ZTE and U.S. sign deal to lift ban
Since the month of April, Chinese smartphone manufacturer ZTE has been on a bit of a roller coaster in relation to its smartphone business.
What started as a ban which prevented U.S.-based companies from selling parts to ZTE eventually led to the smartphone maker ceasing its main business operations. Things started to look a bit brighter for the company as President Trump said he was working with the Chinese government to get ZTE back up and running and, indeed, in June it was reported that ZTE had worked out the beginning of a deal with the U.S. government, and a signed agreement got the company closer to getting back up and running.
A little after that, the U.S. Senate voted to reinstate the sales ban on ZTE, citing national security as their reasoning. While ZTE has worked behind-the-scenes to get the ban lifted, a recent reprieve for the company was only meant to be temporary. But it looks like ZTE has finally worked out the kinks with the U.S. government, and the ban is being lifted.
Reuters on Wednesday reported that the United States Commerce Department has worked out an agreement with ZTE which will see the company deposit $400 million into escrow. That payment into escrow is expected to be completed within a day. Once it is complete, as part of the total $1.4 billion in fines against the smartphone manufacturer, ZTE will be able to once again conduct business with U.S.-based companies.
So ZTE will be able to get things up and running again very soon.