Tech war: upcoming Huawei chip unit event stokes speculation over breakthrough
- There is talk of the official formation of a Huawei-centred technology ecosystem from chip design to operating systems
A conference scheduled next month by Huawei Technologies’ secretive chip design unit HiSilicon has fanned speculation that a sanctions-busting breakthrough may be announced, triggering a surge in some China-listed tech stocks.
While Huawei has disclosed few details about HiSilicon’s Connect Conference, scheduled for September 9-10 in Shenzhen, the event has triggered talk of breakthroughs and the official formation of a Huawei-centred ecosystem from chip design to operating systems.
Shenzhen Huaqiang, a distributor of HiSilicon’s products, issued a statement on Monday warning investors that there were still “uncertainties” around HiSilicon’s new product launch at the conference, after its stock price surged by the daily limit of 10 per cent on both Thursday and Friday.
In the statement, the company said it would redouble its efforts to promote and expand the market for new HiSilicon products. The stock again reached the daily 10 per cent limit on both Monday and Tuesday.
Huizhong Instrumentation, a maker of ultrasonic flow measuring devices that saw its stock soar 40 per cent over two trading days last week, also issued a statement on Monday, saying the company uses HiSilicon chips in some products but does not purchase directly from Huawei. Its shares fell as much as 19 per cent following the statement.
