Huawei Could Stop Selling Phones if the US Ban Continues

Huawei is in a very difficult situation in which it must decide what to do for the future to stop moving on too “muddy” terrain. Despite the ban on using Android, the brand continues to bet on using Google’s operating system in AOSP version in the hope of developing its own system soon. Meanwhile, the brand survives with “patches” like App Gallery and its Petal Search tool.

Huawei Could Stop Selling Phones if the US Ban Continues

But we are not the ones who say it, but the main market analysts also encourage the brand to make some kind of decisive move that prevents it from disappearing from the market . Kuo is moving along this line, specialized in the Apple ecosystem but also in the mobile phone market.

guerra EEUU huawei

The most recent restrictions by the US government mean that the company cannot seek help from manufacturers to develop its in-house Kirin chips or obtain SoCs from chipmakers like Qualcomm or MediaTek. Most of the industry, including contract manufacturers and camera lens suppliers, use US-sourced technology and would have to apply for a special license if they want to continue with Huawei after September 15.

MediaTek is a company that has already applied to the US government for permission to continue shipments after the mid-September deadline but Kuo believes that even if Huawei manages to obtain components for its smartphones after the expiration of the term, its competitiveness and market share will continue to suffer.

Huawei’s mobiles in danger

llamadas móviles Huawei

In the second quarter of 2020, Huawei surpassed Samsung to become the number one smartphone seller in the world, but what might look rosy could turn deep black. Different analysts indicate that in 2021, the global sales of the Chinese firm are expected to fall by up to 75%.

If you sell less, logically you would need fewer components such as cameras and processors which, as a consequence, would affect the rest of the industry. If it cuts production, the entire supply chain could suffer, forcing suppliers to cut the price of their parts next year and causing a technology slowdown.

To this day, Huawei continues to maintain the type but it seems that the only two solutions are for the US to remove the restrictions (something difficult if Trump renews the position in November ), or for Huawei to bet 100% on its own system .

If we continue to navigate between two waters, generating confusion among users, the best predictions advance that the brand will lose 30 percent of its share in the national market to its rivals: Apple, Oppo, Vivo and Xiaomi, who will benefit enormously. of the problem that Huawei suffers.

Source>MyFixGuide