Huawei founder Ren Zhengfei has suggested the company to switch to software in an internal memo, acquired by Reuters. According to him, the team has to “dare to lead the world” in the field because it is fundamentally more independent from the United States.
Huawei is clearly trying to diversify its business since the hardware has taken a massive hit in the past two years after being banned by the Trump administration back in 2019.
Since Huawei has been part of the Entity List (a list of companies that US organizations and citizen are not allowed to do business with without special permission), it has lost a substantial market share in the world of smartphones, and its 5G network department has been getting banned from multiple countries for good measure.
Huawei is currently working on Harmony OS – its own operating system and the center of its growing ecosystem. We expect to see mobile phones with the OS as early as next week, and the company plans to have 300 million devices with it by the end of 2021.