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Huawei plots China’s smartphone revival


Aug 4, 2023

Upgraded mobile operating system

To strengthen its smartphone business once more, Huawei on Friday unveiled HarmonyOS 4, the newest version of its mobile operating system, and an improved AI assistant.

The Shenzhen-based telecom company is attempting to recover from U.S. sanctions that cut it off from crucial technology like semiconductors, such as 5G chips and software, beginning in 2019. The action rendered its once-dominant position in the smartphone market unviable, crippling it.

High-end focus aims to challenge Apple

The focus of Huawei’s strategy has changed from competing in all markets for smartphones to focusing on the luxury segment.

According to IDC, Huawei’s market share increased to 18.4% in the second quarter from 6.7% in the same period in 2022 in the category of Chinese phones costing more than $600.

Given that Chinese consumers are typically prepared to pay more for smartphones, Huawei’s high-end concentration makes sense. The Mate X3 foldable, coupled with the company’s flagship P60, helped the company increase its share in the premium segment this year.

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