China-based telecom giant Huawei has kept up a dizzying pace of growth in recent years as it expanded its offerings globally, but it suffered a rare slump in 2020 as U.S. sanctions and COVID-related supply chain restrictions took a significant chunk out of its revenues.
Despite the hit to its business, the company has not yet engaged in talks with the Biden administration about trying to resolve the trade tension between China and the U.S., which has placed tech companies such as Huawei at the center of the debate.
"We're not having any conversations as yet with the Biden administration," Andrew Williamson, vice president of global government affairs and economic adviser for Huawei, told Cheddar. "We know this is a very new administration. They have many issues to tackle."
Williamson also stressed that while 2020 was a rough year for Huawei, and most other companies, the decline in revenue was relative to an overall strong year for the company.
"I think the upside is that, you know, despite facing multiple headwinds, the company was able to grow by 33.8 percent year-on-year in terms of total revenue, and profits were up also at 3.2 percent, reaching just under $10 billion U.S. dollars," he said.
He said this growth is a testament to the company's resilience, and in particular to the strength of its enterprise business group and cloud computing division, which grew 23 percent last year. As the pandemic accelerated companies' digital transition, Huawei reaped the benefits.
"We've seen through the pandemic this great acceleration of trends that were already apparent, and a lot of it is about digital transformation for businesses," Williamson said. "We see enormous potential here as a world-leading supplier of hardware and also services for cloud computing."
The U.S. has placed this business model in jeopardy, however, with export rules designed to cut off Huawei from crucial semiconductors. This has hammered the company's smartphone business and its efforts to build 5G infrastructure around the world.
"We've always been very open to any conversation to resolve these issues," Williamson said.
The company nonetheless has continued to bring 5G to other countries, despite efforts by the U.S. to contain the company's global ambitions.
"We're still doing really well internationally," he added. "Generally, the prospects, the potential for us still looks pretty good on 5G infrastructure."
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
Starbucks’ AI barista aims to speed service and improve experience. Nick Lichtenberg, Fortune Business Editor, explains its impact on workers and customers.
As Big Tech reports Q3 earnings, investors await proof that massive AI and cloud investments from Meta, Apple, Microsoft, and Alphabet are driving real growth.
