Huawei unveils Mate 90 phones, leans on homegrown chip design to offset US curbs

• The Mate 90 Pro Max uses Huawei's Kirin 9050 Pro chip built with 'LogicFolding' technique, which restructures chip wiring in three dimensions for denser processing, though it requires more wafers to produce
• Huawei's domestic shipments rose 13% year-on-year through August while China's overall smartphone market fell 7%, though rising memory costs added approximately $200 per handset
• Huawei holds about 75% of China's foldable phone market, with its Pura X Max sales surging 76% week-on-week after Apple's iPhone Duo launch and exceeding 1.2 million units shipped since April

Huawei Mate 90 Launch Summary

Key Developments:

Huawei Technologies unveiled its Mate 90 smartphone series on October 1, employing proprietary technology to circumvent US semiconductor restrictions. The flagship devices feature the Kirin 9050 Pro chip utilizing "LogicFolding" technology—a 3D chip architecture that restructures internal wiring for enhanced performance despite lacking access to cutting-edge manufacturing tools.

Supply Chain Constraints:

Consumer business chief Richard Yu confirmed ongoing limitations in advanced chip supply, noting that China's chipmaking relies on deep ultraviolet (DUV) lithography while extreme ultraviolet (EUV) technology remains under development. Advanced semiconductor capacity constraints affect both smartphone chips and Huawei's Ascend AI processors. SMIC is believed to manufacture the Kirin chips, though Huawei hasn't officially disclosed the supplier.

Software and Ecosystem:

The Mate 90 runs on HarmonyOS 7, Huawei's Android-free operating system supporting over 450,000 apps, marking continued efforts toward technological independence.

Market Performance:

Despite industry headwinds, Huawei's China shipments rose 13% year-over-year (January-August) while the broader domestic market declined 7%. However, rising memory costs added approximately $200 per handset, compressing margins. China's average smartphone price climbed 11.3% to $543 in Q2, while Huawei's average price decreased 14.7% to $628.

Foldable Competition:

Huawei commands roughly 75% of China's foldable market. Following Apple's iPhone Duo launch in September, Huawei's Pura X Max foldable sales surged 76% week-over-week, with shipments exceeding 1.2 million units since April. Apple expects 6 million iPhone Duo shipments in 2026, with China representing nearly 25% of volume.

Outlook:

The launch tests Huawei's ability to advance smartphone technology under US restrictions through alternative chip design and manufacturing approaches.