Chinese technology giant Huawei reported that Q3 revenues jumped 27 percent to about $23.3 billion thanks to stronger than expected smartphone sales. The privately held firm also said that revenues for the first three quarters of the year jumped 24.4 percent to $86 billion, suggesting that its sales growth is accelerating.
“Our continued strong performance in Q3 shows our customers’ trust in Huawei, our technology and services, despite the actions and unfounded allegations against us by some national governments,” a Huawei statement notes.
Huawei says that it has shipped about 185 million smartphones so far in 2019. But it launched its latest flagship phone, the Mate 30 Pro, in September without any Google apps or services and that device’s fate is unclear.
Huawei’s stronger-than-expected performance in the smartphone market is most likely tied to the fact that the U.S. government had given it a reprieve from the blacklisting it imposed in May and then extended that reprieve to November. So while shipments appear to have rebounded, they could still be hammered in coming quarters should the ban be fully instituted and its cache of components and parts run out.
Of course, Huawei isn’t just a smartphone company and the issues it’s facing with the U.S. government are tied to its dominant networking business, not smartphones. On that note, Huawei has experienced some victories since the ban. Germany this week said that it will allow Huawei to participate in the creation of its 5G infrastructure. And Huawei says that it has now signed over 60 5G contracts worldwide, up from 50 two months ago.
One place the U.S. ban has had an impact, of course, is the United States, where its smartphone products are virtually nonexistent. That’s a shame: Huawei’s handsets are among the very best in the market, and their camera experience is likewise right at the top.
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