Huawei fails to seal United States sales partnership deal with AT&T

Steve Phelps
January 10, 2018

The majority of phones in the USA are sold directly through operators, but Huawei, the world's third biggest smartphone maker, has never been able to agree a deal.

The news is a huge blow to Huawei, now 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. That deal has been cancelled according to people claiming knowledge about the deal.

Instead, Huawei said it would be selling its flagship device, the Mate 10 Pro, directly to consumers. However, the failure to secure a contract with AT&T or fellow USA giant Verizon drastically limits the Chinese company's growth in the American market.

Huawei's plans for growth in the US led to heightened scrutiny by Congress.

Huawei fails to seal United States sales partnership deal with AT&T

So far there is no sign that Huawei is trying to strike a handset sales deal with any of the other major USA mobile carriers, such as T-Mobile, Verizon or Sprint. It's said that Huawei was planning to announce the news Tuesday, aka tomorrow, but now the company's deal with AT&T is no more.

Huawei's flagship device - the Huawei Mate 10 Pro was gearing up to be available in the United States through a partnership with network carrier AT&T.

The reason blamed for the deal falling apart is pressure from the U.S. Senate and House intelligence committees via a letter sent to the FCC back on December 20.

For many consumers it can be simpler to buy their smartphones directly from their mobile carriers where the handsets can be set up with a SIM card, data transfer services and related application services that make it easier to switch to a new phone brand.

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