Huawei Technologies Co. is planning extensive layoffs at its U.S. operations, according to people familiar with the matter, as the Chinese technology giant continues to struggle with its American blacklisting.
The layoffs are expected to affect workers at Huawei’s U.S.-based research and development subsidiary, Futurewei Technologies, according to these people. The unit employs about 850 people in research labs across the U.S., including in Texas, California and Washington state.
Huawei declined to comment. The exact number of layoffs couldn’t be determined, but people familiar with the matter said they were expected to be in the hundreds. Some of Huawei’s Chinese employees in the U.S. were being given the option of returning home and staying with the company, another person said.
Futurewei employees have faced restrictions communicating with colleagues in Huawei’s home offices in China following the May 16 Commerce Department decision to put Huawei on its so-called entity list, which blocked companies from supplying U.S.-sourced technology to Huawei without a license, according to these people.
An expanded version of this report appears on WSJ.com.
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