Huawei doesn’t expect 2022 to be a good year

It cannot be said that the last few years have brought good luck to Huawei. The firm had nevertheless known – before Trump’s arrival at the White House – a meteoric rise, carving out market share from its biggest competitors in smartphones, computers, and connected objects, then by asserting real leadership in emerging technologies like 5G.

The former tenant of the White House is not particularly a very subtle statesman, but he knew how to support where it hurts the most. Very quickly, Huawei’s biggest weak point was revealed to the world: its extreme dependence on American technologies. By abruptly cutting off access, Huawei quickly found itself on the sidelines of the markets in which the firm was a leader.

Huawei looks gray when it comes to 2022

The firm today warns in a note to its employees that it anticipates “serious changes” in 2022 against a background of “politicization of technology” and “de-globalization”. The firm continues to post impressive sales. It still ended the year on a positive note with 634 billion Yuan (99.45 billion dollars).

But this figure actually hides a real “leap into the void” since from one year to the next this figure has plunged by nearly a third (-28.88%). Its smartphone unit has remained relatively stable and there has been some growth according to Guo Ping, current interim president.

This has been possible thanks to the digital transformation of economies, as well as the opportunities linked to the energy transition. But Gui Ping now fears the uncertainties that await Huawei in 2022. “Against these threats we must stick to our strategy and respond rationally to external forces that are beyond our control”.

Concretely, Huawei will simplify its organization by giving more independence to local branches. There is also talk of more integration abroad – to reduce costs and improve the customer experience. The firm is also relying on its two software ecosystems, EulerOS and HarmonyOS.

“These two ecosystems adhere to an open source strategy, which allows all software developers to use and benefit from them”, explains the leader. Investments in these two operating systems are also expected to increase, although it is not known to what extent.

Read also – Huawei would have a new idea to bypass US sanctions

Huawei is also relying on new experiences. For example with Digital Power Technologies, Huawei wants to hybridize the transmission of data and energy. Huawei also maintains a good position in self-driving car technologies. Are there sufficient leads to straighten your head in the coming months? Only 2022 will tell!


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