Huawei set up the third batch of special groups for new business development and tackling reduced revenue

By Li Panpan

China’s technology giant Huawei established another five special business groups to seek new growth opportunities and tackle declined revenue amid geopolitical changes, the company’s community website reported.

On May 26, Huawei’s founder and CEO Ren Zhengfei attended and addressed a conference in Shenzhen in which the third batch of the special groups was announced. They focus on digital finance, site energy, machine vision, digital system of the manufacturing industry, and utility systems.

Huawei’s “special group” practice is said to be inspired by those in Google, consisting of doctors, scientists, engineers, and marketing experts with fifty or sixty people for each group in business development and has a goal of being the best globally. 

This is the third time Huawei has announced setting up such special groups. Ren Zhengfei told the conference that “The special groups should attach importance to exploring and establishing their business models in serving global clients. We must build a symbiotic and win-win partnership to serve different industries.”

In October 2021, Huawei set up the first batch of five special groups for vertical markets like intelligent mining, highway, customs, and ports, as well as energy data centers. The second batch of ten special groups established in March 2022 deal with digital electric power, the network for governmental affairs, airports and railways, interactive media, sports and health, new display, industry park management, and data management. 

With the third batch, Huawei has 20 special groups participating in different vertical markets.

An industry observer commented that with the enormous challenges Huawei faces, it has to mobilize all resources to build a more solid foundation for its long-term development. More such special groups may be established.

It is reported that Ren himself directly supervises such special groups, which are graded as first-level departments like Huawei’s current Business Units.