Recently, Huawei founder Ren Zhengfei has released an internal memorandum for employees in which he mentioned: “Dare to lead the world” in the software field that indicating that the company wants to achieve growth beyond the hardware business.
Ren explained these words and said the company focused on the software business because “we will have more freedom and autonomy in the future development of software field.”
Furthermore, he stated that Huawei should focus on building the software ecosystem like Hongmeng OS (HarmonyOS) and artificial intelligence (AI) framework like Mindspore.
Last year, Huawei hasn’t specifically disclosed the contribution that comes from the software business in the total revenue of 891.4 billion yuan.
Additionally, he said Huawei Cloud Welink enterprise collaboration platform developed by the company still relies on the traditional software licensing model, which is not suitable for cloud computing business, and there is no advantage in front of Alibaba’s competing products.
Ren Zhengfei mentioned that Huawei should deepen the home market and continue to expand markets in Asia-Pacific, Europe, and Africa.
Regarding this, Ren also suggested that the software team should hire new professionals to help and give knowledge to the company’s young developers.
“Now some young people have high IQs and low EQs, and their mentality is not mature yet and they are prone to problems,” says Ren
Last month, Eric Xu, Rotating Chairman of Huawei said the Chinese tech giant will invest more than 1 billion USD in new growth engines such as the autonomous driving business this year.