Huawei Considering Buying Nokia To Boost Its Smartphone Business
One of Huawei’s top executives has revealed that acquiring Nokia could help the Chinese company raise its profile in smartphones.
“We are considering these sorts of acquisitions; maybe the combination has some synergies but depends on the willingness of Nokia. We are open-minded,” Richard Yu, CEO of Huawei’s consumer unit said.
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Nokia shares briefly jumped nearly 12% Tuesday after the report. A Huawei spokesperson declined further comment. But to be clear, it sounds like Yu was just speculating and wasn’t talking about a specific deal that’s in the works.
Huawei is the world’s biggest selling of telecom equipment but has a much smaller mobile business. It was the world’s fourth-largest smartphone vendor in Q1 with 4.6% market share, according to IDC. Huawei’s mobile business is on the rise: Its smartphone shipments grew 94% compared to last year’s quarter, compared to 60.7% for number one Samsung, IDC said.
Huawei has been selling inexpensive phones in China for years. The company launched its Ascend P6 smartphone at a glitzy launch event Tuesday in London, billing it as “the world’s slimmest.”
Source: Business Insider