China's leading smartphone manufacturer, Huawei is reportedly selling its smartphone unit, Honor, to Shenzhen Zhixin New Information Technology.
Shenzhen Zhixin New Information Technology is a new material company established for the purpose of purchasing Honor.
The company is a consortium consisting of 30 ejen and salesman of Honor in addition to involving the Shenzhen Smart City Technology Development Group which is supported by the Chinese kingdom.
According to Huawei in one fact issued, Honor was forced to sell due to "lack of technical elements".
Huawei said, the company in question would not hold any shares or be involved in the management of Honor's new company.
“This sales move will help channel Honor sellers and suppliers in this difficult period.
"In addition, this step is being taken by the Honor industry chain to ensure its continuity," said Huawei, in addition to not stating the number of Honor sales.
According to Huawei, 70 million Honor smartphone units are sold annually in the markets of China, Southeast Asia and Europe.
The United States (US) is wearing a technology equipment barrier against Huawei as the allegation that the company threatens national safety but is often denied by the company.
Prior to this, the US Department of Commerce directed foreign semiconductor companies to obtain permits before selling chips to Huawei in case they were built or manufactured by US technology.
