Huawei has reportedly cut Mate 40/Pro 5G component orders by 30%

Huawei has reportedly cut Mate 40/Pro 5G component orders by 30%
Huawei has been under immense pressure from the United States government since last year and the effects of that finally seem to be showing. 

Huawei's future is very uncertain right now


Supply chain sources speaking to DigiTimes (via GSMArena) on the condition of anonymity claim Huawei recently lowered component orders for the next-generation Huawei Mate 40 and Mate 40 Pro flagships by 30%.

The change suggests Huawei is expecting a significant drop in demand and interest when compared to previous models. It may also reflect the most recent sanctions by the US Government that have severely impacted the company’s ability to compete.

Aside from not being able to pre-install Google apps and services on new smartphones, soon Huawei won’t be able to rely on US technology to manufacture Kirin chipsets. It won’t be able to purchase components from Qualcomm and others either.

These sanctions enter into force on Tuesday, September 15. Huawei is understood to be stockpiling components in the meantime to ensure it can survive the coming months – the general consensus is that it’ll have enough for 3-6 months.

Huawei recently reassured its loyal customers that the Mate 40 lineup would ship with the next flagship Kirin chipset inside. But what happens when its stockpile runs out will remain to be seen.

Huawei’s only bet at the moment seems to be the US Presidential election in November. Joe Biden may ease restrictions and allow Huawei to continue producing and buying components, but there is certainly no guarantee of him winning, let alone easing the restrictions.

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