Huawei is reportedly in talks to sell its premium ‘P’ and ‘Mate’ smartphone brands, which would see the tech giant exiting the high-end smartphone market.
A new report from Reuters notes that Huawei has been in talks for months with a consortium led by Shanghai government-backed investment firms about a potential sale.
The report reveals that the Chinese company began thinking about selling the brands as early as last September.
The fact that Huawei is considering selling the brands suggests that it doesn’t believe the new Biden administration will loosen the supply chain restrictions it’s currently placed under.
Huawei has not yet made a final decision and it’s possible that the talks may not conclude with an actual sale, considering that the company is still working to manufacture high-end Kirin chips for its smartphones.
The company has responded to the rumours about a sale and has denied the claims. “Huawei has learned there are unsubstantiated rumours circulating regarding the possible sale of our flagship smartphone brands,” a spokesperson told Reuters. “There is no merit to these rumours whatsoever. Huawei has no such plan.”
Reuters notes that the Shanghai government-backed investment firms might create a consortium with Huawei’s dealers to take over the brands.
Source: Reuters
