Huawei Lost Over $60-70 Million on "Mate Xs" Foldable Phone this year

Huawei Lost Over $60-70 Million on "Mate Xs" Foldable Phone since its launch this year. Mate Xs, foldable phone comes with retail price of CNY 16,999 (over $2,400), the Mate Xs is costing more to produce and bring to consumers that it makes.

Huawei Lost Over $60-70 Million on "Mate Xs" Foldable Phone this year.

Chinese tech giant Huawei is reportedly lost over $60-70 million on its Mate Xs foldable smartphone was launched in February 2020.
Yu Chengdong, CEO of Consumer BG at Huawei Technologies, shared that since the release of the Mate Xs, back in February, the company has lost between $60 and $70 million on it. He went on to explain that even with a retail price of CNY 16,999 (over $2,400), the Mate Xs is costing more to produce and bring to consumers that it makes.
As reported by Yu Chengdong,

The prices of flagships are high because the cost of production is also high. For example, the cost of a single camera sensor on the P40 series is over $100. Samsung and Apple do not use these expensive parts but are still comparatively more expensive than Huawei’s. also, the company even takes losses just to sell some smartphones.

Huawei phones are still a challenging sell overseas since a US blacklist has stripped access to Google apps like YouTube, Google Maps and Google Play. Yu reassured users that Huawei phones will be fine even without US components. He said that Huawei's investment in R&D will likely be the second-largest this year. Yu added that some of the competitors merely spend a billion Yuan in R&D, however, his company is investing $20 billion. In 2019, the company invested about $18.5 billion in R&D (third-largest), which accounted for 15.3 percent of its total revenue of 467.3 billion Yuan with 34 percent YoY growth.

Huawei Mate Xs

Mate Xs, foldable phone comes with an 8.00-inch touchscreen primary display with a resolution of 2200x2480 pixels. It also features a 6.60-inch as its second display, with a resolution of 1148x2480 pixels. The Huawei Mate Xs also has a 6.38-inch touchscreen as its third display, with a resolution of 892x2480 pixels. Huawei Mate Xs is powered by a 2.86GHz octa-core HiSilicon Kirin 990 processor that features 2 cores clocked at 2.86GHz, 2 cores clocked at 2.36GHz and 4 cores clocked at 1.95GHz. It comes with 8GB of RAM. The Huawei Mate Xs runs Android 10 and is powered by a 4500mAh battery. The Huawei Mate Xs supports proprietary fast charging.