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Honor Device Co. - Chinese manufacturer of mobile devices, laptops, TVs, wearable electronics (smartwatches, fitness bracelets).
History
2024: China Mobile bought control at Honor
On August 23, 2024, smartphone maker Honor announced an investment from China Mobile Communication, China's largest mobile operator. The amount of funds received as of the specified date was not disclosed.
Honor, a former unit of Huawei, is preparing for an initial public offering (IPO). The brand is said to receive "unusually high levels of support" from the Shenzhen government in southern China, including research and development funding as well as tax breaks. Honor plans to increase the annual volume of smartphone shipments to 100 million units by 2026, which will correspond to an increase of 75% compared to 2023. And in 2028, the company intends to enter the top three world manufacturers of cellular devices.
According to Bloomberg, the operator China Mobile has acquired a stake in Honor. In the second quarter of 2024, according to Canalys, the Honor brand ranked third in the ranking of leading smartphone suppliers in China with a share of about 15%. Thus, investments in this company open up new opportunities for China Mobile in terms of expanding its presence in the Chinese mobile device market. This is especially important given that the relevant industry in the PRC is beginning to recover from the crisis provoked by the COVID-19 pandemic.
 | Both parties will take full advantage of their benefits and jointly provide consumers with the best products and services, including innovative experiences, Honor said in a statement. |  |
According to Bloomberg Intelligence analysts Marvin Lo and Chris Muckensturm, average income per mobile user for Chinese operators is falling, subscriber growth is low, and demand for digital services is slowing. In such a situation, the partnership of China Mobile and Honor will play into the hands of both companies.[1]
2023: Xiaomi and Honor recruit employees to Moscow offices for media advertising
At the end of January 2023, it became known that Xiaomi and Honor resumed recruiting to their Russian offices. In particular, Chinese smartphone manufacturers are looking for specialists in the purchase of advertising in the media and from bloggers. Read more here.
2022: Stopping direct supplies to Russia amid conflict in Ukraine
The Chinese manufacturer smartphones Honor has suspended the official supply of devices in. Did Russia To Ukraine not make official statements about leaving the Russian market against the background of the special operation of the Russian Armed Forces on Honor, but the supply of the manufacturer's devices to Russia stopped in March 2022 wrote. "Sheets
According to sources, the company wants to import products into Russia using parallel imports. For this, Honor has already concluded agreements in Uzbekistan, and is also looking for partners in Armenia and Georgia.
2020: Shenzhen Zhixin New Information Technology buys Honor brand
On November 17, 2020, Huawei announced the sale of its Honor brand, under which the company produces smartphones, tablets, fitness trackers and other consumer electronics. The corresponding division is bought by the new company Shenzhen Zhixin New Information Technology, created by more than 30 agents and dealers (among them - Shenzhen Smart City Development Group and telecom operator China Telecom).
The financial terms of the transaction were not disclosed. The Huawei report refers to the "enormous pressure" faced by the company's consumer business. This pressure is due to the "inaccessibility of the technical components needed in the production of our mobile phones," and the sale of Honor will help "sellers and suppliers through a difficult time."
According to Reuters, most likely, Huawei is referring to the sanctions that the US authorities imposed against the company, calling it a threat to national security. According to the agency, the Honor brand can be sold for more than $15 billion. The company itself does not comment on this information and only says that Huawei will completely withdraw from Honor's capital and will not participate in the management of the relevant business.
Shenzhen Zhixin New Information Technology will receive all Honor-related assets, including research, development and betting chain resources. At the same time, the company will retain the entire staff of Honor, which by November 17, 2020 has more than 7 thousand people. Within three years, the company is expected to go public.
According to the Gizmochina portal, Shenzhen Smart City Development Group, which became one of Honor's buyers, is a subsidiary of the Shenzhen State Property Control and Management Committee (China), it holds 98.6% of the consortium's shares.
Analysts estimate Canalys Honor devices accounted for 26% of smartphones Huawei's 51.7 million shipments in the third quarter of [2]
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