Chinese telecommunications giant Huawei posted record profits last year

The Chinese telecommunications giant Huawei announced that last year its revenues increase by 20 percent to $105 billion. At the same time profit rose by 25 percent to 8 billion.

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The New York Times notes that those results place Huawei in the same league as US giants Google and Microsoft both of whom also passed the $100 billion revenue mark last year.

Smartphone sales show massive growth

Huawei's smart phone division grew by a huge 45 percent. Huawei's consumer electronics unit made up almost half of the company's revenue in 2018. It generated about $52 billion in revenue. Phones such as the Mate 20 Pro and P20 Pro contributed to the big growth in sales.

Carrier technology division revenue fell

With the US pushing to have Huawei 5G technology banned by European and other countries the carrier technology division dropped revenues by some 1.3 percent. A recent Digital Journal article discusses the risks of Huawei technology. It is not only Huawei technology that is capable of being used for spying the article argues. It also discusses ways that risks can be managed without banning use of a company's technology.

A recent article notes: "The US is currently considering a ban, while a report produced by a UK government watchdog raised serious concerns about Huawei’s cybersecurity practices. Australia has also banned the use of the company’s equipment in its next-generation network, while the EU will leave the decision up to its individual member states." No doubt these moves also are contributing to the revenue loss of the division. However, Huawei claims that cybersecurity and user privacy protection are at the top of its agenda. The company has denied allegations that it would be willing to spy on behalf of the Chinese government.

Guo Ping, a rotating chair of Huawei admitted that US government criticism had created a certain amount of trouble for the company but downplayed security concerns. Ping said that US action s were like that of a rude dinner guest: . “We Chinese would say that they don’t mind their table manners. I feel very sorry for these so-called gentlemen.""

Ping also said to reporters at a press briefing: “The U.S. government has a loser’s attitude. It wants to smear Huawei because it cannot compete against Huawei.I hope the U.S. can adjust its attitude.”

Previously published in the DIgital Journal