ZTE can't buy Qualcomm chips anymore, following a decision by the US Department of Commerce. It punishes the Chinese company for violating the terms of a sanctions violation case, by banning all US companies from selling prohibited goods such as chipsets to ZTE. The ban will be in force for seven years.
ZTE pleaded guilty last year to conspiring to violate US sanctions by illegally shipping US-made goods and technology to Iran. As part of the ensuing settlement, ZTE promised to fire four senior...
The U.S. government said ZTE violated the terms of a sanctions settlement and imposed a seven-year ban on purchases of crucial American technology needed to keep it competitive.
After pleading guilty to charges of violating sanctions and illegally shipping US goods to Iran, ZTE agreed to pay almost $US900 million ($1.2 billion) in fines in 2017, with up to $US300 million ($386 million) in possible additional damages. However, it seems those penalties weren't enough for Uncle Sam, because today the US Department of Commerce slapped the Chinese phone maker with a ban preventing American companies from selling components to ZTE for the next seven years.