Huawei has run out of high-end chips for smartphones.

(Reuters)

[Financial Channel/Comprehensive Report] The latest report released by the international research organization Counterpoint Research shows that the inventory of high-end chips for smartphones held by the Chinese company Huawei has been exhausted. With the supply of chips cut off, Huawei may be forced to withdraw from the global smartphone market.

"Voice of America" ​​reported that the international research organization Counterpoint Research released a report, after checking and comparing sales data, it was found that Huawei has used up the high-end chips designed by its subsidiary HiSilicon.

The smartphone chip (Kirin series) designed by HiSilicon has a share of 3% in the global smartphone application market in the second quarter of last year, but it has returned to zero in the third quarter of this year.

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The report pointed out that due to the U.S. ban, Huawei’s advanced chip supply pipeline was completely cut off, and high-end fabs such as TSMC and Samsung were unable to continue to manufacture for Huawei. As a result, the Kirin chips used in its high-end 5G mobile phones became extinct.

Li Chengdong, an analyst in the electronics industry in Beijing and the founder of the Dolphin Think Tank, said bluntly that it is difficult for Huawei to bypass the US ban and find a stable chip supply.

If Huawei reluctantly uses SMIC's backward manufacturing process to build high-end mobile phones, it will also damage the brand image.

It is also unnecessary for (Huawei) to manufacture a fake 5G mobile phone in order to sell mobile phones.

Analysts also said that the U.S.-China chip and high-tech game has been raised to the level of national strategy, and it is by no means a single company that can reverse it. The chances of Huawei trying to break through in the mobile phone business are not high.

Even if Huawei may withdraw from the global smartphone market, most scholars and analysts believe that Huawei should still have a way to survive.

Su Yihao, an assistant professor at the Department of Political Science at National Taiwan University, said that Huawei is resilient, and as long as it avoids the radar of the United States, there are still ways to enter the 5G industry.

However, if Huawei still wants to develop into the European or Central American market, the United States may take counterattacks.

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