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With Huawei unable to trade with any US firms it’s struggling to get all the parts it needs to build its popular devices.
Counterpoint also says that 5G devices are booming in China with 65 percent of all devices sold in Q4 2020 featuring this technology. This appears to also be giving Huawei a headache with Counterpoint saying, “Its inventory for key components has been depleting and it will not be able to source 5G smartphone components.”
With fewer parts, Huawei has been focusing on releasing premium devices and that’s given other firms the chance to swoop in on the mid-range market.
Counterpoint’s research also speculates that due to insufficient supplies, the distributors in China are also scaling down their Huawei operations and shifting to other brands.
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