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Huawei will not sell its smartphone business nor it’ll stop producing new ones: Chairman

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During the Huawei Connect Event 2021, the Rotating Chairman Xu Zhijun and Huawei China Region President Lu Yon confront media on a specific question “about the sell of smartphone business due to certain issues”

Xu said that Huawei will not sell its smartphone business nor it’ll stop making new smartphones. He further mentioned that Huawei’s phone market and phones are indeed facing deep challenges and 5G Huawei phones are difficult to purchase at the moment.

Even after these difficulties, Huawei will not give up or sell on its phone business and will work hard to bring back the prowess of consumer business on track in due course.

“Wait for a few years because at least you have to have a dream and an aim that will keep you motivated” expressed Xu.

Background Story:

In May 2019, Huawei was added to the U.S. Entity List, the list is officially designed to counter Huawei’s surge in both network and smartphone business. Thereafter, Huawei was unable to purchase the required components and software services to build new devices in both the ICT and consumer sectors.

Aside from other crucial components, Huawei felt an immense shortage of chipset and Google proprietary software services. Even after these challenges, Huawei established its supply chain with different global suppliers. However, the U.S. expanded the reach of Entity List in 2020 and barred the company from printing new chipsets via chip makers such as TSMC.

This forced Huawei to drop manufacturing of its flagship chipset – Kirin by the end of 2020. Thereafter, Huawei consuming the chip stack that it has gather before the last round of sanctions.

During the launch of HarmonyOS on June 2, Huawei officially announced new devices with Qualcomm chipsets. Later on, the Huawei P50 Pro flagship was also unveiled with Qualcomm processors. Amid all of the issues, Huawei’s new phones also cannot access the 5G network, which has become a major lack of selling point for its smartphone despite all of the power-packed specifications.

Still, the company has decided to move further on this road and we’ll wait to see what Huawei can usher in the time of such difficulties.

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