As Huawei prepares for a big launch event in London tomorrow when the company is expected to reveal the Huawei P9 smartphone, there are indications that Huawei is planning to expand its footprint in the U.S. this coming year by moving into the premium smartphone segment of the market. No specifics were provided, but comments from Huawei’s Richard Yu indicate the company is planning this move as part of a larger strategy to become the world’s number one smartphone manufacturer.
Currently Huawei sits in third place in the global smartphone market, which is an impressive accomplishment in and of itself given the late start relative to other companies. Huawei has also been challenged by fears that their hardware may conceal platforms for Chinese spying attempts. That fear was so great that the U.S. effectively banned Huawei’s network infrastructure hardware from entering the market. However, Huawei was able to overcome similar issues in Europe and now enjoys much greater success there.
In order to continue their expansion, Huawei will need to shed their image of being a budget device producer. They likely got a boost in that arena this past year when they were tapped to produce the Google Nexus 6P smartphone which was generally well received as a quality device. The Huawei P9 will be similar to the Nexus 6P, although it will differ in being equipped with Huawei’s in-house Kirin 950 processor. Huawei will also reveal the fruits of a partnership with Leica to produce a new camera that they hope will set them apart from leaders Samsung and Apple.
Besides pouring money into research and development on hardware like cameras and processors, Huawei has also been beefing up their spending on marketing efforts in hopes of overcoming any stigma that has attached to the brand in the past.
When the Huawei P9 and its variants are launched tomorrow, there is no expectation that Huawei’s new flagship devices will hit North American markets. This is consistent with the current status quo. We will have to see whether Huawei moves to obtain approval for the device in the U.S. and other nearby markets or if they produce an entirely different line of devices to enter the high-end premium market.
source: Wall Street Journal
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