Ngn Umts Huawei

HUAWEI TECHNOLOGIES CO., LTD. Page 1

Corporate Presentation

HUAWEI TECHNOLOGIES CO., LTD.

www.huawei.com


Huawei at a Glance

A global leading player in providing next generation telecoms network solutions

Contract sales of USD 8.2 billion in 2005, of which 58% was from international markets

Serving 28 of the world’s top 50 operators

Strategic partner of British Telecom, Vodafone, Telefonica, etc.

Staff strength of 40,000, of which 48% are engaged in R&D (As of March 2006)


Sustainable Growth

Contract Sales（USD in billions）

0

1

2

3

4

5

6

2002 2003 2004 2005

2.67

3.83

5.58

8.2

7

8

9


Supply Chain: 8%Administration: 6%

R&D:48% Marketing、sales and customer service: 38%

Human Resources

40,000 employees as of March 2006

Huawei emphasizes the ability to focus on customer service and requirements in the recruitment, promotion, training and performance evaluation of our employees..

48%38%

6% 8%


85 overseas branch offices as of March 2006

3-level customer service system (HQ, regional, local)

Global Presence

ThailandSaudiArabia

IndiaNepal

Pakistan

Russia

KazakhstanKyrgyzstan

South Korea

Malaysia

VietnamPhilippines

Ukraine

Egypt

Germany

SingaporeIndonesia

Australia

Kenya

South Africa

Zimbabwe

AlgeriaMorocco

UK

Argentina

Chile

Peru

Colombia

Mexico

USA

Nigeria

Huawei Technologies(Headquarters)

Tunisia

France Canada

Bangladesh

UAE

PortugalItaly

Brazil

NetherlandsPoland

Sweden

Shenzhen

SpainBulgaria

Uzbekistan

Ecuador

Venezuela

TurkeyTurkmenistan

Greece

Romania

Sri Lanka

Cambodia

Paraguay

Japan

Greenland

Cuba


Global R&D

Global R&DBangalore, India －Software technology/ platformDallas, USA －ASIC technologies and wireless algorithmSan Diego, USA －Terminal technologies and chipsets Stockholm, Sweden －Base Station system design RAN

technologiesMoscow, Russia －Algorithm and RFShanghai, China －RAN, terminal, ASIC chipsetBeijing, China －Packet CN, GW, Terminals

We have widely implemented CMM5 and IPD (Integrated Product Development) into our product development.Four R&D divisions (Central Software Division and institutes in Bangalore, Shanghai and Nanjing) have been awarded CMM level 5 certification.


UMTS GSM/GPRS/EDGEGSM-T/GSM-RCDMA2000IMSMobile Soft SwitchWLAN/WiMAX

NGNDSLAMMSANSwitchingFixed Terminals

LH/ULH DWDMMetro WDMOCSNG-SDH(ASON)NG-SONETFSO

Fixed INWireless INUniversal INMobile DataCDN/SANOSS/BSS

RouterLAN SwitchSecurity & VPNGW & Server

UMTS handsetCDMA handsetCDMA fixed terminalWireless data cardWireless module

ISO 9001:2000/TL9000/CMM for quality controlISO 14001:2004 for environment managementOHSAS 18001:1999 for occupational health and safety administration

ASICs and Shared Platform

Wireless Network Fixed-line

NetworkOptical

Network

Application and SoftwareDatacom

Network

Handsets and Wireless

Terminals

Network Product Line

Customized Communications Network Solutions

Product Portfolio


Huawei, 5%

Motorola, 4%Siemens, 3%NEC, 3%

Oualcomm, 12%InterDigital,

17%

PhilipsElectronics, 4%

others, 11%

We continuously invest in standards and patents to stay at the forefront of future technology.

Standards and Patents

StandardsParticipated in 70 international standardization organizations including ITU and 3GPP.

Patents

Domestic Patents 11,000

Authorized Patents 1900

PCT International and Overseas Patents 1765

3GPP essential patents, Huawei ranks top 5.（As of March 2006）


Huawei works with top-tier consultancies to adopt the world’s most professional management practices, ensuring quality end-to-end delivery for its customers.

Management Transformation

consulting

consulting

Integrated Product Development and Integrated Supply Chain

Human Resources & ESOP

Financial Management

Quality Control

Organization Transformation


Joint Labs & Partners with Leading Companies

Joint Ventures with Siemens, 3Com and Nortel

Global Cooperation


World-leading UMTS & CDMA Network Supplier

Won 26 commercial contracts worldwide, as of March 2006, First to launch R4-based UMTS network and full-speed HSDPA commercial network,Won 19 CDMA2000 1xEV-DO commercial contracts, No.2 market share.Leading CDMA WLL vendor with 68% global market share

Source: Frost & Sullivan, Nov. 2005

UMTS: Global market share of total contract wins in 2004 and 2005

Huawei,12.8%

Other, 14.7%

Nortel, 6.4%

Nokia, 21.1%

Ericsson, 26.6%

Siemens, 18.3%

Lucent, 35%

Nortel, 28%

Others, 9%Huawei, 28

CDMA: No. 2 in CDMA2000 1xEV-DO Contract Wins (2004-1H2005)


Others,32.48%

NortelNetworks,17.51%

Siemens,11 50%

Tekelec,10.82%

Huawei27.68%

NGN: No.1 in global NGN market in 2005 (27.68% of ports market share)

Source: Dittberner Associates Inc.

World-leading NGN Supplier

Over 350 U-SYS NGN commercial sites have been deployed in over 50 countries


Huawei,34.0%Other, 17.0%

na, 5.0%

nt, 5.0%

ellabs, 8.0%

Alcatel, 31.0%

World-leading Access Network Supplier

Over 19 million ports of IP DSLAM, and over 8 million ports of ADSL2+ in more than 60 countriesOver 60 million ports of HONET MSAN have been deployed in more than 60 countries

Source: Infonetics Research, Inc.

MSAN: No.1 in global NG DLC market in 2005 (34% of DSL+DS0 ports market share)

Other, 26.2%

Huawei, 30.0%

ZyXEL, 6.7%

ZTE, 7.9%

UTStarcom, 7.1% Ericsson, 7.0%

Alcatel, 15.1%

IP DSLAM: No.1 in global IP-DSLAM market in 2005 (30.0% of ports market share)

Source: Infonetics Research, Inc.


Huawei, 5.4%Others, 8.3%

Alcatel, 4.8%

Juniper, 26.1%

Redback, 2.4%

cisco, 53.0%

Others, 25%

Huawei, 10%

Cisco, 5%

Macorni, 6%

Siemens, 6%

Alcatel, 16%

Nortel, 9%

Fujitsu, 9%

Tellabs, 7%Lucent, 7%

ON: No.2 in global optical network market in 2005 (10% of market share)

World-leading Transport Network Supplier

Source: Ovum-RHK

Router: No.3 in Worldwide Service Provider Router in 2005 (5.4% of market share)

Source: Gartner.

Over 410,000 sets of OptiX products have been deployed in more than 80 countriesOver 556,000 sets of Quidway series routers and 35 million ports of Quidway series switches have been deployed in more than 90 countries


Development in Europe

One of the approved Global UMTS suppliers of Vodafone.

Cooperates with Telefonica in UMTS and broadband.

Key supplier for BT’s 21st Century Network.

Constructed two national optic networks and 800k line DSLAM network in

France

Constructed the biggest NGN network in Germany


Fulfilling our social responsibility as a corporate citizen

Social Responsibility

A dedicated member of the United Nations Global Compact

December 2004 Tsunami: Donated USD 2.42 million worth of telecom equipment and an additional USD 2.42 million in cash from the company and its employees

August 1998 Flood (China): Donated USD 3.7 million worth of equipment, and USD 1.85 million in cash.

Education Fund: Donated USD 3.09 million to set up a fund to help needy students complete their undergraduate education.


Thank You

www.huawei.com

Documents

Ngn Umts Huawei