In 2023, Huawei—the Chinese tech giant—saw its profits soar, more than doubling to 87 billion Chinese yuan (CNY) (equivalent to USD 12 billion), compared to CNY 35.6 billion in 2022. However, this fell short of its record profit of CNY 113.7 billion in 2021. The company also reported a 9.6% surge in revenue, amounting to CNY 704.2 billion.
Throughout the past year, Huawei's ICT infrastructure business remained solid, and its consumer business met expectations. Both its cloud computing and digital power businesses grew steadily, and its intelligent automotive solution business began large-scale delivery, Huawei outlined in a statement.
In 2023, the company invested CNY 164.7 billion back into R&D, which accounted for 23.4% of its annual revenue. Altogether, the company's R&D investment over the past decade has amounted to CNY 1.11 trillion.
Also Read: 5.5G Era: Exploring Future Innovations and Connectivity Trends
"The company's performance in 2023 was in line with forecast," said Ken Houkun Hu, Huawei's Rotating Chairman. "We've been through a lot over the past few years. But through one challenge after another, we've managed to grow. The trust and support of our customers, partners, and friends around the world is what helped us keep going, keep surviving, and keep growing."
2023 Business Sector Breakdown
|
Business Sector |
Revenue (CNY Billion) |
Year-on-Year Growth (%) |
|
ICT Infrastructure |
362.0 |
2.3 |
|
Consumer Business |
251.5 |
17.3 |
|
Cloud Computing |
55.3 |
21.9 |
|
Digital Power |
52.6 |
3.5 |
|
Intelligent Automotive Solution |
4.7 |
128.1 |
Also Read: Embracing the Foundation Model to Usher in L4 Autonomous Wireless Networks
Profit Catalyzation
Huawei's surge in profits can be attributed to the release of its Mate 60 Pro smartphone, powered by an advanced, domestically-produced chip, which sparked debate about whether US attempts to curb China's access to semiconductor technologies had been effective.
Huawei remains the world's leading equipment manufacturer for 5G and 5G-Advanced and has been involved in infrastructure projects in many countries.
The United States has sought to convince its allies to ban Huawei from their 5G networks, arguing that Beijing could use the group's products to monitor communications and data traffic.
In response to the restrictions imposed by the US, Beijing has criticized Washington's actions, referring to them as an "abuse of the concept of national security to hobble Chinese companies" while also condemning what they see as "discriminatory and unfair practices."
By embracing an open, collaborative approach, Huawei aims to persist in its focus on advancing core ICT technologies. Furthermore, it endeavors to enhance platform capabilities for intricate hardware and sophisticated software systems, subsequently extending opportunities to partners to foster mutual success.
Also Read: Huawei’s Outstanding Contributions Recognized Globally
