Huawei Asia Pacific Fact Sheet

Overview

Huawei is a leading global information and communications technology (ICT) solutions provider.Since 1997, the company has been serving the top telecom operators in the Asia Pacific region via its Carrier Network business group.More recently, Huawei launched its Device and Enterprise business groups, which serve Asian consumers and corporations, respectively.

Asia Pacific, excluding China, is one of the fastest growing regions for Huawei around the world. Huawei experienced 30% year-over-year growth in the region in 2010, comprising 18%, or USD 5 billion of 2010 revenues.

Huawei Asia Pacific Fact Sheet

Asia’s mobile operatorslook to bolster revenue and operatingmargins by tapping into booming demand for data services, driven by the popularity of smartphones and tablet devices.

Huawei has established four regional headquarters, 20 representative offices, two R&D centers and six training centers in Asia Pacific.The company has more than 12,000 employees in the region, 45% of whom are engaged in R&D, and 60% of whom were locally recruited.Huawei solutions are deployed by more than 60 operators in more than 20 countries in Asia Pacific.

Huawei's vision is to enrich life through communication.By leveraging our experience and expertise in the ICT sector, we help bridge the digital divide by providing opportunities to enjoy broadband services in Asia Pacific and around the world.Huawei creates green solutions that enable customers to reduce power consumption, carbon emissions and resource costs, contributing to the sustainable development of the society, economy, and the environment across the Asia Pacific region.

Transition to LTE

In the absence of ubiquitous wire line infrastructure in many countries in Asia Pacific, large populations and vibrant economies have spurred fast growing mobile communications networks.

According to GSMA’s Wireless Intelligence group:

  • 2.4 billion, or about 48% of the world’s 5 billion plus mobile subscribers were located in the Asia Pacific region as of mid-2010.
  • A large proportion of those subscribers are in the mega-markets of China and India, which claimed about 900 million and 700 million, respectively.
  • India tops the research firm’s year-on-year growth rate at 47%.
  • Cambodia, Indonesia and Sri Lanka all saw growth of 30% or more.


And it is easy to imagine even higher mobile subscription growth in Asia Pacific, given that approximately four billion people, or 60% of the world's population, are located in the region. Some predict that by 2015, subscriptions in Asia Pacific will increase by as much as 50%.

In addition to rising subscriptions for mobile connectivity, the sophistication and bandwidth consumption of devices chosen by Asian consumers will create challenges and opportunities for operators.As Asia’s mobile operators look to bolster revenue and operatingmargins and tap into booming demand for data services, driven by the popularity of smartphones and tablet devices, such as Huawei’s Honor, Vision and Mediapad, they are moving to launch fourth-generation/Long Term Evolution (4G/LTE) wireless technology.

Market research firms forecast data demand and revenue will continue to grow in the coming years, making it increasingly necessary for operators to upgrade to faster and more efficient networks:

  • Ovum projected that LTE would be used by 19 percent of mobile broadband users in Asia Pacific by 2016.
  • Ovum forecasts global mobile data revenue to rise 10% to USD 1 trillion in 2015, from USD 906.82 billion in 2010.
  • By contrast, global mobile voice revenue is expected to fall 8.4% to USD 607.91 billion in 2015, from USD 663.36 billion in 2010.


Country-by-Country Approach

Yet there is no one-size-fits-all approach to “Asia Pacific” because each country has its own preferences, pace of adoption, and regulatory framework for telecoms.For example, operators in Hong Kong, Japan and Korea have already launched commercial LTE networks, and others will likely be online soon in China.At the same time, some countries including Thailand are just now migrating from 2G to 3G.

India presents interesting dichotomies, with the world’s second largest mobile subscriber base, yet only 25% of the rural population has a mobile phone. The market is fiercely competitive, with 15 operators.The market is adding about 20 million customers a month and total mobile subscribers are expected to reach 1.1 billion by 2015.At the same time, India’s internet penetration is only in the single digit percentages, estimated to be about 70 million users, and one of the lowest penetration rates among the world’s fast-growing emerging markets.

In fact, India and other developing countries in Asia Pacific rely on telecommunications to help drive development.According to a World Bank study, every 10% increase in mobile penetration produces 1% in economic growth.

With regards to fixed broadband networks, the Asia Pacific region is a leader.Four of the top 10 digital economy countries globally were in Asia in a recent Economist Intelligence Unit study; they were Hong Kong, Japan, Korea and Taiwan.And more fiber-to-the-home (FTTH) national broadband network (NBN) rollouts are planned or already started in Australia, China, India, Indonesia, Malaysia, New Zealand, Singapore and Thailand.

Huawei Asia Pacific Customers Include

  • Australia: Optus, Telstra, Vodafone
  • Hong Kong: Hutchison, Genius
  • India: Aircel, Bharti Airtel, BSNL, Idea, MTNL, Reliance, Tata
  • Indonesia: Axis Telecom, Bakrie Telecom, HCPT (Tri), Indosat, Telkom, Telkomsel, XL Axiata
  • Japan: eAccess, KDDI, NTT Docomo, Softbank
  • Korea: Korea Telecom, SK Telecom
  • New Zealand: 2degrees, Ultrafast Fibre
  • Philippines: Bayantel, Globe, PLDT Smart
  • Singapore: M1, Nucleus Connect, Singtel, Starhub
  • Thailand: AIS, CAT, TOT, True


Project Awards in 2011

  • Australia: Huawei wins contract to rebuild Vodafone 2G/3G networks nationwide, a total of more than 8,000 base stations; and Huawei announces 700MHz LTE trials with Optus, Australia's first LTE trials in the 700 band
  • Hong Kong: Huawei awarded LTE contract by Genius Brand, a joint venture between Hutchison Telecommunications and Hong Kong Telecommunications (HKT), to deploy LTE network infrastructure
  • Indonesia: Selected to deploy AXIS Telecom 2G/3G network in the islands of Java, Bali, Lombok, Kalimantan by 2013
  • Indonesia/Malaysia: Huawei Marine Networks awarded a contract for the Batam-Dumai-Melaka submarine cable project linking Malaysia and Indonesia
  • Japan: Softbank Group Company selects Huawei to power its TD-LTE-compatible AXGP network
  • New Zealand: Ultrafast Fiber New Zealand selects Huawei for national broadband network rollout; and 2degrees selects Huawei for network expansion
  • Philippines: Huawei helps Philippines operator Smart Communications launch WAC app store
  • Singapore: M1 Singapore awards Huawei contract to build Southeast Asia’s first commercial LTE network