Huawei on Tuesday announced that it will launch its new Harmony operating system for smartphones on June 2, its biggest move yet is to recover the damage done by US penalties to its mobile phone business.

The use of its own operating system will mean it will no longer be dependent on Android. US sanctions banned Google from providing technical support to new Huawei phone models and access to Google Mobile Services, the bundle of developer services upon which most Android apps are based. It was not clear if it will be launching new smartphones at the same time or if there will be updates for existing phones or how fast the rollout might occur.

The new Harmony OS will only go some way to reducing the impact of the 2019 penalties that also barred Huawei from gaining critical US-origin technology, breaking the ability to design its own chips and source parts from outside vendors. Once the world’s biggest smartphone maker, Huawei now is ranked 6th globally with a 4 per cent market share in the first quarter.

The previous Trump administration argued that the Chinese telecommunications giant posed a threat to US national security a charge that Huawei has denied. Huawei CEO Ren Zhengfei this week called on staff to “dare to lead the world” in software in a bid to move into business areas that can’t be affected by US sanctions, according to an internal memo seen by Reuters. The company will need to take a more “open source” approach to development and should try to attract more software experts from overseas as part of the pivot, it said.