HUAWEI'S GLOBAL R&D

Global Research and Development centres of Huawei



Global Research and Development centres of Huawei

Introduction

The purpose of this discussion is to elaborate on a specific and recent product/service that Huawei has launched in India with the help of Huawei's R&D centre in Bangalore to meet the demands of local Indian consumers. Products offered by Huawei include application & software, OSS, storage & network security, radio access, fixed access, core network, transport network, data communication, energy & infrastructure devices. Services offered by Huawei include arpu up, broader+smarter, cost down and go greener. The product of energy & infrastructure devices is the center of attention for this discussion. The discussion will elaborate on the details of Huawei's R&D centre in India. The discussion will also incorporate an explanation of the benefits and disadvantages of moving into India to establish R&D centre.

Global R&D Centres for Huawei

Huawei is playing a contributory development role in the Indian telecom industry with emerging markets like India which need innovative cost-effective solutions. Huawei helps Indian operators achieve approximately 30 percent precious savings in overall TCO (Barboza, 2011, 65). Part of the reason why Huawei has been so successful is because they have allocated 10% of their revenue towards new research and development. This keeps the management to take initiatives for funding more profitable technological ventures (Barboza, 2011, 65).

Benefits of moving into India to establish R&D Centre

As Huawei's largest and fastest growing R&D centre outside of China, HTIPL plays a vital role in the pioneering R&D efforts, developing cutting-edge software products/platforms in the areas of Next Generation Networks, Intelligent Networks, Data Communication, Network Management, Telecom Middleware, Optical Network and Mobile Handset Software for telecom carriers across the world (Carew, 2011, 98).

Today 43% of Huawei India's workforce is part of this venture with 96% of the employees being Indian. HTIPL is a CMMi Level 5 certified organization, having established base level product, platform, test and engineering processes conforming to high maturity levels of SEI- CMM and SEI- CMMi practices. HTIPL currently employs over 2000 Indian engineers and other professionals, and has invested over 200 million USD in India.

Over the last 10 years, Huawei has reinforced its leadership position in India by providing end-to-end ICT solutions provider to all the India based top-10 telecom operators. The growth opportunity in India is quite robust as high tele-density will be achieved from tier II towns and rural cities (Kirk, 2010, 78). As Indian consumers evolve to the next level of quality services, 3G, Wimax and LTE are the new technologies to look for in the future.

Problems of Moving into India

India is an important business development market for the R&D Centre establishment for Huawei. Being a leading vendor of customized and innovative solution, Huawei aims at providing a wide range of value added solutions (Stecklow, 2011, 120). However, there are fundamental problems associated with the establishment and expansion of R&D Centre in India. These are as follows:

Security Problem

Huawei Telecom in India has experienced severe opposition from Republican ...