Six months after the Trump administration delivered a devastating blow to Huawei’s smartphone business, Chinese telecommunications giants are turning to less glamorous alternatives that could eventually compensate for the biggest contributor to revenue declines.
Among its latest customers is a fish farm in East China, which is twice the size of Central Park in New York, where the farm covers thousands of solar panels equipped with Huawei transformers to protect their fish from excessive sunlight while generating electricity .
Not only this, about 370 miles to the west in coal-rich Shanxi Province, wireless sensors and cameras deep underground monitor oxygen levels and potential mechanical defects in the pit – all supplied by tech giants. And next month, a shiny new electric vehicle that will have a LIDAR sensor will debut at China’s largest auto show.
The Chinese company, once the world’s largest smartphone maker, has witnessed a series of US sanctions that wiped out its lucrative consumer business.
To continue pressuring Huawei with the Biden administration, billionaire founder, Ren Zhengfei, directed the company to expand its list of institutional customers in the fields of transportation, manufacturing, agriculture and other industries, as Huawei is the largest supplier of inverters . The world is now dependent on increasing these sales in addition to its cloud services and solutions.
“It is unlikely that the United States will remove us from the list of banned entities at this time, we just want to work hard and continue to search for new opportunities to survive,” Raine told a mining innovation lab last month Partially sponsored by said Huawei at the opening of. Bloomberg, and viewed by Al-Arabiya.net.
Raine said the new initiative could offset the decline in the mobile business “in one form or another during this year”, although the company declined to provide specific numbers. Its consumer unit generated revenue of 256 billion yuan ($ 39 billion), more than half of the company’s total in the first six months of 2020. It was able to achieve a “marginal increase” in sales and profits last year thanks to 5G base station orders for mobile networks and strong smartphone sales in the first half.
While Huawei is exploring commercial opportunities that go beyond communications devices and smartphones, efforts have undergone a new boom after a 42% drop in phone shipments in the last three months of the year 2020, primarily one from the Trump era. The ability to obtain the most advanced semiconductor due to the order that makes its cut.
The Biden administration has stopped some suppliers who have US licenses to deal with Huawei in supplying advanced semiconductors, particularly smart phone chips, but towers, solar power plant transformers and radar sensors to the rest of the company’s business. Are not leading. Technology can be provided from Chinese suppliers, or from Europeans.
In return, the company has moved engineers from other business units to work on sensors for self-driving cars and power units for electric cars.
Although the company has denied that it plans to launch electric vehicles under its brand, Huawei has worked with several manufacturers to test autonomous driving technologies and driver-car interactions.
Huawei’s technology comes at Chinese electric car companies such as Mercedes-Benz, as well as BAIC, and the first model will be unveiled at the 2021 Shanghai Auto Show in April as partnering with Chinese electric car manufacturer Arcfox αS HBT.
On the other hand, there is another initiative called 5GtoB which involves the spread of Huawei 5G technology in areas ranging from healthcare to aircraft manufacturing.
The company helped China build the world’s largest 5G network, supplying more than half of the 720,000 base stations operating across the country.
According to rotating chairman Ken Hu, the company has signed more than 1,000 5GtoB deals in more than 20 sectors. He said that online education, entertainment and transportation are among the areas that are planned to be explored.