2019 Annual Report (^05)
■ With a fully connected, intelligent world fast
approaching, we are committed to delivering
an inspired, intelligent experience to consumers
across all devices and scenarios. Our strategy
for this is called “1 + 8 + N”, which involves the
seamless integration of user experience across
an entire ecosystem of devices, centered on our
smartphones.
We are innovating in several domains, particularly
all-scenario device chipsets and operating systems,
to enable multi-screen collaboration across
devices for smart homes, smart offices, and
other scenarios. And we will continue working
closely with our software, service, and hardware
ecosystem partners on systematic integration and
innovation to make this consumer-focused vision
a reality. We will further empower our ecosystem
partners with HarmonyOS, Huawei Mobile
Services (HMS), our smart assistant Celia, HiLink,
and AppGallery. These partnerships allow us to
more effectively meet the diverse app needs of
our smartphone users. To this end, we have also
revamped our Shining-Star Program, increasing
its budget to US$1 billion to better support
developers. In 2019 this program expanded to
include developers from both China and other
parts of the world.
■ Electric, intelligent, connected, and shared:
These four trends are reshaping the automotive
industry. The ongoing integration of cars with ICT
is transforming our very concept of vehicles, with
ICT gradually overtaking the importance of purely
mechanical systems.
Huawei brings over three decades of ICT
capabilities to the intelligent automotive industry
as a new added-component provider for intelligent
connected vehicles. Our business portfolio covers
smart driving, smart cockpits, mPower, Internet of
Vehicles, and vehicle cloud services. As part of our
strategy to help car OEMs build better vehicles,
we officially established the Intelligent Automotive
Solution Business Unit in May 2019.
■ Huawei delivers ubiquitous connectivity and AI
to government and enterprise customers. We are
actively working with our customers, partners,
developers, industry alliances, and standards
organizations to build industry-specific digital
platforms and ecosystems. Together with our
customers, we continuously explore and implement
best practices for digitization in government, as
well as in the finance, energy, transportation,
manufacturing, and education industries. Our goal
is to build a foundation for the digital world.
Nonstop R&D investment, evolving
towards Innovation 2.
Innovation has been fundamental to Huawei’s survival
and development over the past three decades. In this
time we have continuously invested over 10% of our
annual revenue back into R&D. In recent years, our
spend has exceeded 14%. And it’s with long-term
R&D investment that we have been able to lead the
pack in multiple technology domains, and continue to
earn the respect and trust of our customers despite
significant external pressure.
Huawei itself is shifting from an Innovation 1.0 model
to Innovation 2.0. In Innovation 1.0, we focused on
innovation in technology, engineering, products, and
solutions to meet our customers’ needs. Innovation
2.0 means breakthroughs in basic theory and
developing new basic technologies, driven by our
shared vision for the future. To help smooth the
transition into a fully connected, intelligent world, we
need to break through the theoretical limits impeding
ICT development, as well as bottlenecks in basic
technology.
Ensuring business continuity
Over the course of a decade, Huawei has built out
and continuously refined a strong business continuity
management system. This system covers all of our
end-to-end processes, from suppliers to Huawei, and
then on to our customers. The fact that we have kept
growing despite being added to the US Entity List
coco
(coco)
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