Huawei has prioritized advancing its artificial intelligence (AI) chips, like the Ascend 910B, while manufacturing Mate 60 phones in at least one factory.
However, according to reports, the company’s output at the facility has decreased, prompting it to prioritize the production of AI chips.
Meanwhile, demand for Ascend chips, which support training AI models, has been boosted domestically. By postponing the engineering of chips for the Mate 60, Huawei can concentrate on enhancing the quantity of functional and marketable chips produced at the facility.
Moreover, a report shows that the tech giant outpaced Apple in phone sales in 2023 with the Mate 60, making reduced production a bold move and emphasizing AI’s significance.
Due to US export restrictions, Chinese AI firms face challenges obtaining in-demand AI chips like Nvidia’s H100. This has led the country’s AI developers to adopt local substitutes like Huawei’s Ascend 910B chip.
Beijing’s firms aim to establish a presence in the generative AI hype cycle but face a slight developmental drawback compared to the US.
Baidu and similar companies have introduced large language models (LLM) and chatbots to the public but haven’t achieved the same scale as OpenAI’s ChatGPT or Google’s Bard.
China has pioneered AI policies, requiring companies in AI development to undergo approval before public product releases.
China’s Mobile Market Dominated by Huawei, Outpacing Apple
Huawei prevails in China’s smartphone market amid US sanctions and Apple’s solid competition, highlighting the significance of brand loyalty among consumers.
According to a report, the Shenzhen-based tech giant has reclaimed its spot in Beijing’s phone market in early 2024.
The resurgence amplifies the rivalry for the 2023 market leader position, challenging Apple and other prominent mainland competitors in the world’s largest smartphone market.
Huawei’s achievement signals its comeback as country’s top smartphone seller post-Washington sanctions in May 2019, reaching a significant milestone.
Despite substantial setbacks from sanctions, Huawei’s handset business revived with strategic launches like Mate 60 Pro 5G and Harmony OS, its Android replacement feature.
Furthermore, strong brand loyalty among local purchasers has boosted the popularity of the firm’s latest 5G smartphones.
However, a report shows Huawei’s solid competition from Apple and other local suppliers like Xiaomi, Oppo, and Vivo, which keep dominating the smartphone market.
