Huawei predicts it will lose $30bn in revenue over the next two years as a result of its US ban.
Ren Zhengfei, the founder and chief executive of the Chinese smartphone manufacturer, said its revenues will drop from $107bn to $100bn this year, as a result of its listing on the US entity list.
The list bans the Chinese company from buying US-made technology, which includes the software and microchips Huawei uses for its smartphones and infrastructure systems.
“We didn’t expect the U.S. to attack Huawei with such intense and determined effort. We are not only banned from providing targeted components but also from joining a lot of international organizations, collaborating with many universities, using anything with American components or even connecting to networks that use American parts,” said Ren, speaking at an event this week at Huawei’s Shenzhen headquarters.
He said the company’s phone sales overseas had fallen 40% over the last month but assured the crowd Huawei’s output would be restored by 2021.
“We are like a damaged plane that protected only its heart and fuel tank but not its appendages. Huawei will get tested by the adjustment period and through time. We will grow stronger as we make this step.”