Currently 60 per cent of customers from china but tech giant sees 70 per cent of revenue coming from overseas in future.
Despite huge gaps in digital adoption between different industries, the majority of enterprises around the world that are trying to embrace the latest solutions would pave a way for Huawei Technologies’ success in overseas expansion, according to Qiu Heng, the firm’s head of global marketing.
Last year, revenue from the firm’s enterprise business reached nearly 55 billion yuan (Bt274 billion), up 35.1 per cent over the previous year, driven by extensive application of its products and solutions in smart and safe city projects as well as in key sectors includฌing finance, energy, transportation and manufacturing.
“In the China market, we are already the leader. But outside China, there are still challenges for us,” he said at a media roundtable during the recent Huawei Analysis Summit 2018.
“Currently, 60 per cent of our enterprise customers are from China and the rest are from overseas markets. In the future, we foresee 70 per cent will come from abroad while the Chinese market holds the remaining 30 per cent.”
Heng believes the Chinese technology giant’s strategy to follow the trend will ensure significant growth in the age of digital transformation.
“The game itself has already been changing. Companies that are not willing to change will disappear in the long run. If you want to succeed 10 years later or more, you need to have big plans for digital platform. So, we are trying to understand different industries,” he said.
To him, the public sector, finance, banking, energy, transportation, manufacturing, education, and Internet service providers are “growth engines” of the business group.
“The focus will be a bit different depending on the region. For example, energy is important in the Middle East while manufacturing stands out in Europe. The finance sector including mobile and digital banking is very promising in China and elsewhere,” he said.
Heng considers Europe and areas with very huge population (for instance, Asia Pacific and the Middle East) as the two most important regions for the firm’s overseas expanฌsion. It is much easier for the firm to secure big market shares in emerging markets of Europe, he added.
He revealed the firm’s target to douฌble its revenue every two years, driven by better performances in Europe and the Middle East despite its failure to officially enter the American market.
Heng foresees much room for improvement in retail and manufacturing sectors including automobile industry and machinery production but expects Southeast Asia to remain less than 10 per cent of its enterprise business. “In order to achieve our goal, we need to ensure the market is big enough. The whole ICT industry creates a very, very huge demand for our products and solutions. We will make it happen by generating more revenue and developing Internet of things, big data, cloud, and artificial intelligence. If we do it right, we will definitely achieve,” he said.