Smartphone business declining so Huawei might be looking into building its first EV
Jerrica · May 3, 2021 07:22 PM
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After 2 years of US sanctions which have forced them to sell part of their smartphone business, it seems Huawei Technologies is now looking to jump deeper into the pool of electric vehicles (EV) business.
Seres SF5
Automotive News reports that the world’s largest telecom equipment maker is currently in talks with Chongqing Sokon Industry Group. The group is a China-based company, principally engaged in the research and development, parts manufacture and sales of automobiles.
Word is that Huawei is looking to acquire a controlling stake in the company’s small EV unit known as Chongqing Jinkang New Energy Automobile.
Huawei first showed its interest in shifting its business focus into the automotive scene back in the 2021 Shanghai Auto Show last month. The company played centre stage with the launch of the Huawei Smart Selection SF5.
Seres SF5 interior
The SF5 is a product of the telecommunication giant’s new partnership with EV company Seres. It is also Huawei’s declaration that they’re showing an interest in providing intelligent automotive solutions in cars.
As it is, Huawei now has a pact with Chinese carmaker BAIC Group to supply “Huawei Inside”, a smart vehicle operating system, to vehicles produced by the company.
Alas, these partnerships would not allow Huawei to slap their logo onto the metal of a car. But acquiring a controlling stake in Chongqing Jinkang will allow them to do so. That’s not to mention they will also be able to determine the specifications of the car.
Huawei isn’t the first technology firm to foray into the EV market, Xiaomi Corp too has been dipping their toes into China’s EV market.
The deal between Huawei and Chongqing Sokon Holdings is estimated to be finalised as soon as July this year.
Talks are led by Richard Yu, Huawei’s consumer business group who led the company to become one of the world’s largest smartphone makers before they were hit by the US sanctions.
Imagine if it bears the Huawei logo on the back instead
There isnât a time in memory that doesnât involve staring at cars. After discovering the excitement of watching Schumacher vs Hakkinen, Formula 1 became a major part of life. The love for cars and F1 ultimately led to a job with CAR Magazine. The untimely death of the magazine meant a hiatus from cars at lifestyle womenâs magazine Marie Claire before another opportunity came knocking again.
