Huawei estimates that its sales revenue will be around 850 billion Chinese yuan or US$121 billion in 2019, an increase of roughly 18 percent, despite facing challenges globally in the wake of security allegations.
China-based Huawei did not reveal the revenue break-up of its three business groups: telecom network, enterprise and smartphone business. But the telecom networks maker expects tough business conditions in 2020.
“These figures are lower than our initial projections, yet business remains solid and we stand strong in the face of adversity,” Eric Xu, rotating chairman at Huawei, said in an email to the company employees.
More than 700 cities and 228 Fortune Global 500 companies have selected Huawei as their digital transformation partner.
Huawei unveiled computing business strategy and launched two new offerings: the world’s fastest AI processor, Ascend 910, and an AI cluster service for model training.
Huawei shipped 240 million smartphones in 2019. Huawei made further progress in developing the ecosystem for an intelligent consumer experience across all scenarios and devices, including personal computers, tablets, wearables, and smart screens.
The external environment is becoming more complicated than ever, and downward pressure on the global economy has intensified. “The US government will continue to suppress the development of leading technology – a challenging environment for Huawei to survive and thrive,” Eric Xu said.
In 2020, Huawei will continue to remain on the US Entity List, Eric Xu said. “We won’t grow as rapidly as we did in the first half of 2019, growth that continued throughout the year owing to sheer momentum in the market. It’s going to be a difficult year for us,” Eric Xu said.
“We will keep enhancing our software engineering capabilities, pressing ahead with our $2 billion five-year budget for building quality, trustworthy products and solutions,” Eric Xu said.
Huawei earlier revealed that the telecoms giant will hand out 2 billion yuan or $286 million in cash rewards to staff working to help it weather a US trade blacklisting.