Huawei and Honor are heavily cut Honor core business wants to withdraw from Huawei s list of 10,000

Mondo Digital Updated on 2024-02-01

The separation of Huawei and Honor is a major event in China's mobile phone market in 2020. On November 17 of that year, Huawei officially announced that it would take the overall ** Honor business assets, and after the transaction was completed, Huawei would no longer hold any shares in Honor and would not participate in the operation and management of Honor. This decision is considered Huawei's helpless move under US sanctions, and it is also a necessary choice for Honor to survive and develop.

However, splitting up doesn't mean breaking up. There are still complex entanglements of interests between Huawei and Honor, especially in terms of channels, chains, brands, etc., which require a series of cuts and adjustments. This process is not only a test for both parties, but also has a profound impact on the mobile phone market.

Recently, it was reported that Huawei in a certain province issued a notice to dealers, clearly indicating that Huawei and Honor are clearly distinguished. The notice requires that in the future, Honor's core merchants will successively withdraw from Huawei's list of 10,000 yuan machines, and will not be allowed to enter Huawei's Jixing business. It is reported that KA who participated in the Honor press conference will stop all new and renovated stores, including experience stores, and finally reminded dealers: focus on doing a good job in Huawei.

This news has sparked attention and discussion in the industry. On the one hand, this is a cleanup and exclusion of Honor by Huawei in order to protect its high-end market. On the other hand, this is also a clear line and identity distinction between Honor and Huawei in order to develop independently. From this point of view, this is a necessary "operation" after the separation of Huawei and Honor, and it is also a signal that both sides are seeking new breakthroughs.

In fact, since the separation, Huawei and Honor have begun their respective transformations and adjustments. Huawei's mobile phone business has been hit hard by U.S. sanctions. In response to the crisis, Huawei has increased its investment in the high-end market, launched flagship products such as the Mate 60 series, and accelerated the construction of the HarmonyOS system and HMS ecosystem, striving to achieve autonomy and controllability in software and hardware. In addition, Huawei is also secretly creating a new sub-brand, named after Xingyao, which will replace the Honor brand. According to online rumors, the Xingyao brand will target the mid-end market, focusing on the price range of 1500-3500 yuan, and sell it online. Some analysts believe that the purpose of Huawei's launch of the Xingyao brand is to fill the gap in Glory and seize the share of the mid-range market, as well as to promote the Hongmeng system and increase market share.

It can be said that the separation of Huawei and Honor means that there will be less and less cooperation between the two, and there may even be a situation of competition. This is undoubtedly an incentive and a change for the mobile phone market. We look forward to Huawei and Honor making more contributions and innovations in their respective fields to bring better products and experiences to consumers."

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