It is a consortium of 30 companies, including the municipal government of Shenzhen supported by the Chinese government which bought the manufacturer to ensure the survival of the brand. Honor wants to be among the top 4 smartphone brands in the world.
Amazing time when the United States put unprecedented pressure on Huawei’s global sales of telecommunications equipment and its consumer smartphone manufacturing business, which accounts for more than half of Huawei’s total revenue . Affected by the US sanctions that took effect in September, Huawei’s sales growth slowed sharply in the third quarter. The sanctions have largely cut Huawei’s ties with smartphone chip suppliers. Huawei’s smartphone sales in China fell for the first time in the past three months. It is worth noting that most of Honor smartphones are assembled by Chinese companies Huaqin Technology and Wingtech Technology, which also supply Xiaomi, Acer and HTC. These manufacturers could help secure some components for Honor before the deal is closed to ensure production continues to run smoothly after the sale.
The Honor brand is basically a subsidiary of Huawei which has been very successful, it has emerged as a product line within the scope of the activity smartphone from Huawei in 2011 and started operating as an independent unit at the end of 2013. As a Huawei sub-brand, it offers mid-range smartphones focused on young buyers and online sales channels.
There will be around 8,000 employees in the new Honor! The purchase price has not been revealed, one thing is certain is that the estimate took into account what they are now and what they will be in the future. It’s a great brand, with a global footprint and an experienced team. The acquisition is the best solution to protect the interests of consumers, vendors, suppliers, partners and employees of Honor, the companies (Shenzhen Zhixin New Information Technology) said in the press release.
Honor has generated over $ 10 billion in revenue over the past five years. They shipped nearly 70 million smartphones in 2019. We have fond memories of one London launch of the Honor 20 in May 2019.
IDC estimated that the low-budget smartphone brand accounted for 28 percent of Huawei’s total smartphone shipments in the first half of this year. The brand aims to gain 10% market share. Honor was one of the fastest growing brands in 2018, but its market share was estimated at around 3%, according to Counterpoint Research. For example, it targets certain markets such as India where it wants to gain 15 to 20% of the smartphone market share by 2020, which will make it the third player in the segment. It represented 15% of the Chinese smartphone market in the third quarter of this year.
The brand is facing challenges, in particular by no longer having the R&D support, the sharing of the supply chain and especially the Kirin Chipsets from Huawei, Honor will have to rebuild its product differentiation and its competitive advantage.
The latest smartphone
The Honor 10X Lite is equipped with a camera integrating four lenses, a screen of 6.67 inches and a drums of 5000 mAh, thus providing its users with an optimal experience with 4 cameras, 128 GB of storage and you can charge 46% of the battery in 30 minutes.
In order to engage the creative community, HONOR has partnered with Wattpad, a social platform dedicated to sharing stories, which allows writers to post their stories. The brand has also partnered with Red Bull Basement to encourage student developers around the world to make a positive and innovative societal impact using the manufacturer’s technology. In the Magic UI interface, the Honor 10X Lite has an eBook mode that helps prevent eye strain if you read on your device for an extended period of time. When eBook mode is on, your device’s screen will turn black and white to rest your eyes and help you enjoy a comfortable reading experience.
The HONOR 10X Lite, based on HMS, will be available in 2 colors: black and emerald green. It is launched in France at a price of 199,90€. Impressive!