Huawei chip reveal breaks 5-year silence amid US sanctions

For five years, Huawei operated like a technology ghost ship – its processors powered millions of smartphones while there was silence in the industry about all things specification-related and the Huawei chip. That era of secrecy has ended with the Pura 80 launch, where the Kirin 9020 system-on-a-chip appears prominently in user screenshots. This event marks a shift from the shadows into the spotlight, one brightened by sanctions imposed by the US.

Huawei’s new approach contrasts sharply with the company’s history, where information about processors powering devices like the Mate 60 Pro and Mate 70 series could only be obtained through third-party teardown analysis.

Strategic implications of disclosure

The timing of the Huawei chip disclosure appears calculated rather than accidental. Industry analysts suggest the new transparency signals the company’s growing confidence in its silicon designs and its position in the 5G smartphone market. Its move also demonstrates how Chinese firms are adapting to prolonged US technology restrictions by developing more robust domestic supply chains.

According toTechInsights, a Canadian research firm that analysed the processor in December, the Kirin 9020 was manufactured by Semiconductor Manufacturing International Corp (SMIC) using an advanced 7-nm production process. However, the research firm noted that the chipset represents “not a dramatic redesign but rather an incremental improvement over its predecessor, the Kirin 9010.”

The collaboration between Huawei and SMIC for the Huawei chip production underscores the development of China’s domestic semiconductor ecosystem. SMIC, mainland China’s largest chipmaker, has emerged as an important partner for Chinese technology companies that seek alternatives to Western suppliers.

The partnership first surfaced in 2023 when TechInsights’ teardown analysis confirmed that SMIC manufactured the Kirin processor inside the Mate 60 Pro, the device that catalysed Huawei’s return to the 5G smartphone market after years of restrictions.

Journey through the sanctions impact

The significance of the current Huawei chip story needs to be viewed alongside the company’s recent history. The Mate 40 series, released in October 2020, was Huawei’s last 5G smartphone line before the current generation, which is being launched more than a year after the company was blacklisted by the US government.

Richard Yu Chengdong, chairman of Huawei’s consumer business group, recently described the impact of US restrictions in an interview with China Central Television. “Overnight, outside China, Huawei phones became unavailable,” Yu explained. “Annual shipments dropped to below what we used to ship in just one month.”

Beyond hardware: Software independence strategy

The Huawei chip story represents just one component of the company’s broader strategy for technological independence. Yu said that its creation of a proprietary operating system was equally important for the company’s revival efforts.

“We saw that operating systems also involve supply chain security issues, which concern our long-term development,” Yu said, referring to the development of HarmonyOS as Huawei’s alternative to Google’s Android and Apple iOS.

Yu described the development of HarmonyOS as a “huge adventure,” requiring investment of “tens of billions of yuan over the past six years,” one that mobilised “more than 10,000 developers [a] year.” The company announced in July that more than 10 million devices now run HarmonyOS 5.

Market performance validates strategy

The effectiveness of Huawei’s integrated approach to hardware and software development is reflected in recent market performance. According to IDC research, Huawei topped China’s smartphone market in the second quarter for the first time in four years, with the company capturing an 18.1% share of shipments.

Its market leadership position validates the company’s strategy to combine home-grown Huawei chip technology with proprietary software platforms, creating a more vertically-integrated product ecosystem that’s less dependent on Western technology suppliers.

Industry implications and future outlook

The public acknowledgement of Huawei chip specifications may signal a broader shift in how Chinese technology companies approach intellectual property and market positioning. Rather than operating under a veil of secrecy, firms may begin to view transparency about domestic technological capabilities as marketing bragging rights.

However, the challenges remain significant. While the 7-nm Kirin 9020 represents advanced technology, it still lags behind the cutting-edge 3-nm processes used by industry leaders like Apple and Samsung. The incremental improvement approach suggests Huawei continues to face difficulties accessing the most advanced manufacturing technologies.

The public acknowledgement of Huawei chip technology nonetheless represents a notable evolution in China’s semiconductor strategy, potentially encouraging other domestic firms to adopt similar approaches.

See also: Huawei: 5G & 5G-A help carriers reshape business, infrastructure, and O&M

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Tags: huawei, smartphones