The deal is off between AT&T and China's Huawei. The latter's mobile devices will not sell through a U.S. telco anytime soon, but Android fans need not fret.
Amid reports of ongoing talks between the two companies, AT&T has announced Huawei phones will not be part of its handset offerings. The company provided no explanation on why the rumored partnership was called off, which, according to reports, was scheduled for announcement at the CES 2018 in Las Vegas.
The news is a huge blow to Huawei, currently the third largest smartphone maker in the world after Apple and Samsung, and will roll back the company's plan to establish a larger presence in the United States starting this year. However, Huawei will continue on its determined campaign to pierce through the lucrative North American market.
All Set For Huawei Mate 10 Pro
In fact, the Chinese mobile device maker has already made its presence felt in Las Vegas this week. Huawei's latest flagship bet, the Android-powered Huawei Mate 10 Pro, had been heavily advertised at the CES 2018 as if to confirm that the handset will soon make its way to AT&T subscribers. The last-minute cancellation and the explanation of which remains elusive as of writing.
There are speculations that the deal fell through due to some form of trust issues. In an earlier interview, Huawei has admitted that for the company to enter the U.S. market, it has to win the confidence of the telecom industry as well as the federal government.
The company has acknowledged that like any other Chinese firms trying to set foot in the United States, Huawei is a subject of suspicion coming from American businesses and national politicians. It appears the sentiments remain the same, but to be clear, nothing of this sort was discussed in the latest development.
For now, part of Huawei's plan is to reach out to U.S. consumers using alternative channels such as online and physical retail stores. In the past, buyers in America can get hold of Huawei handsets by ordering through Amazon and other online outlets. It is likely the same selling tactic that the company will have to resort to in light of the collapsed deal with AT&T.
Still A Go For Huawei
Seemingly unmindful of the setback, Huawei made known of its resolve to have a get-go on the U.S. market. Huawei said its integrity and quality products will support the mission to compete in America on equal terms.
"On Tuesday, Huawei will introduce new products to the U.S. market, including availability. We look forward to sharing more information with you then," a Huawei representative said in a statement.