Feeds

Huawei wants to be telepresence king

Dethroning Cisco and massive domestic retail rollout to chase US$100b revenue goal

Internet Security Threat Report 2014

Chinese telecoms and handset giant Huawei has its sights on dominating yet more markets, with plans to leapfrog Cisco to top spot in the video conferencing space in three years and to expand its retail presence in thousands of domestic bricks and mortar stores to boost handset sales.

Huawei’s sales of telepresence kit doubled last year to reach around $200m (£123.3m), placing the company second with a market share of around 20 per cent, Huawei Enterprise GM Li Jun told Bloomberg.

By contrast, arch rival Cisco is in the lead with half of the market and revenue of around $900m (£554.6m).

Video conferencing is just one way Huawei is trying to expand beyond its core business of telecoms infrastructure and realise its goal of tripling revenue to $100bn (£61.6bn) by 2021.

Another is its handset business.

Huawei is currently ranked number six in the world but is looking to grow that part of the business to rival its revenues from flogging networking kit. This is especially important given Huawei is finding it tough to make any money from the latter in the US or Australia, where national security concerns over the Chinese firm have yet to be allayed.

With that in mind, Huawei is planning to tap the huge domestic market by rolling out branded counters in around 4,000 retail locations across China in stores run by big name local players Suning, Gome and D.Phone, according to China Daily.

It will also be launching some flagship stores of its own in tier-one cities such as Beijing, Shanghai and Guangzhou, with over 4,000 retail staff ready to man the counters across the People’s Republic.

Dana Cooperson, VP network infrastructure at analyst Ovum, told The Reg that the market opportunities are there for it to reach its ambitious $100bn revenue target.

“Huawei is an amazing learning organisation. They constantly improve across multiple dimensions. They hire a lot of very good people all over the world. They are no longer the ‘follower’ they once were,” she added.

“If you’re asking if they are capable of being an Apple, it’s doubtful. But I do think they have an opportunity to innovate around areas such as connecting the network to the device and providing a superior customer experience. Very few vendors have the opportunity to do this.”

Huawei couldn’t immediately be reached to elaborate on its plans. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Bono apologises for iTunes album dump
Megalomania, generosity and FEAR of irrelevance drove group to Apple deal
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.