Telecoms go tactical

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In August 2012, Ren visited Australia to celebrate the first anniversary of the foundation of the independent board of directors. He emphasized that all the profits and revenue generated would be invested in the local market. In addition, last month Huawei's global chairwoman Sun Yafang met with visiting Australian Prime Minister Julia Gillard in Beijing and guaranteed her long-term commitment to the Australian market.

Huawei has also undertaken various community activities in Australia, such as R&D projects with local colleges, scholarships and cancer patient relief programs. Huawei has also promoted the "ecosystem of investment" in Australia which links the local market with its global supply chains. Also in April, local media reported that Huawei may soon sign a US$2 billion contract with Australia's second largest telecom carrier Optus to construct a hyper-speed mobile network.

Compared with its zigzags in Australia, Huawei's development in New Zealand has been much more straightforward. In a meeting with the David Shearer, the leader of New Zealand's Labor Party, Ren underscored his belief that Huawei can work with New Zealand to achieve the country's goal of leading the new cyber technology market.

It was clear that Ren used his visit to New Zealand to speak to the local media as a form of reward for New Zealand's cooperation and support.

Ren also talked about Huawei's attitude toward the U.S. government in the interviews. "Huawei has no connection to the cyber security issues the U.S. has encountered in the past, present and future," said Ren. "Huawei equipment is almost non-existent in current U.S. networks, and the company had never sold any key equipment to major U.S. carriers or to any U.S. government agency."

In edging out the U.S. from its global strategy, Huawei has actively forged links and increased its openness and transparency to America's traditional allies in Europe and Oceania.

According to Li Yinghuan, a journalist with Time Weekly and renowned technology industry blogger, Huawei's tactic can be summed up very simply: "I will let you know that your refusal to deal only brought yourself loss."

Since the release of the U.S. congress report, Huawei has become more open in its efforts to increase its influence, including meetings with local telecom carriers on visits to overseas markets and Ren's meeting with U.K. government officials last year in efforts to expand Huawei's influence there.

Ren would certainly have been aware that the U.S. government would be informed of these meetings even though they were not publicly reported.

It is clear that all markets, whether small ones such as New Zealand or big ones such as Oceania and Europe, are chess pieces on Ren's chessboard, which he is using to encircle the U.S.

This article was translated by Li Shen. The original unabridged version was published in Chinese.

Opinion articles reflect the views of the authors, not necessarily those of China.org.cn.

 

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