Most probably, 2021 is going to be a nightmare for Huawei as it is forecasted that Huawei Sales Will Fall By 74%. The Chinese tech and IT giant had a dream of surpassing Samsung in the smartphone industry. So, Huawei did it but for a very short period of time. Sadly, the company will not be able to hold its positions in 2021.
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However, Huawei managed to sell more smartphones than Samsung during the pandemic despite the US implemented the Huawei ban. Furthermore, the tension between the US and China started last year in May and resulted in the Google license cancelation of Huawei. So, Huawei sales plummet is going to be a nightmare for the Chinese mobile maker in 2021.
Dramatic Drop in Sales
A Korean news agency, the elec reports that Huawei is planning the production of only 50 million smartphones in 2021. However, Huawei sales 2019 reaches to 240 million units shipments successfully. Furthermore, Huawei sales in 2020 were about shipping 190 million units but in 2021 it would be around 50 million. So, Huawei will face a total of 74% of sales drop in 2021.
This dramatic change in sales is just because of the US trade ban that has made it impossible for Huawei to continue smartphone manufacturing. Shockingly, Huawei sales remain parallel with Samsung sales globally during last year. Unfortunately, Huawei lost his Google license last year.
Consequently, the majority of the customers went off globally. In addition to this, TSMC makes smartphone chips for Huawei and will stop taking orders from Huawei. Furthermore, Huawei is unable to purchase chips from Qualcomm as it is an American company. Owing to all these factors, Huawei is unable to manufacture enough smartphones in 2021.
So, the company is relying on the SMIC for Kirin chipsets production. However, these chips are usable only in entry-level and mid-range smartphones. But unfortunately, America is working on putting a ban upon SMIC as well to cripple Huawei further. So, if America wins in the race and bans SMIC from trading with China, the Huawei brand will be in dire condition.