Huawei plans 10 new 'legions' in battle to survive US sanctions
Published: Mar 01, 2022 01:03 PM
Huawei Photo: VCG

Huawei Photo: VCG

Huawei Technologies has announced to focus on the development of 10 business sectors to survive relentless US sanctions against the company, an internal document showed.

Huawei named the new business sectors as "10 legions" and they cover 10 subdivisions: interactive media, sports health, display core chips, industrial park networks, data center networks, data center bases, modular power supplies, airport runways, digital service in electric power, and a government affairs network.

The document was signed by founder Ren Zhengfei, who also appointed 10 "commanders for the legions", most of whom have more than 20 years of working experiences in Huawei, the Securities Times reported.

Most of the new business sectors are still in the preparatory phase, with cross-departmental personnel and organizational preparation work in the pipeline, according to media reports.

The move comes as the company aims to better survive the US sanctions. 

In 2021, Huawei's business revenue dropped 28.9 percent year-on-year to 634 billion yuan ($100.48 billion), the first decline in recent years. 

In this context, Huawei has been expanding new businesses, aided by its advantages in the ICT industry and consumer electronics.

On October 29, 2021, Huawei formed five legions, covering coal mining, smart transportation, customs and ports, smart photovoltaic products and data center energy. 

According to Ren, the formation of the legions will break existing organizational boundaries, quickly gather resources, improve efficiency, and produce more revenues.

During MWC Barcelona 2022, Huawei's Rotating Chairman Guo Ping spoke on the company's plan to continue its globalization strategy and increase its strategic investment into leading and fundamental technologies. 

Through this investment, Huawei hopes to reshape the fundamental theories, architecture and software that underpin the industry, increase its medium-to long-term competitiveness, and ensure the longer-term sustainability of the ICT industry.

In terms of software, Huawei is building an artificial intelligence (AI) centered, full-stack software and a new software ecosystem to meet the drastically rising demand for computing capacity caused by the explosive growth of AI.

"We are committed to helping customers who choose us to achieve the greatest business success. We will continue our globalization strategy, in standards, talent, supply chains and more," Guo said.

Global Times