August 2, 2021 We Serve Information in a Simple Way

Why Huawei Lost in the Fight Against the United States

History knows a lot of examples when a popular and even iconic smartphone manufacturer gave up its positions until it was forced, if not to leave the market altogether, then at least to get lost among the rest. Nokia, Blackberry, LG, Sony, Siemens – all of them were in due time as much in demand as they are uninteresting today. Another thing is that they all rolled down, so to speak, for natural reasons. But Huawei has every chance of being blown away by external influences, which the Chinese company most likely cannot cope with.

Looking at how the United States is pressing Huawei, I increasingly begin to doubt that the Chinese company will be able to get out of the hole into which it was pushed. Now you might still think that the pit is not so deep, but, apparently, the soil under Huawei turned out to be loose and quick-moving, which is why it simply did not have a chance to stay on the surface. Even a cursory study of the current situation and comparison of facts will be enough to understand that Huawei has practically no chances to withstand the United States.

What Will Happen to Huawei Smartphones

To begin with, Huawei still doesn’t have access to Google services. This is not a new and far from the strongest argument against the Chinese company, but, whatever one may say, its flagships have ceased to be popular precisely because of this. After all, if buyers of budget devices can still give up on the lack of support for normal contactless payment services and the need to install the necessary applications in the form of APK files, then those who are ready to fork out for a top device are unlikely to endure such inconveniences.

Next up is Harmony OS. Despite the fact that Huawei has already presented a version of its operating system for smartphones – albeit in words – there is somehow no interest in it among consumers. If at first many were very encouraged by the prospect of the imminent launch of the Huawei proprietary platform, over time it became clear that the launch, if it did take place, would not be very soon. And when it does take place, then you shouldn’t rely on the convenience to which we are accustomed to Android. After all, the developers are unlikely to dump them on a platform with incomprehensible prospects so immediately, not to mention the fact that many will simply be prohibited from doing this.

Huawei Smartphone Processors

Well, and the third reason for the likely collapse of Huawei is the limitation on the production of processors. Since the processors for the Chinese company are manufactured by the Taiwanese TSMC plant, the United States was able to convince him that they would impose sanctions on him if he did not stop working with Huawei. As a result, TSMC was forced to stop the production of the latest generation Kirin processors, which should form the hardware basis of the flagship Huawei Mate 40, without fulfilling its contractual obligations. Therefore, according to analysts, Huawei will not have enough resources to release not only the planned volume of flagship devices for next year but also budget ones, which also work on the basis of Kirin chips.

The production cut will be tangible. If Huawei’s plans were to put 200 million smartphones on the market, then due to the limited production of Kirin processors, the company will be able to deliver a maximum of 50 million, that is, four times less. This will seriously affect not only Huawei but also the market as a whole, where the next redistribution of shares will take place. After all, it is obvious that the resulting void will be filled by someone, and then all Huawei will have to do is simply maintain the position of an external observer, unable to influence the situation in the slightest degree.

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