Investment in R&D propelled growth despite trade war setback: Honor
Beijing, Dec 1 (IANS) Chinese technology giant Huawei's sub-brand Honor said investment in research and development is yielding fruits, leading to its continuous growth despite a setback it faced due to the US-China trade war.
“In 2019, when most of the technology brands suffered decline in China, Honor registered 100 per cent year-over-year growth in May,” James Zou, President, Overseas Marketing and Sales at Honor, told IANS.
“We faced a setback due to a trade war with the US. But still, US tech companies are willing to work with us,” Zou said, adding that Honor will achieve new heights of growth.
Huawei was put on a trade blacklist in the US on the basis of a suspicion that China might use the company's equipment to spy on other countries. Huawei has denied the allegations.
When it comes to investment in research and development, Huawei is one of the top five tech companies in the world. With total investment of $17 billion in 2019 alone in the field of research and development, the company is aiming at providing the best technology to its users especially in terms of 5G compatible devices globally.
“Honor and Huawei work just like the automobile brand BMW and Mini. Both of us share all the research and development investment together and only differ on the basis of our planning and operations,” Zou said.
Huawei is among the key players globally with 5G networks already live in the UK, Sweden and South Korea. It had started working on 5G just when 4G was being rolled out for the first time.
In August, the company announced that it had started R&D for 6G technology.
“We are set to roll out our 5G devices globally. Going ahead we have already started working on 6G when most of the companies are struggling with 5G,” Zou stressed.
Huawei and Honor differ in terms of channel strategy and how the two companies operate in terms of target audience. Huawei targets the premium segment.
“Honor is focusing on manufacturing more smart and connected devices,” Zou said.