Chinese tech giant Huawei has officially announced that it already sold its Honor brand.

A previous rumor reveals that Huawei is offloading the Honor brand. Now, the company officially confirmed the news, as the sale has been officially made to Shenzhen Zhixin New Information Technology Co., Ltd.

Huawei was forced to sell Honor as its consumer business continues to feel the blows of the US sanctions. In a statement, the sale will allow Honor channels and suppliers to continue their business.

The acquisition agreement ensures to protect the interest of Honor employees, partners, suppliers, channels, and of course, the consumers. It also states that the ownership change should not affect Honor’s direction in terms of product development. The company’s senior management should also stay.

For a quick background, the purchasing company is a consortium of 30+ agents and distributors in China. Shenzhen Zhixin New Information Tech will help manage branding, production, resources, operations, executive decisions, and more.

The sale is possibly one reason Qualcomm was given a license to finally supply chips for Huawei, as the Kirin chipset manufacturing comes to a halt.

If you remember, the Huawei US ban happened when the Trump administration accused the company of posing a threat to national security. With this, US-based companies have been barred from working with the Chinese tech company.

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