Huawei reduces 70% of its total workforce in Futurewei, its US research and development company. Huawei has for the reason stated “business restriction” as a result of US DoC, which is placed them on the entity list of limited access companies to purchase US technology components and services.
Under the entity list restrictions, Futurewei could not transfer to Huawei China any technology developments made in the United States.
Futurewei hired 850 people in the US before cutting. It has offices in the Silicon Valley, Seattle, Dallas and Chicago. He had a budget of $ 510 million a year.
Since its inception in the United States, Futurewei has filed 2,100 patents. Chinese direct investment in the US fell to the lowest level of nine years from $ 5.4 billion in 2018, which is 88% lower than the lowest level of $ 46.5 billion in 2016, according to analyst Rhodium Group.