Huawei is in talks to sell part of its Honor smartphone unit

honor 30 pro plus review rear in hand

  • Huawei is reportedly in talks to sell off parts of its Honor unit.
  • It’s believed that Digital China, TCL, and Xiaomi are interested in the deal.

US sanctions against Huawei mean that the company’s smartphone business has suffered in a big way. Between its crippled in-house chipset division and the lack of Google support, it’s becoming increasingly tough for the firm to keep producing phones.

These troubles extend to its Honor sub-brand too, but Reuters now reports that Huawei is in talks to sell off parts of the Honor business in a deal potentially worth up to 25 billion yuan (~$3.7 billion).

The report, citing “people with knowledge of the matter,” alleges that Honor’s brand, research and development infrastructure, and associated supply chain management business could be sold under the deal. However, the newswire’s sources caution that this hasn’t been finalized yet.

It’s believed that Huawei will focus on higher-end phones due to the US sanctions. Honor has traditionally been focused on young and/or budget-conscious consumers.

Who would do Huawei the honor, then?

Reuters reports that Honor phone distributor Digital China is considered a front-runner for the deal. However, the newswire adds that TCL and Xiaomi are also in the running.

Selling part of Honor to another business theoretically means that US sanctions wouldn’t apply to Honor-branded devices produced as part of this arrangement. It isn’t immediately clear what this would mean for Honor devices released prior to a sale though.

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Furthermore, there’s no guarantee that the US government wouldn’t simply play whack-a-mole and apply sanctions to any company that acquires part of Honor. Huawei and Honor are intertwined in several ways, particularly when it comes to components used and research and development. So extricating large chunks of the sub-brand from its parent company will likely be a

Exclusive: Huawei in talks to sell parts of its Honor smartphone business

By Julie Zhu

HONG KONG (Reuters) – Huawei Technologies Co Ltd is in talks with Digital China Group Co Ltd <000034.SZ> and other suitors to sell parts of its Honor smartphone unit in a deal that could fetch up to 25 billion yuan ($3.7 billion), people with knowledge of the matter said.

Embattled Huawei is resetting its priorities in the face of U.S. sanctions and will focus on its higher-end Huawei phones rather than the Honor brand which is aimed at young people and the budget conscious, they said.

The assets to be sold have yet to be finalised but could include Honor’s brand, research & development capabilities and related supply chain management business, two of the people said.

The deal may be an all-cash sale and could end up smaller, worth somewhere between 15 billion yuan and 25 billion yuan, one of the people said.

Digital China, the main distributor for Honor phones, has emerged as the frontrunner but other prospective buyers include Chinese electronics maker TCL and rival smartphone maker Xiaomi Corp <1810.HK>, the people said.

The sources declined to be identified as the talks were confidential.

Huawei and TCL declined to comment. Digital China and Xiaomi did not respond to requests for comment.

The Honor brand was established by Huawei in 2013 but the business mostly operates independently from its parent. It competes with Xiaomi, Oppo and Vivo in China’s highly competitive budget phone market and its phones are also sold in Southeast Asia and Europe.

Kuo Ming-chi, an analyst at TF International Securities, has said that any sale by Huawei of the Honor smartphone business would be a win-win situation for the Honor brand, its suppliers and China’s electronics industry.

“If Honor is independent from Huawei, its purchase of components will no longer be subject to

Belgian telcos leave Huawei out in the cold for 5G rollouts

Orange and Proximus have both chosen to use Nokia and Ericsson equipment for their respective 5G rollouts in Belgium.

The move will see both Orange and Proximus drop Huawei gear, which had previously been used as part of the telcos’ 4G networks.

The two telcos will use Nokia equipment to roll out 5G and progressively renew existing 2G/3G/4G mobile radio networks. Specifically, Nokia will build one radio access network (RAN) and one 5G network each for the telcos. 

Meanwhile, Ericsson will be responsible for building out the cores of the telcos’ 5G networks.

“The decision to collaborate with Ericsson is an important step in the execution of our network strategy. Proximus is committed to building the best gigabit network for Belgium, and the renewal of our mobile network equipment is a key element in this strategy for the coming years,” Proximus network business chief Geert Standaert said.

Telenet, the third major Belgian telco, is the last remaining telco that has yet to make a decision on which supplier it will use to build its 5G networks. 

Orange and Proximus’ decisions to not select Huawei gear continues the trend of the Chinese equipment provider being blocked out from 5G builds.

Last month, BT, the UK’s largest telco, picked Nokia to build more of its 5G networks across the country as part of plans to move away from its partnership with the Chinese telecommunications giant.

In Australia, Huawei has been banned from supplying 5G equipment for any 5G rollouts.

Meanwhile, all of Canada’s major telcos have gone elsewhere for their 5G rollouts and, although not officially banned, Huawei has not made any inroads in New Zealand after GCSB prevented Spark from using Huawei kit in November 2018.

Shortly after the announcement that Nokia received the nod in Belgium, the Swedish network giant

Huawei Mate 40 series will be revealed October 22

Huawei Mate 30 Pro Macro rear camera housing
  • The Huawei Mate 40 series, including the Huawei Mate 40 Pro, will be officially revealed on October 22.
  • The reveal was made by Huawei’s Consumer Business CEO Richard Yu via Weibo.
  • Unfortunately, the Mate 40 Pro won’t have Google apps and could be the last of its kind.

Update: October 10, 2020: Huawei Consumer Business CEO Richard Yu has confirmed, via Weibo (h/t GSMArena), that the Huawei Mate 40 series will be revealed on October 22. The reveal will be made starting at 8 AM Eastern time (5 AM Pacific time).


Original story: October 9, 2020: Things have been relatively quiet surrounding the Huawei Mate 40 and Huawei Mate 40 Pro (for obvious reasons). However, we still expect the phones to launch at some point this month, and a leaker claims to know exactly when that will happen.

According to leaker @rodent950 (who has had reliable info in the past), Huawei could launch the Mate 40 series globally on October 22. In China, pre-sales could start that same day for an in-store date of October 30.

Unfortunately, the tipster didn’t know if October 30 would also be the date you could buy a Mate 40 device throughout the rest of the world.

For the record, Android Authority hasn’t received any word from Huawei about any launch events, so we can’t affirm or deny this leaker’s claims.

Huawei Mate 40 Pro: The last of its kind

While we are excited to see what the Mate 40 Pro has to offer, we are certain that it won’t have any Google apps on board. We also know that this will be the last smartphone from Huawei to feature a Kirin chipset, as the Huawei ban now blocks the company from even producing its processors.

Related: We asked, you told us: You think

U.S. Sanctions Turn up Heat but Huawei Serving European 5G Clients, Executive Says | Top News

ZURICH (Reuters) – Chinese telecom giant Huawei is finding it harder to counter U.S. sanctions designed to choke off its access to semiconductors but can continue to serve European 5G network clients, a senior European executive told an Austrian newspaper.

The world’s biggest maker of mobile telecommunications equipment and smartphones was still “looking for a solution” to help millions of Huawei phone users after Google

was banned from providing technical support for new Huawei phone models using mobile operating system Android.

“Since the U.S. sanctions last year, U.S. manufacturers of semiconductors are no longer allowed to supply us so our previous U.S. partners can no longer work with us. Since August it has become even more difficult,” Abraham Liu, Huwaei’s vice-president for Europe, told the Kurier paper.

He said Washington was “blackmailing” chipmakers into shunning ties with Huawei, which denies U.S. allegations that Huawei equipment could be used by Beijing for spying.

“Nevertheless, we are confident that we can continue to serve our European customers in the 5G sector because of many preparations and upfront investments with the most advanced technology,” Liu was quoted as saying without elaborating.

“As for private customers, cell phone owners, we see great difficulties. There are 90 million European Huawei users. Google is no longer allowed to work with Huawei, so Google will no longer publish updates for Huawei smartphones with the Android operating system,” he said. “We are still looking for a solution.”

Amid U.S. pressure to exclude the Chinese firm from supplying key telecoms equipment, Orange

and Proximus last week picked Nokia

to help build 5G networks in Belgium.

EU members have been stepping up scrutiny of so-called high-risk vendors. This subjects Huawei’s governance and technology to critical examination and is likely to lead other European operators to strip it from their networks,