A ZTE smart phone is pictured in this illustration taken April 17, 2018. REUTERS/Carlo Allegri/Illustration
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Chinese smartphone maker ZTE Corp's U.S. woes deepened Tuesday, as regulators proposed new rules that could cut into its sales, while a supply ban means it may not be able to use Android software in its devices, according to a source. The U.S. Commerce Department banned American firms Monday from selling parts and software to ZTE for seven years. ZTE shipped 46.4 million smartphones last year, placing it seventh among Android-based manufacturers, according to research company IHS Markit.The proposed new rules from the Federal Communications Commission, meanwhile, which are expected to be finalized this year, appear to be another prong in a U.S. effort to prevent ZTE and Huawei from gaining significant market share in the U.S.
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