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Huawei has pulled the trigger and sold HONOR, it seems. Rumors regarding this sale have been circulating the Internet for a while now. Recently, a rumor suggested that HONOR has been sold to a newly-established, state-owned JV.
Well, it seems like that information was accurate. I’ve reached out to HONOR for a comment, and the company’s representative said that HONOR doesn’t have a comment, for now. That is more or less a confirmation.
Companies usually deny such rumors when contacted directly, and the “for now” part kind of confirms it as well. It is said that this newly-established JV is aiming for an IPO in three years, based on the report.
HONOR has been sold by Huawei, and the news will be confirmed soon
It is said that this deal will be officially announced around November 20. So, it doesn’t have to be on November 20, but around that date. It is also said that the deal was made with the prerequisite that the new company can buy and use 5G chips.
HONOR, as most of you already know, has been founded and owned by Huawei. HONOR usually sells more affordable variants of Huawei’s smartphones and wearables. The two companies also had a habit of selling the same product with different branding.
Well, it seems like that trend will stop now, as HONOR is no longer owned by Huawei. HONOR has been quite successful for Huawei, though the US ban certainly affected things. That could be the reason for this sale.
The new presidency in the US may change things around for Huawei down the road, but nothing is certain at the moment. The Trump administration really did a number of Huawei, saying that national security is in play.
Huawei was blocked from using Google’s services on its devices, and it was also blocked from further development of its processors. Various other hardware components became unavailable, and so on. That affected both Huawei and HONOR, of course.
It remains to be seen what will happen with HONOR from this point on. Do note that this information is not yet official, as it will be made official around November 20. It is indirectly confirmed, though.