It was recently reported that Huawei’s consumer business group chief – Yu Chengdong AKA Richard Yu will work as the head of Huawei Cloud and Computing BG, which will be officially announced in February 2021.
Meanwhile, Huawei internally announced that Richard Yu AKA Yu Chengdong, who’s currently serving as CEO of Consumer BG will be appointed as new President of Cloud and AI BG, director of Cloud & AI BG administrative management team. On the other hand, Hou Jinlong present President of Cloud and Computing BG will be the Chairman of Digital Energy.
Till now, this is the rarest thing happening in the history of Huawei that three major businesses will now be managed by one official.
Now, what are the main intention of Huawei behind this decision? Let’s talk about this matter in this article.
What is the current status of Huawei Cloud?
Since 2017, Huawei established its Cloud and computing BG, which has been currently in a state of big but not strong. It is reported that Huawei’s cloud and computing BG includes three parts: Cloud BU, computing product line (servers, etc.), and storage and machine vision product line. But this is one of the businesses that Huawei will focus on moving forward.
However, the Huawei executives’ goal of catching up with Ali Cloud in three years has long passed the time limit. Now, Huawei is expected that after the cloud and computing BG is handed over to Yu Chengdong, there may be new breakthroughs.
Huawei’s definition of the cloud and computing BG organization is the goal is to be responsible for the competitiveness and commercial success of the Huawei cloud and computing industry, and to undertake R&D, marking, ecological, technical sales, consulting as well as integration enabling services in the cloud and computing industry responsibility. To Build an ecosystem around Kunpeng, Shengteng, Huawei Cloud, as well as become the foundation of the digital world.
The current situation of Huawei, the revenue of cloud and computing BG is still not very satisfactory. Since the establishment of the cloud business unit, Huawei has never announced the specific revenue of this business in the financial report, but only mentioned the growth of the business in the semi-annual report for the first half of 2020.
Although Huawei’s entry into the game is not too early, it has achieved fruitful results under a series of measures. According to a report by the research institute Canalys, China’s cloud infrastructure services totaled US$4.3 billion in the second quarter of 2020, a year-on-year increase of 70%.
Huawei Cloud ranked second with a market share of 15.5% (behind Alibaba Cloud), a year-on-year increase of 259.6%. In the fast-developing cloud business track, Huawei Cloud is driving at super high speeds in recent years
Ren Zhengfei pointed out that Huawei’s corporate business said we must focus on strategic priorities, continue to subtract, shrink corporate business as a battle line, and carefully figure out how to make a combat model. “We must do something, not do something, and not do everything.”
Under various backgrounds, it is not difficult to see that Huawei is ready to start adjustments on Huawei Cloud in order to seek greater breakthroughs, and Yu Chengdong’s personnel adjustments are clearly to achieve greater ambitions and better development of Huawei Cloud.
Ren Zhengfei’s, Huawei CEO says after the miracle of consumer BG, whether Yu Chengdong can continue to replicate this success in cloud and computing BG will face no small internal and external tests.
However, Richard likely to also keep the command of the consumer business group but an official clearance on this matter is yet to come.
The purpose behind the personnel adjustment?
Insiders of Huawei said that the purpose of Huawei’s personnel adjustment is to strengthen the collaboration between the mobile phone-based end and cloud computing, further improve internal operation efficiency, further integrate core capabilities, strengthen Internet business layout, and promote a complete ecosystem development.
Huawei Cloud has previously supported consumer BG business at the business level and provided cloud services for Huawei mobile phone users, but the organizational structure is two sets of teams. Now Yu Chengdong is in charge of cloud and mobile phones, which can theoretically promote cloud integration better.
In this regard, industry insiders also said that Huawei’s chess game is constantly being adjusted, and this time the changes are bolder and the purpose is more obvious that is to continuously eliminate barriers, integrate to create new growth poles, and coordinate cloud and end to occupy new consumption scenarios. ”
It is worth noting that Yu Chengdong is also in charge of the car BU business. The car is regarded as another smart terminal with the most imaginative space after smartphones. By stringing these services together, Huawei can find that the “cloud service” is the base that will carry the HMS, Hongmeng OS (HarmonyOS), consumer cloud services, and smart car cloud services to form a closed loop of ecosystem + business.
Some media also analyzed from a series of Huawei’s layouts that Huawei Hongmeng focuses on the Internet of Everything, which is a bonus to IoT. The future direction of Huawei Cloud will support this strategic route, providing infrastructure for apps in the Internet of Everything direction. The ticket is in the cloud, and the decisive victory lies in the application ecosystem.
“In the future, with the blessing of 5G, the manufacturing industry will become intelligent and the Internet of Things will require a lot of IT facilities. Obviously, new outlets have emerged. In the future, it is very likely that Alibaba Cloud will lead the development of the Internet field in China, and Huawei Cloud will lead The two strongest IT facilities required for manufacturing and AIoT.” Many industry insiders also have this judgment.
How far can Yu Chengdong lead Huawei Cloud?
As we all know is that Yu Chengdong is a member of Huawei. Since joining Huawei in 1993, Yu Chengdong has served successively as president of the wireless product line, president of the European region, president of strategy and marketing, chairman of the terminal company, and CEO of consumer BG. Under his leadership, Huawei’s wireless and terminal departments have achieved Larger grades.
In particular, Huawei’s consumer business has achieved rapid development under the leadership of Yu Chengdong and has become the largest revenue contribution department among operator BG, enterprise BG, cloud and AI BG, and consumer BG.
Despite the high pressure of the US ban in the past two years, Huawei’s consumer business has still delivered satisfactory results. Huawei’s 2019 financial report shows that in 2019, consumer business revenue was 467.3 billion yuan, accounting for 54.4% of total revenue, a year-on-year increase of 34%, and smartphone shipments exceeded 240 million units. In the first half of 2020, Huawei achieved a sales revenue of 454 billion yuan and a consumer business revenue of 255.8 billion yuan.
Under the leadership of Yu Chengdong, Huawei mobile phones surpassed many strong opponents. In the second quarter of 2020, the global market share of Huawei mobile phones surpassed Samsung for the first time, ranking first in the global market for the first time. Also fulfilled his long-cherished wish for many years.
This time, Yu Chengdong has taken the command to serve as the president of cloud business and computing BG, which will also strengthen the collaboration of BG’s internal business.
At the same time, Yu Chengdong’s experience in Huawei’s consumer business, especially experienced in building consumer cloud services, and end-cloud collaboration capabilities, will help the development of Huawei’s cloud business and take it to the next level while keeping the smartphone business.
New Huawei Hongmeng trademark clashes with first one, got rejected
Today, Beijing Intellectual Property Court gave the first instance judgment on Huawei’s appeal against the State Intellectual Property Office for the rejection of the Hongmeng trademark.
To be mentioned, Hongmeng is the Chinese name of the HarmonyOS, the trademark has been in controversy once before.
The court has rejected the plea of plaintiff Huawei filed because it was dissatisfied with the decision of the rejection of the “Hongmeng HongMeng” trademark by the State Intellectual Property Office.
The lawsuit was refused because the disputed Hongmeng HongMeng trademark was found similar to cited trademark Hongmeng in terms of text composition, call, meaning, and have constituted similar trademark signs.
However, if the trademark was passed and used together with cited trademark then it will definitely cause confusion and misidentification of services among the consumers.
According to the information, this trademark’s international classification was involved 38 types of communication services. To be mentioned, Huawei had filed a plea against 42 types of “Hongmeng” trademarks, which were also judged similarly.
In this dispute case plaintiff Huawei’s clarifications:
- The overall meaning of the disputed trademark and cited trademark is distinct and does not constitute a similar trademark used for the same or similar services.
- The cited trademark has been in the process of revocation of non-use for three consecutive years, and the state of rights is unstable, and the trial of this case is requested to be suspended.
- The trademark in dispute is the original design of the plaintiff, which has been well-known after long-term publicity, which will not cause confusion and misunderstanding by the relevant public.
On the other hand, the defendant argued that the facts were clear, the applicable law was correct, and the procedures were legal and requested the court to deny the plaintiff’s request for trial.
Huawei Forum maintenance completed one week earlier
Today, Huawei has officially announced that Huawei Forum maintenance has successfully been concluded one week earlier than the actual schedule. Now, the services are being resumed such as Huawei Club’s PC, APP, and WAP versions.
Huawei users can now visit Huawei Forum and continue the HarmonyOS 2.0 testing using the My Huawei App and WAP version of upgrade and early adopters.
According to the previous information, Huawei has published an official notice on July 25 regarding the upgrade maintenance for Huawei Forum between July 26, 2021, to August 9, 2021, 22:00.
With the Huawei Forum’s up-gradation announcement, the company also posted an apology for the inconvenience during the maintenance “Thank you Forum members for your continued understanding and support of the Huawei Forum!”
Huawei achieved 40 million HarmonyOS installations:
The rapid progress clearly reflects that Huawei is working as much as fast it can to deliver the next level user’s experience to the least possible device.
Huawei Petal One: An all in one package for Cloud, Music and Video services
The Petal One integrates 3 premium services at relatively less costly compared to individual purchases. This service is similar to what Apple offers under the Apple One subscription bundle.
This all-in-one package includes Huawei Cloud Space Premium Package with 200GB capacity, Huawei Super Music VIP, and Huawei Video Gold Member & Partner Zone VIP membership.
What services Petal One includes:
The premium music service in Petal One has millions of libraries with all kinds of audio and music, while the premium video subscription offers high-quality video programs and movies. Meanwhile, the 200GB of Cloud storage can be shared between 5 family members.
People with Petal One can cancel their membership anytime. Currently, Petal One only comes under monthly subscription, though Huawei could offer lengthy plans such as quarterly or half-yearly in the future.
To be mentioned, Petal One provides a multi-scenario membership service and can be supported on multiple devices including mobile phones, tablets smart wearables, and smart screens.
Huawei Cloud service
The Huawei Cloud service offers a safe place to store your crucial data. It takes automatic backup of the whole device that can be restored anytime very conveniently.
Talking about privacy, this service is completely secure and has a ‘Time Machine’ feature that can help you manage all your data in a single place. Furthermore, all this data can be synchronized on multiple devices to manage it over different smartphones and tablets.
Price and Availability:
As per the Huawei Member Center app, the Petal One will be available for early buyers from August 28 to August 30. While full access to this service will be opened from September 1. The starting price for the Petal One bundle is 79 yuan (12 USD) for a monthly subscription.
It’ll be interesting to see whether this package will enter on the global market. We’ll keep you posted on further updates.