Huawei cancels laptop launch because of U.S. ban

Huawei has cancelled its planned launch of a new laptop due to a recently imposed U.S. ban that forbids the company from buying parts from U.S. companies without a special government approval.

Huawei business consumer group CEO Richard Yu told CNBC that the company planned to launch a new MateBook product, but has now put those plans on hold -- indefinitely.

SEE ALSO: Huawei seeks to have U.S. equipment ban ended in the courts

Yu called the situation "unfortunate." He could not provide a later date for the launch, saying it depends on how long Huawei will be blacklisted by the U.S.. If Huawei stays on the U.S. "entity list" for a long time, the new MateBook might be scrapped altogether, he said.

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After being blacklisted by the U.S. in May, Huawei was cut off from purchasing parts from chipmakers Intel and Qualcomm. Given that all of Huawei's MateBook laptops released so far have been based on Intel chips, Huawei was likely unable to get the necessary parts for the new MateBook -- despite the reports that the company has stockpiled enough components to last it at least three months.

Huawei's laptop business was hurt in other ways, too; in May, Microsoft stopped selling Huawei laptops through its online store.

While Huawei doesn't sell a huge number of laptops -- the company is a far bigger player in the smartphone arena -- the cancellation of an important new product will surely hurt the company, especially given Huawei's appetite for becoming a top PC seller. The news is also bad for consumers, simply because Huawei's MateBook's laptops are really good.

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