It is rumored that Huawei is going to build its own chipsets

On December 28, Huawei has established a new precision manufacturing company with a registered capital of 600 million yuan, which is quite a big investment. After receiving this news, some people have rumored that Huawei is going to produce its own chipsets.

However, the information reveals that the business scope of Huawei precision manufacturing company includes optical communication device manufacturing,  optoelectronic device manufacturing, electronic components, and more.

So, let’s begin our discussion and dig more into the whole scenario in detail and reach a conclusion regarding chipset manufacturing.

Last month, Huawei’s CBG CEO – Yu Chengdong spoke that Huawei will not give its smartphone business and “King will return 2023”. This directly hints that Huawei has some new plans that can solve the component shortage issue.

Afterward, some reports disclose that the Chinese tech maker is working on a chipset project, which will be the permanent solution to this problem. This will be the biggest Huawei chipset project and which test version will likely to entire the market at the end of 2022.

This information leads the users to connect the chipset manufacturing to this precision manufacturing industry and start spreading rumors that Huawei is going to build its own chipsets.

Full Background story:

Since May 2019, Huawei was listed under the entity list of the US government and faced a lot of challenges in manufacturing new products. Among them, the major issue is a shortage of mobile phone chips that lead the company to fall from the list of top smartphone makers.

The US government black-listed Huawei under false allegations and restricts the American-based company to supply the core components. Since then, Huawei is making all efforts and finding as well as developing alternatives to get over the supply chain issue.

During this timeline, some major chipset and component suppliers submitted license applications to the US government to continue the business with Huawei. However, some suppliers get the license to the Chinese tech maker with only 4G equipment components and 5G is still pending. Because of this, the company was unable to print the Kirin chipset and stay on 4G variants.

Conclusion:

Yes! Huawei is working at its fullest to fix the supply chain in order to regain its lost position in the smartphone market. But, the company is expanding its terms with other components manufacturing in the Chinese market using their component either of building its own components including chipsets.

Regarding this, Huawei will soon respond and clear all doubts and rumored information about its own chip manufacturing. We can wait for a while for Huawei’s reply on this and we’ll keep you posted.

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