Disclaimer: We may earn a commission if you make any purchase by clicking our links. Please see our detailed guide here.

Follow us on:

Google News

ZTE Corp Chairman Apologized After the Firm Agreed to Pay $1 Billion Fine to the US

Moupiya Dutta
Moupiya Dutta
She finds it interesting to learn and analyze society. she keeps herself updated, emphasizing technology, social media, and science. She loves to pen down her thoughts, interested in music, art, and exploration around the globe.

Join the Opinion Leaders Network

Join the Techgenyz Opinion Leaders Network today and become part of a vibrant community of change-makers. Together, we can create a brighter future by shaping opinions, driving conversations, and transforming ideas into reality.

On Friday, June 8, the Chairman of ZTE Corp apologized to its staff and customers after the technology firm agreed to pay a $1 billion fine to the United States to conclude a ban that has affected the key business negatively, including smartphones.

The ban had prevented the company from buying the U.S. components it relies on to make phones and other devices, and in addition, ZTE agreed to overhaul its leadership in exchange for lifting the ban with a fine of $1 billion. Reuters reported that Chairman Yin Yimin confirmed that the company would get back to business as soon as possible and hold those responsible for the breach.

Yin wrote that the incident was caused by some leaders and employers of ZTE in a mistake, “this issue reflects problems that exist with our firm’s compliance culture and at management level” He added that the US ban had caused a huge loss to its business and has been forced to pay a humongous price.

ZTE pleaded guilty to plotting to elude U.S. embargoes by buying U.S. components, incorporating them into ZTE equipment, and illegally shipping them to Iran. The latest was in April as ZTE thought to hide some executives who were responsible for the original breach.

The ban became the key focus in crunch trade talks between Washington and Beijing. According to the deal, ZTE will change its board and management within the course of 30 days and pay the $1 billion fine with an additional $400 million in a bond. The ten-year ban that is also included in the deal is kept suspended until any other future violation.


Partner With Us

Digital advertising offers a way for your business to reach out and make much-needed connections with your audience in a meaningful way. Advertising on Techgenyz will help you build brand awareness, increase website traffic, generate qualified leads, and grow your business.

Power Your Business

Solutions you need to super charge your business and drive growth

More from this topic