Huawei is actively seeking new growth opportunities amid a challenging telecom and terminal market. On the eve of the 2016 Mobile World Congress, the company highlighted its focus on the booming video industry, the massive enterprise IT cloud transformation market, and the rapidly expanding Internet of Things (IoT) sector, which is expected to see tenfold user growth. Huawei introduced five key directions for operators' digital transformation: big video, big IT, big operations, large architecture, and large pipeline.
In an exclusive interview with Tencent Technology, Huawei's Managing Director and President of Products and Solutions, Ding Wei, emphasized that the communications industry hasn't experienced a major bubble yet. He predicted a more optimistic outlook for 2016, stating that Huawei will focus on solutions like 4.5G, IoT, and Smart City initiatives to help global operators and enterprises achieve agile innovation and commercial success in the digital era.
According to Huawei’s forecast, the number of IoT devices is expected to reach nearly 100 billion by 2025, with over 2 million new sensors deployed every hour. The IoT space is set to become the next hotspot in the mobile internet era. To this end, Huawei launched its "1+2+1" IoT strategy, aiming to build an ecosystem through an IoT platform that supports both wired and wireless access. At the technical level, Huawei continues to advance NB-IoT technology, a narrowband IoT solution based on cellular networks.
Ding Wei noted that the development of an IoT ecosystem could significantly impact Huawei’s future revenue, surpassing the impact of 4.5G and 4K video technologies. However, building such an ecosystem remains one of Huawei’s biggest challenges. While smartphones connect people easily, connecting objects involves more complexity due to varying standards and numbers.
To support this vision, Huawei has opened up various capabilities to partners and developers. It is opening its ICT architecture to create a software-defined network that aligns with the Network 2020 goal. It is also opening IoT connections for large operators and building video ecosystems through clouds and big data. In October 2015, Huawei launched its developer ecosystem strategy and the “Fertile†program, pledging $1 billion over five years to develop a platform for joint innovation.
“We are not trying to dominate the market; we want to lead by empowering our partners,†said Ding. He acknowledged the challenge of being a leader while fostering collaboration.
Currently, the IoT is still in its early stages, primarily focused on connecting devices to the internet. In the next phase, more “smart†devices will emerge, capable of collecting, transmitting, and analyzing data, making intelligent decisions, and ultimately changing people’s habits and creating new applications.
Other tech giants like IBM, Google, Cisco, Intel, and Apple have also entered the IoT space, each investing heavily in their own strategies. Huawei, however, emphasizes open collaboration without controlling data or monopolizing the market. It focuses on the I-layer, enabling P-layer and S-layer innovations, and prioritizes long-term technological accumulation.
At the exhibition, Huawei will showcase smart product solutions based on NB-IoT technology, including systems for smart meter reading, parking management, and item tracking.
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