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The giant telco Huawei is cutting its smartphone production by over 60 percent and is investing in technology for Pig Farming in a bid to stay afloat. The move comes after the company fell out With the US government over security concerns and was cut out on a deal to access vital components.
Due to the impending circumstances, Huawei has therefore resorted to investing in technology for pig farming as an alternative source of revenue.
Huawei begun experiencing challenges when the then US President Donald Trump alleged that the company could share customers data with the Chinese government and therefore undermine Americas national security.
Following this strained relationship, the company cannot import components for 5G networks and its only option is to make 4G networks.
The sanctions posed against the company made it difficult for Huawei to purchase microchips therefore reducing their smartphone sales to 42% by the last quarter of 2020.
Huawei has also been dropped out on the development of the 5G network in other countries like the UK amidst security concerns.
There are claims the company could cut its production of smartphones up to 60%, although those claims have not been confirmed.
One of the company’s spokesman told the BBC that the issue is not like there is any problems with the quality or experiences of their products, but it’s not a level playing field for Huawei is caught in between the geopolitical tensions.
Huawei its therefore looking into other ventures like cloud computing services, smart vehicles, wearable devices and plans to design a smart car are underway. All these efforts are to help Huawei stay in business.
Pig farming is very profitable in china and its said that China is home to half worlds live hog. Muyuan Farm which is considered the largest in the world is found in china.
The use of technology has made pig farming more manageable. The introduction of AI helps detect diseases and track pigs. On the other hand, Facial recognition software enables the identification of each pig while other software helps to monitor weight, diet and exercise.
The Tech giant has previously designed facial recognition software and came under attack for developing a camera system that identifies people who appear like members of a minority group known as Uighar.
Other Chinese companies that have ventured into pig farming technology include Alibaba and JD.com.
According to Huawei spokesperson, the pig farming is another example of how to revitalize some traditional industries with ICT to create more value for industries in the 5th generation era.
Coal Mining and Data are other areas the company is interested in. Founder and chief executive officer Ren Zhengfei recently introduced a mining and innovation lab in Shanxi Province in northern China.
The manager aims to develop technology for coal mines that reduce the number of workers, greater safety and high efficiency and create an environment where coal miners wear suits and ties at work.
Mr Ren also alluded to the fact that the company would expand to consumer products like television, computer and tablets. He said that the company can still survive without relying on smartphone sales and that its unlikely the US will eject Huawei from a blacklist that bars companies from working with it.
