The Chinese Telecom Giant Huawei Turnover Lower than Expected

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The Chinese Telecom Giant Huawei Turnover Lower than Expected. The Chinese telecom giant Huawei Technologies probably had less revenue in 2019 than expected.

Sales increased by 18 percent, despite a challenging year in which the United States blacklisted the company. Chairman Eric Xu also warned in his New Year’s message that 2020 could be difficult.

Despite the extensive efforts of the US government to get us down, we have come out on the other side and have continued to create value for our customers, “Xu said in the speech that appeared on social media.

Xu said whereas revenue in 2019 is likely to have risen by 18 percent to 850 billion yuan, which would have led to a somewhat lower increase in revenue from the primary network equipment and smartphone manufacturer than a year earlier when revenue increased by 19, 5 percent.

The chairman warned that 2020 could be a challenging year for the company, mainly because Huawei is under attack in various countries because of its alleged close ties with the Chinese government. In the United States and elsewhere, the group is therefore blacklisted.

Other countries have also investigated whether Huawei can deliver equipment for 5G infrastructure for super-fast internet.

Xu does not expect the company to disappear from the list in 2020. He also announced that the management structure of the company would be overhauled and that by 2020 up to 10 percent of the worst-performing managers would be at the door.

Individual departments will become smaller or merge. “Surviving will be our top priority,” said Xu. Huawei shipped 240 million smartphones last year, which represents an increase of 20 percent compared to 2018.