In the middle of last month, there were reports that Huawei wanted to sell the smartphone part of its Honor division. Although the Chinese smartphone giant immediately denied such a thing, now another report has appeared that confirms the previous ones, and it is even supposed to be a "hand in the sleeve". According to her, Huawei intends to sell this part to the Chinese consortium Digital China (previous reports also mentioned it as a possible interested party) and the city of Shenzhen, which has been profiled as "China's Silicon Valley" in recent years. The value of the transaction is said to be 100 billion yuan (roughly 340 billion CZK).
According to Reuters, which came up with the new report, the astronomical amount will include both research and development and distribution departments. The report only mentions Honor's smartphone division, so it's unclear if the sale includes other parts of its business.
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The reason why Huawei would like to sell part of Honor is easy - it relies on the fact that under the new owner the US government would remove it from the sanctions list. However, given how closely connected Honor is to Huawei technologically, that doesn't seem very likely. It is not even likely that the new US President Joe Biden will be more accommodating to Huawei's business, if only for the reason that before the presidential campaign he called on US allies for more coordinated actions against China.
The Reuters report notes that Huawei could announce the "deal" as early as November 15. Neither Honor nor Huawei refused to comment on the matter.
