Huawei has 600 million users but…


All Huawei Posts:

Reality bites. Hard: Huawei phones in high risk of becoming useless in UK…

Huawei and Google’s Android: Is it the end?

Commentary: 2020 is shaping up to be a rough year for Huawei – CNA

Huawei options as U.S. sanctions cut its supply of smartphone chips

Huawei Confirms ‘Big Loss’ For Smartphone Users, Blames Trump Ban…

Huawei data centre built to spy on PNG

Huawei is running out of chips…

Could Huawei founder Ren Zhengfei give up on 5G to keep the company alive? | South China Morning Post

Could Huawei founder Ren Zhengfei give up on 5G to keep the company alive? | South China Morning Post

Huawei begins counterattack, files patent infringement against Verizon, HP and Cisco – Gizmochina

Huawei’s 5G network brings ‘Trojan horse’ risks to Taiwan and other countries…

John C Hulsman: Anglosphere unites around anti-Chinese position on Huawei | Arab News

UK rejects Huawei and turns to Japan for 5G…

Whatsapp message from a China-lover: Boycott Apple 12 to show loyalty to China (because the USA banned Huawei) 

China hacks: Huawei, Nortel, Cisco, Apple, Google and India…

Why Huawei’s days in the UK could be numbered – BBC News

Can China’s fledgling semiconductor industry rescue Huawei from tighter US tech sanctions? | South China Morning Post

Huawei loses out in Singapore…

Former Google CEO reveals the real reason why the U.S. attacks Huawei – PhoneArena

Graham Allison: Could Donald Trump’s war against Huawei trigger a real war with China?

Osmond Ng: Why did the US Government allow US companies to work with Huawei again on standards? Is this acknowledging Huawei’s strength and influence globally?

U.S. companies can work with Huawei on 5G, other standards: Commerce Department

What does the fate of Alstom tell us about the Huawei case? – CGTN

US Attorney General William Barr, on 5G, China, Huawei and China’s emerging technological dominance…

Huawei and the USA…

Steve Bannon’s movie: Claws of the Red Dragon. (In his view, Huawei is the greatest security threat to the USA.)



Aug 23, 2020,12:58pm EDT

Huawei Stunned By Trump Strike—Here’s What That Means For 600 Million Users

Zak Doffman
I write about security and surveillance.

“We have the advantage that our ecosystem was not built from nothing,” Huawei exec Anson Zhang told me just a few days before Trump ambushed the company with his most devastating sanctions yet. “We have 600 million end users globally on this ecosystem,” the company’s U.K. consumer boss explained. “We are committed to our investments, our ecosystem,” Zhang said, “this strategy will work.” But then Trump brutally severed the company’s access to the chipsets powering its devices and suddenly that was far from certain.

Six days later and we have leaked news about the Mate 40, Huawei’s next flagship which is due to launch in a few weeks, previewed here by my colleague David Phelan. Four new models that will be the last to carry Huawei’s custom Kirin chipset. The company has even hinted that there may not be enough chips to satisfy all demand for the Mate 40. It’s likely that the pick of the devices will be restricted to the burgeoning China market where demand will be sky-high. Europe may only get the midrange models.

This has been a huge ten days in the Huawei versus Trump docudrama. First there was the admission from the company’s consumer boss that the Kirin stockpile would only last through the Mate 40. Then we had the expiration of Huawei’s Temporary General License (TGL) from the Commerce Department to allow pre-blacklist devices to be updated—details here. And just as that news was sinking in, the Trump administration announced that the company’s Kirin Plan B was a non-starter. No obvious Plan C at the time of writing.

In reality, the problem for Huawei is even worse. Its consumer strategy is built around its smartphones. This is the device that links you with your PCs and smart TVs and wearables and tablets and car OS. No smartphone, no ecosystem. When Zhang and I talked, the issue was whether the Chinese giant would be able to convince enough non-Chinese users to switch from Google Android to its HMS alternative. Now the challenge is much, much more stark—what devices will HMS even be running on in the future.

In the last few years, Huawei’s primary driver of profits has shifted from network equipment to consumer devices. There was always the risk that fickle consumers would churn more readily than generational telecoms network investments. That risk is now set to bite as Huawei finds out how much brand loyalty there really is, as Samsung and Xiaomi and Oppo and Vivo push out their next devices with no restrictions or limitations. Huawei warned that 2020 will be difficult, that “survival will be our first priority,” and that was before any of the real problems hit. Now, as Huawei faces some of the most critical weeks in its history, those words are looking awfully prophetic.



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