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Huawei troubles have inspired Xiaomi, Oppo, Vivo and Realme
23.eleven.2021 [19:08],
Arthur Khamzin

Oppo, Xiaomi and other Chinese smartphone makers are hoping to win back some of the market from Huawei thanks to US sanctions. Writes about it Reuters. Companies are looking to take advantage of a weakened competitor’s position due to supply issues.

TASS

In 2021, the US authorities included Huawei in the “black list”, with the defendants of which American manufacturers are prohibited from doing business. Because of this, the company lost its suppliers of chips and software. This led to a slowdown in economic growth of Huawei. Sanctions intensified this year, and the company even had to sell its subsidiary Honor to get it out of US sanctions.

Derek Wang, head of production at Realme, pointed out that amid Huawei’s troubles, rivals Oppo, Xiaomi and Vivo have started to raise their revenue forecasts for next year. He stated that they are eager to take advantage of Huawei’s problems on the international stage.

Wang explained that Realme is also looking to double shipments of its own smartphones, but according to him, this is not related to Huawei. The company wants to supply low-cost devices to Southeast Asia and India, and further develop markets in China and Europe.

Industry observers also saw an increase in orders from other suppliers. For example, Xiaomi plans to produce up to 10 million smartphones between the fourth quarter of 2021 and the first quarter of 2021. This is 50% higher than orders before the August sanctions against Huawei. Orders of the latter during this period fell by 55% – to 42 million devices.

Analysts believe the sale of Honor could ward off a rival invasion, provided the company can now partner with US firms. How exactly this will affect the market is not specified.

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