How to stop the bleeding and get back on track must be on the mind of Huawei’s top executives. Earlier this year President Donald Trump signed a huge bill banning ZTE and Huawei’s technology in the country, and now as if things couldn’t get any worse Huawei CFO Meng Wanzhou has been arrested in Vancouver, Canada.
According to reports, Wanzhou who is Huawei’s deputy chairwoman and the company’s chief financial officer is facing extradition to the United States very shortly.
These are indeed troubling times for Huawei who is trying to make inroads into the North American market with their mobile phones but is currently facing speed bump after speed bump.
It’s a bit unclear about the exact nature of the situation, but it is said Wanzhou Meng is suspected of violating trade sanctions imposed by the U.S. It’s alleged that she has somehow allowed Huawei to continue doing business with Iran, bypassing the imposed embargo.
I suspect there will be more information after Friday’s bail hearing about the situation.
It’s a tough go for the tech giant, as the CFO is usually the person that handles all of a company’s finances.
A lot of times, you will find that within a major company, it is the CFO who gets promoted to the office of a CEO.
In a nutshell, Huawei came out with a statement saying that it doesn’t even know much about the charges against Meng Wanzhou and that it expects that justice will prevail on behalf of the company.
Huawei might not be as well known here as it is in its own country, China. But the company has been turning out hits such as the Huawei P20 Pro, and Mate 20 Pro smartphones, and also the Matebook series of laptops which some would argue is a direct clone of the MacBook Air.
Whatever your opinions of the company, there’s little doubt of its massive popularity in Asian markets. And as a matter of fact, Huawei is the second largest manufacturer of smartphones in the world with a telecommunications network that spans the globe.
Because of its dominance as a Chinese company, there are looming suspicions that China may enforce rules upon the tech giant to use its vast array of technologies to spy on the American people and the government.
As a precaution, President Trump and his administration are keeping a very close eye on Huawei.
Huawei CFO Meng Wanzhou may have to answer to a string of accusations about the company’s dealing with Iran who already is facing U.S sanctions.
It will be interesting to see how this all plays out for the 2019 lineup of smartphones. We are expecting the much-anticipated Huawei P30 the successor to this year’s P20 and P20 Pro, and not to mention the company’s upcoming foldable phone.