|Bid||12.21 x 0|
|Ask||12.22 x 0|
|Day's Range||11.95 - 12.41|
|52 Week Range||7.66 - 19.87|
|Beta (5Y Monthly)||0.82|
|PE Ratio (TTM)||N/A|
|Earnings Date||Apr. 30, 2021|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
(Bloomberg) -- China has vowed to consolidate the country’s electric vehicle industry after a decade-long nurturing of the sector led to the emergence of too many players, some of which are barely viable.“Looking forward, EV companies should grow bigger and stronger. We have too many EV firms on the market right now,” Xiao Yaqing, the minister for industry and information technology, said at a press conference in Beijing on Monday.“The firms are mostly small and scattered,” he said. “The role of
(Bloomberg) -- Huawei Technologies Co. will invest $1 billion on researching self-driving and electric-car technologies, accelerating plans to compete with Tesla Inc. and Xiaomi Corp. in the world’s biggest vehicle arena.Huawei’s autonomous-driving technology has already surpassed Tesla’s in some spheres, for instance by allowing cars to cruise for more than 1,000 kilometers (621 miles) without human intervention, Rotating Chairman Eric Xu told analysts in Shenzhen Monday.The Chinese telecom giant will partner with three automakers initially to make self-driving cars that carry the Huawei name as a sub-brand, said Xu, one of three executives who take turns to fill the post. It will keep its circle of partners small and get its logo onto cars -- not unlike how Intel Corp. calls attention to its microprocessors on PCs -- that adopt its autonomous driving technology, he added. The mobile giant has so far agreed to team up with BAIC Group, Chongqing Changan Automobile Co. and Guangzhou Automobile Group Co.“The smart car business unit receives one of the heaviest investments from Huawei. We will invest more than $1 billion in car component development this year,” Xu said. “China adds 30 million cars each year and the number is growing. Even if we don’t tap the market outside of China, if we can earn an average 10,000 yuan from each car sold in China, that’s already a very big business for Huawei.”Huawei is emerging from its toughest year on record, when Trump-administration sanctions smothered its once leading smartphone business and stymied advances into chipmaking and fifth-generation networking. The Biden White House has shown few signs of letting up, prompting billionaire founder Ren Zhengfei to direct Huawei toward new growth areas such as smart agriculture, health care and electric cars. It hopes for a seat at the table with tech giants vying to define the rapidly evolving fields of connected vehicles, homes and workplaces.Huawei aims to join tech giants from Apple Inc. to Xiaomi in targeting the vehicle industry, betting future cars will grow increasingly green, autonomous and connected. EV sales in China may climb more than 50% this year alone as consumers embrace cleaner automobiles and costs tumble, research firm Canalys estimates. Huawei’s info and entertainment features can already be found in Mercedes-Benz sedans and the firm has teamed up with domestic players such as BAIC BluePark New Energy Technology Co. to develop smart car systems. The first model under its partnership with the Chinese EV maker, the Arcfox αS HBT, will be unveiled at Auto Shanghai in April.“I don’t know if they were bragging, but my team said they can have cars driving on their own without human intervention for 1,000 kilometers. That’s way better than Tesla,” Xu said Monday.But Huawei’s piling into an already crowded arena, where an array of automakers from Tesla to local upstarts Nio Inc. and Xpeng Inc. are battling for a slice of the world’s biggest EV market. Xiaomi -- better known for its affordable gadgets and home appliances from rice cookers to robo-vacuums -- unveiled plans last month to invest about $10 billion over the next decade on manufacturing electric cars. Search giant Baidu Inc. and Geely Automobile Holdings Ltd. are also said to be teaming up to build vehicles.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Huawei Technologies Co.’s quarterly revenue shrank for the first time on record, reflecting the devastating impact of U.S. sanctions that forced China’s largest technology company out of smartphones and into other technology arenas.The disappointing results underscore the depth of the damage Washington has wrought on a company that once vied with Apple Inc. and Samsung Electronics Co. to lead the global smartphone market. It reported revenue fell 11% to 220.1 billion yuan ($33.5 billion) in 2020’s final quarter. That’s down from 3.7% growth in the September quarter and 23% in the second quarter, according to Bloomberg calculations based off previously reported figures.Full-year sales and profit rose 3.8% and 3.2%, respectively, in line with the “marginal growth” previously projected, according to financial statements audited by KPMG. Huawei had credited record 5G base station orders and strong mobile sales in the first half for offsetting the final six months.Huawei is emerging from its toughest year on record, when Trump-administration sanctions smothered its once leading smartphone business and stymied advances into chipmaking and fifth-generation networking. The Biden White House has shown few signs of letting up, prompting billionaire founder Ren Zhengfei to direct Huawei toward new growth areas such as smart agriculture, healthcare and electric cars. It hopes for a seat at the table with tech giants vying to define the rapidly evolving fields of connected vehicles, homes and workplaces.“The global supply chain Huawei heavily relies on has been disrupted,” said Rotating Chairman Ken Hu, one of three executives who take turns filling the top role. “I don’t know who will benefit from it but definitely not the industry.” The global semiconductor supply chain needs to be overhauled in order to resolve the current shortages, he added.Read more: Huawei Pivots to Fish Farms, Mining After U.S. SanctionsCash flow weakened last year as the company built up inventories ahead of U.S. sanctions that effectively cut off its access to American technologies last September and it has enough stockpiles for its enterprise business, Hu told reporters. Huawei had previously purchased $10 billion to $20 billion of components each year from U.S. suppliers and other customers won’t be able to fully make up for the lost business.Huawei’s consumer electronics unit -- which still accounts for more than half of total revenue -- missed sales targets, he added. Huawei’s smartphone shipments tumbled 42% during the final three months of last year to lag behind Apple, Samsung and domestic rivals Xiaomi Corp. and Oppo, according to research firm International Data Corp. The firm intends to keep launching flagship phones as planned, while it builds up other consumer electronics, like wearables, which grew by 65% last year, Hu said.U.S. sanctions forced Huawei to strike a deal to sell its budget Honor unit to a state-backed consortium. Huawei has received a 10 billion yuan deposit from the buyers but the deal’s closing has been delayed by the pandemic, the company said in its annual report published Wednesday. The transaction should close this summer, according to Huawei.Huawei is the subject of persistent speculation it wants to join tech giants from Apple to Dubai Inc. and Xiaomi Corp. exploring automotive technology or designing and assembling entire cars. While Huawei has denied it plans to launch a car under its own brand -- which Hu reaffirmed Wednesday -- it’s worked with several manufacturers to test its autonomous driving and driver-car interaction technologies. Its info and entertainment features can already be found in Mercedes-Benz sedans and the firm has teamed up with domestic players such as BAIC BluePark New Energy Technology Co. to develop smart car systems. The first model under its partnership with the Chinese EV maker, the Arcfox αS HBT, will be unveiled at Auto Shanghai in April.It also plans to begin charging mobile giants like Apple a “reasonable” fee for access to its trove of wireless 5G patents, potentially creating a lucrative revenue source by showcasing its global lead in next-generation networking.The owner of the world’s largest portfolio of 5G patents will negotiate rates and potential cross-licensing with the iPhone maker and Samsung, promising to charge lower rates than rivals like Qualcomm Inc., Ericsson AB and Nokia Oyj. Huawei should rake in about $1.2 billion to $1.3 billion in patent and licensing fees between 2019 and 2021, executives said without specifying which of those stemmed from 5G. It’s capping per-phone royalties at $2.50, versus the $7.50 that Apple says Qualcomm demands of every iPhone.How Huawei Landed at the Center of Global Tech Tussle: QuickTakeTikTok, Hong Kong and More U.S.-China Flashpoints: QuickTakeFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.