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What just happened? Xiaomi will no longer be placed on a blacklist that stops US entities from investing in the Chinese company. The phone giant and the Department of Defense have come to an agreement after the former sued the US government over its designation as a "Communist Chinese military company."
In one of the final acts by the Trump administration, Xiaomi joined nine other Chinese companies on the Pentagon blacklist on January 15, just days before Joe Biden's inauguration. Firms on the list are subject to an executive order from November 2020 that prohibits Americans from trading or investing in them. It also orders Americans with holdings to sell their stakes within one year.
Xiaomi, which has repeatedly denied any association with the Chinese government or military, sued the US government over the "irreparable harm" it said would be caused by the ban. The company claimed it is "unconstitutional because it deprives Xiaomi of its liberty and property rights without due process of law," thereby violating the Fifth Amendment.
In March, District Judge Rudolph Contreras sided with Xiaomi, issuing a preliminary injunction that granted a temporary ban to the restrictions, which the US didn't appeal.
It appears that Xiaomi and the DoD have now settled their differences, having "agreed that a final order vacating the January 14, 2021 designation of Xiaomi Corporation as a CCMC [...] would be appropriate." As reported by The Verge, the two parties plan to negotiate on an order vacating agency action, with a joint proposal expected before May 20.
Earlier this month, we heard of a Xiaomi patent that reveals an under-display rotating camera for selfies and rear-facing photography.