Huawei sees 10% annual growth in smartphone and cloud

by CXOtoday News Desk    Apr 08, 2013

huawei

Huawei Technologies, the number 2 telecom equipment maker said that it expects a compound growth rate (CAGR) of 10 per cent in annual sales over the next five years. The Chinese telecom company sees maximum thrust coming from smartphones, cloud computing and data analysis, where it is currently expanding.

In a briefing, the acting CEO Guo Ping said that “Huawei is committed to becoming a world-leading smart device brand,” and also confirmed that a 32 per cent rise in Huawei’s 2012 net profit to 15.4 billion yuan.

In Q4 2012, Huawei became one of the world’s top three smartphone makers for the first time, according to Gartner which was also confirmed by IDC and Canalys. Gartner analyst Anshul Gupta said that in a highly competitive smartphone landscape dominated by Samsung and Apple as well as in the current economic scenario, Huawei’s strong performance pushed it to the third spot is commendable. In the entire year 2012, Huawei sold 27.2 million smartphones, according to Gartner up 73.8 per cent from 2011. 

Not only in China, Huawei has boosted sales and gained market share in Europe, Africa and Asia in the past one year. The revenue breakdown showed Chinese sales up 12.2 per cent to 73.6 billion yuan. Sales in Europe, the Middle East and Africa rose 6.1 per cent, Asia Pacific sales were up 7.2 per cent, while revenues in Latin America rose to 4.3 per cent. Although the company ran into some obstacles in other markets such as Australia and the US, a senior official of Huawei from india informed that Huawei has always been a transparent and committed company, and consumers can always come and verify if they have any doubt regarding the same.

The senior official  also said that with the growth and adoption of technology, enterprises and end user customers will see new opportunities coming  from cloud computing, BYOD (Bring Your Own Device), and big data. Smartphones to a great extent will trigger this growth and will soon replace feature phones at a faster rate.

Talking about the Indian market, he said that the company has a lot of plans for India in the coming quarters. Besides smartphone sales, the company is investing in areas for creating broadband network infrastructure, especially with a focus in the rural areas. Until now, Huawei mostly concentrated on end-user consumers, but in the coming months, it plans to introduce new enterprise offerings in the market as well.