Huawei is a giant of the technology sector. It specializes in research and development, electronics production and marketing of communications equipment. The Chinese company is currently ranked among the top three in the world and provides services in more than 17 countries. But how did it achieve such success?
It all started in 1987 in the apartment of its founder and CEO, Ren Zhengfei, located in the Chinese city of Shenzhen. The idea was to modernize his country’s telecommunications, which, according to him, were outdated.
Zhengfei, a civil engineering and architecture graduate, decided to raise funds and start his company. He started out with just $3,000 and three employees. At first, he trained as a sales agent for a Hong Kong company.
His big opportunity came in the 1980s, when the Chinese government began to push telecommunications. At that time, Huawei was implementing the use of technologies, specifically reverse engineering.
Over the years, the Huawei team combined sales with their engineering work, until the company launched its own telephone switch in 1993, controlled by the C&Co8 program.
What did this mean? A digital switch with the power to connect more than 10,000 circuits, which made Huawei the most powerful company in China.
The opportunities and recognition of its work in the domestic market, as well as the possibility of government contracts, meant that by the mid-1990s Huawei was able to restrict China’s access to foreign competitors.
By 2003, the company partnered with 3Com to form a new company called H3C, aimed at developing routers and switches. By 2005, Huawei’s overseas turnover exceeded that of China for the first time.
In 2006, its revenues exceeded US$75 million, as a result of the optimal use of research and development.
Huawei’s cell phones
The company has a broad presence in the telecommunications sector, and stands out in the creation and development of mobile devices. Its first terminal, the Huawei C300, was presented in 2003.
A year later, the firm’s first 3G mobile would arrive, and later in 2009 the brand’s first Android smartphone.
In 2017, the Huawei Mate 10 Pro was created, a device that would integrate the Kirin 970 processor, a great work of engineering. Its importance lay in using the first artificial intelligence chip, exclusive property of the same company. By 2018, Huawei was able to surpass Apple as top global smartphone manufacturer.
Trade war
The technology giant’s trade war with the United States began when former President Donald Trump included the company on the list of companies that pose a “threat” to the country.
Since then, Huawei has been unable to integrate Google services into its new cell phones or do business with U.S. companies without government authorization.
The company has had to reinvent itself, enabling its own search engines and mobile services. This has not meant a setback in its development at all, as Huawei continues to be the largest global mobile manufacturer today.
What are Huawei’s market advantages today?
The brand’s success offers several advantages for both the company itself and the market. It has a unique style, which differentiates it from its competitors. Users’ data is secure through the Mobile Cloud application, and it offers a large number of applications through its AppGaller.
Huawei’s success is not only linked to the manufacture of cell phones, but also to the creation and marketing of other high quality products such as televisions, wireless headsets, tablets and even smart watches.
Its work advances as it reinvents itself to continue leading China’s technology sector and impacting on the rest of the world. In Chinese culture, the multinational has become a symbol of wealth and knowledge.
