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To make up for lost smartphone sales, Huawei turned to pig farming



Huawei should be the world’s top smartphone manufacturer last year. The company has developed a plan to occupy the top spot by 2021. Although it lost contact with US suppliers (including Google) in 2019, by early 2020, the company has surpassed Samsung and Apple to become the world’s largest smart mobile phone manufacturer. But the other shoe fell off. Just one day after the U.S. Department of Commerce put Huawei on the list of entities and forced Chinese companies to stop doing business with Google, the U.S. changed its export rules. Suddenly, foundries using American-sourced technology were no longer allowed to ship to Huawei without permission.

Huawei turns to other businesses to make up for lost smartphone sales

It has become impossible to obtain the most cutting-edge chipsets for its mobile phones and 5G base stations. Ironically, even Huawei-designed chips cannot be used. The company̵
7;s smartphone sales plummeted 42% in the fourth quarter of the ban. Due to the suspected relationship with the Chinese Communist government, the United States considers Huawei, ZTE and other Chinese companies to be national security threats.

November, Huawei sold the Honor sub-brand so that the latter would not get chips and US components due to its association with Huawei. The US$15 billion that Huawei obtained in the sale is definitely necessary, and now the company may become the seventh largest smartphone manufacturer this year. The British Broadcasting Corporation (BBC) said that although Huawei could not confirm this figure, Huawei’s smartphone production could fall by 60% this year. A Huawei spokesperson said: “The problem here is not like our quality or experience of using Huawei products. This is not a level playing field for Huawei, because Huawei is caught in geopolitical tensions.”

The company has been looking for other sources of income to bring it to the pig industry. Yes, Huawei is one of the most technologically advanced smartphone product lines in the world, and the company is engaged in pig breeding. This is China’s main industry, and 50% of the world’s live pigs are located in this area. Huawei actually introduced the technology to identify individual pigs through facial recognition. The farm is using other technologies to monitor the pig’s diet, weight and exercise. When discussing the technology company’s entry into the pig industry, a Huawei spokesperson said: “The pig industry is another example of how we are trying to revitalize some traditional industries through ICT (Information and Communication Technology) technology, thereby creating more value for the industry. The 5G era.”

In addition to the pig industry, Huawei also hopes to get involved in the mining industry. The company’s founder and CEO Ren Zhengfei introduced a mining laboratory earlier this month. Ren Zhiqiang hopes to use Huawei technology to turn miners into white-collar workers and let them wear suits and ties to work. Using the company’s technology, the mining industry will see “fewer workers, greater safety and greater efficiency.” The executive also said that Huawei will continue to expand its TV, tablet and computer product lines. This is important because Ren cannot see that the United States removes his company from the entity list. Even so, he said: “Even if we don’t rely on telemarketing, we can still survive.” Although the company is looking for new sources of revenue, it has not given up on the phone business. It is expected that Huawei will still release its two flagship models P50 and Mate 50 series this year. The company is expected to use its own HarmonyOS on both models.

Although Huawei may lose market share in smartphones, it is still the world’s largest provider of network equipment. Nevertheless, Huawei still needs to proceed with caution. After all, there is a long saying on Wall Street: “Bears make money, bulls make money, pigs are slaughtered.”


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