Huawei obtains $2.25 billion seven-year offshore loan from six Chinese banks
Huawei has obtained a $2.25 billion seven-year offshore loan from six Chinese banks, with the funds to be used for AI chip R&D, research, and inventory stockpiling for storage. Even as buyers such as DeepSeek plan large-scale deployment of its accelerators, production output remains strictly limited. Huawei's R&D investment in the first half of the year was $17 billion, with negative cash flow reaching $5.6 billion.
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Huawei has secured a seven-year, $2.25 billion offshore loan from six Chinese banks, Bloomberg reports. The deal highlights the tech giant's reliance on domestic lenders amid ongoing US restrictions.
The financing will support its aggressive push into AI-chip development, research, and memory stockpiling. However, even with buyers like DeepSeek planning massive deployments of its accelerators, production output remains tightly constrained.
Meanwhile, aggressive spending continues to weigh on liquidity: the company poured $17 billion into R&D in the first half of the year alone, driving negative cash flow to $5.6 billion.