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Huawei’s Strategy to Continue to Exist in the Smartphone Industry with technological research

by Bambang Dwi Atmoko
May 1, 2017
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On April 12th, Huawei held the 14th annual Global Analyst Summit in Shenzhen, China. One of the highlights of the event is Huawei’s strategy that will continue to spend on technology research and development.

Consistently, Huawei has invested more than 10% of its revenue in R & D every year. Huawei’s strategy helps not only to see technological trends but also to stay on the leading curve. One such example is the competitive Kirin platform that is different from the advanced manufacturing that supports heterogeneous computing.

According to Johnson Ma, Country Director of Huawei Consumer Business Group, smartphone manufacturers that will be able to survive in the future are technologically strong, able to adapt to changes and responsive to user demands. That is the reason why Huawei has a visionary strategy with the aim that our smartphone is suitable and suitable for users.

“As a technology company, we have a strong and proven technological advantage of our number of patents, research and innovation capacity, and a real productivity revolution within the Huawei smartphone range,” says Johnson Ma.

Over the years, Huawei has successfully produced a number of patents for the telecommunications industry. Evidence of the investment in the research, Huawei currently has more than 62,519 patents, building more than 15 research institutes 13 open laboratories.

According to the European Patent Office Annual Report (EPO) in 2016, Huawei ranks second in Europe with 2,390 patents filed, ahead of Microsoft and Samsung. In the field of digital communications, Huawei is ranked higher than Ericsson and Qualcomm. Currently, Huawei has more than 62,519 patents, filed 57,632 patents in China, and 39,613 patents abroad where more than 90% are the latest findings from Huawei.

The area of research and innovation is also another aspect of Huawei’s focus. Huawei has 15 research institutes and 13 open laboratories worldwide, about 80,000 researchers and scientists, and has invested more than 313 billion RMB (equivalent to 45.5 billion USD) for research and development over the past decade. All this has made Huawei synonymous with innovation, high quality, and service.

Huawei’s innovation in the quality, design, and performance of smartphone cameras over the past few years is no less amazing. In particular, the Huawei’s strategy to collaborate with Leica resulted in a phenomenal Dual Camera system that has revolutionized aspects of photography on smartphones. This innovation made Huawei’s smartphone camera stand out and became one of the best among its competitors and has had a positive impact on the history of photography.

From now onwards, Huawei is cultivating cutting-edge technological innovations in the smartphone industry, such as Leica Dual-Camera 2.0 and EMUI 5.0. EMUI 5.0 itself is an interface solution that successfully eliminates the potential issues of performance degradation on Android devices. This makes Huawei smartphones remain tough in the overall cycle of their products. Currently, Huawei is developing technological innovations for Artificial Intelligence and Virtual Reality.

Through its technological breakthroughs, Huawei has succeeded in gaining consumer confidence, making their products popular all over the world, and making Huawei the third largest smartphone manufacturer in the world. Huawei innovates and produces future technologies that will help them to dominate the telecommunications industry.

Huawei’s Next Strategy: Focus on AI & VR / AR

Looking ahead, as revealed at Huawei Analyst Summit, the company will focus on two technological revolutions: intelligence and interaction. By leveraging this area, Huawei will drive the development of smart devices to bring back consumer experience.

According to Sao Yang, Vice President of Strategic Marketing at HUAWEI Consumer Business Group, two technological revolutions, intelligence, and interaction, will drive the user experience forward. The innovation of artificial intelligence (AI) will result in an intelligence revolution, which will help bring the digital and physical world together in a new and unpredictable way.

The interaction of human devices continues to evolve and more natural interactions driven by technologies such as Virtual Reality (VR) / augmented reality (AR) will show us new ways and experiences on our devices. “As AI and VR / AR technologies mature and evolve, the technology will radically subvert the experience of existing smart device users. At present, Huawei is actively developing 5G, AI, VR / AR and other cutting-edge technologies and is committed to realizing wholesale improvements From the smart device experience,” said Sao Yang.

A Brilliant Achievement

Huawei’s strategy to focus on technology development is paying off. At least we can see it in 2016 which is a declining year for the global smartphone market, but Huawei fought the trend and saw significant growth in its smartphone business.

According to IDC, global smartphone shipments increased only 2.3% last year. While Huawei continues to swim strongly against the flow, with smartphone shipments up 29% year on year. It reached 139 million – much higher than the industry average – while sales revenue rose strongly by 44%, to 179.8 billion RMB. In particular, Huawei CBG has made an important breakthrough. Compared to 2015, the company achieved 100% sales growth in 40 countries worldwide by 2016.

 

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