Over the past few years, Huawei’s business has been facing some tough times as a result of US relentless sanctions. But now the Chinese tech giant is making a comeback that is shocking to the tech industry despite all the obstacles in their way. Analysts are now pointing out the possibility of Huawei’s business outperforming Apple in the coming year.
Some might not see this being possible, because Huawei’s business has seen little growth over the past few years. On the other hand, Apple has been in a growth frenzy with each new launch and product announcement. The US sanctions on Huawei are also a deterring factor to the growth of the Chinese tech giant’s business, but there are a few factors to consider before drawing any conclusion.
Despite the US sanctions, Huawei has found an effective walkaround to access equipment necessary to develop its in-house chips. Aside from the fact that the US sanctions are no longer holding down Huawei’s business, there are rumours that the firm is going public soon. There were also analyses by industry experts that Huawei’s business can be worth over $1.3 trillion.
This analysis was done a few years ago, and Apple was valued at $1 trillion at that time. Now Apple is worth over $3 trillion and by going public Huawei’s business worth might grow. For instance, SMIC, the company Huawei works with for chip development, saw similar growth after going public.
Back in 2019, SMIC’s business had a at $6 billion valuation and after going public in Shanghai its value rose to $30 billion. Huawei might see similar growth if they go public with investors buying into their business, hence driving growth. By next year, netizens might be able to purchase Huawei stocks from China’s domestic exchange markets, hence creating room for Huawei to surpass Apple.