Huawei Smart Car business to welcome profit this year: Huawei CEO

During the 2024 China Electric Vehicles 100 Forum event, the CEO of Huawei Consumer Business Group – Yu Chengdong delivered a keynote and said that this year, the Smart Car business will turn a profit and have an excellent growth rate.

Huawei CEO describes that 2023 has been a terrible year for the firm’s smart car solutions line. The company faced a loss of 6 billion yuan last year. Despite advanced car solutions, many partners dealt with a decline in the business evolution.

Although the Huawei Smart Car business is ready to welcome profit this year. Within the first three months of 2024, the smart car solution line as well as Huawei’s automobile partners have secured new achievements in the Chinese EV market.

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“Last year, Mr. Ren (Ren Zhengfei) made me lose 6 billion, but this year it is expected to turn a profit. Smart Car has turned a profit in the first three months, and our car BU is close to the edge of turning a profit. I predict that starting from April onwards, we will be able to turn a profit and achieve positive development.”

Yu Chengdong further mentioned that Huawei will develop a “hardcore technology” for smart car solutions that can boost the advantages of China’s EV industry.

Reasons behind the Luxeed S7 delay:

Huawei CEO explains that Luxeed S7 launch delay is mainly due to the chip shortage and factory relocation which has pushed off the overall mass production. However, things seem to turn back to normal in the next month.

Adding more, Yu says that Huawei doesn’t prefer to make more smart car selections due to a lack of resources that can only build four model rooms. Yet, he believes that the company will successfully release the transformation of smart cars via its solutions and technologies.

“Due to various reasons, our costs are still on the high side. We are wholeheartedly helping Chinese car companies achieve business results in the transformation and upgrading of cars in the era of intelligence, electrification, and connectivity.”

(Source)