Why did mobile phones become Huawei s pillar business?

Mobile phones have become Huawei's pillar businessHuawei's 2020 semi-annual report shows that the consumer business is the company's largest revenue**, with 255.8 billion yuan of revenue accounting for a high proportion of overall revenue

Huawei's 2020 semi-annual report shows that the company achieved sales revenue of 454 billion yuan, a year-on-year increase, and the net profit margin was. Among them, the revenue of consumer business was 255.8 billion yuan, a year-on-year increase; Operator business revenue was 159.6 billion yuan, a year-on-year increase; Enterprise business revenue was 36.3 billion yuan, a year-on-year increase.

As a supporting department of Huawei,The consumer business is still the company's largest revenue**, with 255.8 billion yuan of revenue accounting for a high proportion of overall revenueIn 2019, the consumer business accounted for a percentage of overall revenue, and in 2018, this figure was:

In the domestic market, Chinese consumers have given Huawei the greatest support, as can be seen from the data released by third-party market research institutions in the first quarter of this year. According to IDC's domestic mobile phone shipment report in the first quarter, in the first quarter of this year, China's smartphone market shipped about 66.6 million units, a year-on-year decrease, and Huawei shipped 28.4 million units in the first quarter, ranking first, and its market share increased from the same period last year

In April this year, Huawei's mobile phone market share in China further reached 44%, which is 4 percentage points higher than the combined market share of Xiaomi, OPPO and vivo of 40%.

Mobile phones have become Huawei's pillar business because Huawei's mobile phone sales have grown rapidly in recent years and have become Huawei's largest business category in terms of sales.

Mobile phones have become Huawei's pillar business, and that is because Huawei's mobile phones are good and have large sales, so they can become Huawei's pillar business.

Huawei's words, he was originally a company, and the mobile phone became a lot of profit for Huawei, and that was its own 500

Because the mobile phone business has slowly occupied half of Huawei's business, it can now be considered that mobile phones are Huawei's pillar business.

It shows that Huawei's other businesses have been greatly affected, and the mobile phone business accounts for a large proportion of revenue.

Mobile phones have become Huawei's pillar business, which has two impacts on other brands of mobile phones. First of all, the impact of technology, many domestic mobile phone manufacturers have also begun to pay attention to independent product development and production, and have also begun to tend to use Chinese technology, so as to promote China's scientific and technological development. The second is that domestic mobile phone brands have also begun to be promoted in more fields, which is also an influence.

It will compress the living space of other brands' mobile phones, but it will also promote other brands to make more competitive mobile phones.

This incident has two effects on phones of other brands. On the positive side, this can encourage other mobile phones to improve their services and accessories, and improve their ability to innovate independently. On the other hand, this has some impact on the market share of other brands of mobile phones.

Huawei's pillar industry is his communication equipment and technology, mobile phones are just an incidental industry, of course, Huawei's mobile phone industry is also developing well, so it will also affect the sales of other brands of mobile phones, the market is like this, see who has better mobile phone quality and better service.

Huawei Mobile Phone: As one of Huawei's three core businesses, Huawei's consumer business began at the end of 2003 and has set up 16 R&D centers in China, Russia, Germany, Sweden, India, and the United States after more than ten years of development. In 2015, Huawei was selected as one of the top 100 most valuable brands in the world by Brand Z, ranking 16th among brands in the technology field.

In 2018, Huawei expects to achieve sales revenue of US$108.5 billion, a year-on-year increase of 21%, and the mobile phone business will ship more than 200 million units and generate revenue of more than US$50 billion, which has surpassed the carrier business and become Huawei's main business.

Back in 2008, Huawei even wanted to sell its mobile phone business, but it encountered a financial crisis and did not succeed. So how did Huawei mobile phones develop?

1. Huawei is firmly in the first position in the communication equipment market.

Before 2017, Ericsson's communication equipment market share ranked first in the market, but with the expansion of Huawei's technology competition and market competitiveness in recent years, its market share has been increasing. In 2017, Huawei's global sales revenue reached 603.6 billion yuan, an increase of 15.7 from 521.6 billion yuan in 2016. Net profit was 47.5 billion yuan, a year-on-year increase. In that year, Huawei surpassed Ericsson, with a market share of 28%, becoming the world's largest telecommunications equipment manufacturer.

According to foreign media market research data in the first three quarters of 2018, Huawei's market share of communication equipment has exceeded that of Nokia and Ericsson combined.

2. The mobile phone business accounts for more than half of the total, becoming Huawei's main business.

In 2017, Huawei's revenue was 603.6 billion yuan, or about 92.5 billion US dollars. For the first time, the proportion of Huawei's carrier business fell below 50%.

Operators' business revenue was 297.8 billion yuan, a year-on-year increase of 3%, contributing 49% to the overall revenue, which was the first time that it fell below 50%. consumer business revenue was 237.2 billion, a year-on-year increase of 32%, accounting for 39% of revenue; enterprise business was 54.9 billion, accounting for 9%.

Obviously, the carrier business has not grown much in 2017. Huawei's mobile phone business continued to grow at a high rate in 2018, from shipments of 100 million units in 2017 to revenue of 236 billion yuan, an increase of more than 50%, and shipments exceeded 200 million units, with revenue exceeding 50 billion US dollars. Huawei's sales revenue in 2018 is expected to reach US$108.5 billion, a year-on-year increase of 21%, and the mobile phone business has become Huawei's main business.

Now the development of Huawei mobile phones is mainly chips. At present, chips are mainly imported from foreign countries, and China is still developing its own chips, and now progress has begun to appear.