Chinese tech giant Huawei profit surges 564%, biting into Apple sales

Tech giant Huawei's first-quarter profits surged over fivefold year-on-year, a company filing showed Tuesday, as the U.S.-sanctioned firm continues a rebound and bit into competitor Apple's sales in China.

Beautiful!!!..

This is the proof that silly US sanctions against the rest of the world never worked...

Well done Huawei..

Well done China..

Beautiful!!!..

Because you live in Japan. If you live in China, you'd wish Huawei had never existed. Of course Huawei would have increased profits, that massive surveillance apparatus has to be paid for - BY CHINESE TAX PAYERS.

https://en.m.wikipedia.org/wiki/Mass_surveillance_in_China

@Sh1mon M4sada Did you ever notice how practically all the crime suspects in Japan are identified by surveillance cameras? It's makes one (or some of us at least) think.

@Sh1mon M4sada Did you ever notice how practically all the crime suspects in Japan are identified by surveillance cameras? It's makes one (or some of us at least) think.

Yeah, but Japan doesn't have a social credit system, nor a disappearing regime. You know as well as any Chinese citizen knows, Chinese surveillance is pure political suppression. If the system is used even remotely for the good of the people, we wouldn't have rampant illegal activities in China.

Absolutely agree with TokyoLiving, US sanction are only some selfish tools to protect American industries. Totally wrong and hypocrite concept brought forward from the Washington administration with no legal base.

Yet we all buy iPhones and the Chinese would too if the phones didn’t cost them at least 3 months salary.

Absolutely agree with TokyoLiving, US sanction are only some selfish tools to protect American industries. Totally wrong and hypocrite concept brought forward from the Washington administration with no legal base.

Only if you are seeing it from CCP peephole. The Pax America post WW2 order has lifted billions of people out of poverty and improved their standard of living on multiple continents, including and especially Chinese people. All peacefully, AND without suppression of freedom.

The CCP wants to upend this to save themselves, first at the expense of Chinese, and given a chance, everyone else it can reach.

Look at Europe, Japan, SK, Taiwan, under Marshall plan all have peacefully rise to build household names in business, tech and energy.

On the other hand CCP China can barely have one brand of recognised power tools, and the successes like Huawei has been dragged deep into CCP politics that it will never ever be a Siemens, Bosch, Fujutsu, or Cisco. Ever. Same with CCP autos, even before we have a Chinese Honda, the entire industry is already marred on two continents, 3 if you count India as well.

The CCP is willing to make all sacrifices to roll Pax America, and Huawei is forced to help them, by law.

https://asia.nikkei.com/Politics/China-enlists-Tencent-Weibo-and-Douyin-to-protect-state-secrets

Add tencents, weibo....to the list. I guess that's why the CCP needed to see Musk this week, all the posts on weibo are archived on X, LOL.

The United States has urged allies to follow its lead in banning Huawei's 5G technology from domestic telecommunications networks, arguing that China could use it to monitor communications and data traffic in other countries.

Rather, it’s because Huawei has its own complete system. The only other that has this is Apple: Chips, the OS, Cloud Services, and the GPU.

The Chinese owner of TikTok would rather shut down than sell TikTok. They are serious and not bluffing. The proverb it is better to be a precious jade 翡翠 and be broken into pieces than to be a lowly tile and be preserved comes to mind.

Selling TikTok would mean the US can bully every Chinese company doing Business in USA to divest or leave. They can do that to Japanese and French companies back in the 80’s but the Chinese don’t have a complex with the Americans like the Japanese do. You just say no.

There are laws about transfer of IP or IP licenses belonging to Chinese entities without permission of the government and so selling TikTok isn't an option.

With Huawei which preceded the Tik Tok talk, Apple feels the pressure. Tim Cook knows that ultimately the chip is not going to decide phone sales.

To the average user, there is very little difference between a 3nm process chip and a 7 nm process chip.

Ultimately it's INNOVATION and here Huawei is scoring points after points.

Of course, it does! Chinese factories monitored by the CCP can stifle Apple growth by suppressing or delaying any Apple technology that needs to be manufactured in China. Also, Apple has to provide some of its upcoming tech to China to continue to operate in China.

All that is funneled into Chinese ran tech companies friendly with the CCP with a little kickback on the side.

Selling TikTok would mean the US can bully every Chinese company doing Business in USA to divest or leave

Seeing from CCP peephole, sure. From rest of world eyes, it's more like tthat the CCP can make laws to make any Chinese company serve its interest, even outside China. This is unique.

Don't forget the CCP has already blocked western internet media from operating there, years ago, eg no google in China.

IMHO, you will find reciprocity will be rolled out more and more over time. There are already EU countries that wants to reciprocate security laws (yeah not just economics).

TokyoLivingToday 07:05 am JST

This is the proof that silly US sanctions against the rest of the world never worked...

No, it's not "proof," as the US's actions weren't designed to impact the domestic market for consumer-grade goods. Even the inveterate pro-CCP quercetum notes "To the average user, there is very little difference between a 3nm process chip and a 7 nm process chip."

The US's actions -- and, increasingly, those of the EU and others who wish to stop China's nefarious behavior -- impact China's operations outside its country, and its high-end tech both inside/outside.

quercetumToday 10:03 am JST

Ultimately it's INNOVATION and here Huawei is scoring points after points.

There's nothing innovative about producing stuff cheaply through massive state subsidies, market manipulation, and forced labor.

UAfanToday 08:42 am JST

when antichinese hysteria and sanctions "works well" Isabelle do you hear me???

Yes, I hear your dulcet, pink tones loud and clear.

This is the proof that silly US sanctions against the rest of the world never worked...

Then there isn't any reason to worry about them is there.

...is there?

I bought a Huawei P40 Pro when it came out at 1/3 of the cost of an iPhone with way more features and higher specs. Still using it today and couldn't be happier. The banned Google apps is actually a plus but I know most people could not live without them...

The US government trying to ban foreign companies as if they were the bullies of the World (they are) didn't work and it will never work.

The US government trying to ban foreign companies as if they were the bullies of the World (they are) didn't work and it will never work.

Then no biggie if they try, right?

Although I wonder why you're even complaining if it doesn't and will never work. Is it just me, or is there a discrepancy there between what you're saying, and what you're saying?

Net profit in the January-March period amounted to $2.7 billion, up 564 percent from the first quarter of last year, according to a results filing by Huawei's holding company

It's because Huawei had a bad year last year, so 564% profit on $2.7 billion profit

Same thing in the other article with Samsung's 931.8% profit increase to $4.85 billion

https://japantoday.com/category/tech/samsung-says-q1-operating-profits-soar-nearly-tenfold-on-year

Samsung Electronics said Tuesday that its first-quarter operating profits had risen nearly tenfold year-on-year -- a 931.8 percent increase -- amid recovering chip prices and growing demand. "Operating profit increased to KRW 6.61 trillion ($4.85 billion) as the Memory Business returned to profit by addressing demand for high value-added products," it said in a statement.

But compare to the profits like:

https://japantoday.com/category/tech/amazon-reports-strong-1q-results-driven-by-its-cloud-computing-unit-and-prime-video-ad-dollars

$10.43 billion

The Seattle-based e-commerce giant said it brought in $143.31 billion in revenue in the first three months of this year, a 13% jump compared to the same period last year. Net income came out to $10.43 billion

https://japantoday.com/category/tech/google-parent-alphabet's-q1-profits-beat-estimates-company

$23.7 billion

Alphabet reported profit of $23.7 billion on revenue of $80.5 billion

https://japantoday.com/category/tech/meta-sees-profits-soar-in-first-quarter

$12.4 billion

The company founded by Mark Zuckerberg said that net profit in the January to March period rose to $12.4 billion with total revenue, mainly from selling ads, up an impressive 27 percent, at $36.5 billion.

https://www.thurrott.com/microsoft/301434/microsoft-earnings-beat-all-expectations-as-ai-bet-pays-off

$21.9 billion

Microsoft announced that it earned a net income of $21.9 billion on revenues of $61.9 billion in the quarter ending March 31. Those figures represent dramatic growth over the same quarter one year ago, with net income up 20 percent and revenues up 17 percent.

Such companies makes multitudes more profit

The US government trying to ban foreign companies as if they were the bullies of the World (they are) didn't work and it will never work.

Don't talk about banning when China bans foreign businesses all the time:

"Apple pulls WhatsApp and Threads from App Store on Beijing's orders"

https://japantoday.com/category/tech/apple-pulls-whatsapp-and-threads-from-app-store-on-beijing%27s-orders

And Beijing requires foreign businesses to partner up with local Chinese companies, with the foreign company owning minority 49%, while the Chinese company controlling majority 51%

China always says foreign companies have to follow local laws. Well then, Chinese companies have to follow the local laws of other countries - even if that local law means banning Tiktok if they don't sell

China can't complain when they are the bullies

Yes profits are up if you are forced to purchased what you don't want and the last alternative to nothing!

Sales are up because Chinese are patriotic and see the US policies for what they are, economic warfare.

Sh1mon M4sada

May 1 09:37 am JST

Absolutely agree with TokyoLiving, US sanction are only some selfish tools to protect American industries. Totally wrong and hypocrite concept brought forward from the Washington administration with no legal base.

> Only if you are seeing it from CCP peephole. The Pax America post WW2 order has lifted billions of people out of poverty and improved their standard of living on multiple continents, including and especially Chinese people. All peacefully, AND without suppression of freedom.

Good example is Iraq the US has relieved hundreds of thousands of them Iraqis of their misery. They're at peace now.

kaimycahl

May 1 09:58 pm JST

Yes profits are up if you are forced to purchased what you don't want

Really amazing what people's minds can come up with.

How do you suppose Huawei force people to do that?

ianToday 01:37 am JST

Good example is Iraq the US has relieved hundreds of thousands of them Iraqis of their misery. They're at peace now.

Iraq is pumping more oil now than under Saddam Hussein and I'll wager the Kurds and Shias are happier at least.

On the Linux kernel banter, 'apparently' google is dropping Android Common Kernel support for RISC-V. This would be a 'big' deal if true, Huawei is relying on RISC-V for much of its 5G IoT and chipmaking independence from US sanctions (because RISC-V is open source).

IMHO, the sooner the CCP is rolled, the better for Chinese people, businesses and the global free and democratic rules based community.