Ken Griffin Believes Ban On Huawei Will Threaten American Tech Leadership

Matty-Sways

Ken Griffin, founder of Citadel, believes the U.S. ban on business with Huawei will threaten their position in tech.

Recently, the Trump administration has initiated a ban that prevents American companies from conducting business with Huawei. The rationale for the ban is that tech products from Huawei provide easy access for the Chinese government to spy on the U.S.

However, Huawei is playing a prominent role in helping other tech companies and countries establish 5G networks. The U.S. has tried to rally its allies to implement the same ban.

The United Kingdom, a major ally of the U.S., did not side with the U.S. and is working with Huawei to establish a 5G network. The U.K. has established some parameters, only allowing 35% of the future 5G network to be built by Huawei.

Griffin predicts that eventually there will be two technological infrastructures, with the divide being between the U.S. and China. More specifically, countries that ally with China will have technological structures that are similar and those that ally with the U.S. will build similar technological infrastructures as well.

Additionally, Griffin worries that the U.S. may not be a leading tech provider if it cuts itself off from Huawei, especially given that China is continuously growing its engineering workforce.

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