Faced with super sanctions from the United States, such as the interruption of semiconductor supply, Huawei in China eventually decided to sell its mid- to low-end smartphone brand.
According to Pengpai et al., in a statement released on the morning of the 17th, Huawei announced that it had decided to split the honor division, a mid- to low-end smartphone brand, and sell it to Zhishin New Information Technology in Shenzhen.
Huawei argued that the sale was a difficult decision to preserve the Honor brand and save its suppliers and dealers amid US sanctions.
Huawei explained that Zishin New Information Technology, which takes over Honor, is a new company founded by more than 30 honor vendors.
However, according to a separate statement released by the Honoree through an advertisement in a daily newspaper in Shenzhen, the company included the Shenzhen Sysmart City Science and Technology Development Group, a state-run company under the jurisdiction of Shenzhen.
Although the dealers were brought to the fore, the Chinese authorities appear to have come and assist Huawei in the process of selling the honor.
Huawei accounts for about 25% of the total smartphone shipments, but after Huawei sells the honor, it will no longer be able to compete with Samsung Electronics for the number one position in the global smartphone market.
Reuters quoted an anonymous source that the US government's sanctions have led Huawei to focus on high-end, high-end products and business-oriented businesses.
(Photo = Getty Image Korea)