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ZTE of China to Pay $1B Fine in Deal to End U.S. Sanctions

nytimes.com

11–20 of 61 posts

Re: ZTE of China to Pay $1B Fine in Deal to End U.S. Sanctions

#13
post #5

You'd be naive to think if ZTE were to go under will be at America's best interest. U.S. semiconductor industry as a whole will be impacted as ZTE is one of the largest mobile handset and networking equipment manufacturer.

Right, because when a supplier for anything that has a massive market goes out of business, no one has ever come in to serve that market...

Agreed. Their 3% market share would be arbsorded into Xiaomi, Samsung, and Huawei within months.

Re: ZTE of China to Pay $1B Fine in Deal to End U.S. Sanctions

#14
post #5

You'd be naive to think if ZTE were to go under will be at America's best interest. U.S. semiconductor industry as a whole will be impacted as ZTE is one of the largest mobile handset and networking equipment manufacturer.

Do you know of any analysis on the projected impacts? On the one hand, ZTE buys a lot of semi components from the US, and if ZTE craters, those sales disappear. But on the other hand, if ZTE craters, then other NEMs and handset makers would presumably replace those sales. The thousands of 5G base stations that AT&T and friends are building are still going to get built whether it's ZTE or someone else supplying the co…

For the same reason it is surprising that the Chinese government would not let ZTE go under. Without ZTE, Huawei would likely be able to charge higher prices around the world. ZTE's know-how and business relationships can be sold off to other domestic entities. The employees of ZTE will find jobs elsewhere. The failure of ZTE would then set an example to other Chinese companies for being dependent on US suppliers.

If the failure of ZTE is not necessarily a loss to the Chinese government, we can infer that it is not necessarily a gain to the US government, as the gp claimed but using the logic of zero-sum.

Re: ZTE of China to Pay $1B Fine in Deal to End U.S. Sanctions

#16

[flagged]

Im not too sure what your arguing. He is doing ALL things that are good for the Republicans. Maybe your just upset he has been successful? Trump has the MOST conservative cabinet in more than a quarter-century. Do your homework and stop ranting...

Re: ZTE of China to Pay $1B Fine in Deal to End U.S. Sanctions

#17

[flagged]

I suppose one man's successful negotiation is another man's reason to launch into a digressive rant.

And I suppose one man's "successful negotiation" is another man's "fragile egomaniac taken advantage of again".

Much like his inaugural Carrier "negotiation", these things tend to fluff his ego, benefit the other party and somehow leave everyone else worse off.

Re: ZTE of China to Pay $1B Fine in Deal to End U.S. Sanctions

#19
Meanwhile, a Chinese state investment puts $500 million dollars towards an Indonesian project heavily involving Trump properties, golf courses and branding.

https://www.nationalreview.com/news/china-contributing-500-m...

Peddling influence and using government for personal profit seems par for the course in this administration.

https://www.salon.com/2018/05/16/trumps-bizarre-zte-tweets-p...

Re: ZTE of China to Pay $1B Fine in Deal to End U.S. Sanctions

#20

Meanwhile, a Chinese state investment puts $500 million dollars towards an Indonesian project heavily involving Trump properties, golf courses and branding. https://www.nationalreview.com/news/china-contributing-500-m... Peddling influence and using government for personal profit seems par for the course in this administration. https://www.salon.com/2018/05/16/trumps-bizarre-zte-tweets-p...

China knows how to play the game. They know that their investment won't stay under wraps... so I don't see how this would benefit Trump. Could the trump organization have rejected China's investment into the Indonesian state project if they wanted to stay clean? Or would that require dropping out of the entire project completely, and what would the contract violation terms have entailed if they were as major a part of that project as it seems? Would the contract violation agreement result in greater than 500M losses? There are very interesting political games afoot.
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