Huawei Technologies Co has established a smart car solutions business unit, as part of its larger goal of driving a connected and smart future.

"The automotive market is undergoing a profound information and communications technology-driven transformation," Huawei said in an internal document.

The Chinese company is focusing on developing ICT technologies and will provide end-to-end smart vehicle solutions and ICT components for smart cars to other companies.

"With advantages in areas like 5G technologies, in-vehicle computing platforms and cloud services, Huawei will be an enabler that helps carmakers to offer next-generation smart products," the company said.

The new move came as Huawei faces headwinds from the US government's decision to put it on a blacklist. The US administration accuses Huawei of posing risks to its national security. Huawei has repeatedly denied the accusations, claiming the charges were not supported by any factual evidence.

Huawei plans to sell its majority share in an undersea cable unit. The company will sell its 51 percent of Huawei Marine Networks, a global submarine network provider and a joint venture between Huawei and United Kingdom-based undersea cable company Global Marine Systems.

In terms of organizational structure, the new business unit will be treated as a first-level department alongside the company’s other business groups. Huawei currently has three major business groups: Consumer, Enterprise, and Carrier Business Group. It also has two major business units, namely its Cloud & AI Products, Services, and now the new additional Smart Car Solution Business Unit.

Huawei has already established several strategic partnerships with vehicle manufacturers around the globe including SAIC Motor, Audi, Volvo, BYD and many more, and has been actively involved in the research and development of smart vehicle applications, 5G connections and more.