Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Cell C cleans up its balance sheet but faces tough trading reality

      Cell C cleans up its balance sheet but faces tough trading reality

      13 February 2026
      MVNO business shines in Cell C's first post-listing results - Jorges Mendes

      MVNO business shines in Cell C’s first post-listing results

      13 February 2026
      Ramaphosa presses ahead with Eskom break-up - Cyril Ramaphosa

      Ramaphosa presses ahead with Eskom break-up

      13 February 2026
      The key technology takeaways from Ramaphosa's 2026 Sona - Cyril Ramaphosa

      The key technology takeaways from Ramaphosa’s 2026 Sona

      13 February 2026
      Toyota SA CEO: NEV inaction will cost South Africa its motoring industry - Andrew Kirby

      Toyota SA CEO: NEV inaction will cost South Africa its motoring industry

      12 February 2026
    • World
      Russia bans WhatsApp

      Russia bans WhatsApp

      12 February 2026
      EU regulators take aim at WhatsApp

      EU regulators take aim at WhatsApp

      9 February 2026
      Musk hits brakes on Mars mission

      Musk hits brakes on Mars mission

      9 February 2026
      Crypto firm accidentally sends R700-billion in bitcoin to its users

      Crypto firm accidentally sends R700-billion in bitcoin to its users

      8 February 2026
      AI won't replace software, says Nvidia CEO amid market rout - Jensen Huang

      AI won’t replace software, says Nvidia CEO amid market rout

      4 February 2026
    • In-depth
      How liberalisation is rewiring South Africa's power sector

      How liberalisation is rewiring South Africa’s power sector

      21 January 2026
      The top-performing South African tech shares of 2025

      The top-performing South African tech shares of 2025

      12 January 2026
      Digital authoritarianism grows as African states normalise internet blackouts

      Digital authoritarianism grows as African states normalise internet blackouts

      19 December 2025
      TechCentral's South African Newsmakers of 2025

      TechCentral’s South African Newsmakers of 2025

      18 December 2025
      Black Friday goes digital in South Africa as online spending surges to record high

      Black Friday goes digital in South Africa as online spending surges to record high

      4 December 2025
    • TCS
      Watts & Wheels S1E4: 'We drive an electric Uber'

      Watts & Wheels S1E4: ‘We drive an electric Uber’

      10 February 2026
      TCS+ | How Cloud On Demand is helping SA businesses succeed in the cloud - Xhenia Rhode, Dion Kalicharan

      TCS+ | Cloud On Demand and Consnet: inside a real-world AWS partner success story

      30 January 2026
      Watts & Wheels S1E4: 'We drive an electric Uber'

      Watts & Wheels S1E3: ‘BYD’s Corolla Cross challenger’

      30 January 2026
      Watts & Wheels S1E4: 'We drive an electric Uber'

      Watts & Wheels S1E2: ‘China attacks, BMW digs in, Toyota’s sublime supercar’

      23 January 2026

      TCS+ | Why cybersecurity is becoming a competitive advantage for SA businesses

      20 January 2026
    • Opinion
      A million reasons monopolies don't work - Duncan McLeod

      A million reasons monopolies don’t work

      10 February 2026
      Eskom unbundling U-turn threatens to undo hard-won electricity gains - Busi Mavuso

      Eskom unbundling U-turn threatens to undo hard-won electricity gains

      9 February 2026
      South Africa's skills advantage is being overlooked at home - Richard Firth

      South Africa’s skills advantage is being overlooked at home

      29 January 2026
      Why Elon Musk's Starlink is a 'hard no' for me - Songezo Zibi

      Why Elon Musk’s Starlink is a ‘hard no’ for me

      26 January 2026
      A million reasons monopolies don't work - Duncan McLeod

      South Africa’s new fibre broadband battle

      20 January 2026
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » Huawei to rethink SA retail strategy

    Huawei to rethink SA retail strategy

    By Duncan McLeod20 March 2018
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    One of the Fantastic 1-operated Huawei stores that were closed … this one was in the East Rand Mall in Johannesburg

    Huawei is rethinking its retail strategy in South Africa after its deal with its former partner, Fantastic 1 Mobile, broke down in a legal dispute last year.

    If negotiations with a possible new local partner are not fruitful, the company may instead choose not to have sales-focused retail stores in South Africa but rather build a brand and experience store similar to one the company opened last year in Milan, Italy. This store will probably be in Johannesburg.

    Huawei’s GM for the South African consumer business, Zhao Likun, said in an interview with TechCentral on Tuesday that he can’t comment on the dispute with Fantastic 1 Mobile as the matter is before the high court.

    In the future, we will open one experience brand store, like our Milan store. In this store, sales will not be the main target

    In December 2017, Huawei refuted a claim it owes R22m to Fantastic 1, with which it partnered in 2016 to open Huawei-branded retail stores across South Africa, saying there was “no basis” to the company’s claim. The stores were closed in October 2017 after Huawei terminated the agreement.

    According to its financial records and its discussions with Fantastic 1’s business rescue practitioner, there is “no basis” for claiming this money, Huawei said in a statement e-mailed to TechCentral at the time. Fantastic 1 founder Nisaar Ally strongly disputed this.

    Fantastic 1 was placed into business rescue in June last year as the company “could not maintain the rental, staff salaries and marketing” expenses associated with running the stores on its own, said Ally. He said Huawei was in breach of its agreement. Fifty employees were retrenched because of the store closures.

    Huawei sent Ally a letter on 4 September 2017 in which it said it was “enforcing its right to cancel the agreement and all store plans in their entirety” with effect from 4 December 2017. After receiving the termination notice, Ally was advised to close the stores or risk running up further debts.

    Fantastic 1 signed the agreement with Huawei in late 2016 to build as many as 13 Huawei-branded retail stores across South Africa. Five were opened, Ally said.

    Different market

    Likun said on Tuesday that the South African market is different from others in that high-end consumers tend to buy their devices directly from the mobile operators and that sales-focused stores might not be the best model. Vendors operating their own-branded stores can’t necessary offer advantages over operator stores, he said.

    “In the future, we will open one experience brand store, like our Milan store. In this store, sales will not be the main target. Experience and brand will be the main target for Huawei. This is our strategy. We have changed our strategy from sales stores to an experience/brand store. This is more important than sales.”

    However, he said Huawei remains open to the idea of operating sales-focused retail stores, provided it can find a “good partner”. He said the company is in talks with a potential partner.

    “Will only open retail sales stores based on the competence of the partners. We don’t want to reopen sales stores (if it doesn’t make sense to do so).”

    He declined to say when an experience store might be opened, saying this is dependent on finding the right location at the right price. — © 2018 NewsCentral Media

    • For more: War of words erupts between Huawei, ex-partner


    Fantastic 1 Mobile Huawei Nisaar Ally top Zhao Likun
    WhatsApp YouTube Follow on Google News Add as preferred source on Google
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleHuawei Music, cloud services coming to SA
    Next Article Telkom raises R1bn in bond sale

    Related Posts

    Huawei turns 25 in South Africa, celebrates with major device discounts

    Huawei turns 25 in South Africa, celebrates with major device discounts

    30 January 2026
    China races to crack EUV as chip war with the West intensifies

    China races to crack EUV lithography as chip war with the West intensifies

    18 December 2025
    MTN Zambia launches world's first 4G cloud smartphone solution - Huawei

    MTN Zambia launches world’s first 4G cloud smartphone solution

    17 December 2025
    Company News
    Cell C delivers maiden results with growth momentum, financial flexibility - Jorges Mendes

    Cell C delivers maiden results with growth momentum, financial flexibility

    13 February 2026
    Start-up king joins Paratus Rwanda - Innocent Mutimura

    Start-up king joins Paratus Rwanda

    13 February 2026
    How NEC XON tackled identity risk for a major telco - Michael de Neuilly Rice

    How NEC XON tackled identity risk for a major telco

    11 February 2026
    Opinion
    A million reasons monopolies don't work - Duncan McLeod

    A million reasons monopolies don’t work

    10 February 2026
    Eskom unbundling U-turn threatens to undo hard-won electricity gains - Busi Mavuso

    Eskom unbundling U-turn threatens to undo hard-won electricity gains

    9 February 2026
    South Africa's skills advantage is being overlooked at home - Richard Firth

    South Africa’s skills advantage is being overlooked at home

    29 January 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Cell C cleans up its balance sheet but faces tough trading reality

    Cell C cleans up its balance sheet but faces tough trading reality

    13 February 2026
    MVNO business shines in Cell C's first post-listing results - Jorges Mendes

    MVNO business shines in Cell C’s first post-listing results

    13 February 2026
    Ramaphosa presses ahead with Eskom break-up - Cyril Ramaphosa

    Ramaphosa presses ahead with Eskom break-up

    13 February 2026
    The key technology takeaways from Ramaphosa's 2026 Sona - Cyril Ramaphosa

    The key technology takeaways from Ramaphosa’s 2026 Sona

    13 February 2026
    © 2009 - 2026 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}