Huawei is developing an artificial intelligence chip for smartphones. Last month, Huawei said it plans to commercialize the AI-based chip set "Ascend 910" and the mini version "Ascend 310" next year.

Huawei plans to release a 5G folder for 2019 and an Augmented Reality glasses are under development.

Huawei is also entering the software field and looking beyond the hardware.

Although not well-known outside of China, Huawei offers services such as cloud storage services, music streaming, and visual content.

Huawei's music streaming platform, Huawei Music, claims to have 100 million users a month. The world's No.1 music source site, Spotify, has 191 million users.

"With this AR, you can have AR glasses working with phone, maybe you can watch more of a large area," said Richard Yu, CEO of Huawei.

"In the beginning, you may feel AR … is nothing. But in the future you will see more and more the value of that," he added.

"We want to be a leader in smartphone providers for the next 10 years."

Meanwhile, CNBC analyzed that much of Huawei's success so far is due to its low-cost smartphone with new technology.

The Huawei P20 Pro, released earlier this year, was the first in the world to be equipped with a rear triple camera and sold for a little over $1,000.

But still, it seems that it is not easy for Huawei to overcome Samsung.

According to data from Counterpoint Research, Samsung missed the top three places in the smartphone market for the past five years only for one quarter.

"If Huawei wants to win Samsung, we have to conquer the stronger US, European and Indian markets," said Neil Shah, research director at Counterpoint.