Chinese tech giant Huawei lost its smartphone market share to key rivals including Apple and Samsung as a result of sanctions imposed by the United States, according to a top company executive.
"In less than two years, the United States slapped four rounds of sanctions against Huawei, with each round harsher than before. (The sanctions) caused extreme difficulties to Huawei's consumer businesses and made it impossible for us to ship our products," Richard Yu, the CEO of Huawei's consumer business group, was quoted as saying in a social media post by Sputnik.
This comes after Huawei and ZTE Corp were designated as national security threats by the US, saying they have close ties with the Chinese Communist Party and China's military apparatus. Prior to that, Huawei was added to the US Entity List in 2019, which prohibited US companies from doing business without government approval.
The company executive explained in his social media post that Huawei lost its market share in the high-end segment in China to Apple. Meanwhile, in the medium segment, it lost to domestic rivals including Oppo, Vivo, and Xiaomi.
The Russian news agency reported the sanctions have created serious challenges to Huawei's smartphone business, as the Chinese company not only lost access to Google's popular mobile services. Moreover, it is also facing challenges in securing supplies of microprocessors to power its devices.
Meanwhile, Huawei's key rival Apple reported double-digit sales growth in the second quarter of this year.
Apple's revenues jumped by 53.7 USD year-on-year to USD 89.58 billion, while revenues from its popular iPhone skyrocketed by 65.5 per cent year-on-year to USD 47.94 billion.
( With inputs from ANI )
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