Case Study: ICT the ‘little-known’ giantHUAWEI
COMPANY DETAILS: Global staff: 95,000 Australian staff: 300 R&D staff: 43,000+
Countries operating in: 100+ End-users: 2 billion+
2009 Global revenue: US$21.8 billion 2009 Net profit: US$2.7 billion
Australian partners: Telstra, Optus, Vodafone Hutchison Australia, Primus, vividwireless
Huawei is China’s largest and most successful privately-owned company. Ranked number 397 in the Fortune 500 list, Huawei has transformed the landscape of telecommunications – but it remains a little-known giant outside its own industry.
When Huawei first started out in Australia back in 2004, the company was a small office of just 20 staff. The growth of the business over the past six years has been dramatic – with over 300 staff between offices in Sydney and Melbourne, partnerships with all of Australia’s largest operators, and growing ties with the Government, universities and the business community, Huawei Australia is delivering on its motto of ‘leading globally, delivering locally’. Huawei’s Australian business has been
steadily gaining momentum since its launch. In 2005, Huawei signed a three-year contract with Optus, followed by a contract in New Zealand with an operator that was later to become 2degrees – New Zealand’s newest 3G mobile operator. The establishment of a New Zealand office soon followed, as the Sydney office won a raft of contracts across the Pacific Islands region, beginning in Fiji and Papua New Guinea. Since then, Huawei has continued to deliver on major partnerships: the next generation of wireless broadband, LTE (Long Term Evolution) trials with all of Australia’s major mobile carriers – Telstra, Vodafone Hutchison Australia (VHA), vividwireless and regionally with Optus parent SingTel (the vividwireless WiMAX network was launched in Perth early in 2010). Huawei has delivered the T-Touch Tab, Telstra’s first branded tablet device and 3G mobile broadband devices to Optus and VHA, making Huawei Australia’s largest USB dongle supplier.
166 Australia China: BEYOND TOMORROW
ABOVE:
Logistics centre
warehouse at Huawei Global Headquarters, which stores more than 3000 types of materials.
RIGHT: Huawei
Australia CEO Guo Fulin,
vividwireless Chairman Ryan Stokes and PM Julia Gillard.
Globally, Huawei is delivering next-generation fibre broadband networks for BT in the UK, for Nucleus Connect in Singapore, as well as Malaysia, Brunei and the UAE. Huawei’s local expansion has seen the company partner with
more than just traditional telcos. In 2010, Huawei announced a Memorandum of Understanding with the University of Melbourne’s Institute for a Broadband Enabled Society (IBES), which would see Huawei responsible for next-generation broadband technology to IBES’s Fibre-to-the-Premise test-bed environment. Huawei soon signed a second MoU with RMIT University to deliver next- generation technology training to budding telecommunications engineers, along with equipment to be used at the University. Huawei says more university partnerships are to come. Since its establishment, Huawei has transformed from a Chinese
company operating in Australia into an Australian company with its headquarters based in China. With a staff localisation rate of around 80 per cent, Huawei is at the frontier of China-Australia business cooperation. As Shanghai hosted the 2010 World Expo,
CHINA
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