Menu
Huawei expects to see revenue uplift from 5G roll-out next year

Huawei expects to see revenue uplift from 5G roll-out next year

Has secured more than 50 5G commercial contracts

Credit: 113309446 © Flavijus Dreamstime

Huawei Technologies expects the roll-out of next-generation 5G wireless networks to start contributing to the firm's revenue from next year when China launches services, the company's deputy chairman said.

The Chinese telecoms equipment giant has said that it has secured more than 50 5G commercial contracts even as it fights accusations from the United States and its allies that its networks are vehicles for Chinese espionage.

Ken Hu said that while the roll-out was accelerating, especially in Asia, the company believed that it would still need to "wait for a while before 5G contributes a sizeable share to revenue".

"We will have a clearer picture by mid-next year because by then the first batch of 5G commercial roll-outs in China will reach a certain phase," he told reporters on the sidelines of a company conference, estimating that Huawei had now signed about 60 contracts.

China's big three state telcos are racing to roll out 5G services in more than 50 cities this year, following countries like South Korea and the United States which have already started the service that promises to support new technologies such as autonomous driving.

Huawei's home market has become more crucial to the company since Washington in May banned U.S. firms trading with it due to national security concerns, hitting the company's international business.

The company denies the allegations and says Washington is trying to curb its industry leadership to benefit U.S. companies.

Huawei founder and CEO Ren Zhengfei last week told The Economist magazine that in order to resolve U.S. concerns, he is open to selling his firm's 5G technology - including patents, code, blueprints, production know-how - to Western firms for a one-off fee.

Hu said that Ren's suggestion was not complex and that a new player could help alleviate security concerns.

"If the proposal gets implemented it will on one hand support more competition in 5G across the global supply chain, and such competition is beneficial to consumers and users and also contributes to the industry itself," he said.

The company also on Wednesday launched what it described as "the world's fastest artificial intelligence training cluster", dubbed Atlas 900, and pledged to invest $1.5 billion in its developer program.

Huawei, which is also the world's No.2 smartphone maker, is scheduled to launch a new high-end smartphone on Thursday, despite uncertainty about whether the new handset will be able to run Google's Android operating system and apps.

Huawei said last month that, while the impact of the U.S. curbs was weaker than previously expected, it would still push its smartphone unit's revenue lower by about $10 billion this year.

(Reporting by Brenda Goh in Shanghai; Additional Reporting by Sijia Jiang in HONG KONG; Editing by Stephen Coates)


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags Huawei

Brand Post

Featured

Slideshows

Reseller News Platinum Club celebrates leading partners in 2019

Reseller News Platinum Club celebrates leading partners in 2019

The leading players of the New Zealand channel came together to celebrate a year of achievement at the annual Reseller News Platinum Club lunch in Auckland. Following the Reseller News Innovation Awards, Platinum Club provides a platform to showcase the top performing partners and start-ups of the past 12 months.

Reseller News Platinum Club celebrates leading partners in 2019
Reseller News hosts alumnae breakfast for Women in ICT Awards

Reseller News hosts alumnae breakfast for Women in ICT Awards

Reseller News hosted its second annual alumnae breakfast for the Women in ICT Awards in New Zealand, designed to showcase the leading female leaders in the industry. Held at The Cordis in Auckland, attendees came together to hear inspiring keynotes and panel discussions, alongside high-level networking among peers. Photos by Gino Demeer.

Reseller News hosts alumnae breakfast for Women in ICT Awards
Reseller News Innovation Awards 2019: meet the winners

Reseller News Innovation Awards 2019: meet the winners

Reseller News honoured the standout players of the New Zealand channel in front of more than 480 technology leaders in Auckland on 23 October, recognising the achievements of top partners, emerging entrants and innovative start-ups.

Reseller News Innovation Awards 2019: meet the winners
Show Comments