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Huawei collapsed due to US sanctions, in the mobile phone market

Kanyu Kisbe
Kanyu Kisbe

Chinese telecom company Huawei has faced the danger of imposing sanctions on the US. At least 40 percent of their mobile phones sales decreased; That is why they are also reducing their production.

Huawei founder Rane Zhengfey compared his company to a bad plane. He says the US government could not predict that Huawei would take such a tough step against the company.

Huawei is now the world’s largest telecom equipment manufacturer, and as the world’s second-largest smartphone maker.

The BBC’s news report says the new law of the United States states that it is forbidden to trade with Huawei for any company using any American company or American-technology.

Because of this stringent law, Huawei’s mobile handset sales have dropped 40 percent in the past month.

Ren Zhengfi says they will reduce their production by three billion dollars.

Samsung has sold the most mobile handsets in the world market. After that, Huawei and Apple’s iPhone are in third place. Their market is developing in all the continents of the world.

The United States argues that Huawei can use the company’s machinery for surveillance, although Huawei denies any such threat.

But due to US sanctions, already many countries and international companies have banned the use of Huawei’s Five-G technology. Google has already said that some of their apps update and Huawei will not be available on the mobile phone.

Two Japanese companies said they would not sell Huawei handsets.

Huawei, however, said that their sale remains in the Chinese market and their business will be revived by 2021. Apart from this, no research has been done in the budget for their research and development.

Kanyu Kisbe

Kanyu Kisbe is a admin and founder of Kanyu is great writer, editor and good sports columnist.