Honor CEO unveils AI-focused 'Alpha Strategy' and commits $10 billion invest...

by Wu Yangyu

Honor CEO Li Jian made his first public appearance since assuming the role, introducing the company’s AI-driven "Alpha Strategy" at MWC 2025. The initiative outlines Honor’s plans to expand beyond smartphone manufacturing into a broader AI-powered ecosystem.

The strategy is structured in three phases, progressing from AI integration in smartphones to a connected ecosystem and, ultimately, an AI-driven framework for artificial general intelligence (AGI). Honor plans to invest US$10 billion over the next five years to develop an open AI device ecosystem in collaboration with global partners.

Chinese smartphone brands have been expanding internationally for years, with overseas markets remaining a key revenue driver. Honor, which became independent in recent years, has been accelerating its global push. The company’s "World Honor" initiative, launched in November 2023, has coincided with a reported 50% year-on-year growth in overseas smartphone sales in 2024. According to Counterpoint Research, Honor’s overseas sales in December 2024 were equal to its domestic sales for the first time, accounting for 50% of total shipments.

As competition in the high-end smartphone market intensifies, particularly in Europe, AI is emerging as a differentiator. Honor has been investing in AI capabilities, including its MagicOS 9.0 operating system, which incorporates AI-driven personalization. Expanding these features globally requires further collaboration with ecosystem partners. Google Cloud and Qualcomm, which had senior executives present at Honor’s event, are expected to work with the company on AI applications and data privacy measures.

AI Technology and Product Enhancements

Honor’s President of Product Line, Fang Fei, described 2025 as the year of AI Agents—digital assistants that connect physical and digital environments. The company introduced its AI Agent, which operates within a graphical user interface (GUI) and automates complex tasks.

In a demonstration, the AI Agent processed a restaurant reservation by analyzing a user’s calendar, dining preferences, location, and real-time traffic conditions. The system presented a recommendation, requiring only user confirmation to complete the booking.

Honor also introduced new AI-driven imaging features, including AiMAGE, and an AI-powered deepfake detection tool, which will be integrated into its flagship devices.

Ecosystem Collaboration and Data Sharing

Honor is working to enhance interoperability with other tech ecosystems. Its file transfer system, Honor Share, supports transfer speeds of up to 125MB/s. When interacting with iOS and other Android systems, speeds reach 85MB/s and 100MB/s, respectively. The company has introduced cross-brand file-sharing functionality compatible with Apple, OPPO, vivo, and Xiaomi devices.

As AI becomes a focal point in the global smartphone industry, Honor is positioning its strategy around ecosystem integration and software capabilities. The effectiveness of this approach in differentiating the brand and expanding its market share remains to be seen.