Huawei Corporate Presentation

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1 Huawei Corporate Presentation Enriching Life Through Communication HUAWEI TECHNOLOGIES CO., LTD.

2 Huawei at a glance Who is Huawei Employees Employees A leading global ICT solutions provider A private company established in 1987 A Fortune Global 500 company 150,000+ employees worldwide 70,000+ engaged in R&D Market Progress $32.4 B revenue in 2011, $16.2B in 2012 H1 Serving 45 of the world's top 50 operators Serving 1/3 of the world s population Business Areas Carrier network Enterprise business Consumer devices HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 2

3 Sustainable growth Revenue (USD in billion) 12.6 (CNY 92.2 bln) 18 (CNY123.1 bln) 21.5 (CNY146.6 bln) 27.6 (CNY182.5 bln) 32.4 (CNY203.9 bln) 38.7 (CNY243.4 bln) (Target) Huawei releases its Annual Report with consolidated financial statements audited by KPMG HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 3

4 bln) 2007 2008 2009 2010 2011 2012 (Target) Huawei releases its Annual Report with

4 Continuous innovation investment ~70,000 R&D employees 15 R&D centers located in 29 cities 25 Joint Innovation Centers 26,539 patents USD 3.76 billion in Lab Huawei s innovation engine Navigating the company s future through innovation Driving the industry and society forward % of revenue R&D spending 9.4% 9.1% 9.7% 9.7% 11.6% Cloud computing will shape future network development Heavy investment in R&D Cloud Computing Develop datacenter solutions based on cloud computing HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 4

of revenue R&D spending 9.4% 9.1% 9.7% 9.7% 11.

5 Localized operations powered by global resources Netherlands Germany Hungary Romania Mexico Bahrain UAE India China Malaysia Huawei Headquarters Accounting share center Bidding center (Planning) Supply center & Hub R&D center Training center Technical support center Brazil Argentina Mauritius 14 Regional Headquarters, operations in 140+ countries 150,000+ employees with 150+ nationalities worldwide,73% recruited locally HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 5

support center Brazil Argentina Mauritius 14 Regional Headquarters, operations in 140+ countries 150,000+ employees with 150+

6 Global cyber security assurance system Huawei s end-to-end cyber security assurance system incorporates aspects from our corporate policies, organizational structure, business processes, to technology and standard practice. Huawei Cyber Security White Paper (Sep._2012) Supervisory Authorities Cyber Security Evaluation Centre (UK) Operators Security tests and audits with leading operators Security/ Industry Organisations Participation in and contributions to enhancing security standards Huawei believes that the establishment of an open, transparent and visible security assurance framework will be conducive to the sound and sustainable development of industry chains and technological innovation; it will also facilitate smooth and secure communications among people. - Mr. Ren Zhenfei, CEO, Huawei HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 6

_2012) Supervisory Authorities Cyber Security Evaluation Centre (UK) Operators Security tests and audits with leading operators Security/ Industry Organisations Participation in and contributions to

7 Carrier Enterprise Consumer Organization of Carrier Network Business Group Carrier Network BG Marketing and Solution Dept. Fixed Network BU Wireless Network BU Telecom Software & Core Network BU Global Tech. Service BU Focus on E2E Solution Cloud-Pipe- Device Synergy Portfolio Mgmt. Focus on FBB Solution Router & Switch Optical & Microwave Fixed Access Security iodn Focus on MBB Solution PS Core Radio Access Site Solution BSS/OSS Roll Out IT Infrastructure Professional Cloud Computing based Data Services Center Managed Services FMC/RCS-e Core Network App. Enabling Platform Subscriber Data Base Organizational transformation to more quickly meet customers solution demands Consolidated business units (BUs) and functional departments to enhance organizational efficiency HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 7

Focus on FBB Solution Router & Switch Optical & Microwave Fixed Access Security iodn Focus on MBB Solution PS Core Radio Access Site Solution BSS/OSS Roll Out IT Infrastructure Professional Cloud

Carrier Enterprise Consumer Enterprise business strategy: A leading supplier of integratable ICT products and solutions Targets in 2015 Open-Collaboration Integratable products and solutions

and architecture design Joint innovation with telecom carriers Full series cloud-pipe-device products Leading ICT Provider Cloud Computing & DC TOP3 Multi-win Business Model Enterprise Network

8 Carrier Enterprise Consumer Enterprise business strategy: A leading supplier of integratable ICT products and solutions Targets in 2015 Open-Collaboration Integratable products and solutions Transparent channel policy Open platform, easy to redesigned by partner Build a healthy ecosystem Unified Communication & Collaboration TOP2 Leading ICT Solutions Business oriented ICT consultation and architecture design Joint innovation with telecom carriers Full series cloud-pipe-device products Leading ICT Provider Cloud Computing & DC TOP3 Multi-win Business Model Enterprise Network Hi-touch+ partner business model: develop enterprise market through operator resale; Global presence and local partner to support fast deployment and professional services TOP2 HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 8

1 Solutions Leading technologies out of Cloud-Pipe-Device synergy Connected Home, Management Service, Cloud+, etc.

9 Carrier Enterprise Consumer Growing into a major player in Smart Devices field Mobile Broadband Brand Operator brand + Co-branding + Huawei brand No.1 Home Devices Channel Operator resale + + Open market sales Online sales No.1 Solutions Leading technologies out of Cloud-Pipe-Device synergy Connected Home, Management Service, Cloud+, etc. Smartphone To be a Tier One brand HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 9

Awards and Honors By International Media Three Accolades at Global Telecoms Business Innovation Awards 2011 The Global Growth and Innovation in Telecom Managed Services of the year Award, the only

10 Awards and Honors By International Media Three Accolades at Global Telecoms Business Innovation Awards 2011 The Global Growth and Innovation in Telecom Managed Services of the year Award, the only award in the global managed service field, by Frost & Sullivan (2011) E5 was awarded Work Gadget of the Year! by Australian T3 and Product of the Year by Pocket Lint in UK Corporate use of innovation by The Economist "Green base station innovation", "Wholesale network innovation" and "Consumer voting innovation" awards with Vodafone, BT and TalkTalk respectively by Global Telecoms Business By Industry Organization Supplier of the Year 2012 by Vodafone InfoVision award for Best Broadband Access Fixed at the Broadband World Forum 2012 by virtue of its Largest Capacity Vectoring System "Most Significant Development for Commercial LTE Networks" and "Best LTE Core Network at the 2012 LTE World Summit "Solution Excellence Award by TM (2012) Industry Leadership Award by TM Forum (2011) "Excellence in Standards Development Award" by IEEE (2011) Awarded "Significant Progress for a Commercial Launch of LTE by a Vendor" and "Best LTE Network Elements at LTE World Summit 2011 Good Design Award 2010 by Japan Industrial Design Promotion Organization HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 10

by Australian T3 and Product of the Year by Pocket Lint in UK Corporate use of innovation by The Economist "Green base station innovation", "Wholesale network innovation" and "Consumer voting

Huawei CSR Commitments Bridging the Digital Divide Expanding communications coverage Elevating local telecommunications expertise Narrowing broadband gap Environmental Protection Green Communications

11 Huawei CSR Commitments Bridging the Digital Divide Expanding communications coverage Elevating local telecommunications expertise Narrowing broadband gap Environmental Protection Green Communications Green Huawei Green World Focusing on the above areas, we are Employee Dedicated employees as the foundation Employee occupational health and safety Employee career path and growth Open communication channels Fair Operations Transparent sales Transparent procurement Building a harmonious business environment Supply Chain Improving CSR awareness and capability of Huawei and its supply chain Strengthen supply chain CSR management Safe Operations Safety First, Prevention First Risk Control committed to the sustainable development of the social economy and Stakeholder Communication Improving communication with stakeholders Enhancing customer perception Social Contribution Disaster relief efforts Social welfare contributions Local community engagement the environment HUAWEI TECHNOLOGIES CO., LTD. Huawei proprietary. No spread without permission. Page 11

channels Fair Operations Transparent sales Transparent procurement Building a harmonious business environment Supply Chain Improving CSR awareness and capability of Huawei and its supply chain

12 Thank you Copyright 2011 Huawei Technologies Co., Ltd. All Rights Reserved. The information in this document may contain predictive statements including, without limitation, statements regarding the future financial and operating results, future product portfolio, new technology, etc. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied in the predictive statements. Therefore, such information is provided for reference purpose only and constitutes neither an offer nor an acceptance. Huawei may change the information at any time without notice.

results, future product portfolio, new technology, etc.

IoT and the Digital Divide

IoT and the Digital Divide Achieving Higher Speed, Lower Latency and High Degree of Reliability Xiao Binbing Country Manager, Huawei Denmark. www.huawei.com Contents Company Overview Industry Trends The