Huawei expects major drop in phone sales due to US ban
Huawei’s smartphone shipments could fall by 20 percent this year
When you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
Chinese telecoms giantHuaweiis projecting that its smartphone shipments will fall by around 20 percent this year, in its first year-on-year decline, as a result of US sanctions on its business.
The company shared its internal projections for 2020 to a limited number of managers from its consumer electronics division back in January, according toThe Information.
Following almost a decade of rapid growth, the recent decline in Huawei’s smartphone shipments comes from expected weak sales in Europe and other markets outside China.
People familiar with the matter have said thatUS sanctions, which block the Chinese firm from usingGoogle Mobile Services, helped contribute to the declining sales.
Smartphone shipments
Last year, Huawei was able to grow its smartphone shipments to over 240m units despite the pressure from US sanctions placed on the company back in May. This led the company tosurpass Applein smartphone sales for the first time, making it the world’s second-largest smartphone maker afterSamsung.
As Huawei was able to continue selling itsP30 Proand other smartphones that were released before the US ban, its overseas smartphone sales remained high. However, this year the company expects its shipments to fall to somewhere around 190m to 200m smartphones as a result of the ban.
US government sanctions that restrict the company’s access to American technology, such asGoogle’s software, are now beginning to take a toll on Huawei’s international growth. To make matters worse, thecoronavirus outbreakhas disrupted the supply chain in China and the company has been forced to close or limit the operations of its 4,985 stores across the country.
Are you a pro? Subscribe to our newsletter
Sign up to the TechRadar Pro newsletter to get all the top news, opinion, features and guidance your business needs to succeed!
Dealing with US sanctions and the disruption caused by the coronavirus will likely prove quite difficult for Huawei and the company could end up having quite a difficult year ahead of it.
ViaThe Information
After working with the TechRadar Pro team for the last several years, Anthony is now the security and networking editor at Tom’s Guide where he covers everything from data breaches and ransomware gangs to the best way to cover your whole home or business with Wi-Fi. When not writing, you can find him tinkering with PCs and game consoles, managing cables and upgrading his smart home.
TP-Link Archer BE3600 Wi-Fi 7 Router review
Ulefone Armor Pad 3 Pro rugged tablet review
Quordle today – hints and answers for Saturday, November 9 (game #1020)
