All in all, Huawei is forecasting to report revenue that exceeds $98.5 billion for 2023, according to comments from rotating chairman Ken Hu in an internal New Year message seen by Reuters.
Compared to 2022 figures, the expected revenue will mean that Huawei has achieved around 9% year-over-year revenue growth and will further cement the opinions that the Chinese tech giant is finally shaking off the US sanctions that heavily crippled its business for five years, starting in 2019 with restricted access to crucial technologies such as chips.
The internal message reads that Ken Hu is certain that Huawei’s device business segment (which includes its smartphone branch) had performed better than expected in 2023: “Thanks to our partners across the value chain for standing with us through thick and thin. And I’d also like to thank every member of the Huawei team for embracing the struggle – for never giving up,” Hu said. “After years of hard work, we’ve managed to weather the storm. And now we’re pretty much back on track”.
Much of that (or “all” of that) can be attributed to the surprise August launch of the Mate 60 Pro, which is believed to be powered by a domestically developed chipset. This got many US officials shaking, but not with joy. Huawei’s smartphone shipments surged 83% in October year-on-year, helping the overall Chinese smartphone market to grow 11% over the same period, according to a Counterpoint research report.
Looking ahead to 2024, Huawei said in the letter the device business would be one of the major business lines it would focus on for expansion. “Our device business needs to double down on its commitment to developing best-in-class products and building a high-end brand with a human touch,” the letter said.
Still, Huawei acknowledged in the letter that it faces significant challenges.
