Ren Zhengfei, CEO and founder of Huawei Technologies Co Ltd. announced that the company has been producing 5G base stations that have no U.S. components and plans to double production in 2020. Starting in October, the company plans to produce 5,000 5G stations a month and plans to create a total of 1.5 million stations, Zhengfei said.
The United States has blacklisted Huawei over worries that Beijing may use the company’s equipment to spy. The company has denied these allegations numerous times but took steps accordingly to minimize the impact of the blacklist. Sanctions by the U.S. have denied Huawei, necessary technologies. The company’s latest model of the Mate 30 phone that was revealed last week in Europe will not have Google Mobile Services implemented. “We carried out the testing in August and September, and from October on we will start scale production, at 5,000 units a month,” Ren said. “So our production capacity this year will be 600,000 and we expect that figure to go up to 1.5 million next year.”
Zhengfei expressed his interest in continuous use of U.S. components due to “emotional ties” with long term dealings with U.S. suppliers. Previously this month, Zhengfei stated that he was open to selling the company’s 5g technology for a one-time fee. It is expected to reach a USD 10 Billion deficit in revenue from its phone business due to the U.S. trade ban.