Instead of fighting sanctions, Huawei will focus on software and continue to grow in a new direction that America cannot control.


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According to an internal letter obtained by Reuters, the company's CEO instructed his management that the company should move in a new direction and focus on software instead of hardware. This is a field that enables independence and autonomy, and best of all, it is beyond the reach of America, especially after the new American president did not give any indications that he would lift Trump's sanctions.

While it will take a long time for Huawei to start making next-generation hardware below the ramp of U.S. sanctions, the move to developing software ecosystems is a perfectly logical step. We primarily mean HarmonyOS, Mindspore (AI cloud), and other solutions from this company's portfolio.

The idea of ​​Huawei founder Ren Zhangfei is to focus on open-source software as a new business model. He also stated that their business communication platform Welink relies on traditional software licensing that is not adequate for cloud computers and an inferior solution compared to that offered by the rival company Alibaba.

If we can't with them, they can't with us

Rehn also stated that Huawei should first strengthen its position in the home country, in order to have a basis for expansion outside China. For now, the idea of ​​the expansion includes Europe, the Asia-Pacific region, and Africa. America will depend exclusively on the compatibility of the new standards, which does not exclude a complete bypass of that market.

Huawei board spokesman Eric Xu said last month that the company would invest $ 1 billion in the "intelligent driving business." In parallel, Huawei has announced a partnership with the state-owned carmaker, Chongqing Changan Automobile, to design and develop the semiconductors their cars will use. All this after the presentation of electric vehicles together with the BAIC group at the Auto Shanghai fair this year.

Of course, with the development of HarmonyOS, Huawei has a strong foundation for its smartphones, which still form one of the foundations of this company's business, and we can expect HarmonyOS on IoT devices and smart TVs very soon.

By: Nitza - Gossip Whispers