Huawei to resume production of 5G smartphones as early as this year despite US sanctions - Reuters

Reuters writes that the Chinese company Huawei, which was deprived of the opportunity to buy 5G processors for its smartphones because of U.S. sanctions, has found a solution to this problem and this year will begin production of 5G-devices.

Here's What We Know

This was told to Reuters by three third-party research firms involved in the Chinese smartphone sector. They, in turn, cite industry sources, including Huawei's suppliers, but on condition of anonymity due to confidentiality agreements with clients.

So, if these sources are to be believed, Huawei will be buying chips domestically, utilising its own advances in semiconductor design tools as well as chip manufacturing from Semiconductor Manufacturing International Co (SMIC). These are likely to be processors made using the 7nm process technology.

The sanctions were imposed in 2019, and since then, Huawei has continued to lose ground at a rapid pace. The company, which used to fight for supremacy with Apple and Samsung for the title of the world's largest mobile phone manufacturer, is now in survival mode. So a return to the 5G smartphone market would help it to consolidate its position, regain demand and increase sales.

But it looks like it's too early to talk about large production volumes. One research firm predicts shipments will be between 2 million and 4 million units. A second firm estimates that shipments could reach 10 million units.

However, Huawei is still cut off from Google's Android operating system and Google services.

Source: Reuters