US imposed sanctions to Huawei because USA has termed “Huawei Technologies Co., Ltd.” a national security risk and has proceeded to cease supply business to “HiSilicon”, a company wholly owned by Huawei Technologies Co., Ltd via TSMC (Taiwan Semiconductor Manufacturing Company Limited). This made it impossible for Huawei’s HiSilicon chip division to continue producing processors for its products, including phones and surveillance products.

Given such a situation, Hi Sharp Electronics Co., Ltd. has been working on new solutions to replace “HiSilicon” that may launch in the 1st quarter of 2021. Estimation can also be made that the cost of the Non-Hisilicon Solution could be higher than the current volume based products.