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Huawei is interested in pig breeding and coal mines amid falling sales of smartphones
Huawei is looking for other revenue streams for its technology in response to declining smartphone sales. Along with the development of artificial intelligence (AI) for pig farmers, Huawei has also taken up the coal mining sector.
Woman Feeding Pigs in China (BBC)
Recall: US said Huawei could potentially share data about its customers with the Chinese government. Although the company has repeatedly denied these claims, it was banned from using American products and technologies. As a result, the world’s largest telecommunications equipment manufacturer can now only supply 4G equipment to many countries. And Huawei’s smartphone sales fell 42% in the last quarter of 2021 as companies cut off access to advanced manufacturing as a result of sanctions. Analysts suggest the company will cut its smartphone production by 60% this year.
Now Huawei appears to be looking for other revenue streams in cloud computing, smart cars and wearables. The company even has plans to build its own car. But the tech giant is also focusing on a number of more traditional industries.
China has the world’s largest pig industry, with half of the world’s pigs being raised in the country. Technology helps modernize pig farms with AI for disease detection and pig counting. For example, face recognition technology is able to identify individual pigs, while others control their weight, diet and other parameters.
Other Chinese tech giants including JD.com and Alibaba are also working with pig farmers in China to introduce similar innovations. “Pig farming is another example of how we are trying to revitalize some traditional industries with information and communications technology to drive profits across industries in the 5G era,” a Huawei spokesperson told the BBC.
Huawei Intelligent Technology Car Prototype (BBC)
Also earlier this month, Huawei Founder and CEO Ren Zhengfei announced the establishment of a mining innovation lab in northern China’s Shanxi province. The manager wants to develop technologies for coal mines that will allow fewer workers to be employed in hazardous fields, and increase labor safety and efficiency. The CEO wants the miners of the future to wear casual business suits and ties at work.
Ren added that the company is also stepping up its activities in consumer electronics such as TVs, computers and tablets. “We can still survive without even relying on phone sales,” the executive said, adding that he considers the likelihood of the United States lifting sanctions on Huawei unlikely.