BENGALURU: InfosysNSE -1.09 % has begun to review its contracts with Huawei to ensure it is not caught short by the US government clamping down on the technology Chinese giant, a move that experts say will likely be replicated by other Indian IT companies.
Last month, the US government imposed sanctions on Huawei placing it on its ‘Entity List’ which restricts the Chinese company’s ability to buy and sell hardware, software and services to and from American hi-tech suppliers. The compan ..
Infosys does a large chunk of work with Huawei and export controls apply to all individuals and companies that deal with US-origin technology, irrespective of their citizenship, experts said.
Infosys, which has a strategic alliance with Huawei, has brought in help to ensure it does not fall foul of US rules.
“The company has brought in consultants. This is not an easy thing to determine, and it does not mean they have to immediately stop working, but they have to determine where licences may be needed,” a source with knowledge of Infosys’ moves, said.
Infosys, Wipro and Cognizant declined to offer comment on their contracts with Huawei and any impact they might face. The US Securities and Exchange Commission (SEC) declined to comment on its role in potentially regulating USlisted companies’ work with Huawei. Huawei had not responded to a request seeking comment till the time of going to press.
Last November, the US SEC had queried Infosys’ alliance with Huawei, which offers its products in Syria and Sudan, to determine whether the co ..
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