Huawei improving itself in chip designing, won’t need ARM in the future
On May 22, UK based chip designer ARM, said that it’ll comply with the US restriction on Huawei, therefore the company has stopped doing business with Huawei and its subsidiary but peoples related to this matter says Huawei can still develop its own chips such as Kirin 980 on its own without the help of ARM.
ARM reportedly planning to stop working with Huawei
In terms of CPU, the EDA (Electronic Design Automation) tools that the company is continuously improving, Huawei has also obtained the permanent use rights of ARMv8 and has become very skilled in the design process of chips, as well as the modification of the architecture, said an analyst.
ARMV8 is the successor to ARMv7, an ARM instruction set architecture announced in 2011 which brought a large number of fundamental changes to the instruction set, including the introduction of 64-bit operating capabilities.
It’s not necessary for ARM to provide V9 to Huawei because the company is able to upgrade its current V8 design, they believed.
Recently, Huawei said to have stockpiled enough chips and other vital components to keep its business running at least three months.
Ren Zhengfei, Founder and CEO told in an interview with Bloomberg, “We have made some really good chips, being able to grow in the toughest battle environment, that just reflects how great we are.”
Analysts said that HiSilicon’s best friend at the time is Taiwan’s TSMC and as far as it’s being served by the Taiwanese chipmaker, there are no worries for Huawei.
Huawei will never give up: Meng Wanzhou
During the 2022 Annual Business Report, Huawei CFO and Next Rotating Chairwoman, Meng Wanzhou said that Huawei will continue to operate in the hardest difficulties and the company will never give up.
Mrs. Meng will take over Huawei as the rotating chairwoman on April 1st, as it will be her first tenure as Huawei’s top leader. Meng Wanzhou said as long as Huawei continues to struggle, every minute of our time and every effort will not be wasted, we will never give up.
“We may not be able to succeed but we live to death, how can we not be benevolent?” she added.
These are pretty strong words from the Huawei leader as she remains optimistic for a bright future.
Huawei says its operation is now stable and the company has achieved global sales revenue of 642.3 billion yuan, while a net profit of 35.6 billion yuan. From this Huawei’s carrier business, enterprise business, and device business gained sales revenue of 284 billion yuan, 133.2 billion yuan, and 214.5 billion yuan respectively.
In 2022, R&D invested 161.5 billion yuan, accounting for 25.1% of the company’s entire 2022 revenue. On the flip side, the cumulative R&D expenses invested in ten years will exceed 977.3 billion yuan.
During the press note, Xu Zhijun, Huawei’s current rotating chairman, said that 2023 is a critical year for Huawei’s survival and development.
Xu Zhijun said that the upcoming year and the following are critical for Huawei. The key direction of Huawei’s strategy is to create growth opportunities, enhance development resilience, build differentiated advantages, win by quality, and ensure high-quality business continuity and product competitiveness.
He also mentioned that Huawei should seize the opportunities of digitalization in all walks of life to achieve effective growth. Huawei will also get advantages of its industrial portfolio and strong resilience, and strive to build a foundation for the digital economy and promote green and sustainable development.
In the face of challenges, Huawei is working with its partner to overcome difficulties.
Huawei 2022 Annual Report shows Sustained Survival and Development
Today, Huawei released its 2022 annual report, which shows that Huawei’s overall operations are stable. It shows global sales revenue of 642.3 billion yuan and a net profit of 35.6 billion yuan. In 2022, the R&D investment reached 161.5 billion RMB, accounting for 25.1% of the annual revenue. The accumulated R&D expenditure in ten years will exceed 977.3 billion RMB.
“Looking back on 2022, the severe external environment and non-market factors continue to affect the company’s operations. In the midst of the storm, we continue to run and strive to ensure business continuity and ensure support and services for customers. We also worked hard to harvest more food so that I could not only survive but also lay a foundation for future development.” said Rotating chairman Xu Zhijun said
Chief Financial Officer Meng Wanzhou said: “In 2022, operations still face greater pressure. Overall, operating performance is in line with expectations. At the end of 2022, Huawei’s asset-liability ratio was 58.9%, and its net cash balance was 176.3 billion yuan, nearly one trillion yuan. In the scale of total assets, high-liquidity assets such as cash, short-term investment, and operating assets constitute the main part of the assets. The financial situation continues to be stable and has strong resilience and flexibility. In 2022, the total R&D expenses accounted 161.5 billion yuan, and R&D The expense ratio is 25.1%, which is at a historically high level. Facing the future, we are under pressure and more confident!”
In 2022, Huawei achieved sales revenue of 284 billion yuan in the operator business field. 133.2 billion yuan in sales revenue from Huawei’s enterprise business and 214.5 billion yuan in sales revenue from the smart devices business.
Xu Zhijun emphasized: “2023 is a critical year for Huawei’s survival and development. Today’s Huawei is like a plum blossom. Opportunities, industrial portfolio resilience, differentiated advantages, the trust of customers and partners, and the courage to invest aggressively. Therefore, we are confident to overcome difficulties and achieve sustainable survival and development.”
Huawei tops network switches market for the 7th time
Recent research shows that the network switches from Huawei once again won first place in the Chinese enterprise network switch market for the year 2022. Interstingly, Huawei won this title for the 7th year in a row, which is an amazing achievement for the Chinese tech maker.
The latest statics are coming from the market tracker IDC, which published a report with the title “China Network Switch Market Quarterly Tracking Report (2022Q4)”.
In terms of campus networks, Huawei released the CloudEngine S16700 series of switches with the highest performance in the industry. It is four times more powerful than other players in the same field.
Huawei also released the CloudEngine S8700 series, the highest-density switch in the industry. It establishes the super access capability of one machine for connecting 6,000 terminals, and one for two.
The innovative architecture and components increase the signal transmission efficiency by 30% while reducing the heat dissipation power consumption by 30%.
Based on the central switch, the remote modules are managed in a unified manner, so that customers do not need to manage and configure access devices.
It completes network expansion in one second, reducing 80% of management nodes and 77% of engineering wiring. Also reducing the cost of comprehensive network construction by more than 30%.
In terms of data center networks, Huawei CloudEngine data center switches are deployed and served in data centers of more than 100 countries and 21,000+ customers around the world through high-performance programmable devices, self-developed operating systems, and network convergence capabilities.
To be mentioned, the core data center switch CloudEngine 16800 series has reached the world’s top level with a total capacity of more than 300Tbps, ranking first in the world. By providing the best technology, Huawei is still maintaining a lead in the market of network switches.