The electrifying release of the 5G Mate 60 series leaves a major impact on Huawei's bottom line

The electrifying release of the 5G Mate 60 series leaves a major impact on Huawei’s bottom line،

On the last day of August, Huawei shocked the smartphone industry by announcing its new flagship Mate 60 series. The company, despite US sanctions preventing it from obtaining cutting-edge chips, equipped the Mate 60, Mate 60 Pro, Mate 60 Pro+ and Mare 60 RS with a local 7nm Kirin 9000s application processor (AP) supporting 5G. The Mate 60 series included Huawei’s first 5G phones since 2020’s Mate 40 series, powered by the Kirin 9000 chipset.

The introduction of the Mate 60 series with its 5G chipset shocked the smartphone world

The chip was reportedly made by China’s largest foundry, SMIC, which is limited to previous generation lithography equipment. Yet, using tools obtained from other companies, SMIC used its deep ultraviolet lithography machine and was able to provide Huawei with the 5G chips that its previous flagship phones were unable to use. Both the Mate 50 series from 2022 and the P60 lineup from earlier this year were powered by the Snapdragon 8+ Gen 1 SoC. Huawei has received a license to purchase the older but still powerful chip, as it has been modified to do not support 5G signals.

The Huawei Mate 60 Pro

But thanks to the Mate 60 series and the Kirin 9000 AP, Huawei has sent a burst of electricity to the Chinese smartphone market, which is the largest smartphone market in the world ahead of India and the United States. This led Huawei to announce that its third-quarter profits soared 118% during the period to 26.4 billion yuan ($3.6 billion) despite a slight rise in sales to 145.7 billion. yuan. Being able to use your own tokens will greatly improve your profit margin.

The following year, the United States revised its export rules to prevent foundries using American technology to make chips from shipping cutting-edge silicon to Huawei. The United States was doing all of this in the name of national security since Huawei was considered a national security threat in the United States, along with fellow Chinese phone and network equipment maker ZTE. Both companies reportedly have ties to the Chinese Communist Party (CCP). Despite developing its own operating system and ecosystem, once US sanctions took effect, Huawei quickly lost the support of its once loyal customers.

Huawei’s phones are creating buzz among Chinese consumers, but the company still struggles to regain its status in China

In a statement, Huawei said: “We continue to optimize our management systems, improve the efficiency and quality of our operations, and refine our sales strategy and product mix. These actions had a very positive impact on our profit margin. »

Huawei continues to innovate despite US bans. The Mate 50 Pro beat the iPhone 14 series by a day last year to become the first smartphone to feature emergency satellite communications. This year, the Mate 60 Pro offers users the ability to make satellite calls.