Huawei is the top smartphone vendor in China. But its sales have been under much pressure, first from the US trade ban, and now the coronavirus outbreak that has promised to dampen 5G phone replacement demand. Huawei is set to see major impacts. But construction of 5G infrastructures continues despite the outbreak. IC distructors expect the order momentum for chips and components used in 5G base stations to last for at least 2-3 years. And even Huawei's supply chain partners have asked optical components suppliers to deliver shipments as soon as they resume production next week.
Huawei facing extra pressure on smartphone sales: Huawei is facing added pressure on its smartphone sales in 2020 as rising handset inventory levels in China's channels are being compounded by the coronavirus outbreak, according to sources at Taiwan's handset supply chain.
Chip demand for 5G infrastructures remains significant: Taiwan-based IC distributors WPG Holdings and WT Microelectronics, despite the coronavirus outbreak in China, continue to see significant demand for chips and components used in 5G base stations and infrastructures, and such momentum is expected to last at least 2-3 years, according to industry sources.
Optical devices makers asked to step up shipments for China 5G base stations: The locakdown of Wuhan, the epicenter of coronavirus outbreak and China's production hub for optical communications components, may dent the construction of 5G base stations in the country, but Taiwan's optical semiconductor devices makers have been asked by their Chinese clients in the supply chain of Huawei to deliver shipments soon after they resume operations on February 10, according to industry sources.
