Back last November, Huawei announced that it had sold its Honor sub-brand to a consortium that valued the company at $15.2 billion USD. With Huawei already reporting a drop in shipments, there were some who wondered why the beleaguered manufacturer would erase more shipments by getting rid of Honor. The reason why Huawei jettisoned Honor actually makes a lot of sense.
As long as Honor was owned by Huawei, it was subject to the same restrictions that the U.S. had placed on the latter. With a ban on the use of U.S. hardware and software (without a license), Honor could not use the Google Mobile Services version of Android nor could it be shipped cutting-edge chips produced by foundries that use U.S. technology.