Focusing on our ICT pipe strategy, we have continued to invest in key technologies, basic engineering capabilities, architecture, standards, and product development to build a Better Connected World. We aim to create a better user experience by providing broader, smarter, and more reliable pipes with higher performance and zero wait time.
We have continued to increase investment in future-oriented basic research and innovation, and made tremendous achievements at the frontier of ICT development to drive industry development and business model success via technological breakthroughs.
In the next-generation mobile communications domain, we have pioneered 5G innovation and actively contributed to industry development. In 2015, we:
- Became the first company to release new air interface technologies for 5G, including Sparse Code Multiple Access (SCMA), Filtered-OFDM, and Polar Code. These new technologies flexibly adapt to various services and increase spectrum efficiency at least three-fold without introducing additional antennas or spectrums.
- Developed a new air interface algorithm that supported a peak rate of 3.6 Gbit/s during a large-scale 5G low-frequency field trial.
- Proposed a 5G network architecture concept: An NFV/SDN-based physical network is divided into multiple virtual network slices to support different service needs.
- Made innovative breakthroughs in large-scale antenna MIMO technology and full duplex prototype technology featuring multi-path fading cancellation and high bandwidth.
- Worked extensively with the EU's 5G-PPP, the UK-based 5G Innovation Centre (5GIC), and the 5GVIA to complete large-scale testing and verification.
- Held extensive dialogues with industry players, and signed strategic partnership agreements with more than 30 leading global carriers.
- Conducted in-depth research and released a white paper on 5G security. We launched an end-to-end security architecture based on service slicing, a three-party trust model, and new concepts on security function decoupling and flexible security configurations.
In the future data center domain, we:
- Released our DC 3.0 prototype following wide industry acclaim for our DC 3.0 white paper in 2014. The prototype has performed much better than common architecture during the current period. As part of the prototype, we also launched the industry's first TPCx-HS+FusionInsight solution.
- Developed a 100k-level data center network simulation framework, with a simulation speed of up to 106-level IPS.
- Developed a non-volatile memory based file system, the industry's first user-mode memory file system, and a non-volatile memory based key-value system, with their performance achieving tens of millions of IOPS.
- Served as the editor for energy efficiency for TPCx-BigBench (TPCx-BB), an international standard for Big Data benchmarks, and developed measurement standards for Big Data analytics systems.
- Provided customers with high-performance, cost-effective, and green data center solutions through flat and scalable data configurations in our DC 3.0.
In the artificial intelligence domain, we:
- Made continuous breakthroughs in deep learning, created the industry's most advanced Neural Responding Machine, and released the industry's first single-turn dialogue generation model based on deep learning.
- Invented neural machine translation technology based on the deep memory framework and achieved the world's top-tier performance in machine translation.
- Leveraged our achievements in machine learning to help carriers reduce their prepaid user churn rate from approximately 10% to 6%.
- Enabled automatic alarm correlation in GTS analysis automation for the first time in the world, and achieved an average alarm compression rate of more than 90% and a rule application rate of over 95%.
- Developed and released the world's first open source streaming processing library on Spark.
In the battery domain, we announced our next-generation quick charging technology. A battery with a 3,000 mAh capacity can be charged to 48% capacity in five minutes to allow for ten hours of talk time on Huawei mobile phones. We bonded heteroatoms to graphite molecules in anode, which serves as a catalyst for the capture and transmission of lithium through carbon bonds. The heteroatoms enable battery charging speeds that are 10 times faster than normal batteries, without decreasing energy density or battery life.
In the video domain, we continued to strengthen research on basic communications technologies to achieve a better experience in the ultra-HD and mobile video fields. Specifically, we:
- Worked with industry players to establish open platforms and research the next-generation video coding technology Future Video Codec (H.266), jointly fueling the rapid development of enabling technologies for the video industry.
- Drove the application of IP Video that delivers a 4K ultra-HD experience. By adopting H.265 and Quality Driven Streaming (QDS), we increased the video fluency of 4K OTT and IPTV services by more than 60%. IP Video also delivers ultra-HD video at 1 Mbit/s for surveillance services, which effectively promotes the rapid deployment of 4K ultra-HD video services on live networks in different industries.
We have cooperated with global innovators through our 16 R&D institutes and centers and 36 joint innovation centers around the world. We have promoted technological progress toward a Better Connected World by sharing insights into ICT advances. Specifically。
As a major contributor to the ICT industry and ICT standards setting, we have been leading industry development to expand the total addressable market. We have also partnered with stakeholders to build a mutually beneficial industry and ecosystem.
As of December 31, 2015, we had filed 52,550 patent applications in China and 30,613 outside China, with a total of 50,377 granted.
As of December 31, 2015, Huawei had become a member of over 300 standards organizations, industry alliances, and open source communities, holding more than 280 important positions. Huawei is a board member of IEEE-SA, ETSI, WFA, TMF, OpenStack, Linaro, OASIS, and CCSA. We submitted more than 5,400 proposals in 2015, with the total number exceeding 43,000.
Huawei has consistently invested over 10% of its revenue in R&D every year. In 2015, approximately 79,000 employees were engaged in R&D, comprising 45% of our total workforce. Huawei's R&D expenditures totaled CNY59,607 million in 2015, accounting for 15.1% of the company's total revenue. We have cumulatively spent more than CNY240,000 million on R&D over the past decade.