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Huawei Ends Major Raiders Partnership

Huawei Ends Major Raiders Partnership

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hinese communications company, Huawei has announced it has ended its major partnership with NRL club, the Canberra Raiders, citing a “negative business environment” for Chinese companies in Australia.

Huawei had sponsored the Raiders since 2012 and had recently signed a two-year deal covering 2020 and 2021, which will now be concluded at the end of the 2020 NRL season.

According to the Canberra Times, the deal was worth over $1 million per year.

Huawei Australia chief corporate affairs officer, Jeremy Mitchell, told ABC the decision to end the sponsorship is directly linked to the Australian government’s decision to band Huawei from helping to create Australia’s 5G mobile networks in 2018, just months before the extension was signed.

“Even after the Turnbull government banned us from 5G we managed to find the resources to continue the sponsorship, but we just can’t financially support it any longer,” Mitchell said.

“Unfortunately, Huawei has been caught in the middle of a great trade war.

“The effect on our business is greater than we expected.

“This is a direct result of the 5G ban and the negative business environment at the moment for Chinese companies in Australia,” he said.

Huawei released an official statement announcing their decision to end the partnership early, confirming the Australian Government’s decision put an end to the partnership.

“The continued negative business environment is having a larger than originally forecasted impact on our planned revenue stream…,” the Huawei statement read.

“The Canberra Raiders was Huawei’s first ever major sporting sponsorship in the world.

“Over the past nine years, Huawei has felt very much part of the Raiders family and our sponsorship has been a company highlight during some very difficult periods,” Huawei said.

As part of the decision, Huawei will still remain a low-level sponsor of the Raiders, with their logo moving from the front and centre location of the team’s jerseys, to a back of jersey location.

Huawei will also retain naming rights to the Raider’s new training centre, which will showcase Huawei integrated technology throughout.

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