Therefore, the mobile phone business is not only a sideline, but also one of the two pillar businesses as important as the carrier business.
Let's look at the data first. According to the data released by Huawei, the total revenue in 20 17 was102.2 billion USD, up by 25.7% year-on-year.
Under this total revenue, the performance of each sub-business line is as follows:
CNBG (operator BG) has a revenue of 45 billion US dollars.
The revenue of CBG (consumer BG) is 44 1 USD.
EBG (Enterprise BG) earned $654.38+0.06 billion.
Huawei Cloud BU and other revenues are 2.5 billion US dollars.
Among the above four businesses, the consumer BG business is the best, accounting for 43. 15%, which is expected to surpass the operator's business in 20 18. How good is the development of Huawei's mobile phone business?
At present, Huawei is the third largest mobile phone manufacturer in the world, with an annual growth rate of 57.04% in 20 17, revenue of 283 billion, and shipments of1530,000 units, and its global market share has exceeded 10%. Among them, glory shipped 90 million units, accounting for 60%.
Five years ago, mobile phones were Huawei's sideline. But today, the mobile phone business has become the pillar of Huawei, which holds up half the sky of the group and is also the first driving force for Huawei's growth in the future.
In 20 15, Huawei sold/kloc-0.08 million mobile phones, with sales of/kloc-0.29 billion yuan, accounting for 33% of the group's total revenue (395 billion yuan). In 20 16, Huawei sold1390,000 mobile phones, with sales of181500 million yuan, accounting for 35% of the total revenue of the group (521600 million yuan). In 20 17, Huawei sold 530,000 mobile phones/kloc-0, with sales of 236 billion yuan, accounting for 39% of the group's total revenue (603.6 billion yuan).
From 20 15 to 20 17, the proportion of Huawei's mobile phone business in the group's revenue increased year by year. In 20 18, this proportion will definitely exceed 40%. While Huawei's mobile phone sales are increasing, the average single mobile phone is also growing rapidly. The years from 20 15 to 20 17 are 120 1 yuan, 1306 yuan and 1542 yuan respectively.
In 20 18 years, the average price of Huawei mobile phones will reach about 1800 yuan. If Huawei ships 200 million mobile phones this year, the annual mobile phone business revenue will reach about 360 billion yuan. This revenue scale is almost close to the total revenue of the entire Huawei Group in 20 15 years.
From 20 15 to 20 17, the average growth rate of Huawei Group's revenue was 23.6%, while the average growth rate of mobile phone business in the same period was as high as 34.8%, which was 1 1.2 percentage points faster than the average growth rate of the Group's business.
Before 20 17, the carrier business was the largest revenue segment of Huawei, but in 20 17, its proportion in Huawei's total revenue fell below 50% for the first time. Moreover, in 20 18, the revenue of consumer business (mainly mobile phones) will equal or even exceed the business of operators, becoming the largest revenue segment of Huawei.
The rapid growth of mobile phone sales is the biggest source of Huawei's revenue growth. In 20 17, Huawei's revenue increased by 82 1 100 million yuan compared with 20 16, of which consumer business contributed 57.4 billion yuan, accounting for 70%. This situation may last for quite some time in the future. At present, the business growth of Huawei operators is very weak, and the business scale of enterprises is still very small, so the power source of growth naturally falls on the shoulders of consumer business, especially mobile phone business.
Huawei's latest financial report shows that as of the third quarter of 20 19, Huawei achieved sales revenue of 6 108 billion RMB, up 24.4% year-on-year and net profit margin of 8.7%.
Huawei's terminal cloud service ecosystem has developed rapidly, covering more than 170 countries and regions around the world, with more than1070,000 registered developers worldwide.
In terms of consumer business, personal computers, tablet computers, smart wear and televisions have achieved rapid growth, and the shipment of smart phones has exceeded 654.38+85 million units. Huawei's consumer business accounts for 32%, ranking first within Huawei!
Why Huawei's mobile phone is not a sideline?
From the perspective of Huawei's future strategic layout, Huawei currently has a high voice in the global 5G field, and the 5G network has greatly promoted the future Internet of Things technology, so Huawei launched the "Internet of Things" system. If Huawei wants to take the initiative in the future competition of the Internet of Things, such as mobile phones, speakers and cars, these are all important entrances to the Internet of Things, which means that Huawei's mobile phone users should be mentioned first. At present, the number of Huawei mobile phone users worldwide exceeds 500 million. Therefore, Huawei mobile phones occupy a very high position. Now many professionals in the industry regard Huawei as an Internet company, not a communication company!
Why is Huawei's mobile phone a sideline?
How can I put it? Looking at the position of a company's business line within the company, on the one hand, the proportion of revenue, on the other hand, the strategic position. Although Huawei's mobile phone is very strong now, as far as the current layout is concerned, Huawei's mobile phone is not dominant, because many people say that Huawei has no layout around Huawei's mobile phone, and Huawei has no strategic layout such as battery, screen and memory.
From Ren's strategic vision, the next battlefield between Huawei and M countries is in the field of Internet of Things, which is mainly based on chips and systems, and Huawei has a heavy layout in this regard, so from this perspective, Huawei's mobile phone is not Huawei's main direction!
Conclusion: the soldiers have no constant potential, and the water is impermanent! The same is true of business. Nothing is still. Even apples will change from hard to soft. We believe that Huawei will make corresponding adjustments according to the development of the times. Is this a fact?
Judging from the semi-annual report of 19, the revenue of consumer business has become a big part, reaching 55%.
But why do you always say that mobile phones are a sideline?
First of all, Huawei started as a carrier business. This is the foundation, just like if one day, Ali's cloud service revenue exceeds e-commerce, but for Ali, e-commerce is still its fundamental business.
Second, for Huawei, mobile phones have only started in recent years and become a key business. Perhaps, one day, there will be other new services to replace the mobile phone business.
Third, the company's core business will not die with time. The mobile phone business is doing well, but there are still many mobile phone manufacturers in China who are doing well. Even if Huawei stops making mobile phones, it will not have much impact on consumers. But in the carrier business, Huawei is the real boss and irreplaceable.
abstract
Judging from the nine-year semi-annual report, the revenue of consumer business has become a big part, reaching 55%.
But why do you always say that mobile phones are a sideline?
First of all, Huawei started as a carrier business. This is the foundation, just like if one day, Ali's cloud service revenue exceeds e-commerce, but for Ali, e-commerce is still its fundamental business.
Second, for Huawei, mobile phones have only started in recent years and become a key business. Perhaps, one day, there will be other new services to replace the mobile phone business.
Third, the company's core business will not die with time. The mobile phone business is doing well, but there are still many mobile phone manufacturers in China who are doing well. Even if Huawei stops making mobile phones, it will not have much impact on consumers. But in the carrier business, Huawei is the real boss and irreplaceable.
abstract
The company's core business is strategic, not determined by short-term revenue. Even if the sideline business exceeds the income of the main business.
The main business is a business that can make money for you under any circumstances. Only in this way can we maintain and develop new business.
According to the data, Huawei's business mainly has three areas, one is communication equipment, the other is mobile phone business, and the third is solutions. In 20 18, Huawei's mobile phone revenue is expected to be 350 billion yuan, accounting for 47.87% of the total revenue, which is not only greatly higher than that in 20 17, but also accounts for almost half of the total revenue. For an enterprise, if a sideline can have such performance, it is certainly not a sideline, but should be promoted to the main business.
Huawei has not been a smart phone for a long time. At the beginning, Huawei actually made OEM mobile phones, but since Yu Chengdong took over Huawei mobile phones, it has been a new life for Huawei mobile phones. Its drastic reform has made great changes in Huawei's mobile phones, from the previous sideline to the main business.
In addition, it is an indisputable fact that the mobile phone business has become the main product of Huawei. According to statistics, in 20 18, Huawei sold 206 million mobile phones. In the global smartphone sales data of 20 18 released by IDC, Samsung, Apple and Huawei ranked in the top three, with sales of 292.3 million, 208.8 million and 206 million respectively. As can be seen from the data, Huawei is very close to Apple's sales. Today, Huawei mobile phones have ranked among the top three in the world. If the mobile phone business is called Huawei's sideline, it is obviously not in line with the actual situation.
In 20 18 years, the average price of Huawei mobile phones will reach about 1800 yuan. If Huawei ships 200 million mobile phones this year, the annual mobile phone business revenue will reach about 360 billion yuan. This revenue scale is almost close to the total revenue of the entire Huawei Group in 20 15 years. From 20 15 to 20 17, the average growth rate of Huawei Group's revenue was 23.6%, while the average growth rate of mobile phone business in the same period was as high as 34.8%, which was 1 1.2 percentage points faster than the average growth rate of the Group's business. Judging from the growth rate of Huawei's mobile phone business, it can also play the role of main business.
So, why do people recognize that mobile phones are Huawei's sideline? On the one hand, Huawei has a very good performance in the field of communication equipment and 5G, and is at the forefront in the field of communication technology in the world. In particular, the 5G standard was also formulated by Huawei, which owns 90% of the patented 5G technology, which undoubtedly won glory for China people in the world's advanced technology field.
According to Huawei's official disclosure, in 20 18 years, more than 100000 5G base stations have been sent to all parts of the world, and 26 5G commercial contracts have been obtained. This incident has more or less concealed Huawei's impressive record in the rapid development of smart phone business. As early as 20 13, Huawei surpassed Ericsson in the list of the world's top 500 companies, and has shown a strong competitive momentum in the field of communication equipment. At present, Huawei has begun to lay out 6G networks, and Huawei's mobile phone business is only its future communication terminal business.
On the other hand, in the eyes of the industry, Huawei's communication equipment and 5G technology are in the leading position in the world, and it has obtained more patented technologies. However, Huawei's mobile phone business only rose rapidly in the group's revenue from 20 15, and still accounted for 39% of the group's total revenue until 20 17. By 20 18, Huawei's mobile phone business accounted for 47.87% of the total revenue. It is only last year that Huawei's mobile phone business gradually entered the main business position.
Huawei's mobile phone revenue business accounts for a large proportion. 20 18 is close to half of the group's revenue, and Huawei's mobile phone business has ranked among the top three in global smartphone sales. It's a bit inappropriate to call it a sideline. However, Huawei's mobile phone business is still relatively eclipsed by the aura of its communication equipment and 5G technology. After all, communication equipment and 5G technology have been at the forefront of world science and technology, and Huawei's mobile phone business just entered the main business position last year. I believe there is still room for further improvement in Huawei's mobile phones. In short, Huawei's mobile phone business started late, but it has developed rapidly, and it has become a business that cannot be ignored.
Many netizens said that the mobile phone business is only a sideline of Huawei. However, the sideline of mobile phone business accounted for 39.3% of Huawei's revenue in 20 17, with revenue of 237.2 billion yuan. Huawei's total revenue is 603.6 billion yuan, but the turnover of its main business communication equipment business is 297.8 billion yuan, accounting for 49.3%, less than half.
Well, it's really rare to make a sideline second in the world. According to this trend, it can no longer be said that the mobile phone business is only a sideline of Huawei, and it should also be regarded as a core business. Sideline is just an old saying.
According to the current data, after the end of 20 18, the proportion of Huawei's mobile phone business revenue may exceed 45%, which will achieve a leap again.
Huawei's traditional communication industry may break out briefly when 5G arrives, but it will be in a downturn for a long time before the distant 6G arrives.
In the future, more markets may come from the Internet of Things. Not only Huawei, but also many foreign giants are making efforts in the Internet of Things. Huawei's mobile phone business is only an important part of it. After all, mobile phones can be regarded as the representative of mobile terminals.
When the Internet of Things era is officially on the right track, Huawei's "sideline" may not necessarily become "main business". One thing is that although the volume has gone up, Huawei still has to solve the profitability problem of mobile phone products, and it must also grow.
In 20 19, Huawei's business has spread all over the world in nearly 170 countries, providing network services to more than 3 billion people around the world. Huawei's business is divided into three parts: operator business, enterprise business and consumer business. Before 20 15, Huawei's mobile phone has never made a breakthrough on the mobile phone chip. At this time, Huawei's main focus is on operators and enterprise business, and it still uses self-developed low-end chips and insists on using self-developed chips. Therefore, Huawei's mobile phone was not even as famous as Xiaomi at that time, so it had fierce competition with Xiaomi, OPPO and the market on low-end mobile phones. In addition, mobile phones are an industry that Huawei entered after careful consideration, so some people say that Huawei mobile phones are Huawei's sideline.
Let's take a look at the growth process of Huawei:
In 20 15 years, the sales revenue was 395 billion yuan, and the consumer business income was 1 29 1 100 million yuan.
In 20 16 years, the sales income was 521600 million yuan, and the consumption business income was179.8 billion yuan.
In 20 17, the sales revenue was 603.6 billion yuan, and the consumer income was 283 billion yuan.
In 20 18, the sales income was 721200 million yuan, and the income from consumer business was 348.9 billion yuan.
20 15 when Huawei surpassed Cisco, Ericsson and Nokia, Huawei, which was developing rapidly in the field of communication technology, saw the ceiling of operators' business development and had to establish the policy of walking on two legs. Huawei also saw that mobile phones, as a sideline business, had great potential for development, although it was not as good as Huawei's carrier business, so it put the mobile phone industry, which could steadily improve consumer business, into the development focus until Yu Chengdong took over Huawei's mobile phones. On 20 18 and 20 19, Huawei continuously increased its investment in future-oriented R&D such as 5G, chips and smart phone terminals, and finally achieved fruitful results. After Huawei's Kirin 980 chip broke through, in 20 19, it released Kirin 990 5G chip, which surpassed Qualcomm 855 chip to become the world's first real 5g chip, and Huawei's mobile phone became the first in the world.
According to the data released by the World Intellectual Property Organization (WPO), in 20 18, Huawei submitted 5,405 patent applications to the organization, ranking first among all enterprises in the world. In addition, with the continuous growth of Huawei in the field of communication, it also shoulders its own social responsibilities, and uses its own patent advantages to join China Mobile, China Unicom, ZTE and other enterprises to escort China's mobile phones and go abroad.
With Huawei's comprehensive technological breakthroughs in the fields of 5G technology, high-end chips, communications, etc., mate30 series mobile phones and mate x5G folding screen mobile phones were launched in 20 19, and the sales of mate30 series mobile phones were hot after listing, greatly surpassing the rhythm and momentum of Apple and Samsung. Do you think the statement that "Huawei's mobile phone is a sideline of Huawei" should be changed, saying that Huawei's mobile phone is now Huawei's first main business?
Does everyone agree?
Invited to answer questions in this industry.
No matter what proportion of Huawei's mobile phone revenue is, mobile phones will always be Huawei's sideline.
Huawei started from the carrier business and has invested heavily in research and development in the communications industry for many years. Now it has become the world's number one enterprise in communication manufacturing. In the latest survey report, Huawei's communication equipment accounts for 28% of the world.
Although the revenue of Huawei's mobile phone business is constantly hitting new highs, and more than 200 million mobile phones were sold in 20 18, Huawei's roots are still in the manufacturing of communication equipment.
Huawei has invested in R&D for many years and has been growing in the field of communication. It has also become an important part of the "patent umbrella" of China communication industry. Together with China Mobile, China Unicom, China Telecom, ZTE, Shinco and other communication companies, we will escort China mobile phone manufacturers to the sea.
Judging from the development of China's communication industry and China, Huawei, whose main business is communication manufacturing, is the important Huawei. This is the mission and responsibility that Huawei must undertake.
In the field of communication, mobile phones only exist as terminals in the field of mobile communication, accounting for only a small part of the whole network.
Although mobile phones also have a lot of sales and profits, in terms of importance, they can even be said to be unimportant, at least temporarily.
In fact, some technologies in mobile phones are closely related to mobile communication technology. It can even be said that Huawei's mobile phone can achieve today's achievements, which is a "by-product" of continuous research and development in the field of mobile communication, and it is an unexpected joy.
Within Huawei, there are also rumors of "main channels", which also shows that Huawei's focus is more on the communication industry itself than on the mobile phone product line.
In a word, the communication industry in China needs a Huawei whose main business is "communication equipment manufacturing", but it doesn't need a Huawei whose main business is "mobile phones". Huawei can still handle it clearly.
Whether a business is a sideline or a main business depends not on its revenue ratio, but on its strategic position in the company.
Huawei's corporate culture is to build the Internet of Everything. Huawei's core lies in communication technology, and both mobile phones and smart home appliances serve this core to realize this vision. Ren Zheng Fei also stressed some time ago that Huawei's core technology is 5G technology, and the United States wants to sanction Huawei because Huawei's communication technology is developing too fast.
If Huawei's mobile phone is its main business, why not focus on the strategic layout around mobile phones? Huawei has no strategic layout such as battery, screen and memory. Why only focus on the layout of SOC in mobile phones? And must break through the baseband? Apple's CPU is very powerful, and its GPU is not bad, okay? The core of Huawei is communication, and the focus of Huawei is information processing. The mobile phone collects the information of hundreds of millions of consumers, and the GPU converts the information such as pictures, characters, voices and videos into electronic information. The CPU calculates, debugs and interprets these massive information, and then transmits it to another terminal through the communication base station. Huawei, the key technology of information processing, needs strategic layout.
Huawei lays out smart home appliances. His purpose is not to sell televisions and smart stereos, but to collect, process and transmit information. Therefore, the biggest difference between Huawei's IOT strategy and Xiaomi is that Huawei's smart home appliance chips and systems must be Huawei's own. What he provides you is not the hardware of TV, but the service of information processing and transmission. Therefore, Huawei will not focus on strategic layout, chips, systems, base stations and so on. Things unrelated to information processing and transmission. Huawei doesn't care about hardware-related, information-independent, screen, whole machine, PBC and other things.
Finally, Yu Chengdong, the boss of Huawei's mobile phone business. In Huawei's internal position, it should not be ranked in the top 5. Why? It stands to reason that Huawei's terminal business revenue and profit are the largest. Why? Because the strategic position is not the highest.
(Lao Yu is at least after Ren, Hu, and. )
This statement is wrong. Huawei's mobile phone is now and will be Huawei's main business in the future, and other businesses are sideline businesses!
The complete annual report of Huawei 20 18 has not yet come out. Let's take a look at the sales target set by Huawei at the beginning of 20 18! At that time, Huawei's annual sales target was $65.438+$002.2 billion. At the same time, the revenue targets of the main business segments are enterprise business (EBG) of 654.38+0.06 billion US dollars, operator business (CNBG) of 45 billion US dollars, consumer business (CBG) of 44.65438+0 billion US dollars, and the rest are classified as others, including cloud services of 2.5 billion US dollars.
As can be seen from the above objectives, the difference between the business of operators and the business of consumers is very small, only 900 million US dollars, accounting for 43. 15% of the whole plate, while the business of consumers is actually the terminal products such as mobile phones, so it can be seen that a business with income exceeding 40% is no longer a sideline.
At the 20 19 annual meeting, Huawei revealed the actual revenue of $2108.2 billion, and also announced the KPI for the whole year of 20 19, with the revenue target of $125.9 billion, including $65 billion in consumer business revenue and $446,543.8 billion in operator business.
In this way, according to the revenue target of 20 19, consumer business has become the main business, accounting for 5 1.6%, more than half. The mobile phone sales target is 250 million in 20 19 and 300 million in 2020.
It can be seen that Huawei's mobile phone has long been Huawei's main business, while the carrier business, which originally accounted for a large proportion, is in a state of decline. Huawei has invested a lot of money in the research and development of mobile phones, Kirin chips, 5G baseband and related 5G technologies, which also shows that Huawei does not just regard the mobile phone business as a sideline.
Therefore, Huawei mobile phone is no longer a sideline!