating system as a result of announcement made on Monday, April 16 that banned it from using U.S. technology for the next seven years.
The ban came following allegations that the Chinese company knowingly made false statements to U.S. officials regarding its sale of American technology to Iran. While ZTE chose to settle with the U.S. government over the issue, it emerged that the company had lied to officials about the disciplinary actions taken against staff, even going so far as to reward some employees for illegal actions. As a result, it is now illegal to sell or supply U.S.-based technology to ZTE — and critically for the Chinese company, that could include the Android operating system.
This is an especially large issue for ZTE — if you’re not using an Apple iPhone as your daily driver, then chances are you’re using an Android device. Android powers a staggeringly huge portion of the mobile market, with some sources putting the Google OS’s market share at almost three-quarters of the market, with most of the rest being dominated by Apple’s iOS. If ZTE were to lose access to the Android operating system, it would give the firm very few options in operating systems, with mobile operating systems outside iOS and Android taking up less than 1.5-percent of the market. One option for ZTE might be to reach out to Samsung for the Tizen operating system — but that OS is limited in apps and reach.
In contrast, while the impact on ZTE of this ban would be crippling, the blow to Google would be fairly minimal. While still a manufacturer with respectable sales numbers, ZTE is far from being a major player within the Android ecosphere, and the loss of ZTE’s presence wouldn’t even scratch Google’s mighty visage. Bloomberg reports that ZTE’s lawyers are currently in talks with Google officials regarding the ban and how to proceed going forward. ZTE has stated that it is assessing the full range of implications this decision has on the company. We have reached out to Google for comment.
Suspicion towards Chinese tech companies like ZTE and Huawei has intensified as of late, with the U.K. recently announcing that ZTE phones could pose a risk to national security, while both companies have been singled out as risky by U.S. intelligence agencies, and this is likely the reason why many U.S. carriers and sellers have cut ties with Huawei.
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