ZTE's ban on buying components from U.S. companies still hasn't been lifted, but the U.S. government is giving the company a bit of a reprieve.
Today the U.S. Commerce Department said that ZTE can conduct the business needed to maintain its existing networks and equipment in the U.S. ZTE cannot conduct any new business, but it does let ZTE work with its existing partners to keep its networks and equpiment going.
ZTE will be allowed to continue business with existing partners until August 1st.
We previously heard that ZTE had reached a deal with the U.S. government that would see this ban lifted after ZTE paid a $1 billion penalty and also put $400 million in escrow in case any issues arise in the future. That agreement is still pending, according to a source speaking to Reuters.
ZTE was banned from buying components from U.S. companies in April because the company did follow an order to discipline employees after ZTE plead guilty to illegally shipping U.S. tech to Iran. ZTE ceased business operations shortly after the ban was put in place, and while President Trump has tried to get the ban lifted, it remains in place today. We'll just have to wait and see if that ban does get lifted, but at least with this temporary reprieve, ZTE can work to maintain the existing networks and equipment for the people that rely on them.
