(Reuters) – Huawei Technologies Co Ltd is planning extensive layoffs in the United States as the Chinese telecoms equipment company grapples with its U.S. blacklisting, the Wall Street Journal reported, citing people familiar with the matter.

The layoffs are expected to affect jobs at Huawei’s U.S.-based research and development subsidiary Futurewei Technologies, which employs about 850 people in research labs across the U.S., the Journal said.

The layoffs could be in the hundreds, one person told the Journal. Huawei’s Chinese employees in the U.S. were being given an option to return home and stay with the company, another person added.

Last week, Commerce Secretary Wilbur Ross said that the U.S. government will issue licenses to companies seeking to sell goods to blacklisted Huawei where there is no threat to national security.

Huawei did not immediately respond to a request for comment.