It had been talked about for a few weeks but with today the news has become official, with an announcement by Huawei that has thus made public its commercial strategy born with the entry into force of the commercial ban imposed by the American government.
In this regard, on the global market, Huawei began to lose important revenues and to suffer the greatest consequences was Honor, a sub-brand of the mother Huawei, which has existed for seven years now and which has contributed to the expansionist force with over 70 million smartphones of mid-range. But to ensure Honor's survival, it was necessary to act with the sale of the business.
Huawei has officially sold the Honor sub-brand
It will therefore be the Shenzhen Zhixin New Information Technology consortium, a company made up of over 30 agents, resellers and distributors to claim Honor's new commercial venture, also because the same Hawei underlines that, after finalizing the sale, it will not hold any share, nor will it be involved in no way in the management of Honor. All this to ensure the survival of the brand.
Below is the complete declaration regarding the sale of Honor to the consortium:
Huawei's consumer business has been under enormous pressure in recent times. This is due to a persistent unavailability of technical elements necessary for our mobile phone business. Huawei Investment & Holding Co., Ltd. has therefore decided to sell all of its Honor business assets to Shenzhen Zhixin New Information Technology Co., Ltd. This sale will help Honor's channel vendors and suppliers get through this difficult time.
Once the sale is complete, Huawei will not own any stake or be involved in any business management or decision making activities in the new Honor company.
This move was made by Honor's industrial chain to ensure its own survival. Over 30 agents and resellers of the Honor brand first proposed this acquisition.
Since its creation in 2013, the Honor brand has focused on the youth market by offering phones in the lower-middle price range. Over the past seven years, Honor has grown into a smartphone brand that ships over 70 million units annually.
Huawei highly values the continued dedication, attention and support provided by Honor's consumers, channel sellers, suppliers, partners and employees.
We hope this new Honor company takes a new path of honor with its shareholders, partners and employees. We look forward to seeing Honor continue to create value for consumers and build a smart new world for young people.
We just have to wait for the developments, hopefully positive for the brand that at the moment has always proved to live up to expectations.
