Huawei faced difficult days as global smartphone sales plunged, executive says

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Huawei faced difficult days as global smartphone sales plunged, executive says

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faced “incredibly difficult” days after the

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government

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, according to senior executive

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, as the firm’s lucrative

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business went from riches to rags amid stifling trade restrictions.

Yu,

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, on Monday said in a live-streamed conversation with ******** influencer

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that the company saw annual smartphone shipments plunge to around 20 million units, as

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on the export of advanced

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and chip-making equipment to mainland China in 2022.

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-based Huawei’s smartphone shipments totalled only 28.1 million units in 2022, when it ranked 10th in the industry and market leader

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shipped 258.5 million units worldwide, according to data from market research firm Omdia. In 2019, the same year

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over national security concerns, the ******** firm shipped

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worldwide.

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“My team wasn’t able to start operations,” Yu said. “As the global leader in

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technology, we didn’t even have 5G [smartphones] ourselves. Our days were incredibly difficult.”

data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///ywAAAAAAQABAAACAUwAOw==

Huawei Technologies’ Richard Yu Chengdong shows off the company’s Mate 50-series smartphones at the product launch on September 6, 2022. Photo: Weibo alt=Huawei Technologies’ Richard Yu Chengdong shows off the company’s Mate 50-series smartphones at the product launch on September 6, 2022. Photo: Weibo>

The highly outspoken Yu, whose off-the-cuff comments have earned him the nickname

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from ********

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users, led Huawei’s march to

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from Samsung in the second quarter of 2020.

His candid, live-streamed recollection on Monday shines a light on the lengths taken by Huawei to overcome US restrictions and revive its once-profitable smartphone business, years after the firm was blacklisted by Washington.

Huawei made a surprise comeback in the 5G smartphone market last August, when it

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– a breakthrough that was

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, but sparked

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in light of existing tech access restrictions.

Story continues

While Huawei has remained tight-lipped over that development, distributors and employees at the company’s stores have

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to customers about the processor used in the firm’s flagship smartphones.

data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///ywAAAAAAQABAAACAUwAOw==data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///ywAAAAAAQABAAACAUwAOw==

A view of Huawei Technologies’ new Shanghai campus, comprising eight blocks and 104 buildings, which will serve as the company’s global research and development hub. Photo: Jiefang Daily alt=A view of Huawei Technologies’ new Shanghai campus, comprising eight blocks and 104 buildings, which will serve as the company’s global research and development hub. Photo: Jiefang Daily>

“Huawei smartphones use domestically made chips instead of integrating Western chips, so our users are also making a contribution to the rise of China’s electronics supply chain,” Yu said.

The privately-held company is expected to ship more than 50 million handsets in China this year, reclaiming the top spot on the mainland with a projected 19 per cent market share, up from 12 per cent in 2023, according to research firm TechInsights.

Last week, Huawei completed construction of its

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in

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, where it will focus on semiconductors, wireless networks and the

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.

Huawei also expects to break the dominance of Western mobile operating systems in mainland China when it releases

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, which will end support for

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.

Still, Huawei could face tighter scrutiny after the Biden administration this year

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that enabled some US companies to ship goods to the company, according to a Reuters report earlier this month.

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