Fact Check: Huawei trying to venture into making EV? The company says otherwise

Many reports have claimed that Huawei aims to venture into the EV segment. Media reports claim that after the fallout if Huawei from US sanctions, it plans to make electric vehicle. According to a GadgetsNow report, Huawei is in talks with Changan Automobile and other automakers. The company aims to sell car plants to help make EVs. Further, it stated that it is also in discussions with Beijing-backed BAIC Group's BluePark New Energy Technology to manufacture its EVs.

According to a Reuters report, Richard Yu, head of the Chinese telecom equipment maker’s consumer business group will head the EV project. Now, Yu has been an important part of Huawei’s smartphone offerings. If the reports are correct, it would be a major strategic shift for Huawei; after nearly two years of the US cut its access to key supply chains.

The EV sector is indeed a hot market for anyone wishing to make a strategic investment. For example, Apple, with its Project Titan, is pursuing making a smart car. Automobile giants like Tata and Mahindra are also looking to come out with EVs as India is a booming market. Further, Huawei is a popular brand in China. Its venture into the EV segment can prove a strategic business opportunity, and also a profitable one.

However, this is not the entire truth

A Huawei spokesperson denied the company plans to design EVs or produce Huawei branded vehicles. He said, “Huawei is not a car manufacturer. However, through ICT (information and communications technology), we aim to be a digital car-oriented and new-added components provider, enabling car OEMs (original equipment manufacturers) to build better vehicles.”

Trump had banned the company over its Chinese Origins, data-selling and many wrongdoings. With Joe Biden in the driver's seat now, the tech giant may have a chance to come back into the sector.