Call it “Mission: Possible” — Huawei Technologies plans to push global sales of its smartphones above 100 million units this year as it banks on solid demand in Southeast Asia to set a double-digit annual sales revenue record.
Yang Shu feels confident Huawei will be able to reach global smartphone sales of 100 million units this year, an increase of almost 100% from 2013.
The upbeat outlook from the Chinese information and communications technology equipment maker indicates solid smartphone demand, led by key mature and emerging markets including Thailand, as the recovery in the global smartphone market continues to gather momentum.
Yang Shu, president and chief executive for Southeast Asia, said the goal was possible even though Huawei sold only 52 million smartphones globally last year including 300,000 in Thailand.
“We expect to sell at least 100 million smartphones globally this year including at least 500,000 units in Thailand,” he said, adding that Huawei focused on only the high-end smartphone segment.
Thailand is the company’s second-largest revenue market in Southeast Asia behind Indonesia.
Huawei expects its consolidated sales revenue to grow by a double-digit percentage this year, helped mainly by the high-growth smartphone business, said Mr Shu.
He said his company reported global consolidated revenue of US$39.5 million last year, up by 8.5% from 2012, for a net profit of $3.5 million.
Some 65% of total revenue came from outside China, with Southeast Asia contributing 16% of the total.
Mr Shu said Huawei is gaining in the global smartphone segment, taking market share from top players in South Korea and the US, as the company made crucial technological breakthroughs.
Huawei is stronger in the global telecommunications network and smartphone sectors, as the company went from a bit player to a global leader through a combination of advanced technological features and stylish design.
“China’s rise reflects the industry’s changing dynamics, as Huawei has finally begun to rapidly gain transactions in the global telecoms business,” said Mr Shu.
Thomas Liu, managing director for devices at Huawei Technologies (Thailand), said Southeast Asia had helped Huawei’s global sales to climb towards this important milestone.
An increasing population and the arrival of high-speed wireless broadband internet is pushing demand for smartphones in the region towards levels that analysts say could sustain the market at a rapid pace.
Mr Liu said Huawei is spending $6 million on building four more main shops this year — two in Bangkok and two in major provinces.