Top cellphone tracking tool ZTE

What is ZTE, and why does the US think it's a national security threat?

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ZTE apparently couldn't continue without Qualcomm chips and Android software.

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Economy Media Television. The company told the US government that the guilty executives had received letters of reprimand and had had their bonuses reduced.

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But the US now says that was a lie—many of the employees received full bonuses, and they didn't receive letters of reprimand until early —after the US government challenged ZTE on the issue. ZTE makes heavy use of Qualcomm chips for its smartphones and other products. Even worse, the export ban included Google's suite of standard Android apps.

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While the Android operating system itself is open source, Google has maintained control over apps like Google Maps and, most importantly, the Play Store. Outside of China, it's difficult to sell an Android phone without access to Google's app store.

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Now it appears that ZTE is on the verge of going out of business altogether. ZTE says it is "actively communicating with the relevant US government departments" to negotiate a reversal of the export ban. But it's hard to imagine the Trump administration reversing course at this point. And ZTE would need to redesign many of its products from scratch to manufacture them without US-made chips or software. ZTE's demise is the latest sign of a deepening trade rift between the United States and China, with information technology being a particular flashpoint.