Huawei sees 10 percent yearly growth on smartphones, cloud

Summary:Chinese telecoms gear maker confirmed a 32 percent jump in net profit at US$2.4 billion for 2012, and is optimistic on the industry outlook especially in growth from cloud computing, BYOD, big data and smartphones.

Huawei is optimistic on the outlook of the telecoms industry, and is targeting a 10 percent compound annual growth rate over the next five years.

huawei-sees-10-percent-yearly-growth-on-smartphones-cloud
Guo Ping, Huawei's rotating and acting CEO. (credit: Huawei)

In a statement Monday, the Chinese telecoms gear maker booked a 32 percent jump in net profit for 2012 at 15.38 billion yuan (US$2.4 billion), which it attributed to improved operational efficiency. It posted sales revenue of 220 billion yuan (US$35.5 billion).

Guo Ping, Huawei's rotating and acting CEO, noted telecom networks had yet to meet the requirements for ubiquitous connections such as zero wait time, ultra broadband, and smart applications.

"In the future, ICT will continue to grow, with new opportunities coming from cloud computing, BYOD (Bring Your Own Device), and Big Data , and feature phones being replaced by smartphones at a faster rate," said Guo.

However, there is likely to be little traction in the United States market where a Huawei executive reportedly admitted international security concerns would dampen the company's growth prospects . Government officials in Europe and the U.S have advised caution when using or purchasing Huawei's equipment, as well as networking products produced by ZTE--due to their alleged links to the Chinese military .

Topics: Networking, China, Telcos

About

Loves caption contests, leisurely strolls along supermarket aisles and watching How It's Made. Ryan has covered finance, politics, tech and sports for TV, radio and print. He is also co-author of best seller "Profit from the Panic". Ryan is an editor at ZDNet's Asia/Singapore office.

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