Huawei declares lack of interest in the US
24 April 2013 |
Huawei has confirmed that it is no longer interested in conquering the US telecommunications equipment market.
“We are not interested in the US market anymore,” said Eric Xu, EVP at Huawei, in a statement at the company’s annual analyst summit earlier this week.
“Generally speaking, it's not a market that we pay much attention to.”
This follows concerns from US operators over the company’s security and has resulted in a number of unsuccessful partnership efforts by the Chinese vendor.
Despite backing from UK Prime Minister David Cameron last year, and numerous deals with other operators across the globe, Huawei was reportedly abandoned by US operator Sprint and Softbank earlier this year.
Huawei still employs 1,400 people in the US but its R&D department has decreased by 300 people, and the sales team has also seen a notable decline in size.
The company has now revised its long-term plan for enterprise business, and William Xu, chief executive of the unit at Huawei, said that its target of $15 billion in revenue by 2017 was “too optimistic”.
While it is now aiming for $10 billion by 2017, Xu still expects revenues to grow by 45% this year, against the 25% growth of the same division in 2012.