Huawei Technologies founder and CEO Ren Zhengfei has sounded a warning: The impact of US sanctions on Huawei is more severe than expected.

Ren said on Monday, June 17 that his Chinese company's revenue could fall US$30 billion to around US$100 billion this year and the next -- the first time the impact has been measured in dollar figures.

From defiance to pessimism

Ren's pessimistic outlook comes after weeks of defiant posturing from the company.

Before this, Huawei has maintained it was technologically self-sufficient.

Ren, who spoke at the company's Shenzhen headquarters, said Huawei had not expected the determination to "crack" the company would be "so strong and so pervasive".

What Ren said

The 721.2 billion yuan (US$104.16 billion) revenue reported in 2018 was up 19.5 percent from 2017.

Ren said he expects a revival in business in 2021.

He added: "We did not expect they would attack us on so many aspects."

"We cannot get components supply, cannot participate in many international organisations, cannot work closely with many universities, cannot use anything with US components, and cannot even establish connection with networks that use such components."

"In 2021, we will regain our vitality and (continue to) provide services to human society."

Huawei will not cut research and development spending, Ren said.

However, the company will slash production over the next two years by US$30 billion.

Huawei's international smartphone shipments have dropped 40 percent this year, he acknowledged.

Top photo via