Leading global information and communications technology (ICT) solutions provider, Huawei has explained the decision to commit 11.7 per cent, about $3.758 (N605.1 billion) of its 2011 revenue worth $32.4 billion for Research and Development (R&D).
Disclosing this in a recent press briefing in Lagos, Managing Director, Huawei Nigeria, Mr. David Pan Fan, said that the reason is that as a solution provider, the company needs to constantly innovate.
Out of the total revenue, he confirmed to DigitalSENSE News that an estimated 1.2 per cent of it came from West Africa, which office is situated in Nigeria.
He also said that the vote for R & D is a strategic investment from Huawei, to augment its research and development capabilities and deploy resources globally, and implement a future-oriented business architecture that puts Huawei in a confidant position for sustained growth.
Hence, he said, Huawei, decided to boost its investment in R&D with 11.6 per cent of total annual sales revenues in 2011, which is a core pillar of company’s business strategy.
“Through this investment, Huawei is positioning itself to leverage high-growth areas and industry growth fundamentals for continued success,” he said.
Additionally, Mr. Pan Fan said that the company’s performance for the year under review has been very impressive.
According to him, Huawei was established in Shenzhen, China, and has grown to become a global ICT solutions provider running its business in over 140 countries worldwide.
“It becomes the second largest ICT solutions provider with the revenue of USD 32.4 billion in 2011, an 11.7 per cent growth over the previous year,” he said.
Mr. Pan Fan pointed out that in 2011, Huawei increased its investment in the enterprise and consumer business segments, and achieved all-around growth on the back of strong business momentum generated by the company’s successful transformation into a complete end-to-end ICT solutions provider.
On Nigerian market, Mr. Pan Fan said Huawei, which has operated in the country for 13 years, has become one of the most important players in the telecommunications industry that providing employment, expanding local investment and cultivating talents.
For Mr. Pan Fan who was accompanied at the press meeting by the Managing Director, Terminal West Africa, a subsidiary of Huawei, Mr. Tony Liang and chief technology officer, Huawei in the region, Mr. Adam Jiang, Huawei aspires to be a localized company by expanding its local investment.
“We have built a technical training centre in Abuja, which is the first one built by telecommunications solutions provider here. The training center has trained more than 5,000 telecommunication engineers for stakeholders,” he said.
Huawei, he said, would set up 3 Global Network Operation Centers (GNOC) and one of them to be located in Lagos, the commercial nerve centre of the nation.
The Lagos GNOC, he said, is expected to be put into use by July this year, assuring it would add great value in the training of telecom experts in the country.
Other corporate social responsibility (CSR) projects by Huawei includes the MAU (UNILAG) ICT scholarship, charity funds for the less privileged and school buses donation are some of the community-assistance initiatives funded by Huawei in Nigeria.
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