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Huawei Expects Massive Drops in Revenue and Smartphone Shipments

Kiruti Itimu by Kiruti Itimu
June 17, 2019
in News
Reading Time: 1 min read
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huawei phones android enterprise

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Huawei has had quite the rough year. Trump signed executive order that banned American companies from using telecommunications equipment from Huawei. Google banned Huawei temporarily from using Android. Microsoft pulled Huawei laptops from their store. ARM (a British company owned by the Japanese) suspended relations with Huawei. It has not been a good few months for the company.

The China-US trade war was put a dent on Huawei’s fortunes and the company is confirming the worst. According to various publications, Huawei will have massive drops in revenue and smartphone shipments.

According to Bloomberg, Huawei is preparing for a 40%-60% decline in international smartphone shipments. This is absolutely massive since at some point, they were second in terms of smartphone shipments globally.

Apparently Huawei is also looking at options like pulling their latest overseas smartphone, the Honor 20. They may cut off shipments if the sales are poor.

They have a plan to offset the overseas decline where Huawei is planning to grab upt to half of China’s smartphone market in 2019.

Associated Press also reports of the grim revenue forecast from the company. According to Huawei’s founder, Ren Zhengfei, he likened the company to a badly damaged plane and said that the company’s revenues will be $30 billion less than the forecast over the next two years. The company was targeting $125 billion in revenue in 2019.

We will have to wait and see how Huawei will able to navigate through the tough economic environment they have been subjected to thanks to the ongoing China-US trade war.

Tags: Huawei
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Kiruti Itimu

Kiruti Itimu

Culture Editor. Covers the intersection of Tech, Social Media and Web Culture. Tech enthusiast [email protected]

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