<Editor's Pick> Huawei: To survive is our main line of business

Oct 07, 2020 Other HUAWEI

HUAWEI CONNECT is Huawei's largest global eco-conference for the ICT industry and is now in its fifth year.

This has been a platform for Huawei to launch major strategies.

In this arena, Huawei called on its global partners in 2016 to build a Costa Rican-style ecological. In 2017, Huawei had proposed to be one of the five global clouds and announced its strategic investment in the public cloud. In 2018, Huawei released two AI chips named Ascend 910 and 310. Huawei laid out its new computing strategy here in 2019.

 

What theme is Huawei targeting this year?

On the morning of September 23, Huawei Connect 2020 opened at the Shanghai Expo.

In the words of Guo Ping, Huawei's Chairman-in-Office in the main forum, 5G has been deployed globally this year, and the five technologies and five opportunities of "connectivity, computing, cloud, AI and industrial applications" have come together in an unprecedented way, and this year's theme would be "5 technologies collaboration".

Guo Ping's opening was straightforward: Huawei is now experiencing great difficulties.

"The continued crackdown has put a lot of pressure on our operations, and to survive is our main line of business."

But as Dumas once said: all the wisdom of mankind is contained in these two words: waiting and hoping. Huawei sees a huge development opportunity for the ICT industry, with governments and enterprises going fully digital and smart. The digital economy, which will be the main theme of economic growth, is based on connectivity and computing.

Guo Ping mentioned that 1G to 4G solved the problem of connecting people, and 5G opened a new era of the Internet of Everything. The focus of computing is slowly shifting to AI which has literally created value in the main business of government and business. Connections and computing need to be deeply integrated with the industry, to find scenarios that can be grounded, to target the pain points in the production system, and to quickly create value through the combination of ICT technology and industry knowledge.

This means that Huawei's new focus is starting to emerge.

Huawei's milestones and business strategies in 4 areas: connectivity, computing, cloud, and AI Guo Ping then shared the progress and latest strategies of Huawei's related businesses.

Connectivity: the digitalization of industries into production systems has dramatically changed the demand for connectivity. Mines, ports, and factories, for example, all require higher bandwidth. Smart manufacturing in different industries requires different latency and reliability, which requires the network to provide a differentiated experience, along with SLA guarantees. To meet these needs, Huawei has come up with the concept of intelligent connectivity to create ubiquitous gigabit, deterministic experiences, and hyper-automated networks.

Computing: the era requires diverse computational synergies to meet new demands. Huawei offers a diversity of computing power, using a software-hardware decoupling design to adapt to different processors, including x86 and Kunpeng. Huawei will continue to promote the Kunpeng/Ascend chip industry, taking the path of open hardware, open software, and open source basic software.

Cloud computing: The cloud is the best platform to unleash computing power and is the digital base of the smart world. Three years ago, also at this conference, Huawei proposed to be one of the 5 clouds of the smart world and committed to a long-term strategic investment in the public cloud. After 3 years of continuous efforts, Huawei Cloud now has 23 development regions around the world and has developed over 1.5 million developers with a market growth rate of 220% in 2019, and more than 18,000 partners. It's not a relief for the Huawei Cloud team, but more pressure as they are challenged to reach higher goals. Huawei will further improve its hybrid cloud solutions to meet the complex needs of government and enterprise transformation and become the first choice for customers' smart upgrades.

AI: AI is developing rapidly, and Huawei has also made a lot of attempts to apply AI to the main business systems of government enterprises. For example, Shenzhen Airport has introduced AI face recognition technology,  which helped differentiated security checks efficiency to increase by 60%. During the epidemic, AI was used to aid clinical CT diagnosis, reducing the time to see films from 12 minutes to seconds.

 

Industry applications are key, so what is Huawei's focus?

In his view, connectivity and computing is a bit like electricity more than 100 years ago, from merely providing lighting to household appliances and industrial equipment, which has revolutionized various industries and propelled mankind into the age of electrification.

In the process, household and industrial electrification created dozens, if not hundreds, of times the size of the industry compared to the size of the electricity industry. In 2016, Huawei proposed building a Costa Rica-style ecology to enable its partners to grow the market and become the biggest beneficiaries of the new value chain, just like the electrical companies of the electricity age.

Tech Lab is one of the "biggest beneficiaries" of Guo Ping, a traditional IT training institution, and through the cooperation with Huawei Cloud, the turnover of Tech Lab in the cloud market has exceeded 80 million in 2020, an increase of more than 8 times year-on-year.

Talking about the supply chain, Guo Ping lamented the revelation that Huawei was hit by the supply chain, and today Huawei will make all its efforts to help its partners grow strong, which is also to help Huawei grow itself.

He gave an example of a key component of a 5G base station to illustrate the topic.

CoolerMaster is a traditional heat sink supplier. In 2016, it started to cooperate with Huawei. In the process of transforming and developing 5G heat sinks, CoolerMaster actively invested in the process, and with the help of Huawei, it achieved breakthroughs in the surface treatment process and other technologies, and at the same time, through collaboration with Huawei, CoolerMaster optimized the processing process and logistics path, which significantly improved product quality, production efficiency, and supply capacity. Its cost also came down 30%. In 3 years of partnership with Huawei, its sales have increased more than 20 times.

As early as 2009, ChinaSoft International has been working with Huawei. In 2014, the company started to go international. In 2017, it became the first Huawei Cloud partner, and in 2019 it joined the Huawei Cloud Kunpeng Ling Yun Partner Program. It can be said that in different periods of Huawei's development, ChinaSoft International insisted on strategic synergy, complementary interests, sharing the same boat through thick and thin, and advancing and retreating together at critical moments.

 

Huawei executives answer questions from global media on sensitive issues

After the main forum, Guo Ping and several other Huawei executives were interviewed by global media. Huawei executives have also provided answers to some sensitive questions.

In response to the U.S. ban on Huawei, Guo Ping said that Huawei will continue to adhere to its globalization strategy, and ICT is a mutually beneficial model that is most beneficial to all parties.

In response to the question about the impact of the "Clean 5G" plan on Huawei, Wang Tao, Huawei's Managing Director and Director of the Product Investment Review Committee, said that Huawei's customers and operators will make judgments based on facts and rationality, and Huawei is focused on providing leading-edge solutions.

In response to Huawei's plan to cut research and development funding and layoffs from Australia, Wang Tao said Australia is a very small market, and Huawei will use quality resources to serve quality customers.

Guo added that Huawei's talent business is very stable and will continue to attract the best talent, the key to solving Huawei's problems is talented people.

In response to Qualcomm is applying to the U.S. government to supply chips to Huawei, how does Huawei see the action. Guo Ping said that Huawei noted that Qualcomm is applying to sell chips to Huawei, once approved, Huawei is happy to use Qualcomm's chips to produce mobile phones.

 

This is an article from WeChat official accounts LeiPhone(ID: leiphone-sz), written by Wang Gang, translated by Linda Yang.