How can you buy Huawei shares?
Huawei is one of the largest telephone manufacturers. However, they also produce many other technological products: for example, I write this article on a nice Huawei laptop. The company is certainly not without scandals, but still manages to hold its position. Is it possible to invest in this Chinese company by buying Huawei shares?
It is not possible to buy Huawei shares. The company is not a listed company. Who currently owns the company? The company’s website states that many employees of the company have at least one share. A committee of representatives is elected by those employees. This committee then appoints the board and the supervisory board.
So, unfortunately, you cannot buy Huawei shares. This may also not be advisable given the difficult relationship between Huawei and the United States. You can choose to invest in alternatives: think about an investment in Samsung or Apple for example.
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Chinese businessman Ren Zhengfei founded Huawei in 1988. His company began supplying telephone system network equipment in 1988. Today, Huawei also plays a dominant role in the world market. Since 2012, the company has been the largest provider of telecommunications networks in the world. The headquarters of this multinational Chinese company is located in Shenzen.
The company focused, among other things, on the business market by providing complete telecommunications networks. Later, their attention shifted more and more to the consumer market. The company sells mobile internet products, tablets, and smartphones.
Huawei develops mobile phone technology
In the late 1990s, Huawei began developing mobile phone technology. Then the expansion of the company abroad began. In Sweden and the US, among others, the company opened research centres.
Huawei suspected of espionage
There are suspicions of espionage. It is suspected that the Chinese government will have access to confidential information through this company. That is why countries such as Australia, New Zealand, and Japan have taken measures.
Huawei is barred from building the 5G network. The Chinese company is therefore not allowed to build a 5G network in those countries. European countries such as Germany, the Czech Republic, France, and Poland are also considering banning the company from the 5G network. In the UK, Huawei is not banned. However, the company had to agree to additional measures to prevent possible espionage.
These suspicions of espionage are denied by Huawei. However, these suspicions are very damaging to the reputation and business results outside China. These developments can therefore significantly reduce the company’s operating results.
Ban on use equipment Huawei
Also, in the coming year, American companies will not be allowed to use equipment from the Chinese telecom companies Huawei and ZTE. On May 13, 2020, President Trump extended the state of emergency on that issue for a year: he believes there is an espionage risk.
According to the US, China is spying on the West. China uses equipment from companies such as Huawei. The ban on US companies doing business with Huawei also applies to the US company Google. As a result, new Huawei smartphones only have a limited version of Android. This version is not equipped with Google apps and services.
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