So here's some juicy rumour news, Reuters has reported that Huawei is currently meeting with Digital China Group Co Ltd about selling parts of its HONOR smartphone unit to potential buyers. Should it be true and successful, the deal could go up to 25 billion Yuan (~RM15.4 billion).
According to the report, the potential sell-off is so that Huawei can focus on their high-end phone products more than HONOR. Nothing is finalized yet, but the business deal could include the HONOR branding, some research and development capabilities and other supply chain management business. By the way, Digital China is the main distributor for HONOR phones so it's currently the preferred choice, whereas other tech brands like TCL and Xiaomi are also said to be involved.
Popular analyst, Kuo Ming-Chi said that if the deal goes through, it would be a win-win situation for both Huawei and HONOR. He said, “If Honor is independent from Huawei, its purchase of components will no longer be subject to the U.S. ban on Huawei. This will help Honor’s smartphone business and the suppliers,”.
That actually makes sense but as of now, we all should take this with a pinch of salt until things are finalized. What do you think of this? Let us know in the comments below and stay tuned for more trending tech news at TechNave.com.
COMMENTS