Chinese telecommunications giant Huawei registered the biggest revenue drop in its history in the first half of 2021.
These results come after US sanctions forced the company to sell a portion of its mobile phone business and before new growth areas matured.
The company generated revenues of 320.4 billion yuan (41.954 million euros). The greatest decrease occurred in the Huawei’s consumer business group, which includes cell phones, where revenue dropped 47%, up to 17,769 million euros.
In 2019, former US President Donald Trump iincluded Huawei on an export blacklist and banned access to key US technologies, This affected their ability to design their own chips and supply components from third-party vendors, including Google software.
The sanctions hurt Huawei’s mobile business, which exited China’s top five providers for the first time in more than seven years in the second quarter, selling 6.4 million units, according to consultancy Canalys.
This number compares with the 27.4 million phones shipped in China in the second quarter of 2020, excluding Honor phone shipments. Huawei sold the brand in November to a consortium of Chinese companies.