The chief of Huawei responded to the topical questions of Baku Tribune - EXCLUSİVE
18 May 2021
oday, one of the largest ICT companies in the world, Huawei, is going through what is arguably its most difficult period. On the one hand, the US sanctions, as a result of which a number of international companies curtailed cooperation with Huawei. On the other hand, this is the coronavirus pandemic affecting businesses around the world . Under the pressure of US sanctions, Huawei is losing its position in the smartphone market. Is Huawei going to regain the lost positions?
On the other hand, there is concern in the Azerbaijani society about the negative impact of 5G technology on human health. Can Huawei assure Azerbaijanis that this technology does not pose any absolute harm to people? What are the prospects for the development of 5G technology in Azerbaijan and around the world? CEO of Huawei Technologies Azerbaijan LLC Xu Hui answered these and other questions of Baku Tribune.
-What is the main activity of Huawei in Azerbaijan? And what are the plans for the future in our country?
- Huawei has been in the Azerbaijan market for more than 16 years and always provides the latest ICT technologies and quality services to Azerbaijan. Huawei's current and short-term future business in Azerbaijan focuses on three major sectors:
1) Communication Infrastructure: Currently, Huawei provides different communication solutions for our carrier customers, like Bakcell, Aztelekom, and Baktelecom, Azercell and so on. Later we will continually provider our advanced products in Azerbaijan to our customers.
2) Industry digitalization: Besides carrier markets, we provide different ICT solution and products in Azerbaijan to Enterprise and government such as modern data centers, advanced IT products, IP networking and so on. We actively participate in the digital transformation of governments and enterprises and provide customers with optimal solutions and products. We will provide our best solution to participate into the construction of "smart city/villages", "smart education systems", "smart healthcare systems", and "smart agriculture".
3) Consumer products: we will provide to Azerbaijan people with a series of terminal products, such as Huawei smartphones, watches, tablets and Accessories. One more new direction we may will pay attention is clean energy solution to help Azerbaijan
From traditional thermal power generation to photovoltaic power generation. Huawei’s inverter product is Ranked num1 in the world which is the key component for photovoltaic power generation
Huawei's business philosophy is Customer-centric. We are very grateful for the trust of the Azerbaijani government, customers, and people. We will adhere to the "In Azerbaijan, for Azerbaijan" philosophy, continue to create value for customers, make contributions to the industry, and give back to the local community:
First, we will provide advanced and reliable solutions and services for our customers, adhere to the concept of "openness, cooperation, and win-win" and cooperate with local ICT enterprises in Azerbaijan to build a sound ICT ecosystem and jointly promote digital construction in Azerbaijan. Second, through programs such as the Seeds for the Future and Huawei ICT Academy, we will continue to collaborate with universities and related ministries in Azerbaijan to cultivate more young and excellent ICT talents.
Finally, we actively undertake corporate social responsibility and promote Azerbaijan's cultural features in China through the "Beautiful Azerbaijan Project". At the beginning of the COVID-19 epidemic outbreak last year, Huawei donated medical supplies at the very beginning to work together with the Azerbaijan people to fight the epidemic.
- Some Azerbaijanis are very distrustful of the 5G technology that Huawei is going to introduce in Azerbaijan. There is great concern that there will be more harm than good from this technology. Can you assure the Azerbaijani society that there will be no harm as a result of the introduction of 5G technology in Azerbaijan?
- First, I'd like to introduce you to the current global 5G development. Different from the 3G and 4G eras, 5G means large bandwidth, low latency, and wide connectivity, which is another revolution in communication technology. 5G networks will enable vertical industries such as the Internet of Vehicles, smart manufacturing, and Intelligent power grid, creating new application scenarios and economic growth points. It is estimated that 5G will help industries increase revenue by 10% by 2025. 5G will cover 38% of the world's population. Excluding the IoT, the number of 5G connections will exceed 1.3 billion.
We usually say that 4G changes life and 5G changes society. ICT is the cornerstone of the digital economy, and 5G construction is of great significance to the construction of digital economy to any country, Azerbaijan too. 5G is in full swing around the world, including China, United Kingdom, Germany, and South Korea. Azerbaijan has a sound ICT foundation. Since 2016, it has been committed to building the country into the Eurasian high-speed information highway hub (TASIM). This shows that Azerbaijan has ambitious and clear plans for ICT development. It is believed that Azerbaijan will make great achievements in 5G construction in the near future.
- Then could you explain to our readers where the information about the negative impact of 5G technology on human comes from?
- Throughout history, there always have been many negative voices when a new thing emerges. At the beginning of the epidemic last year, there were rumors about 5G spreading the Covid-19 virus. However, the rumors will eventually end, and we still have to respect and believe in science.
Researchers have not found any serious signals that raise concerns about the negative health effects of 5G networks. But 5G is known to bring numerous applications which will improve human lives.
Imagine when you have health problem and need surgery as soon as possible, but the doctor is far away from you. What if they could operate on you from a long distance, that means even you were too sick to travel, the operation could still be carried out. 5G enables remote control working to replace onsite working in dangerous environments, like coal mine. With the increase of 5G coverage, more and more application scenarios will be developed. The connectivity advantage provided by 5G technology will revolutionize our work and life.
- Has Huawei done any research on the impact of 5G technology on people?
- The physiological effects of electromagnetic radiation vary with frequency, so the emergence of 5G has triggered a major international review of radiation safety guidelines that should be assessed by authoritative international health organizations. There is agreement that there is not enough data for a meaningful health risk assessment.
In addition, all Huawei 5G base stations are designed and manufactured in strict accordance with the radiation standards of the world and other countries. China's radiation standard is 0.047 mw/m2, which is 5% of the EU standard. Huawei base stations are manufactured in strict compliance with this standard and will not cause any harm to human body.
- The US government, imposing sanctions against Huawei, aimed to significantly complicate the life of the Chinese company. As a result, Huawei is losing its position in the smartphone market. Your smartphones disappear from sale... Why weren't preventive measures taken to prevent this situation?
First of all, I want to say that Huawei's cellphones have not disappeared. We are still in the market and will continue staying in the market in the future.
On March 31, Huawei released its 2020 annual report, showing a slight increase in revenue and profit of 3.8% and 3.2%, Respectively. Of this total, the carrier business reached 46.4 billion dollars, up 0.2%. Consumer business increased 3.3% to $74.1 billion. Revenue from the enterprise business was 15.4 billion dollars, increased 23%. We basically achieved our business expectations under strong external pressure. (135.9 Billion in total revenue)
In last year, we continued to use innovative ICT technologies to create value for our customers, help us fight the global epidemic, economic development, and social progress, improve our business quality, and provide our best products and services. We will continue to work openly with our customers and partners to promote sustainable development of social, economic and environmental.
Huawei is committed to globalized development strategy. The short-term market decline does not mean anything. Mobile phones are consumer products. When Huawei resolves the chip issue and re-enters the market, we believe that we will win back the market with our innovative products.
- Is Huawei going to regain the lost positions?
- Huawei is facing huge challenges. Survival now is our top priority. Looking ahead, we will continue to work openly with our global partners to explore potential solutions to the challenges we are facing. We are confident in our ability to survive and continue to grow. We have the ability to deliver greater value to our customers and whole society.
Smartphone is one of Huawei's consumer business. Under extreme pressure over the past two years, Huawei's consumer business continues to adhere to the "1+8+N" all-scenario smart life strategy, with the HarmonyOS and HMS ecosystem as the core driving force and service capabilities. Focusing on five life scenarios: smart office, sports and health, smart home, smart travel, and audio-visual entertainment, Huawei is committed to creating all-scenario smart life experience for consumers.
- How does the Chinese government support Huawei in countering US pressure?
- Huawei's relationship with the Chinese government is no different from other private companies in China. Huawei is a 100% employee-owned private company. Over the past 30 years, Huawei has devoted 10% to 15% of its sales revenue to R&D every year, and has invested about US$73 billion in R&D over the past decade. In 2020, Huawei's R&D expenses exceeded US$20 billion, accounting for 15.9% of the revenue, far exceeding other vendors. Huge R&D investment drives Huawei's innovation and development, which is why Huawei is leading the way in 5G. Focusing on R&D and investing heavily in R&D are the key factors for Huawei's success.