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Huawei eyes bigger enterprise revenues in PHL

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By Janina C. Lim, Reporter

HUAWEI Technologies Co. is targeting to increase sales from its enterprise business in the Philippines by 150% this year, as the Chinese tech giant boosts investments on its incentive program.

“Our sales target for ourselves in this country is more than 150%,” Todd Liu Peng, Huawei vice-president for partners and alliances in the southern Pacific region, said during the company’s enterprise business group (EBG) conference in Taguig City, Friday.

Huawei’s EBG unit, which provides network devices and platforms for corporate clients and government agencies, earned $40 million from the Philippines last year, a 35.1% year-on-year growth.

Huawei’s EBG President Leo Zhang attributed this to the deals it secured with government agencies, citing the Social Security System and the Department of Finance, and conglomerates such as the Ayala and SM groups.

Mr. Peng expects the company’s simplified incentive program to drive sales growth this year.




The partner incentive program is intended to increase profits for partners who help resell Huawei’s enterprise products, provide rebates, marketing funds, incentives for key activities, among others. This year, the company will remove the sales threshold that partners are required to achieve to get a rebate.

In addition, Huawei shortened its rebate period to a quarterly basis from the previous biannual basis.

In 2018, Huawei gave out some $1 million in rebates and is targeting to increase this to $5 million this year, according to Mr. Peng.

Huawei will also aim to bring in more local partners. The firm gained 122 local partners last year, bringing the total to 320.

“You will not find anything like this in our major competitors,” Mr. Peng added, referring to its incentive program.

For his part, Mr. Zhang said the Philippines remains an important country for Huawei to expand its global presence.

“It is also one of the most strategic markets for us worldwide. As we march further into digital transformation, we will see more capital investment pouring in for enhancing infrastructure, promoting collaborative innovation, and robust support for small and medium-sized enterprises,” Mr. Zhang said in his opening remarks.

“All of these factors make for a promising outlook and a strong potential for our joint growth and success in the future,” he added.