China’s Huawei Technologies (HWT.UL) said on Thursday it will hold a media event to discuss new products on Sept. 25, fanning expectations that details about recently released smartphones will be revealed. It did not elaborate on what was expected to be announced. Still, Chinese business daily Yicai quoted sources saying the company would release more about its Mate 60 series mobile phones. Huawei started shipping its Mate 60 Pro smartphone at the end of last month and launched a foldable phone called Mate X this week. It has not done much advertising so far and has been tight-lipped about the technologies deployed in the devices.
The Mate 60 series is in the spotlight – both for its use of a China-made advanced chip and because it likely marks the first significant attempt by Huawei’s smartphone business to come back from crippling U.S. sanctions. The company has not publicly disclosed what the Mate 60 Pro chip is capable of, but third-party speed tests online suggest it can deliver 5G download speeds. Chinese state media also praised the phone as proof that the country can make technological breakthroughs without seeking foreign technology.
However, the phone still needs to be compatible with commercial 5G networks and does not support a feature allowing it to connect to them using 5G hotspots. The omission may be deliberate, as some analysts believe Huawei could reveal that the chips in the device are incapable of supporting the new standard.
Huawei’s upcoming announcement will be a chance to showcase its technology at a time of heightened US-China tensions, which are stoking fears of a trade war between the world’s two largest economies. The launch will also be a chance to see how the company’s phones fare against Apple’s in China, the world’s biggest smartphone market, where the government has expanded curbs on the use of iPhones by state employees.
The company may also take the opportunity to highlight its partnerships with industrial companies in China as it tries to show that the technology behind its mobile phones is essential for all aspects of people’s lives and businesses, from manufacturing to medical care. In a speech at the event, Huawei chief executive Ken Hu will say that the “digital revolution is transforming industries of all kinds and will continue to transform our daily lives.”
Investors will closely watch the event for signs of how well the phones sell in China. The company’s latest high-end models have already begun to gain market share in the Chinese domestic market, and a strong showing at this event could further dent Apple’s sheen in the country. It will also show investors how the company plans to adapt to future 5G network rollouts, requiring different components such as silicon and camera lenses. The company has previously indicated that it plans to adopt a flexible modular design for its upcoming 5G smartphones, making them easier to repair and upgrade as the industry transitions to the new standard.
