Huawei Technologies is targeting $10 billion in revenue from its enterprise division by 2017, and it plans to achieve this by winning the cloud computing race. Huawei enterprise unit head William Xu said in an interview at CeBIT in Hanover, Germany, that division revenue rose 32 percent in 2013 to $2.5 billion, and will rise faster in 2014.
The networking equipment vendor plans to challenge Cisco for leading market share by introducing software-programmed switches, according to Bloomberg. Huawei says the switches will reduce the cost of operating and upgrading.
“Our products are ready and leading in the industry. Meanwhile, we forged a lot of alliances with our partners and we developed a lot of resale partners,” Xu said.
As of Tuesday one of those partners is LeaseWeb. The partnership will allow LeaseWeb customers to choose to be hosted on Huawei servers, which LeaseWeb lauded for their performance and energy efficiency.
“The best competition is [about] who can win the cloud computing race,” COO for US enterprise Jane Li said in January. “There’s huge growth in cloud computing and big data, [but] traditional IT equipment are designed for on-premise data centers. So we need to have a large R&D (research and development) platform . . . to reinvent those equipment to adapt to the cloud infrastructure.”
The China-based global company faces a security trust issue with some potential customers in the West. The UK government has taken an increased interest in the company’s position within national and government networks, and Huawei is barred from broadband projects in the US and Australia.
Xu declined to directly comment on whether his division is benefiting from market concerns over American agency intelligence-gathering.