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Huawei Expects 9% Revenue Increase In 2023 Due To The Surge In Smartphone Sales

Huawei Expects 9% Revenue Increase In 2023 Due To The Surge In Smartphone Sales
The Chinese electronics giant Huawei Technologies anticipates sales topping 700 billion yuan ($98.5 billion) for 2023, according to reports based on comments from rotating chairman Ken Hu in an internal new year message.
The statistic shows a revenue gain of about 9% from the 642.3 billion yuan reported in 2022 to the current year.
The prediction provides more proof that Huawei is making a comeback following the crippling effects of U.S. sanctions, which began in 2019, on some of its business lines. These penalties restricted access to vital global technology, including cutting-edge semiconductors.
"Thanks to our partners across the value chain for standing with us through thick and thin. And I'd also like to thank every member of the Huawei team for embracing the struggle – for never giving up," Hu said.
"After years of hard work, we've managed to weather the storm. And now we're pretty much back on track."
Hu stated in the memo to employees that 2023 saw better-than-expected performance from Huawei's device business sector, which includes its smartphone division.
Huawei unveiled the Mate60 line of smartphones in August, which is thought to be powered by a CPU that was built domestically. After struggling for years due to U.S. sanctions, the release was widely seen as Huawei's comeback into the high-end smartphone market.
According to Counterpoint, Huawei's smartphone shipments increased 83% in October compared to the same month last year, contributing to the 11% growth of the Chinese smartphone industry as a whole.
In the letter, Huawei expressed its outlook for 2024, stating that one of its primary business lines for growth will be the device sector.
"Our device business needs to double down on its commitment to developing best-in-class products and building a high-end brand with a human touch," the letter said.
Huawei did, however, acknowledge in the letter that it faces formidable obstacles.
"Geopolitical and economic uncertainties abound, while technology restrictions and trade barriers continue to have an impact on the world," Hu noted.
Hu stated that Huawei would concentrate on enhancing the effectiveness of its business operations in order to address these issues. Among the things they did was "streamline HQ, simplify management, and ensure consistent policy, while making adjustments where needed."

Christopher J. Mitchell

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