ZTE

ZTE, a Chinese telecom and computing equipment manufacturer, is currently newsworthy due to its financial performance amidst the ongoing AI boom and global economic uncertainties. In 2025, the company reported a 10.4% increase in revenue, reaching 134 billion yuan (US$19 billion). A significant driver of this growth was its computing business, which surged by 150% year-on-year, now accounting for 24.6% of total sales. However, despite the revenue increase, ZTE's net profit attributable to shareholders fell by 33.3% to 5.62 billion yuan. This decline in profitability, coupled with the company's strong performance in the computing sector, highlights its strategic shift towards AI and computing solutions. ZTE's performance is particularly relevant in the context of the global memory crunch and geopolitical tensions, such as the Middle East crisis, which are impacting the smartphone supply chain and the broader technology industry.