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Huawei is preparing a new factory for its HiSilicon chips so they won’t be limited by US sanctions anymore

29. June 2021 3 min read 0 comments

It hasn’t been easy for the Chinese company Huawei in the mobile world since the US government put it on a blacklist of companies barred from doing business with US companies. Huawei is therefore preparing its own chip-making factory so that the US can’t restrict them anymore.

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Huawei won’t let itself be held back anymore

Huawei also had problems in the past, when due to US sanctions they had to pause deliveries of processors from TSMC. That’s why it decided to build a factory directly in its home country, China, where sanctions won’t have any impact.

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According to a report from DigiTimes, Huawei plans to build a factory in Wu-Chang, in Hubei province. Chip production there should start sometime in the coming years. It should focus on manufacturing optical communication chips and modules, and on designing microcircuit designs.

HiSilicon is a subsidiary of Huawei that designs chips for mobile devices. The company plans to invest 1,9 billion yuan in building the factory, which is roughly 247 billion euros in conversion. This is a big step for the company, and it will also have a new place where new processors for mobile devices will be designed.

Huawei is slowly rising from the ashes

US government sanctions were devastating for Huawei in a sense. It had to give up business with Google, and customers felt it in the absence of Google services on their smartphones. Huawei tried to fix this with its own app marketplace, but some popular apps are still not there today. Not to mention that the smartphone also lost the ability to pay via NFC.

Huawei decided to handle it its own way and recently introduced its own operating system HarmonyOS. It’s based on the foundations of Android, but it’s a separate operating system built for smartphones, tablets, smartwatches, and smart home. How well Huawei will do will only be shown by time—especially in our European market.

What do you think of Huawei’s strategy? Do you own any smartphone from them? Are you happy with it? Let us know in the comments below the article. Follow the ChinaPlanet website, subscribe to get news, and don’t forget to join us on Facebook and also follow our YouTube channel, where we prepare interesting video reviews for you.

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