Huawei looks to Device and Enterprise growth to fuel future business

Huawei today released its financial results for the first half of 2011. Sales revenue grew 11 per cent year-over-year to CNY98.3 billion (US$15.39 billion) and operating profit reached CNY12.4 billion.

Cathy Meng, Huawei’s CFO said that although the global economy continues to face uncertainty, Huawei remains confident in achieving its annual sales target of CNY199 billion with its Device and Enterprise businesses as new growth drivers.

While Huawei has traditionally focused on providing telecom solutions for the operator segment, it is transforming into an integrated ICT solutions vendor to capitalise on the significant growth presented by this market.

In early 2011, Huawei established its Enterprise Business Operation Centre, actively promoting the ICT transformation of the enterprise market. Huawei Enterprise has expanded its businesses into over 100 countries, providing ICT infrastructure construction and information services to multiple industries including government, finance, transportation, power, energy and the Internet. Huawei has launched an upgraded version of its Telepresence product, an HD video conferencing system. In the first half of the year, more than 500 Telepresence systems were shipped, driving the total shipment to over 1,000 units. Huawei also launched a new high-performance access router, delivering comprehensive IP network solutions to its enterprise customers.

Huawei also introduced new cloud computing business models by launching cloud solutions for the visual media (“Media Cloud”) and healthcare (“Health Cloud”) industries. Huawei’s cloud computing and data centre solutions have been deployed in over 20 countries in the world, widely used across different industries such as operators, medical, radio & broadcast, the Internet, education and e-government, among others.

Huawei Device realised strong growth during this period, with shipments up by 40 per cent year-over-year to 72 million units. In the mobile broadband market, Huawei continued to lead the industry, ranking among the top providers globally. The handset business grew by over 100 per cent with smartphones at the centre of the growth and the shipment of Android-based smartphones ranking among the top five in the world.