HUAWEI Corporate Presentation 20121127 FINAL

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HUAWEI TECHNOLOGIES CO., LTD.

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Huawei at a glance

Carrier network

Enterprise business

Consumer devices

A leading global ICT solutions provider

A private company established in 1987

A Fortune Global 500 company

150,000+ employees worldwide

70,000+ engaged in R&D

Who is Huawei Employees

Business Areas

$32.4 B revenue in 2011, $16.2B in 2012 H1

Serving 45 of the world's top 50 operators

Serving 1/3 of the world’s population

Market Progress

Employees


2007 2008

2009 2010

2011 2012 (Target)

12.6 (CNY 92.2 bln)

18 (CNY123.1 bln)

21.5 (CNY146.6 bln)

27.6 (CNY182.5 bln)

32.4 (CNY203.9 bln)

38.7 (CNY243.4 bln)

Huawei releases its Annual Report with consolidated financial statements audited by KPMG

Revenue (USD in billion)

Sustainable growth


2007 2008

2009 2010 2011

9.4% 9.1% 9.7%

9.7%

11.6%

Continuous innovation investment

~70,000 R&D employees

15 R&D centers located in 29 cities

25 Joint Innovation Centers

26,539 patents

USD 3.76 billion in 2011

% of revenue R&D spending

• Huawei’s innovation engine

• Navigating the company’s future through

innovation

• Driving the industry and society forward 2012 Lab

• Cloud computing will shape future

network development

• Heavy investment in R&D

• Develop datacenter solutions based on

cloud computing

Cloud Computing


Localized operations powered by global resources

14 Regional Headquarters, operations in 140+ countries

150,000+ employees with 150+ nationalities worldwide,73% recruited locally

R&D center

Huawei Headquarters

Technical support center

Accounting share center

Supply center & Hub

Training center

Bidding center (Planning)

Argentina

Mauritius

Malaysia

Romania

China

India

Hungary

Brazil

Mexico

Netherlands

UAE

Bahrain

Germany


Global cyber security assurance system

Huawei’s end-to-end cyber security assurance system incorporates aspects from our corporate policies, organizational structure, business processes, to technology and standard practice. ——Huawei Cyber Security White Paper （Sep._2012）

Huawei believes that the

establishment of an open,

transparent and visible

security assurance

framework will be

conducive to the sound

and sustainable

development of industry

chains and technological

innovation; it will also

facilitate smooth and

secure communications

among people.

- Mr. Ren Zhenfei, CEO,

Huawei

Supervisory Authorities Cyber Security Evaluation Centre

(UK)

Operators Security tests and audits with leading

operators

Security/ Industry Organisations Participation in and contributions to

enhancing security standards


Organization of Carrier Network Business Group

Wireless Network BU

Fixed Network BU

Telecom Software

& Core Network BU

Global Tech. Service BU

Carrier Network BG

Focus on MBB Solution PS Core Radio Access Site Solution

Focus on FBB Solution Router & Switch Optical &

Microwave Fixed Access Security iODN

Focus on E2E Solution Cloud-Pipe-

Device Synergy Portfolio Mgmt.

BSS/OSS IT Infrastructure Cloud Computing based Data

Center FMC/RCS-e Core Network App. Enabling Platform Subscriber Data Base

Roll Out Professional

Services Managed Services

Organizational transformation to more quickly meet customers’ solution demands

Consolidated business units (BUs) and functional departments to enhance organizational efficiency

Carrier Enterprise Consumer

Marketing and

Solution Dept.


Enterprise business strategy: A leading supplier of integratable ICT

products and solutions


Leading

ICT

Provider

Open-Collaboration

Integratable products and solutions

Transparent channel policy

Open platform, easy to redesigned by partner

Build a healthy ecosystem

Leading ICT Solutions

Business oriented ICT consultation and

architecture design

Joint innovation with telecom carriers

Full series ‘cloud-pipe-device’ products

Multi-win Business Model

Hi-touch+ partner business model: develop

enterprise market through operator resale;

Global presence and local partner to support fast

deployment and professional services

Targets in 2015

Enterprise Network

Unified Communication & Collaboration

Cloud Computing & DC

TOP2

TOP3

TOP2


Growing into a major player in Smart Devices field

Smartphone

Mobile Broadband

Home Devices

No.1

No.1

To be a

Tier One

brand

Leading technologies out of Cloud-Pipe-Device

synergy

Connected Home, Management Service, Cloud+, etc.

Operator

brand Co-branding

Huawei

brand + +

Operator

resale

Open market

sales Online sales + +

Solutions

Brand

Channel



Awards and Honors

By International Media

Three Accolades at Global Telecoms Business Innovation

Awards 2011

The Global Growth and Innovation in Telecom Managed

Services of the year Award, the only award in the global

managed service field, by Frost & Sullivan （2011）

E5 was awarded Work Gadget of the Year! by ‚Australian T3‛

and Product of the Year by Pocket Lint in UK

‚Corporate use of innovation‛ by The Economist

"Green base station innovation", "Wholesale network

innovation" and "Consumer voting innovation" awards with

Vodafone, BT and TalkTalk respectively by Global Telecoms

Business

By Industry Organization

“Supplier of the Year 2012” by Vodafone

InfoVision award for Best Broadband Access – Fixed at the

Broadband World Forum 2012 by virtue of its Largest Capacity

Vectoring System

"Most Significant Development for Commercial LTE Networks"

and "Best LTE Core Network‚ at the 2012 LTE World Summit

"Solution Excellence Award‚ by TM (2012)

Industry Leadership Award by TM Forum (2011)

"Excellence in Standards Development Award" by IEEE (2011)

Awarded "Significant Progress for a Commercial Launch of LTE

by a Vendor" and "Best LTE Network Elements‚ at LTE World

Summit 2011

Good Design Award 2010 by Japan Industrial Design Promotion

Organization


Huawei CSR Commitments

Transparent sales

Transparent procurement

Building a harmonious

business environment

Fair Operations

Expanding communications

coverage

Elevating local

telecommunications expertise

Narrowing broadband gap

Bridging the

Digital Divide

Green Communications

Green Huawei

Green World

Environmental

Protection

Dedicated employees as the foundation

Employee occupational health and safety

Employee career path and growth

Open communication channels

Employee

Disaster relief efforts

Social welfare

contributions

Local community

engagement

Social Contribution

Improving CSR awareness

and capability of Huawei

and its supply chain

Strengthen supply chain CSR

management

Supply Chain

‚Safety First, Prevention First‛

Risk Control

Safe Operations

Improving communication

with stakeholders

Enhancing customer

perception

Stakeholder

Communication

Focusing on the

above areas, we are

committed to the

sustainable

development of the

social economy and

the environment

Thank you www.huawei.com

Copyright©2011 Huawei Technologies Co., Ltd. All Rights Reserved. The information in this document may contain predictive statements including, without limitation, statements regarding the future financial and operating results, future product portfolio, new technology, etc. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied in the predictive statements. Therefore, such information is provided for reference purpose only and constitutes neither an offer nor an acceptance. Huawei may change the information at any time without notice.

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HUAWEI Corporate Presentation 20121127 FINAL