How Huawei is committed to creating value for its customers How Huawei is committed to creating value for its customers
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How Huawei is committed to creating value for its customers

How Huawei is committed to creating value for its customers

Huawei’s divisions are setting the pace for the company’s growth in the coming months

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Huawei’s business groups have shown steady growth in the first half of the year. The company generated $45bn in revenue, with a net profit margin of 5 per cent. Its carrier division contributed $21.3bn in revenue, with the enterprise business contributing $8.1bn, exceeding 27 per cent both in and outside China. Meanwhile, the device division brought in $15.1bn.

The carrier business reported stable development in 5G, while other business modules such as optical networks, cloud core networks, services, and software grew rapidly. Huawei’s exploration into 5GtoB has also been rewarding. Working with carriers and partners, the company signed more than 5,000 commercial contracts for industrial 5G applications by June 2022.

In some Middle East countries, such as Saudi Arabia and the UAE, Huawei’s 5GtoB offerings have seen large-scale commercial deployment across numerous industries, including ports, mining, manufacturing, and oil and gas. 5G Fixed Wireless Access has seen wide adoption in home applications, helping carriers achieve business success with 5G among home and enterprise users.

“While our device business was heavily impacted, our ICT infrastructure business maintained steady growth,” says Ken Hu, Huawei’s rotating chairman. “Moving forward, we will harness trends in digitalisation and decarbonisation to keep creating value for our customers and partners, and secure quality development.”

Cloud-based innovations
In the first half of the year, Huawei Cloud released 15 innovative services, covering infrastructure as a service (IaaS), technology as a service (TaaS), and expertise as a service (EaaS).

The division will forge a new partner system and help partners improve their capabilities. With Huawei Cloud serving as the foundation, the company will enable developers to grow and contribute to a thriving ecosystem through programmes like the Huawei Cloud Developer Programme. It has also continued to expand its global presence. Together with partners, Huawei Cloud is currently operating 65 ‘Availability Zones’ in 27 Regions, including the UAE and the upcoming Saudi region. According to Gartner, Huawei Cloud is the 5th largest IaaS vendor in the world.

In the device business, the HarmonyOS ecosystem continues to grow rapidly. It has already been deployed on more than 300 million Huawei devices and HarmonyOS Connect has attracted more than 2,000 ecosystem partners. Over 170 million third-party HarmonyOS Connect devices have been shipped.

R&D spending
To ensure the business’ focus on innovation and growth, Huawei invested about $22.38bn in research and development (R&D), representing 22.4 per cent of its total revenue, and bringing its total R&D expenditure over the past ten years to over $132.5bn. Moving forward, Huawei will continue the trend.

Green agenda
The company has continued innovating and proposed a three-layer solution: green sites, green networks, and green operations, as part of its green agenda. The company also aims to help carriers enhance network energy efficiency in all areas. By integrating digital and power electronics technologies, the company is developing innovative digital power products and solutions that will drive the shift towards a green and low-carbon energy sector. By June 2022, Huawei’s Digital Power solutions had already helped customers generate 588.5 billion kWh of green power and save 17 billion kWh of electricity. These efforts have offset 290 million tonnes of CO2 emissions, equivalent to planting 390 million trees.

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