Honor to Invest $10B in Transition to Open AI Terminal Ecosystem Company

Honor CEO Li Jian announced the Honor Alpha Plan at the 2025 Mobile World Congress (MWC 2025) on March 2, declaring that Honor will comprehensively transform from a smartphone manufacturer to an AI terminal ecosystem company. Over the next five years, Honor will invest more than $10 billion in ecosystem development.

At the conference, Honor also unveiled its new AIMAGE imaging technology, which enhances telephoto image quality through the industry’s first solution supporting terminal-cloud AI model collaboration. Additionally, Honor launched several products for the European market, including the Honor Magic Book Pro 14, Honor Tablet V9, Honor Watch 5 Ultra, and the new Honor Earbuds Open.

Honor has been positioning itself in the AI space for some time. In January 2022, Honor built a platform-level AI on MagicOS 7.0, exploring intent recognition for human-machine interaction. In January 2024, MagicOS 8.0 further developed platform-level AI to create a new paradigm for intent-based interaction. By October 2024, Honor released MagicOS 9.0, the industry’s first personalized all-scenario AI operating system equipped with intelligent agents, providing a reference for future OS development.

SEE ALSO: Leadership Change at Honor: George Zhao Resigns as CEO, Li Jian Steps Up Ahead of IPO

According to public information, by early 2024, Honor’s cumulative R&D expenditure on AI had reached 100 billion yuan (approximately $14.3 billion), with over 2,000 AI patent achievements.

Honor believes that in the AI era, technological innovation requires global collaboration rather than independent efforts. Therefore, Honor is actively establishing open cooperative relationships with global tech giants such as Qualcomm Technologies and Google Cloud.

(Source: Honor)

In technology demonstrations with Google Cloud and Qualcomm Technologies, Honor’s AI agent can combine calendar and travel information from users’ phones to complete restaurant reservations on third-party service platforms with a single command.

The AI ultra-clear technology jointly developed by Honor and Qualcomm Technologies will be introduced to the Honor Magic7 Pro series by the end of March.

For ecosystem connectivity, Honor has launched the world’s first all-ecosystem file-sharing technology, offering unprecedented high-speed transfer experiences for both single-device file transfers and cross-platform transfers between iOS and Android operating systems.

Market data released by Honor shows that in 2024, the company’s overseas market grew by 50% annually, with overseas sales exceeding 50% of total sales for the first time in December. During the Christmas period, daily sales exceeded 150,000 units. Canalys data indicates that in Q3 2024, Honor’s smartphone shipments in the $600+ segment increased by 68% year-on-year, ranking fifth globally.