iFlytek refutes rumor of ending partnership with Huawei

Several rumor statements say that Huawei is ending its partnership with the iFlytek company. A major reason for this step could be the downfall of the latter’s shares in the stock market. However, the AI solution provider finally responded on this matter.

Jiemian News interrogated the iFlytek investor relations team. When the reporter asked if Huawei would pull off its partnership with iFlytek, the firm called it a false rumor.

iFlytek stated that the collaboration with Huawei isn’t that weak to break. Both parties are indulged in a long-term and good cooperative partnership in many aspects such as smart devices, Ascend computing, HarmonyOS ecosystem, and more.

“I don’t know where you saw this information. We have maintained long-term and good cooperation with the company you mentioned (Huawei).” – said the iFlytek investor relations department.

The company further added that iFlytek has the right to reach law as well as safeguard the legitimate rights, interests, and its investors from those spreading such rumors, false information, misleading the public, or damaging a firm’s reputation.

iFlytek stock market shares (Image Credits: ITHome)

The story began when iFlytek’s stock market shares dropped unexpectedly this morning. It fell nearly to 6% at a point and then declined to 3.31%. As of now, the total stock market value has now reached 82.991 billion yuan.

The overall decline in the company’s economic performance hints that it may bear a net loss of 380 to 460 million yuan in H1 2024. For reference, iFlytek owned 73.572 million yuan profit during the same period last year.

With such lows, many investors claimed that Huawei would end its bond with iFlytek in several businesses. But things are crystal clear and don’t require more clarification.

Huawei and iFlytek have cooperated in many scenarios. Both firms jointly unveiled the first Chinese computing power platform (Feixing-1) last year in October to support the training of large models. They have also released Spark V3.5 to compete against GPT-4.