Honor Device Co., a major Chinese smartphone manufacturer, has announced a $10 billion investment over the next five years to become a significant player in the artificial intelligence (AI) sector. The Shenzhen-based company, originally a spinoff from Huawei Technologies Co., revealed its new corporate strategy at Mobile World Congress, focusing on creating a device-centric AI ecosystem. The investment will be funded by Honor and its investors, which include local government entities, BOE Technology Group Co., and two of China’s mobile carriers. Newly appointed CEO James Li outlined the plan in Barcelona, emphasizing collaboration with global partners like Qualcomm Inc. and Alphabet Inc.’s Google. Honor aims to collaborate with supply chain and carrier partners, such as Orange and Telefonica, to develop new AI devices. The company is also working closely with US partners, integrating Google’s Gemini into its phone software and introducing a Windows-powered AI PC. This move positions Honor alongside major competitors like Samsung Electronics Co. and Apple Inc., as well as domestic rivals in China, in the race to monetize AI technologies and drive hardware upgrades.