Huawei's Erstwhile Revenue Trajectory Shows Reversal Amid US Sanctions - Samsung Electronics Co (OTC:SSNL

• Huawei Technologies Corecorded its second straight quarter of higher revenue during the third quarter, reflecting signs of stabilization following years of U.S. embargo on sales of its telecom equipment.
• Revenue at the Chinese telecom giant rose 6.5% to 144.2 billion yuan, or $20 billion, during the third quarter compared with a year ago,WSJreported.
• Huawei's main business line selling telecommunications equipment grew, while a longtime decline in its consumer-device business had slowed.
• The results marked a reversal from more than a year of dwindling revenue driven by plunging smartphone sales and restrictions on sales of its telecom equipment.
• The U.S. embargo ruined the company's smartphone business, its primary revenue driver. It has also dented itsbusiness of selling telecom equipment.
• Huawei developed an array of new business lines less dependent on chips like cloud-computing services, autonomous-driving components, smartphone software, and consumer gadgets like smartwatches and tablets, the report added. However, the new businesses failed to offset the steep drop in smartphone sales.
• Huawei also invested heavily in China's fast-growing chip-manufacturing industry via its investment arm Hubble Technology Investment Co.
• The U.S. has long viewed Huawei as a national-security threat and has said Beijing can use Huawei equipment to spy,which the company denied.
• Huawei sold some businesses, including its Honor brand of budget smartphones, to cope with the restrictions on its access to chips.
• Huawei aimed to relaunch 5G phones by 2022 to overcome the U.S. sanctionsand win back market share.
• Huawei reworked its phones to use less advanced chips made by Chinese companies that will enable 5G.
• In September, Huawei launched its latest flagship smartphone with satellite communications capabilities, ahead ofApple IncAAPL andSamsung Electronics Co, LtdSSNLF.
• Price Action:AAPL shares closed lower by 3.05% at $144.80 on Thursday.

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