Nikkei: Huawei will cut phone production by more than half in 2021

    Huawei is resolved to not promote its telephone division, however it won’t be simple going – the corporate is getting ready for powerful occasions forward. Nikkei stories that the telecommunications large has notified its element suppliers that it’ll construct far fewer telephones this 12 months than it did in 2020.

    Huawei will reportedly order sufficient parts for 70-80 million for the entire 12 months. That’s a 60% drop from the 189 million models it shipped final 12 months, which was already a large lower from the 240 million telephones bought in 2019.

    The product combine shall be affected as effectively, skewing away from the excessive finish. The reason being that Huawei can’t supply parts essential to construct 5G telephones, so it must concentrate on 4G units. That does not imply no 5G telephones in 2021, however we’re already listening to about provide points for the upcoming Huawei P50.

    This might result in an excellent larger discount within the whole variety of handsets constructed – right down to 50 million, based on some suppliers. Honor does have broad entry to very important parts, so it would develop to eclipse its former mum or dad firm, however we’ll get a clearer image on the finish of the quarter.

    Earlier this month President Biden’s nominee for Commerce secretary, Gina Raimondo, mentioned she has seen “no cause” to elevate the commerce restrictions off Huawei, sustaining that the corporate poses a threat to nationwide safety.

    Supply (paywall)

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