Huawei

NETWORKBUSINESSQUARTERLYSM
Huawei
SecondCalendarQuarter2011
SecondFiscalQuarter2011EndedJune30,2011
TBROUTLOOK POSITIVE
TBRSCORE(010SCALE)
4.83
PublishDate:Sept.8,2011
Author:KenHyers(ken.hyers@tbri.com), NMPSeniorAnalyst
ContentEditor:ScottDennehy,NMPSeniorAnalyst
TBR
T E C H N O L O G Y B U S I N E S S R ES E AR C H , I N C .
Contents
TBR
CompanyAnalysis
TBRPosition
4
6
8
9
12
16
19
20
21
22
ExecutiveSummary
StrategyOverview
CorporateSWOTAnalysis
ScenarioDiscussion
FinancialModelStrategy
GotoMarket&ProductStrategies
Alliance&AcquisitionStrategies
GeographicAnalysis
ResourceManagementStrategy
Appendix
Huawei2Q11|NetworkBusinessQuarterly
CompanyDataModels
22
23
24
25
26
27
28
30
31
32
34
37
48
50
51
IncomeStatement
BalanceSheet
RevenueModel
GeographicModel
OperatingExpenseModel
ForecastModel
FinancialGraphs
GotoMarket&ResourceGraphs
AcquisitionsTable
StrategicAllianceandPartnershipsTable
ProductAnnouncementTable
CustomerDealsTable
FacilitiesTable
ManagementTable
AboutTBR
2011 TechnologyBusinessResearch,Inc.
TBRPosition
TBR
RevenuegrowthwillslowasHuaweifocusesontheenterprisemarket
throughtheremainderof2011
TBRAssessment
CompanyStrategicObjectives
InMillionsUSD
Delivercloudsolutionstoenterprisesandnetwork
Huaweiexperiencedhealthyrevenue growthinthefirst
halfof2011,albeit slowerthanin2010,whichwasstrong operators
duetointernationalsales. Thecompanyreorganizedits
Huaweiwillofferitscloudsolutionsdirectlyto
businessunitstofocusonopportunitiesincloudservices
enterpriseandnetworkoperators,whowillthen
andinfrastructureandastrategyithasinformallydubbed
marketthecloudsolutionstotheirowncustomers.
CloudPipeDevices.TheCloudPipeDevicesstrategy
Focus ontheenterprisesectorfornewgrowth
enablesHuaweitodelivercloudreadyequipment,
Theenterprise,andparticularlySMEs,lieatthe
softwareandservicesfromthecloudtothenetworkand
centerofHuaweiscloudsolutionsstrategy.With
tomobiledevices,whichitintendstomarkettonetwork
significantexperienceprovidingvoice,videoand
providersanddirectlytoenterprisecustomers.TBR
datasolutionstofixedandmobileoperators,
believesthatbypursuingcloudservices,Huaweiwill
Huaweibelievesitcandelivermanyofthesame
increasehighermarginservicesandequipmentsales.In
servicestoenterprisecustomers,usingacloud
doingso,however,itwillbemoredifficultforthecompany
platformitdubsHuaweiSingleCLOUD.The
todominatethewayithasasequipmentsupplier.
SingleCLOUDplatformisintendedtomeetSMEs
HUAWEIPROFITABILITYANDGROWTH
needsforaprivatecloudsolutionandtoprovidea
TBR
$35,000
60%
publiccloudsolutionfornetworkoperators.
$30,000
50%
Becomeatopfiveglobalhandsetvendorby2013
$25,000
40%
Huaweiintendstobecomethefifthlargest
$20,000
$15,000
handsetmanufacturer,byunitsshipped,by2013.
30%
$10,000
ThatwouldplacethecompanybehindNokia,
20%
$5,000
Samsung,LGandRIMbutaheadofApple,
10%
$0
MotorolaandSonyEricsson agoalTBRbelieves
2007
2008
2009
2010
2011Est.
isambitiousbutachievable.
TotalRevenue
GrossProfit
OperatingProfit
YeartoYearRevenueGrowth
SOURCE:TBRESTIMATESANDHUAWEI
ExecutiveSummary
TBR
TBRbelievesHuaweiwillexceedits2011revenuegrowthprojectionsas
4Gnetworkcontractsandanenterprisefocusonclouddrivesales
TBRassessmentofHuaweisstrategicoutlook
Keytakeaways
Strategicoutlook
Financial:Huawei willbeatitsrevenuegrowth
projectionsbyatleast50%in2011.
Go to Market: Huawei intendstobecomeatop

fiveleaderinAndroidhandsetsby2013,butthe
companywillfacechallengesasothervendors
fighttoretainshare.
Resource:Huaweisfocusonendtoendcloud
solutionsforenterprisesandtelcosisa direct
resultofits reorganizationinearly2011andits
newstructureoffourcorebusinesses:Carrier,
Enterprise,DevicesandOther.
TBR
HUAWEIFULLYEARREVENUEANDOPERATINGMARGIN
RESULTSANDTBRPROJECTIONS
OperatingMargin
18.0%
16.0%
C2010
C2011Est.
14.0%
C2009
C2008
12.0%
10.0%
5.0%
15.0%
25.0%
35.0%
45.0%
YeartoYearRevenueGrowth
Huaweiexpectstogrowrevenueby10%in2011,downfrom26%in
2010.Thecompanyattributesthedeclineingrowthtothe
reorganizationofitsbusinessandtolowerdomesticrevenueas
Chinasoperatorslargelycompletetheirnetworkbuildouts.TBR
believesHuaweisrevenuegrowthguidanceisundulyconservative,
andwhileitwillnotachieve2010levels,itwillachieverevenue
growthofatleast15%to18%in2011.
Huaweismobiledevicestrategywillconcentrateondeveloping
Androidsmartphonesforthemassmarket.TBRbelievesHuaweiis
wellpositionedtodevelopmassmarketsmartphonesbyleveraging
itsextensiveinternalR&Dcapabilitiesandoutsourcingproductionto
ODMs,suchasFoxconn.Huaweiisdevelopingabroaderproduct
portfolio,creatingdevicesforspecificmarketsegmentsincluding
youngfashionconsciousconsumersandprofessionalusers.Its
devices,includingtablets,forprofessionalsarepartofitsCloudPipe
Devicestrategyandwillbeusedbyenterprisecustomersfor
deliveringproductivityappstomobileworkers.
HuaweisprivatecloudstrategyforSMEsistodeliverdistributedIT
throughthecloudsothatservicesandfunctionsarenolonger
localizedandareinsteadavailableonadistributedbasisto
employeesinmultiplelocations.Onthetelcoside,Huaweiseesitself
deliveringpubliccloudsolutionsforoperatorsthatdonothavethe
resourcesorexperiencetodelivercloudsolutionsthemselves.In
developedmarketsthetargettelcoswillbeTier2operators,suchas
LeaporMetroPCSintheU.S.,whileinemergingmarketsthesolution
willbeofferedtoawidergroupofoperators.
ExecutiveSummary
TBR
Huaweisfinancialmetricsscoreisnolongerinflatedbyaboveaverage
revenuegrowth,exposingaweakbalancesheet
TBRSCORINGSUMMARY:
CALENDARQUARTERRESULTS
TBR
2Q10 3Q10 4Q10 1Q11 2Q11 FINANCIALMETRICS

Fi na ncia l Model Stra tegy:
6.01 5.96 6.00 5.74 5.72 RevenueGrowthYea rtoYea r
GotoMa rket&Servi ces Stra tegi es : 3.68 3.79 3.60 3.38 3.45 Revenue/Empl oyee
Gros s Ma rgi n
Res ourceMa na gementStra tegy:
5.45 5.79 5.80 5.39 5.31
SG&Aa s %ofSa l es
TOTALAVERAGETBRSCORE:
5.05 5.18 5.13 4.84 4.83
R&Da s %ofSa l es
Opera ti ngMa rgi n
Da ys Ca s hOuts ta ndi ng
Huaweihastheweakestdayssales
Tota l As s etTurns
outstandingmetricamongitspeersduetoits CurrentRa ti o
liberalcreditpolicies.Huaweiroutinely
Debt/As s ets
acceptsIOUsfromcustomerstoboostsales
ReturnonAs s ets
ReturnonEqui ty
andencourageinvestment.TBRbelievesthis
practicecouldweakenHuaweisbalance
sheetifcashstrappedoperatorsstruggleto
paybackoutstandingdebt.
Key
RepresentsanareawhereHuaweiiscurrently
challengedversuspeers
RepresentsanareawhereHuaweiisoutperforming
itspeers
RepresentsanareawhereHuaweiisneither
significantlyoutperformingnorunderperformingits
peers
Company
TBRScore
Figure
4.52
13.2%
3.24 $248,920
5.31
41.0%
4.99
17.0%
6.89
9.0%
6.83
14.7%
3.86
74.00
6.87
1.23
4.00
1.61
3.24
0.60
8.91
15.8%
10.00
48.2%
5.72
TOTALAVERAGETBRSCORE
GOTOMARKET&SERVICESMETRICS
Network/Comm.Equi pmentMa rketSha re
Mobi l ePhoneMa rketSha re
Da ys Sa l es Outs ta ndi ng
TBRScore
5.61
3.73
1.00
Company
Figure
14.0%
2.7%
135.63
Averagein
Class
11.6%
10.0%
68.84
Standard
Deviation/2
4.0%
5.8%
16.70
3.45
RESOURCEMANAGEMENTMETRICS
InventoryTurns /Yea r
Fi xedAs s etTurns /Yea r
Averagein
Standard
Class
Deviation/2
15.3%
4.3%
$417,045 $95,270
38.8%
7.0%
17.0%
2.8%
13.3%
2.3%
8.1%
3.6%
127.90
47.19
0.95
0.15
1.90
0.29
0.47
0.07
6.4%
2.4%
14.5%
6.5%
TBRScore
4.22
6.40
Company
Figure
7.05
21.00
Averagein
Class
8.45
15.73
Standard
Deviation/2
1.80
3.75
5.31
VENDORPERFORMANCECOMPAREDTOPEERSINTBRSNETWORK
BUSINESSQUARTERLYVENDORBENCHMARK
StrategyOverview
TBR
HuaweiwillhaveadifficulttimepenetratingtheU.S.telecommunications
market,evenwithanewstrategytoquellsecurityconcerns
Function
KeyStrategies
TBRAssessment
Buildoninitialsuccessin
NorthAmericatobecome
akeysuppliertonetwork
operators.
Overall
GrowbusinessinIndiaby
localizingpresence.
Employthreepronged
securitystrategytoallay
U.S.concerns.
Financial
Growsales10%in2011
byfocusingonenterprise
customers.
Invest10%ofrevenuein
R&D.
: HuaweihasyettolandanequipmentcontractwithaTier1
operatorintheUnitedStates,thoughthevendorisfinding
successamongTier2and3companies.
; Withsecurityclearanceinhand,Huaweicanrealizethefull
potentialofitsextensiveresourcesinIndia,whichincludea
skilledlocalworkforceanddomesticmanufacturingandR&D
assets.
; Huaweisplanincludesestablishinganationalsecurity
committeeheadedbyHuaweiCTOMattBross,usingthird
partytestlabstocheckHuaweissourcecodeandusingU.S.
citizenstodeliverandinstallHuaweiequipment.
; Huaweiisfocusingonenterprisecustomersforcloud
servicesasitattemptstoenternewhighervaluemarket
segments.
; TBRexpectsHuaweiwillcontinuetokeepitsR&Dspend
steadyat10%ofrevenuein2011.Thisreflectstheneedto
maintainheavyinvestmentinnewtechnologiesasit
continuestomovefromalowcosttoahighvaluebusiness
model.
Key:; Working:Shorttermimpactexpectedonbottom/topline : Notworking:Nomajorimpactordifferentiationexpected
StrategyOverview
TBR
HuaweiwillfocusondevelopinglowcostAndroidsmartphonesasit
attemptstobecomeatopfiveglobalhandsetvendor
Function
Goto
Market
R&Dand
Delivery
KeyStrategies
Establishleadership
positionin4G(WiMAX
andLTE).
LeverageAndroidtogain
tractioninsmartphone
andtabletmarkets.
TBRAssessment
EstablishR&Dcentersin
strategiccitiestoleverage
localtalentpools.
InvestheavilyinIndiato
capitalizeongrowth
opportunitiesasthe
countrymodernizesand
expandsitsmobile
networks.
; HuaweiispositioningitselftobecomealeaderinTDLTE,the
4GtechnologyofchoiceforChineseoperators.Thevendor
aimstodoubleitscommercialLTEcontractsfrom18in2010to
36in2011andexpectsLTErelatedrevenuetobecomea
meaningfulcontributortooverallrevenueby2014.
; SellinglowcostAndroidpowereddevicesviacarrierswillhelp
Huaweiquicklygainmarketshareinsmartphonesandtablets.
ThelowendsmartphonespaceisonewhereHuaweithrives,
duetothecompanys lowcostoperatingstructureand
resistancetopursuingexpensiveadvertisingprograms.
; HuaweioperatesR&Dcentersneartheheadquartersofmost
ofitsmajorcustomersinmarketsworldwide,whichallowsitto
workcloselywithcustomersandbemoreresponsivetotheir
requestsandneeds.
; Usingalocalizationstrategy,Huaweiiscreatingastrongholdin
IndiawhileimprovingitsreputationwiththeIndian
government.
Key:; Working:Shorttermimpactexpectedonbottom/topline : Notworking:Nomajorimpactordifferentiationexpected
TBR
Huaweiwillfacegrowingchallengesasitfocusesondeliveringcloud
servicestoenterprisesandserviceproviders
Strengths
Leaderin4Gtechnologiesbynumberofcontracts
SingleRANplatformisakeydifferentiatorfor
winningcontractsindevelopedregions
Abletoprovidevendorlinkedfinancingthroughties
tostaterunbanksinChina
Lowoperatingcostssupportlowcostpricing
strategy
ExtensiveinstalledbaseofTier2and3telecom
operatorsinemergingmarkets
Opportunities
DevelopTDLTE technologyfortheChinesemarket
Usestrategicpartnershipstobuildexpertiseandenter
newmarkets
UtilizeServiceDeliveryPlatformtoestablishWeb2.0
leadership
EstablishafootholdintheNorthAmericanmarket
Developlowercost, highendsmartphonestogrow
shareinWesternmarkets
Weaknesses
Increasingsizebringsachallengetomaintaining
historicalefficiency
Relativelysmallmanagedservicesbase
TiestoChinesegovernmentcouldlimit
internationalinvestmentopportunities
LackofUnitedStatespresence
Threats
NokiaSiemensprioritizingmarketsharegainsover
profitabilityputsdownwardpressureoncontractpricing
The reshufflingoftheChinesetelecomindustrycould
dampenHuaweisgrowthprospectsinitshomemarket
A tightermonetarypolicybyChinacouldlimitHuaweis
domesticgrowth
Huawei intendstobecomealeadingcloudsupplierbut
willfacestrongcompetitionfromothervendorsand
telcos
ScenarioDiscussion
TBR
HuaweiSymantecvirtualizationstrategylaysthegroundworkforbuilding
theconvergeddatacenternetwork
Scenario Discussion:Virtualizationstrategyseesjointventureworkwithkeyhypervisorvendors
ScenarioSWOTAssessment
Strength:HuaweiSymantecisahardware
focusedcompanyandisnottiedtoaspecific
managementsoftwarevendor.
Weakness:HuaweiSymantecsmultivendor
strategyrisksalienatingitsstrongestpartner,
VMware.
Opportunity:HuaweiSymantecispositioning
itselftobeaviableplayerintheemerging
virtualizationspace.
Threat:Huaweiisanewentrantinaspace
dominatedbyCiscoandcrowdedbyother
leadingvendors.
HuaweiSymantec,ajointventurebetweenthetwocompanies,
announcedatVMworldacomprehensivestrategyforoptimizingits
datacenterinfrastructureforvirtualizedenvironments.Themoveis
partofanoverallstrategytocombinenetworking,computing,
storage,andsoftwaresolutionsfromvariousvendors.Thisisvery
similartothestrategypioneeredbyCiscowithitsUnifiedComputing
Systemarchitectureandmirroredbyotherbestofbreedsuppliers
thatarefollowingCiscoslead.
HuaweiSymantec,whichmakesstorageandnetworksecurity
solutions,announcedanewstrategythatintendstooptimizeits
datacenterinfrastructureforvirtualizedenvironments.Coretothe
strategyisworkingwithallkeypartnersinvirtualization.
HuaweiSymantecasaequipmentvendordoesnotdevelopitsown
managementsoftware,insteadturningtovirtualizationmanagement
softwarepartners.WhileVMwareisanimportantpartner,thejoint
ventureisworkingwithmultiplecompaniesthatofferhypervisorsfor
managingdatacenters.
Tosupportitsvirtualizationstrategy,thecompanyintroducedHuawei
SymantecPowerSteeringforVMware1.0,whichisasuiteofplugins
formanagingtheJVsstoragesystemsfromadministratorsvCenter
consoles.
HuaweiSymantecseesitsuniquevaluepropositioncomingfromthe
factthatitalsoofferssecuritysolutions,andisabletoleverageits
totalstackfromasecurityandnetworkingperspective.
ScenarioDiscussion
TBR
Huaweiismovingitssmartphoneportfolioupmarkettobecomealeading
Androidhandsetvendor
Scenario Discussion: Huaweiintroduceshigherendsmartphonesasitmovesintonewmarkets
Strength:Huaweialreadyhasastrong
presenceinmanymarketsasasupplierof
lowendandoperatorbrandeddevices.
Weakness:Huaweihaslittleexperienceasa
highenddevicemaker,anditsbrandisnot
wellknowninWesternmarkets
Opportunity:IfHuaweicancrackthecode
indevelopinghighendbutlessexpensive
smartphones,itwillrapidlygainmarket
share.
Threat:TheAndroidsmartphonemarketis
crowdedanditwillbedifficultforHuaweito
gainshare.
Huawei Vision
Smartphone
10
Huaweiislookingtobecomeahighendsmartphonedeveloper.Ithopes
toleverageitsexpertiseasavolumeproduceroflowcostmobiledevices
toproducehighlycapablesmartphonesatapricepointthatundercuts
thoseofcompetingdevicesfromleadingOEMs,suchasHTC,Motorola
andSamsung.
HuaweialreadyhasanumberofAndroiddevicesonthemarket,suchas
itsiDEOSsmartphone,buttodatethesedeviceshaveemphasizedprice
overbleedingedgecapabilities,havegenerallylaggedcompetitorsin
termsofcomponentsandsoftware,andhavegenerallyappealedtomore
costconsciousconsumersthatarebuyingtheirfirstsmartphone.
WhileHuaweisgoalistomovebeyonditsstatusasafastfollower,
imitatingpopularsmartphonesfromcompetitors,andbecomeagenuine
developerofinnovativedevices,itslatestflagshipofferings,suchasthe
Visionsmartphone,continuetofollowapathblazedbyother
manufacturersintermsofhardware.
TheVision,despitea1GHzSnapdragonprocessorandAndroid2.3OS,is
neitherfirsttomarketwiththeGingerbreadOSnorcanitmatchdual
processorofferingsfromleadingAndroidOEMs.Whereitdiffersisin
introducingHuaweisconceptofacloudbasedphone,inwhichappsare
hostedinanddownloadedfromthecloud.
TBRbelievesHuaweiseffortstobringmoreadvanceddevicestomarketat
alowerpricepointisawinningstrategyasthemassmarketphonebuying
publicinWesternmarketslooksforlowercostdevicesthatdonot
sacrificefunctionality.
ScenarioDiscussion
TBR
Huaweisgoalistoprovideallaspectsofclouddelivery,fromplatform
todevicetoapps
Scenario Discussion: Huaweiintendstobecomealeadingclouddeliverysupplier
Strength:Huaweiisabletoofferelements
andequipmentforallaspectsofcloud
networks.
Weakness:Huaweihasasmallmarket
presenceinoneofthemostimportant
cloudmarkets:NorthAmerica.
Opportunity:Huaweicanleveragedeep
partnershipswithITproviders,suchas
IBM,todriveitsenterprisefocused
strategy.
Threat:Potentialcustomerswillturnto
betterknownvendors,suchasCisco.
Huaweibelievesthatoverthenextdecade,ITappswillreplacevoice
servicesandwebtechnologywillreplacepublicswitchedtelephone
networks.Basedonadistributedcomputingarchitecture,thisstructurewill
resultinlowercostsandgreatercompetitiveadvantagesfornetwork
providersthatembraceclouddelivery.Huaweiintendstobecomealeading
providerofallaspectsofclouddelivery,fromplatformstoapps.
Huaweiwilltaketwoapproachestodeliveringcloudsolutions,offering
themdirectlytoenterprisesaswellastonetworkoperatorsthatwillthen
marketthecloudsolutionstotheirowncustomers.
HuaweisprivatecloudstrategyforSMEsistodeliverdistributedITthrough
thecloudsoservicesandfunctionsarenolongerlocalizedandareinstead
availableonadistributedbasistoemployeesinmultiplelocations.
Onthetelcoside,Huaweiseesitselfdeliveringpubliccloudsolutionsfor
operatorsthatdonothavetheresourcesorexperiencetodelivercloud
solutionsthemselves.IndevelopedmarketsthetargettelcoswillbeTier2
operators,suchasLeaporMetroPCSintheU.S.,whileinemergingmarkets
thesolutionwillbeofferedtoawidergroupofoperators.
Onthedeviceside,Huaweiintroducedahandset,itsVisionsmartphone,
thatstoresuserscontent,includingapplications,photos,videos,andmusic,
inthecloud.Customerscanstoreupto160GBofcontentonthecloudand
canaccessthatcontentasneeded.Aweaknessofthisstrategyisthatit
requireshighspeed/highbandwidth4Gnetworkstosupportcontent
downloads,buttheVisionhandsetonlysupports3Gnetworks.
Source:Huawei
11
TBR
TBRbelievesHuaweiwillcontinuetogrowrevenueduetotheappealof
itslowcostconsumerdevices
RevenuePerformanceandStrategies
$35,000
$31,000
$30,000
InMillions
2011Est.Revenue:$31billion
HUAWEIREVENUEANDYEARTOYEARGROWTH
TBR
$27,381
$25,000
60.0%
50.0%
$21,821
In1H11,HuaweireportedrevenueofCNY98.3billion,
or$15.2billion,amountingtogrowthof11%yearto
year.
Huaweiwasabletoweathereconomicturmoilin
developednationsandfearsofadoublediprecession
byexpandingitsenterpriseofferingsandincreasing
deviceshipmentsbyover40%.
40.0%
$18,071
$20,000
30.0%
$12,840
$15,000
20.0%
$10,000
10.0%
$5,000
$
0.0%
2007
2008
2009
Revenue
2010
2011Est.
YeartoyearGrowth
2011RevenueandGrowthOutlook
HUAWEIGROSSMARGIN&OPERATINGMARGIN
TBR
50%
40%
39.7%
38.2%
41.0%
41.9%
39.6%
TBRexpectsHuaweisrevenuetoreach$31billionfor
2011 anincreaseof13.2%yeartoyear asgrowth
willspanallgeographiesandsegments,withthe
exceptionofoptical.
Devicesalesgrowthwillacceleratein2H11asthe
distributionoflowcostAndroidsmartphonesand
tabletsexpandstothemassmarketindeveloped
markets.
30%
20%
10%
12.9%
9.7%
14.1%
15.8%
14.7%
0%
2007
2008
GrossMargin
2009
2010
OperatingMargin
2011Est.
12
TBR
TomaintainmomentuminLTEsales,Huaweihaslaunchednewmicrocell
productsdesignedfortheNorthAmericanmarket
SegmentRevenuePerformanceandStrategies
Huaweihasachievedconsiderablesuccessin
winning4Gcontractsbuthasnotwonthe
mostlucrativecontractsduetobeing
essentiallyshutoutoftheU.S.Tier1market.
Huaweiisbettingthatitsmicrocellsolutions
willproveappealingto4Goperators.Huawei
pointsoutthatitssmallcellsolutionsare
readyformarketnow,whilecompetitors
moreadvancedsolutionsarestillinthe
testingphases.TBRbelievesthatwhile
Huaweidoeshaveatimetomarket
advantage,thesmallcellmarketwillnotsee
significantgrowthuntilatleastlate2012,at
whichpointsolutionsfromcompetitorswill
beavailable.
HUAWEIREVENUEBYSEGMENT
TBR
$32,000
RevenueinMillions
$6,000
$4,545
$24,000
$16,000
$2,106
$1,965
$1,200
$2,190
$1,400
$3,980
$8,000
$0
$3,600
$4,900
$3,790
$2,792
$1,265
$3,176
$1,446
$3,644
$1,527
$5,193
$1,527
$2,400
$5,602
$6,328
2007
2008
2009
Handset
Service&Software
Data
$5,635
$2,800
$5,286
$5,265
$1,750
$1,800
$8,500
$9,500
2010
Optical
Fixed
Wireless
$9.5billion
2011Est.
Wireless
HUAWEIREVENUECOMPOSITION
TBR
40%
Fixed
$1.8billion
30%
20%
10%
Huaweihasestablishedanarrowleadinterms
ofrevenueinthebroadbandCPEmarketas
theshifttoFTTHcontinuesonthebasisof
contractsalesinChina,LatinAmericaandthe
MiddleEast.
0%
2007
2008
2009
2010
2011Est.
Wireless
Fixed
Optical
Data
Services&Software
Handset
13
Optical
$5.3billion
HuaweisTserieslaunchedinNorthAmerica
in1H11,givingthecompanyanewoptionasit
seekstowinmetroandcoreopticaltransport
equipmentcontracts.
TBR
DataremainsafastgrowingbusinessforHuaweiasthecompanypushes
deeperintotheenterpriseITsegment
SegmentRevenuePerformanceandStrategies
Revenue(in$Millions)
$31,500
Data
$2.8billion
$1,455
$30,000
$28,500
$1,000
$50
$21
$735
$400
$27,000
$25,500
$31,000
$27,381
$24,000
$22,500
2010 Wireless
Revenue
Fixed
Optical
Data
Huaweicontinuestolaunchnewproducts,
suchasitsARG3AccessRouter,asitfocuses
itsattentionontheenterprisemarket.
AspartofitsexpansionintotheenterpriseIT
space,Huaweiisintroducingalineofservers,
lowendswitches,security,VoIPandstorage
productsin2011.TBRbelievesthemovewill
positionHuaweitodirectlycompetewith
Ciscoslowendswitchingbusiness.
HUAWEI2011SEGMENTREVENUEGROWTH
TBR
Service& Handset 2011Est.

Software
Revenue
TBR
HUAWEIYEARTOYEARSEGMENTREVENUEGROWTH
120%
Service&
Software
$5.6billion
Huaweicontinuestoseestronggrowthfrom
rollout,maintenance,professionaland
managedservices,butithasyettowinthekind
ofmegadealwonbyleadersEricsson,NSNand
AlcatelLucent.
Handset
$6billion
Whilecontinuingtoexpandintothelowend
smartphonemarket,Huaweiisintroducing
higherqualityflagshipdevicestoimprovebrand
recognition.
100%
80%
60%
40%
20%
0%
20%
2007
2008
2009
2010
2011Est.
Wireless
Fixed
Optical
Data
Services&Software
Handset
14
TBR
HuaweicontinuestoinvestinsalesstaffandTDLTEtechnologyaheadof
commercialrolloutsinChinain2012
ExpensePerformanceandStrategies
2011Est.OperatingExpenses:$26.4billion
HUAWEIOPERATINGEXPENSES
TBR
$2,790
In$Millions
$25,000
$2,448
$20,000
$1,953
$1,511
$15,000
$1,284
$10,000
$13,188
$2,350
$5,000
$5,271
$4,583
$3,538
$3,236
$18,290
$15,920
$10,890
$7,937
CostofRevenue
$18.3billion
$0
2007
2008
2009
Research&Development
SG&A
TBRbelievescostofrevenuewillgrow
14.9%in2H11,outpacingrevenue
growth.
Grossmarginwillfall90basispointsin
2H11to41%duetocompetitionfrom
otherlowcostAndroidsmartphone
vendorsandpricingbattleswithNSNin
thetelecominfrastructurespace.
$30,000
2010
2011Est.
CostofRevenue
SG&A
$5.3billion
TBRestimatestotal2011SG&Awillgrow
15%yeartoyearasHuaweiincreases
salesheadcountandmarketingspendto
supportitsmobiledevicereleases.
Total2011operatingmarginwillbe
14.7%,a110basispointdecreasefrom
2010.In1H11,Huaweireported
operatingincomeofCNY12.4billion,or
$1.9billion.
R&D
$2.8billion
TBRbelievesHuaweis2011R&Dspend
willbe14%higherthan2010asthe
companyinvestsincloudcomputingand
continuesinnovationaroundTDLTE.
HUAWEIOPEXASAPERCENTAGEOFREVENUE
TBR
70%
60%
50%
40%
30%
20%
10%
0%
2007
2008
CostofRevenue
2009
SG&A
2010
Research&Development
15
2011Est.
TBR
WiththeU.S.4GmarketlargelyclosedtoHuawei,thecompanyislooking
toChinaformajorcontracts
TBRAssessmentofHuaweisTelecomNetworkInfrastructureSegment
Strategy
Huawei4Gsalesarebolsteringthecompanys
positionasthesecondlargestinfrastructure
vendor.WhileHuaweicontinuestowincontracts
inEurope,NorthAmerica(theworldslargest
telecommarket)remainsclosedtoHuaweidueto
concernswithintheU.S.governmentandwith
companiesthatthegovernmentdoesbusiness
withthatHuaweisoftwareandequipmentmay
compromisethesecurityofU.S.communications
networks.
Asaresult,Huaweicontinuestobeleftoutof
Tier1operatorcontractsintheUnitedStates,
makingitdifficulttopassEricssonastheworlds
leadingvendorbyrevenue.Establishingmore
R&Dcenters,addingemployees,andgrowing
handsetshareintheU.S.mayhelpease
regulatorsfears.
TBRbelieves Huaweihasplaceditselfinan
advantageouspositionforthelongterm.The
small2Gand3Gdealsitiswinningfromoperators
indevelopingmarketswilllikelyleadtoupgrades
andexpansionsinthecomingyearsasconsumers
adoptsmartphonesandincreasetheirdatausage.
16
KeyDevelopments
Huaweisecured4GbuildoutcontractswithGeniusBrand,
M1,andManitobaNetSet.
o
HuaweiisrollingoutanLTEnetworkforGeniusBrand,
ajointventurebetweenHutchisonandHongKong
Telecom.Thenetworkwillsupportdownloadspeeds
upto120Mbpsandcovertheentirecity.Huaweiwill
deploy2,000basestationsthroughoutHongKong,
providingcustomerswithfasterinternetspeeds,
accesstowirelessapplications,andtheabilityto
streammobilecontent.
Inthecourseofatwophasedproject,Huaweiwill
buildaWiMAXnetworkforManitobaNetSet,
providing5,000householdsinruralCanadawith
broadbandinternetaccess.Huaweiwillpreparethe
networkforatransitiontoLTEbydeployingits
SingleRANsolution.
M1,amobilebroadbandandcommunications
provider,awardedHuaweiafiveyear,S$280million
contracttobuildSingaporesfirstnationwideLTE
network.HuaweisendtoendLTEsolutionincludes
installationofbasestationsandEvolvedPacketCore
equipment.
TBR
Huaweisplanstobecomeatopfivehandsetvendorwillputitindirect
competitionwithbothtraditionalOEMsandChineserivalZTE
TBRAssessmentofHuaweisDevicesSegment
Strategy
Huaweiremainsinthebackofthepackintermsofdevice
revenuebuthasambitiousplanstocontinuetointroducenew
massmarketAndroiddevicesinbothemerginganddeveloped
marketsthrough2011,whichwillleadtosubstantialmarket
sharegainsin2H11.
Huaweiisworkingtosell60millionmobilephonesin2011
twiceasmanyas2010 ofwhich20%to25%,or12to15
million,willbeAndroidsmartphones(upfromjustover
3millionin2010).IfHuaweiissuccessfulinshippingthismany
smartphones,itwillachieveitsgoalofbecomingatopfive
smartphonevendor.
Huaweiistargetingthemassmarketlateadoptersegmentof
smartphonecustomers.Thesearefirsttimebuyersof
smartphonesthatarelookingforlowcostentrylevel
smartphonesandthatexpecttopaynomorethan$100to$150
foranewdevice
WhileleadingAndroidsmartphonevendorssuchasHTC,
MotorolaandSamsungarenottargetingentrylevel
smartphonebuyers,ZTE,whichhopestobecomethesecond
largestsmartphonevendorwithinthenexttwoyears,isona
directcollisioncoursewithHuawei.TBRbelievesZTEwillbe
abletoleverageitsgreaterexperienceindevelopinglowcost
handsetstooutpaceHuaweiinoverallsmartphonesales.
17
KeyDevelopments
HuaweiintroducedtheVisionsmartphone,
whichfeaturesa3Duserinterfaceandruns
AndroidGingerbread2.3OS.TheVision
boastsBluetoothV2.1technology,highspeed
internet,andmessagingcapabilities.Available
inSeptember,theVisionalsoincludesa5
megapixelcameraand720pvideorecording.
TheE392USBmodemisthefirstdevice
capableofconnectingtoFDDandTDDLTE,as
wellasGSMandCDMAnetworks,makingita
trulyglobaldevice.Mostoperatorsare
deployingFDDLTE,duetotheirpossessionof
pairedspectrum,butChinaMobile,the
largestoperatorinChinaandanimportant
Huaweicustomer,willdeployTDDLTE.The
E392willbeavailablein3Q11.
TheMediaPadisHuaweis7inchtablet
featuringbuiltinWiFi,GPS,andfront and
rearfacingcameras.TheMediaPadoffersa
217pixelsperinchtouchpanel,adualcore
1.2GHzQualcommprocessor,andAndroid
3.2OS.Theslateweighslessthanonepound
andisjustonehalfinchthick.
TBR
Huaweiisattemptingtocomefrombehindintheservicesspacewhile
makingaplayfortheenterprisewithcloudanddatacentersolutions
TBRAssessmentofHuaweisServicesandSoftwareSegments
Services
18
HuaweiopenedanewNetworkOperationsCenterin
Madridtosupporttheoperationandmanagementof
telecommunicationsnetworks,anareainwhich
HuaweiisfarbehindEricssonandNokiaSiemens.The
MadridNOCwillservicecustomersinSpainand
WesternEurope,asHuaweicommitstoimprovingits
shareofservicecontractsandbeefsupcapabilitiesto
attractcustomers.ThenewNOCwillprovidenetwork
surveillance,correctiveandpreventivemaintenance,
securitymanagement,andITplatformmanagement
forseveralnetworktechnologies,includingUMTS,
GSM,andoptical.
Software
Huaweiisworkingtoexpanditsofferingsto
enterprisecustomers.Thecompanyisspecifically
pushingitscloudanddatacentersolutions,whichare
seeingadoptionfromcompaniesinarangeof
verticals,includinghealthcareandgovernment,due
toHuaweispriceleadership.Additionally,Huaweihas
shipped1,000Telepresencesolutions,including500
in1H11,bringingitintocompetitionwithCisco.
HuaweilaunchedIndiasfirstcommercialmobile
numberportability(MNP)solutionforIDEA.Huaweis
MNPsolutionisbasedonthesignalingtransferpoint
technology.Intheprocessofimplementingthe
solution,Huaweimigrated470setsofequipment
withoutinterruptionofservices.
Huaweisunderdevelopedservicebasereceiveda
boostfromaGSMproviderinitshomecountry.In
May,Huaweisecuredacontracttoprovidemanaged
HuaweiprovidedChinaTelecomwithanintelligent
servicesforoverhalfofChinaUnicomShanghaisbase
opticaldistributionnetwork(iODN)solutiontoChina
stationsites,covering11districtswithinShanghai.
Telecomsfibertothehomedeployment.iODNuses
Huaweiwillberesponsibleformaintenanceofthe
eIDtechnologytoautomatedeploymentand
GSMnetwork,includingpreventive,planned,and
managementwithintheopticaldistributionnetwork.
correctiveservices.WhileHuaweiischasingrevenue
inoverseasmarkets,thedomesticChinesemarketstill
providesastrongbaseforservicecontracts.
AllianceStrategy
TBR
Huaweilookstoleveragealliancesandpartnershipstoaddtoits
capabilitiesinareaswhereitsexpertiseislimited
TBRAssessmentofHuaweisAllianceStrategy
Alliance Strategy
AsHuaweihasextendeditscapabilitiesacrossawide
spectrumofthetelecomspace,fromequipmentto
softwaretoservices,itcontinuestoenternewareas
whereitsexperienceandreputationareweak,seeking
partnershipsifneeded.
HuaweiSymantecisoneofthemostvisible
partnerships,withthejointventurehelpingthe
companybecomeaseriouscontenderinthesecurity,
storageandnetworkingsegmentsinNorthAmerica.In
July,thejointventureannouncedanewchannel
program,dubbedtheWingmanPartnerProgram,that
providespartnerswithmarketing,sales,and
educationalresourcestohelpdrivesalesandbusiness
development.
HuaweiislookingforalliancesintheareaofM2M,
whereitrecentlyproposedapartnershipprogramfor
M2Mstandards,signeda$1.4milliondealwithTelusin
JunetoestablisharesearchlabatCarletonUniversityin
Canada,andteamedwithDeutscheTelekomtodevelop
M2Msolutionsandapplicationsin2010.
19
Key1H11 Alliances
NucleusConnect
NucleusConnectandHuaweiwillcollaboratively
study10GGPON(GigabitPassiveOpticalNetwork)
technology.Thetwocompanieswillleveragetheir
researchonFibertothePremisesnetwork
technologytoincreasebandwidthanduplinkand
downlinkspeedswithinNucleusConnectsNext
GenerationPassiveOpticalNetwork.
Phones4U
U.K.basedretailerPhones4Uwillselltwoof
HuaweisAndroidhandsetsinitsretaillocationsin
4Q11.Phones4UwillcarrytheHuaweiBlazeand
Visionsmartphones,whichcatertotheyouth
segmentofthemarket.Bothcompanieswillinvestin
marketingandlaunchingthedevices.
SimmsInternational
SimmsInternationalwillrollouttheHuawei
EnterpriseAdvantagePartner(HEAP)program,a
strategicendeavortoincreasepartnershipswith
Australianbusinesses.ThroughHEAP,Huaweiwill
attractvalueaddedresellers,systemsintegrators,
andtechnologysupplierstoitspartnernetwork.
GeographicAnalysis
TBR
TBRexpectsstronggrowth inallofHuaweisgeographicregions,
resultingfromitspushtoship60millionmobilephonesthisyear
GeographicPerformanceandStrategies
HUAWEIREVENUEBYREGION
TBR
$33,000
$750
RevenueinMillions
$438
$408
$22,000
$11,000
$0
$231
$6,040
$146
$4,399
$900
$3,799
$3,595
$1,539
$5,743
$9,693
$11,625
$6,500
$923
$3,843
$1,780
$2,108
$5,887
$6,597
$10,147
$9,583
$9,920
2010
2011Est.
$4,518
2007
2008
NorthAmerica
EMEA
2009
CALA
APAC(exChina)
China
NorthAmerica
$750million
EMEA
$11.6billion
150%
APAC
(exChina)
100%
$6.6billion
TBR
HUAWEIYEARTOYEARREVENUEGROWTHBYREGION
Governmentinterventioncontinuestokeep
HuaweifromsecuringTier1contractsintheU.S.,
butwithdevicelaunchesandnetworkbuildout
dealsfromCanadianoperators,TBRbelieves
HuaweiwillgrowNorthAmericanrevenue71.2%in
2011.
Huaweinowplacesitsbrandonhandsetsin
Europe,afterpreviouslymakingonlycarrier
brandeddevices.Thecompanyishavingsuccess
withlowcostAndroidsmartphonesinEuropeand
massmarketfeaturephonesinMEA.
HuaweisfeaturephonesarestrongsellersinIndia
andotheremergingAsianmarkets.Thecompanyis
takingsignificantmarketsharefromNokia,the
longtimeregionalleader.TheMediaPadtablet,ata
lowerpricethancompetitors,ispoisedtobecome
ahitinthismarket.
50%
0%
China
50%
2007
China
2008
APAC(exChina)
2009
CALA
2010
2011Est.
EMEA
NorthAmerica
$9.9billion
CALA
$2.1billion
20
GrowthinChinawillturnpositivein2011,
reboundingfromaweak2010thatsawthe3G
investmentcycleend.Lookingtoward2012,
Huaweihaspositioneditselftobeamajorplayerin
the4GLTEinvestmentcycle.
TBRbelievesCALArevenuewillincrease18.4%in
2011,asHuaweiexpandsitsmobiledevice
offeringstoincludemoresmartphones.
ResourceManagementStrategy
TBR
HuaweifocusedonexpandingoperationsintheWest,appointingnew
executivesandopeningseveralfacilities
HUAWEIHEADCOUNTBYREGION
TBR
120,000
1,500
100,000
1,000
7,300
4,200
9,000
80,000
1,200
18,500
9,800
4,500
8,000
11,500
23,000
60,000
66,002
68,000
2008
2009
59,000
40,000
NorthAmerica
EMEA
CALA
2010
APAC(exChina)
China
HUAWEIANNUALREVENUEPEREMPLOYEE
TBR
RevenueInThousands
$300
$230
$250
$200
$249
$258
$207
$159
$150
$100
$50
$
2007
2008
2009
2010
SOURCE:TBRANDHUAWEI
21
2011Est.
PersonnelChanges
TBRestimatesHuaweihad120,000employeesworldwide
asofJune,anincreaseof10,000fromtheendof2010.
InMay,HuaweihiredformerSamsungandNokiamobile
deviceexecutiveMarkMitchinsontoheaditsU.K.mobile
devicemarketingandsalesoperations.Mitchinsonwillbe
responsibleforexpandingsalesintheU.K.andIreland.
JohnSuffolkwasnamedglobalcybersecurityofficer,
effectiveOct.1.SuffolkwaspreviouslytheCIOoftheU.K.
government.HewillreporttoHuaweisCEOandoversee
thecompanysexpansiondeeperintotheconsumerand
enterprisesecuritymarkets.
Investments/R&DFocus
HuaweiopenedanR&DcenterinSiliconValleythatwill
focusonnextgenerationcommunicationssolutions.
HuaweissevenR&Dfacilitiesandelevenbranchofficesin
theUnitedStatesemploy1,100people.
DespiteHuaweibeingforcedtodivest3Leaf,thecompany
remainsopentosmallerU.S.acquisitions.Huaweiopened
communicationswiththeU.S.governmentandencouraged
aninvestigationintoitsoperations,thoughthe
governmenthasnotyettakentheoffer.
HuaweiopenedaNetworkOperationsCenterinMadridto
providemanagedandprofessionalservicestoSpainand
WesternEurope.
Appendix IncomeStatement
TBR
HUAWEITECHNOLOGIESCORPORATION
ConsolidatedIncomeStatement
(i n$Thous a nds )
TBR
CALENDARYEAR
FISCALYEAR
2006
2006
2007
2007
2008
2008
2009
2009
2010
2010
2011Est.
2011Est.
Revenue
CostofSales
GrossProfit
$8,503,897
5,424,011
3,079,886
$12,840,113
7,936,732
4,903,381
$18,070,917
10,890,002
7,180,916
$21,820,963
13,188,406
8,632,557
$27,381,153
15,920,093
11,461,060
$31,000,000
18,290,000
12,710,000
R&D
SG&A
TotalOperatingExpenses
OtherOperatingIncome/Loss
OperatingIncome
850,390
1,502,472
2,352,862
106,029
620,995
1,284,011
2,349,741
3,577,867
77,655
1,247,859
1,510,853
3,235,871
4,746,724
96,692
2,337,499
1,952,862
3,538,135
5,490,997
59,728
3,081,833
2,448,062
4,583,241
7,031,303
101,584
4,328,173
2,790,000
5,270,727
8,060,727
100,000
4,549,273
Netfinancingcosts
Shareoflossesofassociates
Incomebeforeincometaxes
Incometaxesexpense
MinorityInterest
NetIncome
38,918
15,025
567,052
54,664
200
$512,188
198,881
7,273
1,041,705
84,807
$956,898
955,810
27,853
1,353,836
221,238
(1,010)
$1,133,608
(183,721)
23,862
3,241,692
566,535
3,074
$2,672,083
271,038
1,331
4,055,804
542,962
444
$3,512,399
275,000
15,069
4,259,204
553,697
$3,705,508
PERCENTAGEOFREVENUE
Revenue
CostofRevenues
GrossProfit
R&D
SG&A
OperatingIncome
NetIncome
100.0%
63.8%
36.2%
10.0%
17.7%
7.3%
6.0%
100.0%
61.8%
38.2%
10.0%
18.3%
9.7%
7.5%
100.0%
60.3%
39.7%
8.4%
17.9%
12.9%
6.3%
100.0%
60.4%
39.6%
8.9%
16.2%
14.1%
12.2%
100.0%
58.1%
41.9%
8.9%
16.7%
15.8%
12.8%
100.0%
59.0%
41.0%
9.0%
17.0%
14.7%
12.0%
42.2%
52.4%
27.2%
44.6%
48.2%
27.0%
24.8%
51.0%
46.3%
59.2%
51.0%
56.4%
100.9%
86.8%
40.7%
37.2%
46.4%
17.7%
37.7%
87.3%
18.5%
19.0%
19.4%
18.5%
27.4%
7.8%
30.0%
132.4%
24.2%
19.5%
31.4%
24.1%
28.2%
39.0%
30.1%
13.2%
14.9%
10.9%
14.0%
15.0%
5.1%
5.5%
YEARTOYEARCHANGE
Revenue
CostofRevenues
GrossProfit
R&D
SG&A
OperatingIncome
NetIncome
NOTE:Huaweireportsannualresultsonly
22
Appendix BalanceSheet
TBR
HUAWEINETWORKS
ConsolidatedBalanceSheet
(i n$Thous a nds )
CALENDARYEAR
FISCALYEAR
ASSETS
Cashandcashequivalents
Tradeandotherreceivables
Investments
Inventories
TotalCurrentAssets
PlantandEquipment,Net
IntangibleAssets
OtherAssets
TotalAssets
TBR
2006
2006
2007
2007
2008
2008
2009
2009
2010
2010
$1,056,042
3,650,086
64
1,420,455
6,126,647
939,784
10,937
418,815
$7,496,183
$1,892,266
5,488,077
2,267,276
9,647,619
931,721
15,038
502,556
$11,096,934
$3,033,106
7,627,720
3,325,636
13,986,463
1,051,348
18,328
2,007,880
$17,064,019
$4,279,315
9,263,944
1,045,967
3,652,028
18,241,253
1,217,538
80,954
904,260
$20,444,005
$5,628,059
10,174,481
1,231,720
4,076,062
21,110,322
1,378,551
95,669
1,198,303
$23,782,845
$332,883
163,312
4,183,046
80,122
4,759,363
39,790
25,894
4,825,047
4,286
2,666,850
$7,496,183
$158,628
94,513
6,029,505
151,201
6,433,847
215,280
336,417
6,985,544
127,539
3,983,851
$11,096,934
$1,873,665
195,549
8,735,208
183,860
10,988,281
148,069
522,427
11,658,777
4,762
5,400,479
$17,064,019
$1,154,589
541,063
10,249,305
172,010
12,116,967
1,242,863
743,083
14,102,913
9,223
6,331,869
$20,444,005
$397,019
618,670
11,881,146
230,079
13,126,913
1,324,136
1,162,075
15,613,125
4,288
8,165,432
$23,782,845
LIABILITIESANDEQUITY
Interestbearingloansandborrowings
Incometaxpayable
Tradeandotherpayables
Provisionforwarranties
TotalCurrentLiabilities
Interestbearingloansandborrowings
Otherpayables
TotalLiabilities
MinorityInterestinSubsidiaryCompanies
TotalCapitalandReserves
TotalLiabilitiesandEquity
FINANCIALRATIOS
DaysSalesOutstanding
TurnsonInventory
DaysInventoryOutstanding
FixedAssetTurnover
DaysCashOutstanding
TotalAssetTurnover
Debt/AssetRatio
CurrentRatio
ReturnonAssets
ReturnonEquity
AverageAnnualRevenueperEmployee
EmployeeCount
CNY/USDExchangeRate
SOURCE:TBRANDHUAWEI
NOTE:HuaweionlyreportsBalanceSheetannually
23
156.67
156.01
154.07
154.96
135.63
4.12
6.96
6.46
6.25
7.09
88.67
52.41
56.48
58.36
51.51
9.27
13.72
18.23
19.23
21.09
44.71
53.05
60.42
70.60
74.00
1.28
1.38
1.28
1.16
1.24
0.64
0.63
0.68
0.69
0.66
1.29
1.50
1.27
1.51
1.61
7.7%
10.3%
8.1%
14.2%
15.9%
20.2%
28.8%
24.2%
45.6%
48.5%
$139,408 $158,520 $206,520 $229,694 $248,920
61,000 81,000 87,502 95,000 110,000
6.9292
6.831
6.763
Appendix RevenueModel
TBR
HUAWEIREVENUEMODEL
TBR
CALENDARYEAR
FISCALYEAR
IN$THOUSANDS
2006
2006
2007
2007
2008
2008
2009
2009
2010
2010
2011Est.
2011Est.
ReportedRevenue
$8,503,897
$12,840,113
$18,070,917
$21,820,963
$27,381,153
$31,000,000
Wireless
$2,636,208
$3,980,435
$5,601,984
$6,328,079
$8,500,000
$9,500,000
Fixed
$1,165,034
$1,399,572
$1,445,673
$1,527,467
$1,750,000
$1,800,000
Optical
$1,360,624
$2,189,790
$3,175,937
$5,193,389
$5,285,882
$5,265,000
Data
$807,870
$1,200,000
$1,264,964
$1,527,467
$2,400,000
$2,800,000
Service&Software
$901,413
$1,964,537
$2,791,957
$3,644,101
$4,900,000
$5,635,000
Handset
$1,003,460
$2,105,779
$3,790,401
$3,600,459
$4,545,271
$6,000,000
ReportedRevenue
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
Wireless
31.0%
31.0%
31.0%
29.0%
31.0%
30.6%
Fixed
13.7%
10.9%
8.0%
7.0%
6.4%
5.8%
Optical
16.0%
17.1%
17.6%
23.8%
19.3%
17.0%
PERCENTAGEOFREVENUE
Data
9.5%
9.3%
7.0%
7.0%
8.8%
9.0%
Service&Software
10.6%
15.3%
15.5%
16.7%
17.9%
18.2%
Handset
11.8%
16.4%
21.0%
16.5%
16.6%
19.4%
YEARTOYEARCHANGE
24
ReportedRevenue
42.2%
51.0%
40.7%
20.8%
25.5%
13.2%
Wireless
29.5%
51.0%
40.7%
13.0%
34.3%
11.8%
Fixed
6.6%
20.1%
3.3%
5.7%
14.6%
2.9%
Optical
38.2%
60.9%
45.0%
63.5%
1.8%
0.4%
Data
33.5%
48.5%
5.4%
20.8%
57.1%
16.7%
Service&Software
31.1%
117.9%
42.1%
30.5%
34.5%
15.0%
Handset
96.6%
NOTE:Huaweireportsannualresultsonly
109.9%
80.0%
5.0%
26.2%
32.0%
Appendix GeographicModel
TBR
HUAWEIREVENUEBYGEOGRAPHICREGION
TBR
CALENDARYEAR
FISCALYEAR
IN$THOUSANDS
2006
2006
2007
2007
2008
2008
2009
2009
2010
2010
2011Est.
2011Est.
Sales
$2,950,852
$3,595,232
$4,517,729
$10,146,748
$9,583,404
$9,920,000
Orders
$3,850,000
$4,853,563
$6,356,168
$10,042,746
$10,544,883
$10,000,000
Sales
$5,553,045
$9,244,881
$13,553,188
$11,674,215
$17,797,749
$21,080,000
AsiaPacific(excl.China)
$2,740,511
$3,799,383
$5,743,188
$3,842,815
$5,886,948
$6,597,000
$186,000
$600,000
$1,300,000
$1,560,000
$1,670,250
$3,100,000
CALA
$450,000
$900,000
$1,539,000
$923,400
$1,779,775
$2,108,000
EMEA
$2,270,000
$4,399,296
$6,040,000
$6,500,000
$9,692,928
$11,625,000
Europe
$770,000
$2,099,296
$2,981,000
$3,000,000
$4,791,702
$6,510,000
MEA
$1,500,000
$2,300,000
$3,059,000
$3,500,000
$4,901,226
$5,115,000
NorthAmerica
$92,533
$146,203
$231,000
$408,000
$438,098
$750,000
InternationalOrders
$7,150,000
$11,146,437
$16,943,832
$20,115,650
$25,455,117
$30,000,000
$2,000,000
$2,500,000
$4,650,000
$6,649,500
$6,981,975
$7,500,000
$350,000
$700,000
$2,000,000
$2,400,000
$3,360,000
$4,200,000
$2,200,000
China
International
India
India
CALA
$566,500
$750,000
$1,250,000
$1,562,500
$1,796,875
EMEA
$4,479,000
$7,354,316
$10,064,091
$10,404,646
$10,676,267
$17,800,000
NorthAmerica
$104,500
$542,121
$979,741
$1,499,004
$2,000,000
$2,500,000
TotalRevenue
$8,503,897
$12,840,113
$18,070,917
$21,820,963
$27,381,153
$31,000,000
TotalOrders
$11,000,000
$16,000,000
$23,300,000
$30,158,396
$36,000,000
$40,000,000
PERCENTAGEOFREVENUE
China
34.7%
28.0%
25.0%
46.5%
35.0%
32.0%
International
65.3%
72.0%
75.0%
53.5%
65.0%
68.0%
32.2%
29.6%
31.8%
17.6%
21.5%
21.3%
2.2%
4.7%
7.2%
7.1%
6.1%
10.0%
CALA
5.3%
7.0%
8.5%
4.2%
6.5%
6.8%
EMEA
26.7%
34.3%
33.4%
29.8%
35.4%
37.5%
Europe
9.1%
16.3%
16.5%
13.7%
17.5%
21.0%
MEA
17.6%
17.9%
16.9%
16.0%
17.9%
16.5%
NorthAmerica
1.1%
1.1%
1.3%
1.9%
1.6%
2.4%
India
YEARTOYEARGROWTH(REVENUE)
China
17.8%
21.8%
25.7%
124.6%
5.6%
3.5%
International
132.1%
66.5%
46.6%
13.9%
52.5%
18.4%
N/A
38.6%
51.2%
33.1%
53.2%
12.1%
86.0%
222.6%
116.7%
20.0%
7.1%
85.6%
CALA
N/A
100.0%
71.0%
40.0%
92.7%
18.4%
EMEA
N/A
93.8%
37.3%
7.6%
49.1%
19.9%
N/A
172.6%
42.0%
0.6%
59.7%
35.9%
MEA
N/A
53.3%
33.0%
14.4%
40.0%
4.4%
NorthAmerica
2993.7%
58.0%
58.0%
76.6%
7.4%
71.2%
42.2%
51.0%
40.7%
20.8%
25.5%
13.2%
India
Europe
TotalRevenue
PERCENTAGEOFORDERS
China
35.0%
30.3%
27.3%
33.3%
29.3%
25.0%
International
65.0%
69.7%
72.7%
66.7%
70.7%
75.0%
YEARTOYEARGROWTH(ORDERS)
China
10.3%
26.1%
31.0%
58.0%
5.0%
5.2%
International
51.7%
55.9%
52.0%
18.7%
26.5%
17.9%
TotalOrders
34.1%
45.5%
45.6%
29.4%
19.4%
11.1%
NOTE:Huaweionlyreportsannualfinancialresults
25
Appendix OPEXModel
TBR
CALENDARYEAR
FISCALYEAR
IN$THOUSANDS
TBR
HUAWEIOPERATINGEXPENSEMODEL
2006
2006
2007
2007
2008
2008
2009
2009
2010
2010
2011Est.
2011Est.
TotalRevenue
$8,503,897
$12,560,356
$18,328,956
$21,500,000
$27,381,153
$31,000,000
SG&AExpense
$1,502,472
$2,349,741
$3,235,871
$3,538,135
$4,583,241
$5,270,727
Sales&MarketingExpense
$901,483
$1,409,844
$1,941,523
$2,122,881
$2,749,945
$3,162,436
GeneralandAdministrativeExpense
$600,989
$939,896
$1,294,349
$1,415,254
$1,833,296
$2,108,291
R&DExpense
$850,390
$1,284,011
$1,510,853
$1,952,862
$2,448,062
$2,790,000
SALESANDMARKETINGEXPENSEBREAKOUT
SalesExpense
$540,890
$845,907
$1,164,914
$1,273,729
$1,649,967
$1,897,462
PartnerandChannelSpending
$135,223
$211,477
$291,228
$318,432
$412,492
$474,365
MarketingSpending
Advertising
TotalSalesandMarketingExpense
$225,371
$352,461
$485,381
$530,720
$687,486
$790,609
$135,223
$211,477
$291,228
$318,432
$412,492
$474,365
$901,483
$1,409,844
$1,941,523
$2,122,881
$2,749,945
$3,162,436
TotalSG&AExpense
17.7%
18.7%
17.7%
16.5%
16.7%
17.0%
SalesandMarketingExpense
10.6%
11.2%
10.6%
9.9%
10.0%
10.2%
SalesExpense
6.4%
6.7%
6.4%
5.9%
6.0%
6.1%
PartnerandChannelSpending
1.6%
1.7%
1.6%
1.5%
1.5%
1.5%
MarketingSpending
2.7%
2.8%
2.6%
2.5%
2.5%
2.6%
1.6%
1.7%
1.6%
1.5%
1.5%
1.5%
7.1%
7.5%
7.1%
6.6%
6.7%
6.8%
R&D
29,280
34,830
37,626
40,850
47,300
51,600
Marketing,SalesandCustomerService
23,180
32,400
35,001
38,000
44,000
48,000
SupplyChain
4,880
Admin.
3,660
TotalEmployees
61,000
8,100
5,670
81,000
8,750
6,125
87,502
9,500
6,650
95,000
11,000
7,700
110,000
12,000
8,400
120,000
Advertising
GeneralandAdministrative
CORPORATEWIDEHEADCOUNT
26
Appendix ForecastModel
TBR
TBR
HUAWEIFINANCIALSANDTBRQUARTERLYPROJECTION
CALENDARYEAR
FISCALYEAR
IN$THOUSANDS
NetSales
2006
2006
2007
2007
2008
2008
2009
2009
2010
2010
2011Est.
2011Est.
$8,503,897
$12,840,113
$18,070,917
$21,820,963
$27,381,153
$31,000,000
GrossProfit
$3,079,886
$4,903,381
$7,180,916
$8,632,557
$11,461,060
$12,710,000
SG&A
$1,502,472
$2,349,741
$3,235,871
$3,538,135
$4,583,241
$5,270,727
R&D
$850,390
$1,284,011
$1,510,853
$1,952,862
$2,448,062
$2,790,000
OperatingIncome
$620,995
$1,247,859
$2,337,499
$3,081,833
$4,328,173
$4,549,273
NetIncome
$512,188
$956,898
$1,133,608
$2,672,083
$3,512,399
$3,705,508
38.2%
39.7%
39.6%
41.9%
41.0%
PERCENTAGEOFREVENUE
GrossMargin
36.2%
SG&A
17.7%
18.3%
17.9%
16.2%
16.7%
17.0%
R&D
10.0%
10.0%
8.4%
8.9%
8.9%
9.0%
OperatingMargin
7.3%
9.7%
12.9%
14.1%
15.8%
14.7%
NetMargin
6.0%
7.5%
6.3%
12.2%
12.8%
12.0%
NetSales
42.2%
51.0%
40.7%
20.8%
25.5%
13.2%
GrossProfit
27.2%
59.2%
46.4%
20.2%
32.8%
10.9%
YEARTOYEARGROWTH
SG&A
48.2%
56.4%
37.7%
9.3%
29.5%
15.0%
R&D
44.6%
51.0%
17.7%
29.3%
25.4%
14.0%
OperatingIncome
27.0%
100.9%
87.3%
31.8%
40.4%
5.1%
NetIncome
24.8%
86.8%
18.5%
135.7%
31.4%
5.5%
27
Appendix FinancialGraphs
TBR
FinancialGraphs
HUAWEISELLING,GENERAL,&ADMINISTRATIVE
EXPENSE
$6,400
InMillions
$3,200
20.0%
$5,271
$4,583
$3,236
$4,800
17.0%
$2,350
16.0%
$1,600
$2,790
19.0%
18.0%
$3,538
$3,200
HUAWEIRESEARCH&DEVELOPMENTEXPENSE
TBR
$2,448
InMillions
TBR
$2,400
10.0%
$1,953
$1,511
$1,600
10.5%
9.5%
$1,284
9.0%
15.0%
$800
8.5%
14.0%
$0
2007
2008
SG&A
2009
2010
2011Est.
$0
8.0%
2007
SG&Aas%ofTotalRevenue
2008
R&D
SOURCE:TBRANDHUAWEI
2009
2010
2011Est.
R&Das%ofTotalRevenue
SOURCE:TBRANDHUAWEI
HUAWEIRETURNONASSETS
TBR
HUAWEIRETURNONEQUITY
TBR
20%
60%
15.9%
16%
12%
8%
50%
14.2%
28.8%
30%
8.1%
20%
4%
24.2%
20.2%
10%
0%
0%
2006
2007
2008
2009
SOURCE:TBRANDHUAWEI
28
48.5%
40%
10.3%
7.7%
45.6%
2010
2006
2007
2008
2009
2010
SOURCE:TBRANDHUAWEI
Appendix FinancialGraphs
TBR
FinancialGraphs
HUAWEIDAYSCASHOUTSTANDING
TBR
90.00
NumberofDays
60.42
60.00
45.00
74.00
70.60
75.00
53.05
44.71
30.00
15.00
0.00
2006
2007
2008
2009
2010
SOURCE:TBRANDHUAWEI
HUAWEIDEBT/ASSETRATIO
TBR
HUAWEICURRENTRATIO
TBR
2.00
0.80
0.64
0.68
0.69
0.63
0.66
1.50
0.60
1.50
0.40
1.00
0.20
0.50
0.00
2006
2007
2008
2009
2010
1.29
1.51
1.61
1.27
0.00
2006
2007
2008
2009
2010
SOURCE:TBRANDHUAWEI
SOURCE:TBRANDHUAWEI
29
Appendix GotoMarketandResourceManagementGraphs
TBR
GotoMarketandResourceManagementGraphs
HUAWEIINVENTORYTURNS
TBR
1.75
8.00
6.96
6.46
7.09
1.50
6.25
6.00
NumberofTurns
NumberofTurns
HUAWEITOTALASSETTURNOVER
TBR
4.12
4.00
1.38
1.28
1.28
1.16
1.25
1.24
1.00
0.75
0.50
2.00
0.25
0.00
2006
2007
2008
2009
2010
0.00
2006
FIXEDASSETTURNS
TBR
180.00
NumberofTurns
19.23
9.27
2010
0.00
2010
135.63
60.00
0.00
2009
154.96
90.00
30.00
2008
154.07
120.00
5.00
2007
156.01
150.00
13.72
SOURCE:TBRANDHUAWEI
30
156.67
21.09
NumberofDays
18.23
20.00
2006
2009
HUAWEIDAYSSALESOUTSTANDING
TBR
25.00
15.00
2008
SOURCE:TBRANDHUAWEI
SOURCE:TBRANDHUAWEI
10.00
2007
2006
2007
2008
2009
2010
SOURCE:TBRANDHUAWEI
Appendix Acquisitions
TBR
HuaweiAcquisitions
Company
M4S
October2010
31
Description
HuaweipurchasedOptionsRF(radiofrequency)semiconductorunitM4Sfor8million(or
$11million).Bothcompanieshadbeenworkingtogethertodevelopmobilebroadband
solutions,suchasUSBmodems,embeddedmodules,chipsets,softwareandservices,for
theEuropeanmarket,andHuaweisdecisiontomakethepurchasehighlightsitsaspirations
tobecomeanintegralsuppliertodevelopedmarkets.HuaweiandOptionmayestablishan
R&DcenterinBelgium.
Appendix Alliances
TBR
HuaweiAlliances
Company
ScopeofPartnership
BeetelTeletech
HuaweiwasapartnerinthedevelopmentofBeetelTeletechs7inch,AndroidpoweredBeetel
Magiqtabletcomputer.Thetabletsupports3GandWiFiconnections.Beetelisafixedline
telephonemakerinIndia.
UnitedKingdombasedtelecomcompanyPhones4UwillselltwoofHuaweisAndroidhandsetsin
itsretaillocationsin4Q11.Phones4UwillcarrytheHuaweiBlazeandVision.Bothcompanieswill
investinthemarketingandlaunchplanforthetwodevices.
HuaweiandSimmsInternationalformedtheHuaweiEnterpriseAdvantagePartner(HEAP)
program,astrategicmovetoincreasepartnershipswithAustralianbusinesses.ThroughHEAP,
HuaweiwillattractVARs,systemsintegrators,andtechnologysuppliers.
HuaweiisintegratingFinisarAustraliasWavelengthSelectiveSwitcheswithitsnextgeneration
fiberbroadbandnetworksystems.HuaweialsowilltrialFinisarsFlexgridtechnology.
August2011
Phones4U
August2011
SimmsInternational
August2011
FinisarAustralia
July2011
TELUS
CarletonUniversity
June2011
NucleusConnect
June2011
Intertrust
Technologies
March2011
Force10Networks
February2011
SPIRITDSP
February2011
32
Huawei,TELUS,andCarletonUniversitypartneredtobuildanenterprisecloudservicesresearch
labwithinCarletonUniversitysengineeringlab.TheHuaweiTELUSInnovationCenterwilladdress
cloudcomputingsecurityandperformancethemes.
NucleusConnectandHuaweiwillcollaborativelystudy10GGPON(GigabitPassiveOptical
Network)technology.ThetwocompanieswillleveragetheirresearchontheFibertothePremises
networktechnologytoincreasebandwidthanduplinkanddownlinkspeedswithinNucleus
ConnectsNextGenerationPassiveOpticalNetwork.
HuaweienteredintoalicensingagreementtouseIntertrustsSushiMarlinClientSDKand
BluewhaleMarlinBroadbandServer.Bothcompaniesalsowillexplorebusinessopportunities
globally.
HuaweiSymantecandForce10Networksinlongtermpartnershiptocombinesecurity,storageand
networkingexpertisetobetteraddressverticalmarketsinNorthAmerica,particularlyhealthcare,
financeandtelecom.
HuaweiextendedlicensingagreementtouseSPIRITsvoiceandvideoenginesinitsIMS,UCand
fixedmobileconvergenceplatforms.
Appendix Alliances
TBR
HuaweiAlliances(continued)
Company
ScopeofPartnership
CarrierIQ
CompaniesenteredintoglobalsoftwarelicensingagreementwithHuawei,integratingCarrier
IQssolutionsintoitsmobilebroadbanddataterminals.
Companiesareworkingtogethertodevelopnextgenerationopticaltransportandaccess
solutionstobuildsmartcities.Huaweiwillprovideanendtoendopticaltransportsolution,
andSmartworldwilldeployandmanagethesolutionforDubaiWorldCentral(DWC)andAl
MaktoumInternationalAirport,bothintheUnitedArabEmirates.
February2011
Smartworld
January2011
QatarTelecom
January2011
TeleCommunication
Systems(TCS)
January2011
Sequans
Communications
JointlydeveloptelecomsolutionsforkeyindustriesinQatarandotherMiddleEasterncountries
EnteredMasterPurchaseAgreementtogiveHuaweiaccesstoTCSlocationbasedservices(LBS)
technology;TCSwillletHuaweiuseitsendtoendXypointLBSsolutionsinitsownproductsand
services.Bothcompanieswillprovideoperatorswithprofessionalandmanagedservicesfor
theirLBSsolutions.
AcceleratingdevelopmentandcommercializationofTDLTEtechnologyforglobalmarket.
October2010
AmerilinkTelecom
August2010
IPWireless
July2010
PerSay
April2010
33
HuaweipartneredwithAmerilinkTelecom,astartuprunbyformerSprintemployees,tohelp
thevendorpenetratetheNorthAmericanmarket.AmerilinkhasbecomeakeyU.S.distributor
ofHuaweiequipment.Huaweihopesitspartnershipwillbetterpositionthefirmtowindeals
withTier1operators,particularlySprint.
HuaweiandIPWirelesswilljointlyconductinteroperabilitytestingandserviceprovidertrialsfor
eachcompanysIntegratedMobileBroadcast(IMB)technology.IMBtechnologyoffloadsdata
trafficfrom3Gnetworks,allowinglivevideostreamingandbroadcastingandstorageofcontent
onmobiledevices.HuaweiandIPWirelessareconductingtheseteststoensuremobiledevices
arecompatiblewithIMBnetworks.
HuaweiandPerSay,abiometricspeakerverificationproductsupplier,haveentereda
partnershipthatwillseePerSaysVocalPasswordandFreeSpeechvoicebiometricsofferings
integratedwithHuaweisIPcontactcenterproductsuite.
Appendix RecentProductAnnouncements
TBR
HuaweiRecentProductAnnouncements
ProductSeries
Configuration
Vision
TheHuaweiVisionsmartphonefeaturesa3DuserinterfaceandrunsAndroidGingerbread2.3OS.
TheVisionboastsBluetoothV2.1technology,highspeedinternet,andmessagingcapabilities.
AvailableinSeptember,theVisionalsoincludesa5megapixelcameraand720pvideorecording.
August2011
HiLinkE353
August2011
E392
August2011
E586MiFi
August2011
SeriesSSwitches
July2011
iManagerU2100
June2011
MediaPad
June2011
xDSLCards
May2011
34
TheHiLinkE353datacardallowsuserstoconnecttotheinternetwithin15secondsafteritis
pluggedintoaUSBport.ThisisthefirstHuaweiHiLinkproducttosupportHSPA+.
HuaweiintroducedtheE392USBmodem,thefirstdevicecapableofconnectingtoFDDandTDD
LTE,alongwithGSMandCDMAnetworks,makingitatrulyglobaldevice.TheE392willbeavailable
in3Q11.
TheE586MiFiisamobileWiFihotspotofferingsecureinternetaccess.Ithasa4.5hourbatterylife
andcomeswithachargingbase,alongwithamicroSDcardslotforinternalmemorystorage.
Designedforenterpriseusers,SeriesSSwitchesfeatureincreasedscalability,improvedsecurity,
fasterprocessingcapabilities,andHuaweisnetworkoperatingsystemwithitsversatilerouting
platform
TheiManagerU2100isHuaweisnewunifiednetworkmanagementsystemforlargescalebearer
networks.ItcanbeusedwithHuaweisU2000tocreateanoperationandmanagementsolutionfor
largescaleallIPnetworks.
HuaweisMediaPadisa7inchtabletfeaturingbuiltinWiFi,GPS,andfront andrearfacing
cameras.TheMediaPadoffersa217pixelsperinchtouchpanel,adualcore1.2GHzQualcomm
processor,andAndroid3.2OS.Thetabletweighslessthanonepoundandisonlyonehalfinch
thick.
HuaweisnewxDSLcopperaccesscards,the48portCOMBOCardandthe64portVDSL2Card,help
simplifypublicswitchedtelephonenetworkmigrationforoperators.TheCOMBOCardcombines
ADSL2+,voice,andsplitterfunctionstoefficientlyusespaceintelecommunicationsrooms.The
VDSL2Cardprovides50Mofbandwidth.BothcardsfeatureMELTlinetestingtoidentifylinefaults.
TBR
HuaweiRecentProductAnnouncements(continued)
ProductSeries
Configuration
200GLineCard
The200Ghighspeedlinecardforhighendroutersallowsoperatorstoincreasebandwidthand
runmoreefficientnetworks.DecreasedpowerconsumptionenabledbyHuaweis200Glinecard
reducesoperatingcostsforthenetworkprovider.
April2011
ARG3Enterprise
AccessRouter
March2011
OptiXRTN980
February2011
AnyConnection
MobileBroadband
Backhaul(MBB)
ConfiguredwiththirdgenerationrouterarchitecturetosupportmobileandfixedWANaccessas
wellasmultiserviceprocessing;usesmulticoreCPUsandnonblockingswitchingarchitecture;has
3MPPSprocessingperformanceand80Gbpsswitchingcapacity.TheARG3supports
CDMA2000/WCDMA/TDSCDMAwirelessstandardsaswellasfixedstandardsincludingETH,e!,
XDSL,XPON(scalableto10GPON).
Integrateshybridandpurepacketmicrowavetransmissions;upgradedversion(OptiX900)
providesthroughputof1Gbpsperfrequencycarrier,whilebasicversionsrangefrom400Mbpsto
1Gbps;supportsaggregationofmicrowavetransmissionsin14RFdirectionsandisupgradableto
28RFdirections;alsosupportsTDMandpacketcrossconnections.
SeamlesslyevolvesfromUMTSandHSPAtoLTE;featuresondemandroutingmodesbetween
dynamicandstaticwith300mmdepthedgeroutersinstalledinoutdoorcabinets.
February2011
iCare
February2011
E398
December2010
WiMAX TDLTE
SingleRAN
November2010
35
ProfessionalservicesolutionthatisapplicabletoIP,opticaltransmission,microwaveandFTTx
networks;iCareprovidesnetworkplanning,networkevaluationandoptimizationforlivenetworks
aswellasaidsinservicemigrationandnetworkevolution.
Worldsfirsttriplemodemodem;supports2G(GSM),3G(UMTS)andLTE;themodemisinitially
availableinselectEuropeanmarkets.
Containsdualmoderemoteradiounit(RRU)anddualmodebasebandunit(BBU)tosupportboth
WiMAXandTDLTEinthe2.3GHz,2.5GHzand3.5GHzfrequencybands;alsosupportsMIMOand
Beamformingtechnologies.
TBR
HuaweiRecentProductAnnouncements(continued)
ProductSeries
Configuration
IntelligentOptical
DistributionNetwork
(iODN)
LetsoperatorslocateandoperateopticalfibersinanFTTHenvironment;supplementsHuaweis
portfolioofFTTHsolutionsrangingfromequipmenttodeliveryandservices
October2010
DigitalShoppingMall
(DSM)
October2010
OceanspaceS2600
OceanspaceN8300
SecospaceUSG2000
BSR/HSR
Providesoperatorswithaunifiedserviceplatformthataggregatesinternetapplicationsanddelivers
cloudbasedservicestoendusers;platformsupportsallmajorsmartphoneoperatingsystems,
includingAndroid,RIMandSymbian.Atlaunch,theMallfeatured80,000appsrangingfrommusic
toebookstovideo.Thestorecanbeaccessedvianearlyanyinternetenabledelectronicdevice
includingtabletsandtelevisions.Apprevenueissplit70:30,with70%goingtodevelopersand30%
totelecomoperators.
StoragesolutiontailoredtoSMB;offersunifiedstorageplatformandmultiservicegatewayfor
securityandrouting
October2010
EasyODN
Usesfourtwistedfrequencypairstoachievedownstreamspeedsof700Mbpsatadistanceof400
meters;addressescrosstalkbetweenmultipletwistedpairsandincreasesDSLbandwidthby75%
fromanaverageof100Mbpspertwistedpairto175Mbps;deployabletoFTTB/FTTCaccessand
privatelineapplications,includingbasestationaccess
Endtoendsolutionthatincludesopticaldistributionframes,fiberdistributionterminals,fiber
accessterminals,opticalfilters,opticalsplitters,closuresandaccessterminalboxes
June2010
SuperMIMO
September2010
OSN8800T16
June2010
36
Solutionletsoperatorsdeployopticaldistributionnetworkswitheasyoperation,maintenanceand
administration
MetropolitanOTNsystemaccommodatesdata,videoandstoragewhilereducingoperatorcosts
throughenergyefficiency,lowmaintenanceandspacesavingfeatures
Achieves40G/100Gtransportandoffersfullservicecrossconnectioncapabilitiesthatsupport
ODUkwavelengthandpacketcrossconnections
Appendix CustomerDeals
TBR
HuaweiRecentCustomerDeals
Company
ScopeofDeal
GeniusBrand
HuaweiwillrolloutanLTEnetworkforGeniusBrandwithdownloadspeedsupto120Mbps.Huawei
willdeploy2,000basestationsthroughoutHongKong,providingcustomerswithfasterinternet
speeds,accesstowirelessapplications,andtheabilitytostreammobilecontent.
HongKong
August2011
ChinaTelecom
China
August2011
EtisalatNigeria
Nigeria
August2011
ManitobaNetSet
Canada
July2011
IDEA
India
June2011
KPN
Netherlands
June2011
TDC
Denmark
June2011
37
HuaweiprovideditsintelligentstormsolutionsforChinaTelecomsCDMAnetworkattheShenzhen
SummerUniversiadeevent.HuaweisCDMAsolutionsenablethenetworktomanageupto10times
moretraffictocopewithpeaktraffictimes.HuaweialsoprovideditsQchatpushtotalkserviceduring
theevent.
Througha$118millioncontract,HuaweiwillexpandEtisalatNigerias2Gnetworkandbuildouta3G
networktoimprovecoverageanddataservices.Huaweialsowillprovideacompletearrayof
professionalservices.
Inthecourseofatwophasedproject,HuaweiwillbuildaWiMAXnetworkforManitobaNetSet,
providing5,000householdsinruralCanadawithbroadbandinternetaccess.Thenetworkwillbe
preparedforaLTEupgradeusingHuaweisSingleRANsolution.
Huaweilaunchedthefirstcommercialmobilenumberportability(MNP)solutioninIndiaforIDEA.
HuaweisMNPsolutionisbasedonthesignalingtransferpointtechnology.Intheprocessof
implementingthesolution,Huaweimigrated470setsofequipmentwithoutinterruptionofservices.
Huaweideployedcoherent100GservicesonKPNsInternationalWDMnetwork.Huaweis100G
solutionsupportsG.652andG.655fibersandcantransmitserviceoveradistanceof
613kilometerswithneedingregenerationatanelectricalsite.
HuaweiwillbuildanationalandpanEuropeanOpticalTransportationNetworkforTDC,enablingthe
operatortoprovidecustomerswithhighbandwidthservices,suchasHDTV,videoconferencing,and
gaming.Inthesixyearcontract,HuaweiwilldeliveritsindustryleadingDenseWavelengthDivision
Multiplexing(DWDM)solutions.
TBR
HuaweiRecentCustomerDeals(continued)
Company
ScopeofDeal
ChinaUnicom
HuaweiwillprovidemanagedservicesforoverhalfofChinaUnicomShanghaisbasestationsitesto
improvenetworkreliability.Huaweiwillberesponsiblefornetworkmaintenance,including
preventative,planned,andcorrectiveservices.
China
May2011
M1
Singapore
May2011
ChinaTelecom
China
May2011
Everything
Everywhere
UnitedKingdom
M1,aleadingmobilebroadbandandcommunicationsprovider,awardedHuaweiafiveyear,S$280
millioncontracttobuildSingaporesfirstLTEnetwork.HuaweisendtoendLTEsolutionincludes
installationofbasestationsandtheEvolvedPacketCoreequipment.
HuaweiprovidedChinaTelecomwithitsintelligentopticaldistributionnetwork(iODN)solutionto
improveoperationsandefficiencyofChinaTelecomsfibertothehomedeployment.iODNuseseID
technologytoautomatedeploymentandmanagementwithintheopticaldistributionnetwork.
Inafouryearcontract,HuaweiwillprovideEverythingEverywhere,aU.K.operator,withincreased
networkcapacityandcoveragethrougha2GGSMnetworkupgrade.Huaweiwillupgradeallof
EverythingEverywheresradiobasestationsandprepareforatransitiontoLTE.
May2011
Superonline
Turkey
May2011
HuaweiinstalledthefirstcolorlessanddirectionlessWavelengthSwitchedOpticalNetwork(WSON)
applicationintheIstanbulmetronetwork,greatlyincreasingsecurity.HuaweiprovidesSuperonline
withActiveEthernetAccessandGigabitPassiveOpticalAccessNetworksolutions.
MTC
Lebanon
Buildingendtoend3GnetworkforMTC,includingtheprovisionofRANandpacketswitching;also
providingarangeofprofessionalservices
March2011
38
TBR
Company
ScopeofDeal
VodafoneHutchison Huaweiisreplacing5,800basestationsacrossEasternAustraliaforVHAwithitsSingleRANandradio
(VHA)
networkcontrollers(RNC).ThenewnetworkequipmentletsVHAdeliver2G,3Gand4Gservicefroma
singlebasestationatupto42Mbpsdownlinkspeed.VHAplanstoreplaceanadditional2,200base
Australia
stationsoverthenext18months.
February2011
Etisalat
UnitedArab
Emirates
DeployingcommercialLTEnetworkacrossUnitedArabEmiratesforEtisalat.
February2011
CellC
SouthAfrica
February2011
DeployedNGBSSsolutionforCellC,lettingtheoperatorgeneraterealtimeusagedataofitspostpaid,
prepaidandhybridservicesandprovideitssubscriberswithconvergedbilling.
NIIHoldings
Brazil,Mexico
February2011
NortheastWireless
Networks
UnitedStates
HuaweiprovidingendtoendUMTSnetwork,includingRAN,backhaulandcore,aswellasTISservices
forNIIHoldingsPushtoTalkserviceinBrazilandMexico.
DeployingHuaweisSingleRANsolutionstobringwirelesscoveragetoruralareasinMaineand
Oregon.
February2011
2degrees
NewZealand
February2011
39
InvestingNZ$100million(orU.S.$77million)overthenexttwoyearstobuildout2Gand3Gnetwork
inNewZealandthatisLTEready;Huaweiprovidingallequipment.
TBR
Company
ScopeofDeal
Telkom
SouthAfrica
Telkomsecureda$127millionsevenyearloanfromasyndicateofinternationalbankstobuildoutits
8tamobilenetworkinSouthAfrica.Huaweiisprovidingmostofthenetworkinfrastructure.
February2011
WIND
Canada
January2011
PublicTelecom
(PTC)
SaudiArabia
DeployedcorenetworkfromHuaweitobringWideBandAMR(alsoknownasHDvoice)servicestoits
customersacrossCanada.
PTC,ownerofBravo,isreplacingitslegacybillingsystemwithHuaweisBSSsolutiontoimprove
operationalinfrastructureefficiency.
January2011
LibyaSilphium
Mediterranean
Sea
HuaweiMarineconstructingandlaying440kmsubmarinecableconnectingLibyaandGreeceonbehalf
oftheLibyanInternationalTelecomCompany(LITC).
January2011
Vodafone
Ghana
January2011
TeliaSonera
Norway
January2011
Kyivstar
Ukraine
AwardedHuaweifiveyearmanagedservicescontracttoassumeoperationsandmaintenanceof
Vodafonesmobile,microwave,SDHandfixedswitchingnetworkinginGhana.
UsingHuaweisSingleRAN@BroadsolutiontoupgradeandexpandoperatorsGSM/HSPA+/LTEnetwork
acrosssouthernNorway.ThesolutionwillmakeTeliaSonerasHSPA+networkhandle42Mbpswiththe
optionofanupgradeto84Mbps.
KyivstarisbuildingoutFTTBnetworkacrossUkraineusingHuaweisEthernetswitches.
January2011
40
TBR
Company
ScopeofDeal
TMobile
Austria
December2010
Government
Guyana
December2010
Millicom
International
Cellular(MIC)
CentralAmerica
RollingoutLTEnetworkandupgradingTMobilesGSMnetworkinAustriaunderafiveyearcontract;
TMobileplanstocoveronequarterofAustriaspopulationwithLTEbytheendof2013.
GuyanagovernmentispayingHuawei$35milliontodeployawirelessnetworkatselecthospitals,
policestations,militaryoutpostsandothergovernmentfacilitiesacrossthecountry.
Huaweiisdeployinginternationallongdistance(ILD)networkcoveringGuatemala,HondurasandEl
SalvadorforMillicom.
December2010
TTST
Trinidad&Tobago
December2010
HuaweiwastheexclusivesupplierofanendtoendWiMAXnetworkcoveringtheCaribbeanislandsof
Trinidad&TobagoforTSTT.
ChinaUnicom
China
December2010
SIWireless
UnitedStates
GuangzhouUnicom,asubsidiaryofChinaUnicom,isusingHuaweisHybridMSTPTransportsolutionto
provideEDGE,HSPA+andWLANserviceduringthe2010AsianGamesinGuangzhou.
BuildingoutCDMAEVDOnetworkcovering1.2millionPOPsinIllinois,KentuckyandTennesseeforSI
Wireless;thenetworkincludes300cellsitesandwillbefinishedbymid2012.
November2010
Bite
Latvia
November2010
41
HuaweiupgradedallofBitesbasestationstobeLTEreadyaswellasdeployed80additionalsites.
HuaweialsooptimizedBitesRANtobe20%to30%moreenergyefficient.
TBR
Company
ScopeofDeal
CamGSM
Cambodia
November2010
ChinaMobile
China
November2010
DatameOy
Finland
November2010
Aero2
CamGSMispurchasing$500millionworthofnetworkequipmentandservicesfromHuaweioverfive
years.CamGSMobtainedfinancingviatheBankofChina.
ChinaMobilechoseHuaweitosupplyandbuildoutan80x40GWavelengthDivisionMultiplexing
nationalbackbonenetwork.Huaweis40GOTNsolutionwillupgradethewavelengthcapacityofChina
Mobilesnetworkfrom10Gto40G.
HuaweiisbuildingendtoendWiMAXnetworkforDatameOythatwillcover70%ofFinlands
populationbytheendof2013.
AwardedframecontracttodeployworldsfirstTDLTEnetworkforAero2inPoland;Huaweiis
providinganendtoendLTETDD/EPCsolution.
Poland
November2010
Movistar
Peru
November2010
Grameenphone
Bangladesh
November2010
MTN
Nigeria
October2010
42
MovistarisreplacingitsCDMAequipmentwithHuaweisAdvancedTelecomComputingArchitecture
based(ATCA)CDMAmobilesoftswitchallIPsolution.
HuaweiissupplyingandrollingoutendtoendSingleRANnetworkacrossBangladeshfor
Grameenphoneunderathreeyearcontract.ProductssuppliedincludeSingleCORE,SingleEPC,ngHLR
andIPSignallingTransferPoint(STP)solutions.Thenewinfrastructurewillbulkupcapacityof
Grameenphonesexistingnetworksoitcanhandleaninfluxofvoiceanddatatraffic.
Huaweiwilldeployawirelessnetworkcovering350villagesacrossNigeriaforMTNfor
$40millionbytheendofMay2011.MTNisplanningfurthernetworkexpansioninlate2011tocover
anadditional500villages,andHuaweistandsagoodchanceofwinningthatcontractshoulditdoa
goodjobonphaseone.
TBR
Company
TelekomBrunei
Berhad
Brunei
October2010
MegaFon
Russia
October2010
Vodafone
Italy
October2010
Lattelecom
Latvia
ScopeofDeal
HuaweiisdeliveringendtoendFTTHbroadbandnetworkcovering40,000subscribersinBruneiwith
150Mbpsinternetservice.Theprojecthasbeendividedintofourphases.
UsingHuaweiNE5000Erouterstoconstructbackbonenodesfora40GBIP/MPLSnetworkinMoscow
andSt.Petersburg;therouterswillhelpMegaFonoptimizeitsexistingcorenetworkbybulkingup
bandwidth.
PayingHuawei1billion(or$1.4billion)tosupplyanddeployitsHSPA+SingleRANsolutionto12%of
Italyspopulation(about1,800towns)
HuaweiissupplyingfiberopticaccessnodesanddevicesforenduserstoLattelecom.
October2010
du
UnitedArab
Emirates
September2010
BhartiAirtel
India
September2010
MTS
India
September2010
43
UpgradeddusHSPA+21MbpsnetworktoDCHSPA+42Mbps
Huaweiwillplan,design,deployandmaintaina3GHSPAnetworkinthreetelecomcirclesinIndiafor
BhartiAirtel.EricssonandNokiaSiemenswonsimilarcontracts,withEricssongarneringsevencircles
andNokiaSiemenslandingthreecircles.BhartiAirtelhas3Glicensesfor13telecomcirclesacross
India.
MTSIndiaoutsourcedthemanagementofall22ofitstelecomcirclesinIndiatoHuawei,ZTEand
Ericsson.
TBR
Company
ScopeofDeal
Safaricom
Kenya
September2010
Mobyland
Poland
September2010
TataTeleservices
DeployedConvergentBillingSolution(CBS)inKenyaforSafaricom;HuaweisCBSprovidesonlinerating,
realtimecontrol,andexpressbillingfortelecomoperators.
Huaweilaunchedan1800MHzLTE/EPCnetworkusingitsSingleRAN@BroadsolutionforMobylandin
Poland,allowingforpeakdownlinkspeedsof146Mbpsperuser.Huaweifirstusedasoftwareupgrade
tomakeMobylands2GnetworksupportLTE.ThisisthefirstcommercialLTE/EPCnetworkbasedon
1800MHzspectrumwith20MHzbandwidthonasingleradiounit.
HuaweiwillprovideSingleRANfor3GnetworkinfiveofTatasninetelecomcirclesinIndia.Nokia
Siemenswontheremainingfourcircles.
India
September2010
Qtel
Qatar
August2010
BT
UnitedKingdom
August2010
MaxisBerhad
Malaysia
August2010
Vodafone
UnitedKingdom
August2010
44
HuaweiwillrolloutFTTHforQtelinQatar.Huaweiwillreplacecopperconnectionswithhighspeed
fiber,enablingdownlinkspeedsupto100Mbps.Theprojectwilllastforthreeyears.
HuaweiisprovidingBTwithopticalaccessandtransmissionproducts,includingHuaweisSingleFAN
solution,tohelpwiththedeploymentofBTsnewnationalfibernetwork.BTboosteditsinvestmentin
broadbandby1billion($1.5billion)tobringfasterinternetservicestotwothirdsofU.K.households
by2015.HuaweihasbeenanintegralsupplieroffiberaccessequipmenttoBTsincetheoperators
broadbanddeploymentbeganin2008.
HuaweiwillbuildandmanageanendtoendturnkeyFTTxhighspeedinternetnetworkusingGPON
technologyforMaxisBerhad.Thedurationofthemanagedservicesagreementisthreeyears.Maxis
Berhadplanstocover12millioncustomersacrossMalaysia,particularlytargetingenterprise
customers.
VodafoneisofferingcustomersintheUnitedKingdomamonthlyMiFipackageusingtheHuaweiR201
router.
TBR
Company
ScopeofDeal
Telefonica
TelefonicahasbeenusingHuaweisservicedeliveryplatform(SDP)initsLatinAmericanoperationsand
nowplanstodeploythesoftwareglobally.TheSDPfitsTelefonicasapplicationdevelopmentstrategyby
establishingafoundationfortheseservicestobecreated.
World
August2010
TataTeleservices
India
August2010
PCCW
HongKong
TataTeleservicesinstalledHuaweisMSCPoolsolution,boostingserviceandreliabilityfortheoperators
1.5millionsubscribersintheMumbaimetroarea.
Huaweideployedits40GOpticalTransportNetworksolutionforPCCW,allowingPCCWcustomersto
experiencehigherbandwidthandmoreflexibleservicefeatures.Transportcapacityincreasesto3.2
Terabitandbandwidthperwavelengthjumps400%withtheuseoftechnologieslike80wavelength
40G,ReconfigurationOpticalAdd/dropMultiplexer,andopticalandelectricalcrossconnection.
August2010
InaseparateagreementalsoannouncedinAugust,Huaweideployedits42Mb/sDualCarrierHSPA+
solution,doublingthedownlinkpeakdatarateofPCCWsexistingHSPA+networkcoveringHongKong.
SingTel
SingTeldeployedHuaweisNE5000E1+2routerclustersysteminitsconvergedIPbackbonenetwork.
Thisroutersystem,theindustrysmostenergyefficient,achieves2.56Tportcapacityandisscalableto
200T.
Singapore
August2010
ChinaTieTong
China
August2010
StarHub
Singapore
July2010
45
HuaweiwasselectedbyChinaTieTongTelecommunications,asubsidiaryofChinaMobile,toexclusively
provideequipmentfortheexpansionoftheoperatorsCTTNETnationwidebroadbandIPnetwork.
HuaweiissupplyingitsQuidwayNetEngine5000Ecorerouter,whichachieve2.56Tportcapacityandare
scalableto200T.
StarHubadoptedasmartphonesignalingsolutionfromHuaweithatenhancesnetworkperformanceby
reducingsmartphonesignalingtraffic.Thesolutionreduces56%oftheredundantsignalingloadsin
StarHubssmartphonemobiledataservice.
TBR
Company
ScopeofDeal
Vodafone
VodafoneselectedHuaweiandEricssontoupgradeitsbasestationstoLTEandrolloutLTEcompatible
basestationsacrossruralregionsofGermany.Inall,Vodafoneplanstohave1,500basestations
installedby2011.VodafoneGermanyisembracingwirelessbroadbandasalessexpensivealternative
torollingoutfixedlineaccessforinternetservices.
Germany
July2010
ONO
Spain
July2010
Wind
Italy
June2010
Suddenlink
Communications
UnitedStates
ONOselectedHuaweitoupgradeandrunitsvoicenetworkundera7yearrenewablecontract.
Huaweiwilldeploysoftswitches,mediagatewaysandotherIMSsolutions.Huaweialsowillprovide
managedservicesforthenetwork,takingon40ONOemployeestohelpwithactivitymonitoring,
workflowmanagementandconfigurationmanagement.
HuaweiwilldeployHSPA+andLTEbasestationsforItalianoperatorWind.WindselectedHuaweis
SingleRANplatformbecauseitcanconvergeGSM,HSPAandLTERANontooneplatform.Theoperator
alsowillpurchasecorenetworkequipmentsupportingSDHandVoIPandIMSinfrastructurefrom
HuaweitosupportitsallIPstrategy.
DeployingDigitalTerminalAdapters(DTA)fromHuaweitooffermoreVideoonDemand,HDTV,and
Docsis3.0services.SuddenlinkisanMSOwithabout1.3millioncustomers,andtheDTAboxeswillbe
offeredtoitscustomersacross20marketsinthesoutheasternUnitedStates.
June2010
Vodafone
Spain
June2010
NET
Brazil
May2010
46
VodafoneSpainisofferingfemtocellsmanufacturedbyHuaweitoitsOfficecustomers,whichinclude
25,000companieswithover500,000linesacrossSpain.ThefemtocellsenableVodafonescustomers
torealizebettervoiceanddataaccess.
HuaweiwilldeployitsIPTimebroadbandmetrosolutionforBraziliancableandbroadbandprovider
NET.ThedeploymentwillenablehighdefinitionvideoserviceforNETsubscribersusingvideopacket
retransmissionandfastchannelchange,whicharepartofHuaweisSingleMetroandMultiplay
solutions.
TBR
Company
HiBeamInternet&
Voice
UnitedStates
ScopeofDeal
HuaweisuppliedradioequipmenttoHiBeamtosupportbroadbandservicestosubscribersinthe
MidwestandSoutheast.Speedscannowreach3mbpsto6mbpsonaverage,withburstsupto10
mbps.ThenewequipmentsupportsmigrationtoLTE.
May2010
vividwireless
Australia
May2010
SaudiTelecom
Company(STC)
SaudiArabia
April2010
47
HuaweiandvividwirelesslaunchedAustraliasfirstcommercialWiMAXnetworkinPerth.Thenetwork
deliverswirelessaccessspeedscomparabletoADSL2+connectionsusingBeamformingand4T4R
technology.TherolloutinPerthtooksixmonths,andHuaweiwillbuildoutadditionalWiMAX
networksforvividwirelessin2H10.
HuaweiwilldeployaprecommercialLTEnetworkforSTCcoveringseveralcitiesinSaudiArabia,
includingRiyadhandDammam.Additionally,STCwilluseHuaweiIPmicrowaveproducts,specifically
theRTN900series,initsLTEbackhaul.
Appendix FacilitiesTable
TBR
HuaweisFacilities
Location
Function
Shenzhen,China
ChineseHeadquarters,EastPacificHeadquarters
Dusseldorf,Germany
EuropeanHeadquarters,InnovationCenter
Darmstadt,Germany
Innovation&DemoCenter
Moscow,Russia
CISHeadquarters
Plano,Texas,UnitedStates
UnitedStatesHeadquarters
Markham,Ontario,Canada
CanadianHeadquarters
Cairo,Egypt
MiddleEastandNorthAfricaHeadquarters
SaoPaulo,Brazil
LatinAmericanHeadquarters
Johannesburg,SouthAfrica
SouthAfricanHeadquarters
KualaLumpur,Malaysia
AsiaPacificHeadquarters
Richardson,Texas,UnitedStates
LTELaboratory
Otemahci,Tokyo,Japan
LTELaboratory
Beijing,China
R&DFacility,WiMAXInteroperabilityTestingLaboratory
Shenzhen,China
R&DFacility
Shanghai,China
R&DFacility
Nanjing,China
R&DFacility
48
Appendix FacilitiesTable
TBR
HuaweisFacilities(continued)
Location
Function
Hangzhou,China
R&DFacility
Chengdu,China
R&DFacility
Wuhan,China
R&DFacility
Munich,Germany
R&DFacility AllIPNetwork,CoreNetwork,HighspeedTransmission
Paris,France
R&DFacility TelecomStandard,GSMR
Milan,Italy
R&DFacility Microwave
Stockholm,Sweden
R&DFacility
Bangalore,India
R&DFacility Software
Dallas,Texas,UnitedStates
R&DFacility ASICTechnologiesandWirelessAlgorithm
SiliconValley,California,UnitedStates
R&DFacility
Ottawa,Canada
R&DFacility Wireline,Wireless,Optical,andIPNetworking
Moscow,Russia
R&DFacility WirelessAlgorithm,ApplicationandSoftware
Lagos,Nigeria
R&DFacility
Istanbul,Turkey
R&DFacility
SouthAfrica
R&DFacility
Jakarta,Indonesia
R&DandTrainingFacility
Madrid,Spain
NetworkOperationsCenter
49
Appendix ManagementTable
TBR
HuaweiKeyManagement
Name
RenZhengfei
Position
ChiefExecutiveOfficer
JustinChen
ChiefOperatingOfficer
MattBross
ChiefTechnologyOfficer
CathyMeng
ChiefFinancialOfficer
VictorXu
ChiefStrategyandMarketingOfficer,HuaweiDevice
KenHu
ExecutiveVicePresident
WanBiao
PresidentofWireless
YouYiyong
PresidentofAccessNetwork
ChristianChua
PresidentofTransportNetwork
KevinTao
CEOofHuaweiDevice
YingWeimin
PresidentofLTEProductLine
YuChengdong
President,HuaweiEurope
MaxYang
CEO,HuaweiIndia
CharlesDing
President,HuaweiNorthAmerica
SeanYang
President,HuaweiCanada
CharlieChen
SeniorVicePresidentofMarketingandProductManagement,HuaweiUSA
JohnRoese
SeniorVicePresidentandGeneralManagerofNorthAmericaR&D
JohnSuffolk
GlobalCyberSecurityOfficer
50
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