Jim Cramer warns that the arrest of a top Huawei executive automatically makes U. S. technology companies with business in China less valuable.
U. S.-based technology companies with business in China automatically lost value on news of the arrest of Huawei CFO Meng Wanzhou, who has reportedly been accused of violating U. S. sanctions, CNBC’s Jim Cramer said Thursday.
The arrest, which occurred in Canada on Saturday and was announced Wednesday, “means any tech company that does a huge amount of business in China, including Apple or Micron or Intel or Skyworks or Qualcomm or Broadcom, is worth a little less today than it was yesterday,” Cramer, host of “Mad Money,” told investors.
Tech colossus Huawei, the world’s second largest phone seller and one of China’s most important companies, has been a cornerstone both of Chinese technological pride and of spying concerns from U. S. government officials. A rival of Samsung and Apple in the smartphone arena, Huawei counts Qualcomm and Intel among its suppliers.
