Credit score: Robert Triggs / Android Authority
- Huawei is reportedly slicing its smartphone manufacturing by half.
- The corporate has advised suppliers that it plans to order a considerably decrease variety of smartphone elements this yr.
- Its handset shipments are anticipated to say no by greater than 60%.
The truth that Huawei’s smartphone enterprise isn’t doing so nicely shouldn’t be new data. Ongoing US sanctions have crippled Huawei’s cellphone gross sales, and it appears like 2021 goes to be one of many worst years for the corporate in the case of transport new handsets.
In line with Nikkei Asia, Huawei has knowledgeable suppliers that it plans to order sufficient elements for 70 to 80 million smartphones this yr. That’s a drop of greater than 60% in comparison with the 189 million telephones the corporate shipped in 2020.
Some suppliers count on Huawei to additional minimize that quantity and order sufficient elements sufficient for 50 million handsets.
Huawei’s rising US troubles
Huawei has seen a gradual decline in smartphone gross sales because it misplaced the flexibility so as to add Google companies to its telephones. The US authorities additionally served a extreme blow to the model by banning it from importing US-made tech from non-US firms.
In the meantime, Huawei’s CEO Ren Zhengfei wants the US to have an open coverage concerning Chinese language firms. He urged the Biden administration to rethink the ban, however it doesn’t look like reduction is coming anytime quickly.
At the moment, Huawei is getting ready to launch its Mate X2 foldable phone next week. Its prospects don’t look very promising due to the shortage of Google companies, however it may reach China on account of it being Huawei’s stronghold.