Huawei sees ‘difficult year’ ahead after it closes 2019 with 18 per cent revenue growth despite US trade ban
- Huawei shipped a total of 240 million devices in 2019, up from over 200 million units last year
- The HMS ecosystem, when rolled out, would replace Google Play Services with a library of apps for overseas users
Huawei said its 2019 revenue is expected to jump 18 per cent, with numbers exceeding 850 billion yuan (US$121.6 billion) even amid a bumpy year that saw it added to a US trade blacklist.
“Despite concerted efforts by the US government to keep us down, we’ve made it out the other side and continue to create value for our customers,” said Huawei rotating chairman Eric Xu in a New Year’s message to employees.
“These figures are lower than our initial projections, yet business remains solid and we stand strong in the face of adversity.”
The US, which over the past year has cautioned its allies that Huawei’s telecommunications gear poses a national security threat to networks globally, put the Shenzhen-based firm on the Entity List in May, forbidding Huawei from doing business with US companies. The move cut off Huawei’s access to critical hardware and software, such as semiconductors as well as access to Google services on the Android mobile operating system.
Following the ban, Huawei slashed its revenue forecast from about US$125 billion to US$100 billion in June, as it planned to scale back production in anticipation of softening demand for its smartphones in overseas markets.
In terms of smartphones, Huawei shipped a total of 240 million devices in 2019, up from over 200 million units last year. The company did not break down the proportion of device sales within its home market and overseas.
