Huawei and Xiaomi reportedly in talks with U.S. carriers to sell phones

While Apple has the lead in the U.S. when it comes to the smartphone market, there might be a new competitor headed its way. According to Bloomberg, sources close to the matter claim Huawei Technologies Co. and Xiaomi Corp. are reportedly in discussions with U.S. carriers to bring each company’s flagship smartphone to American consumers by next year.

Huawei already sells budget devices in the U.S., but not by carriers — you can instead purchase them on Amazon, Walmart, Best Buy, and other retailers. Both Huawei and Xiaomi are specifically said to be negotiating with carriers such as AT&T and Verizon. But it’s still a possibility there won’t be any agreements finalized at all.

This isn’t the first time news has surfaced of Huawei’s attempt to break into the U.S. with the Mate 9. In 2016, the Chinese company was reportedly met with security concerns due to its networking equipment. The issue primarily stemmed from a 2012 congressional report suggesting U.S. carriers should stay away from Huawei gear because “China might use it to spy on Americans.”

There have also been technical obstacles when it comes to cellular standards. Since Sprint and Verizon use CDMA networks, Huawei would have to adapt its processors to be compatible with the networks in the U.S.

In March, The Information reported that Huawei was hoping to work with AT&T in an effort to bring the company’s proprietary Kirin mobile phone chip to the network and possibly its phones. But neither Huawei nor AT&T ever commented on the apparent deal.

Security and technological issues aside, being able to sell its devices via U.S. carriers would solve the lack of presence Huawei has in the country. By selling a flagship line to U.S. carriers, the company would work to possibly grow the presence within U.S. retailer stores, TV commercials, and carrier websites. Sources told Bloomberg that Huawei does plan to sell the Mate 10 device via ecommerce channels as well.

Regardless of the competition, Huawei is still the third largest smartphone manufacturer — behind Apple and Samsung. The opportunity to sell its high-end flagship devices in the U.S. might be exactly what the company needs to get ahead.

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