Huawei founder Ren Zhengfei posted a farewell speech to Honor employees after the sale of the more affordable mobile phone division. With a strong emotional appeal, the message accuses the United States of exerting “tremendous pressure” on the Chinese giant, and encourages Honor workers to strive to offer competition capable of surpassing Huawei.
During the Donald Trump administration, Huawei suffered several sanctions from the United States. As a defense strategy, the sub-brand was sold to a consortium of about 40 Chinese companies, in order to preserve the jobs of “millions” of Honor employees – the transaction was confirmed last week.
“Wave after wave of severe U.S. sanctions against Huawei has led us to finally understand that certain American politicians want to kill us, not just correct us,” said Zhengfei in his speech.
Data from the consultancy Canalys show that Honor’s smartphones represented 26% of the 51.7 million devices sold by Huawei between July and September this year. With the split, Ren encouraged Honor employees to aim to overcome Huawei. “We are your competitors in the future”, he provoked.
Huawei’s future in the smartphone industry
The move raises more questions about Huawei’s permanence in the smartphone market – it remains unclear what President-elect Joe Biden’s policy will be regarding the trade dispute with China.
The expectation is that the company will focus only on premium devices starting next year.
According to the Reuters, industry sources say rival companies such as Xiaomi and Oppo would be increasing production to take up space left by Huawei. Forecasts are that the company’s share in the sector will drop to 4% in 2021 (a figure that may be even lower now, without Honor).
With information: Reuters