Huawei adjusts Mate 60 production amid growing demand for AI chips

Huawei is reevaluating its smartphone production, especially for the Mate 60 models amid the growing demand for AI chips. At present, artificial intelligence has become a trendy subject and Huawei does not want to lose its focus from it.

According to the information, Huawei is dealing with a shortage of AI chips which has forced it to promote AI production and slow down smartphone manufacturing for the moment. This will mainly affect the Mate 60 flagship.

Notably, the Chinese tech giant employs a single facility for Ascend and Kirin chipsets, which ultimately powers up its smartphones. However, the sudden shift of consumers to AI-driven devices led the company to choose Ascend AI chips over Kirin.

As a result, there have been supply chain and production problems for the Mate 60 series. The news also indicates that in the surge of meeting the AI demands in the market, Huawei may continue the slow down production for a while.

We are well aware of how the U.S. restriction has pressured China to depend on the low-efficient Nvidia chipsets. However, Huawei made every possible step to come back in this field with the Ascend 910B. It bears high computing power and serves as a proficient option for data center projects.

While Huawei’s growth in the AI segment is worth appraising, it has significantly affected other aspects. For instance, the shortage of MDC 810 processors has resulted in delivery delay issues for the Chinese automakers.

It is worth mentioning that the changes in Huawei Mate 60 smartphone production are temporary and the company is working dedicatedly to improve its yield rate at the earliest, along with the manufacturing of AI chips. As of now, users are eyeing Huawei’s next moves in this concept and eagerly await to see a green signal in the Mate 60 production.

(Source)