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Huawei is expecting positive 2022 revenue, moving towards safe zone
2022 has been a year of rebound and the Chinese tech giant, Huawei is expecting a positive number in revenue on an overall scale.
Reuters reports that Huawei expects that its revenue for 2022 will reach 636.9 billion yuan ($91.53 billion). This marks a 0.4 percent increase in revenue that the company posted last year.
The announcement is made by Huawei’s current rotating chairman, Eric Xu in an internal letter. He mentioned that this year is a year in which, Huawei will gradually move away from wartime situations to safety. As the company has been continuously attacked by the U.S. administration for over the past two years.
He also stated that Huawei will gradually turn the crisis into an opportunity. 2023 is the first year for Huawei to conduct operations normally and it’s a critical year for growth.
The expectation includes better results in the ICT business, cloud business, and smart car business.
Past performance:
In the first three quarters of 2022, Huawei achieved sales revenue of 445.8 billion yuan with a year-on decline of 2.19 percent and a business profile margin of 6.1 percent.
Back in 2021, Huawei’s overall operating was stable with global sales revenue touching 636.8 billion yuan and a net profit of 113.7 billion yuan. It shows a year-on-year decline of 75.7 percent.
For the future, Huawei is climbing R&D investment, in 2021, Huawei’s R&D investment reached 142.7 billion yuan accounting for 22.4 percent of the annual revenue. It’s a big part of the income that Huawei spends on innovation.
While for the next 10 years, Huawei is projected to exceed 845 billion. This will be used to expand Huawei’s research capabilities in various businesses across the portfolio.
In terms of revenue, the operator business was 281.5 billion yuan, accounting for 44.2% of total revenue. While overseas revenue accounted for more than 50%.
The enterprise business was 102.4 billion yuan, accounting for 16.1% of total revenue, and emerging business revenue increased by 30%.
On the flip side, the consumer business was 243.4 billion yuan, accounting a 38.2% of the total revenue, and the revenue of smart wearables and TVs increased by 30%.
ChatGPT is a raging storm on the internet and everyone is talking about this AI-powered instant reply software but Huawei says, it has long mastered such technology.
A person in charge of Huawei’s computing product section said that Huawei began to have a layout in the large model in 2020. In the following year, Huawei launched Pengcheng Pangu, which is a super-large model and the first of its kind in the industry.
This model can generate 100 billion levels of processes and can generate responses or understand Chinese natural language processing as well as speech recognition.
To be mentioned, Pangu NLP large model was the world’s largest Chinese language pre-training model with 100 billion parameters at that time. The sample tuning of the data improves the application performance of the model in the scenario.
Patent:
Recently, two patents have surfaced on China’s intellectual property office, which reveal Huawei’s use of AI in instant reply software. However, we can say that Huawei has already applied a lot of AI software to human conversation technology, which was way ahead of ChatGPT. But Huawei has not revealed any plans to implement such tech in Huawei devices.
ChatGPT:
ChatGPT was launched as a prototype on November 30, 2022, and quickly garnered attention for its detailed responses and articulate answers across many domains of knowledge. Its uneven factual accuracy, however, was identified as a significant drawback. Following the release of ChatGPT, OpenAI’s valuation was estimated at US$29 billion.
Read more here – Huawei patent new ChatGPT like reply software
After the events of the U.S. ban, Huawei had to reduce its capacity of building new smartphones, which result in low yield and sales, and now, Xiaomi claims that it took over 50 million of Huawei’s users.
During the Xiaomi Investment Day, Lu Weibing, President of Xiaomi Group said that Huawei has lost over 80 million smartphone users, of which, Xiaomi took over 50 million.
This is quite a big statement made by the head of the Chinese phone maker as Huawei was forced to leave the market due to the restrictions on manufacturing.
After not meeting the market requirements the share of Huawei’s smartphone market declined severely in both the Chinese and global markets. While other smartphone makers are the ones that got most of the benefits.
From the rest, Apple took over 20 million users and Honor grabbed 10 million, which accounts for an overall 80 million Huawei users.
According to the data revealed by Canalys, the global smartphone market ranked Samsung first and Apple second, which has increased by 22 percent and 19 percent respectively. While Xiaomi declined to 13 percent.
Aside from Apple and Samsung, other smartphone maker has declined. On this matter, Xiaomi’s president said that the decline in his firm is related to various reasons such as currency depreciation, chips from shortage to surplus, and intensified competition, the global mobile phone market will decline by 12% in 2022, of which the Chinese market will decline by 13%.
Why not?
It was an opportunity for all of the smartphone companies with an open opportunity to grab Huawei’s market share and it fell directly into their lap without doing anything.
(via – CNMO)
Turkey is underway a massive rescue operation and Huawei has raised a hand of help for the country to overcome the earthquake that has taken the lives of thousands of innocent people. During this time, Huawei has provided components, generators, and mobile base stations to help eliminate communication issues in earthquake-affected areas.
On Monday, Turkey is hit by a 7.8-magnitude earthquake, destroying homes and leaving thousands wounded and homeless. As of today, over 17000 people had died in Turkey, surpassing the record of the last decade in the country. This earthquake has now made its place in the most deadly disasters of the century surpassing the 2011 tsunami in Japan.
