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US may drop export ban against ZTE for $1.3 billion in fines, management change

Following a devastating export ban earlier this year against ZTE, the company has been in a really tough spot. As the saga continues, new developments give the company new hope, and now, it seems there could be a way to get these sanctions dropped entirely.

In case you’re out of the loop, ZTE was handed an export ban recently which prevented it from using any products that originated in the United States. Obviously, that’s a huge blow considering it includes the Qualcomm chipsets powering the company’s numerous Android smartphones. Now, after announcing he would try to work out a deal that would save the company, President Donald Trump has revealed what it would take to get these sanctions dropped.

On Twitter over the weekend, Trump announced that ZTE would have to hand over $1.3 billion in fines along with a complete overhaul of its management and board. He also says that ZTE “must purchase” US parts in the tweet, but that’s pretty much a given considering the inability to purchase parts from the US is what is putting the company out of business in the first place.

It’s still unclear what the outcome of all this will be, but it’s looking more and more like ZTE will come out the other side changed, but still in business.

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