It's no secret Huawei has been going through some serious issues after it's been added to the US Entity List, preventing it from doing business with US companies. Indeed, most of the manufacturer's American partners were fast in cutting their ties with it, ranging from Google to chip manufacturers. ARM's decision to do the same also prevented the Chinese firm from continuing to build its Kirin chips, which were featured in most of its devices. Although Huawei is trying to overcome these woes with in-house software and working with Aptoide to put in place a Play Store replacement, it's struggling to convince the world about its viability. For instance, UK carriers have halted the commercialization of the conglomerate's devices due to the current situation. New information reports Foxconn stopped manufacturing Huawei's devices, further confirming the company is in trouble.

According to reports, Huawei has instructed Foxconn to reduce the number of devices it builds, hinting demand for its products is sharply decreasing. It appears the uncertainty is so high the Taiwanese manufacturer had to entirely stop the production lines for some phones.

This information seems to indicate the company's efforts to reassure customers and potential solutions aren't convincing buyers. Indeed, even though the company was granted a temporary grace period to ease the transition, it hasn't provided a clear plan as to how it will continue to operate once the ban goes into effect, and is consequently losing customers' trust around the world.

The future is unclear for the conglomerate, as the conflict between China and the US is escalating, and Beijing is threatening to retaliate by blacklisting American companies and depriving the country of critical resources. Let's hope this comes to a resolution soon, as companies around the world are bracing themselves while the situation is escalating.

Source: TechCrunch