Best Buy Latest to Abandon Huawei

Best Buy Latest to Abandon Huawei
The giant retailer is the latest company to shun the Chinese manufacturer.

(CCM) — Best Buy has decided to stop offering Huawei smartphones for sale at its stores, according to a report in the Wall Street Journal. The move is likely a result of U.S. intelligence leaders advising against buying handsets made by Huawei and fellow Chinese smartphone company ZTE due to security concerns.

Best Buy's decision will be another hammer blow to the company's aspirations to win significant market share in the U.S., following AT&T's decision to drop its plans to sell Huawei handsets.

President Trump also recently gave a red light to a proposed takeover of U.S.-based chip-maker Qualcomm by Singapore-based Broadcom over concerns that the deal might put Qualcomm's edge over Huawei in wireless technology research into doubt, the report says.

Huawei has the third largest market share of the global smartphone market globally after Apple and Samsung, but in the U.S. it commands a market share of just 0.2%, ranking it in 14th place. (Huawei also has a low end brand called Honor in the U.S. which has a 0.1% market share.)

Huawei denies that it or its products pose a threat to U.S. security and says that it is employee-owned. It's founder, Ren Zhengfei, was once a telecom technician in the People's Liberation Army in China.

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