Huawei has been having a rough time since last year as the company struggles to source hardware after the US government banned the company from trading with US-based companies.
However, the increasing trade tensions between the US and China has worked in favour of Huawei as the company briefly became the world’s largest smartphone brand. According to the latest data from Counterpoint Research, Huawei overtook Samsung in April 2020 to grab a 19% share of the global smartphone market. Samsung’s share dropped to 17% during the same time due to the coronavirus pandemic. While the increase in market share is welcomed, it won’t last long as the US government has banned Huawei from gaining access to Google’s services and has asked TSMC to stop sourcing chips to Huawei.
This will be a troubling sight for Huawei as the company will lose access to the flagship chips manufactured by TSMC. These parts are used by other companies which will put Huawei at a disadvantage.