Wen Yang Xiaohe Tech Planet
The era chose Huawei , and Huawei chose Yu Chengdong.
Recently, Huawei's various changes have attracted great attention from the outside world, especially around the mobile phone business and its leader- Huawei Consumer Business CEO Yu Chengdong himself. On January 26, after just denying the sale of Huawei's Mate and P series mobile phone business, on the 27th, he responded to the false rumors of the transfer of Yu Chengdong in the form of official announcements-Yu Chengdong will also serve as the president of Huawei Cloud and Computing BG .
After the sale of Honor, Huawei seems to not want the outside world to think that the company has abandoned its mobile phone business. Any rumors of misunderstanding of the mobile phone business will be responded to and clarified on the same day.
However, Yu Chengdong's appointment as the head of Huawei's cloud business also reflects Huawei's internal emphasis on cloud computing business. In addition, the previous smart car solution BU was adjusted from ICT (Information Communications Technology) to the consumer business group. So far, Yu Chengdong has coordinated Huawei's mobile phones (smart mobile terminals), automobiles (smart car systems), cloud and computing (Cloud & Computing). AI) Three core businesses.
"Which product line Yu Chengdong goes to will become the star and main product line", an old Huawei Cloud employee told Tech Planet (WeChat ID: tech618). Huawei’s intention seems to be for Yu Chengdong, who can win the battle, to fight from the C-side to the B-side business, not only to compete with Apple in the fields of mobile phones, tablets, and computers, but also to compete with Internet giants such as Microsoft in the fields of cloud computing and AI. competition.
However, the current two major business prospects are facing challenges. The "core shortage" problem has caused serious shortage of stocks of Huawei's high-end flagship machine Mate 40. It is still unknown whether the next-generation flagship machine Mate 50 can continue.The money-burning nature of the cloud computing business also led Ren Zhengfei to post internally: "Don't learn from Ali and Amazon, they have money to spend in the stock market."
is already the world's largest shipment. The mobile phone business, cloud computing and AI business with the sixth largest market share in the world, the development of the plot did not go as expected. In terms of the future development of Huawei, can it eventually become Apple + Microsoft?
Smartphone business is one step away from reaching the top
Huawei mobile phone Wandering in the rumor of whether to sell or not, on January 28, the old rival Apple released the 2021 Q1 financial report (equivalent to fiscal year 2020 Q4). Apple's overall revenue in this quarter reached 111.439 billion U.S. dollars, an increase of 21% year-on-year, setting a new single-quarter revenue; net profit was 28.755 billion U.S. dollars, an increase of 29% year-on-year.
Apple’s financial report is so eye-catching, the core reason is that its first 5G mobile phone iPhone 12 sold out. Yu Chengdong once told the media, "Our 5G mobile phones have reached the third generation, and the other rival (Apple) is the first generation." But the number of generations is not important. Because of the insufficient supply of chips, Huawei Mate 40 is now very out of stock. The price of this phone in many channels has reached 8,000 yuan, and it is still hard to find a machine.
Looking back, Huawei's mobile phone business started in 2003, first as a PHS and then as a channel provider. At that time, Huawei's wireless business was very small and it was almost stopped. After taking over Huawei's consumer business in 2012, Yu Chengdong made an important decision to save the mobile phone business. "We will not make low-end OEM mobile phones. We will make mid-to-high-end products and promote Huawei's own brands. That was a bold decision at the time," Yu Chengdong said in the documentary "Who is Huawei".
Since then, the Huawei P10 mobile phone has gained a reputation for its beautiful design. Mate's decision to position high-end business has also won market recognition. The glory series of e-commerce and the main attacking sinking method have also consolidated Huawei The foundation of consumer business. In 2019, Huawei’s mobile phone shipments have also become insignificant.Develop beyond Apple.
Under the strategic decision of making high-end brands, Huawei has made efforts in three areas: chips, systems, and ecological partners. Huawei HiSilicon’s Kirin chips were forced to be applied to Huawei mobile phones. After the pitted K3V2, to the continuous evolution of Kirin 910, 960, 980, 990, and 9000, Kirin’s self-developed chips have now become the flagship of Huawei mobile phones.
Huawei's next-generation Hongmeng system has also entered the 2.0 test version stage. Tech Planet Experience Hongmeng system found that its main feature is compatible with Android system and applications, facing the Internet of Things era. Hongmeng R&D staff demonstrated the cross-screen linkage gameplay in the fields of education, fitness, games, etc. Although the Hongmeng system is not as closed as Apple's iOS, there is still a lot of commercialization for Huawei's work and life IoT scenarios.
In building the ecological field, even when the chip prospects are not bright at the end of 2020, Huawei still held a mobile phone ecological partner conference. Wang Yanmin, President of Huawei's Global Ecological Development Department, who is in charge of Huawei's mobile service ecosystem ( HMS ), promises to thousands of ecological partners that Huawei will not give up the pace of ecological building and overseas development. However, according to Tech Planet's observations, judging from the promising prospects of overseas markets collected on the spot, it has become a trend to leave the United States and Europe to enter Southeast Asia and Northeast Asia.
It should be said that if Huawei is given another two years, SMIC will be able to break through the chip production problem of a smaller process and will be able to successfully produce high-end chips such as 5NM of Huawei HiSilicon; the official commercial version of the Hongmeng system will After the official release, Huawei's EMUI ecosystem partners will become more mature, and use HMS to replace Google's GMS in Europe and America.
It's a pity that time waits for no one. At the critical moment when Huawei will be able to fully wrestle with Apple, it has been strangled by fate.
The bumpy road to cloud computing "5 clouds in the world"
The four cores of cloud computing are computing, communication, storage, and security. It can be said that Huawei has top advantages in these areas.Therefore, it is logical to enter the cloud computing field.
However, from the perspective of Huawei’s internal corporate strategy, it is too early to do cloud computing and AI business, and it conflicts with its own sales of servers and other hardware + system solutions. The problem of internal consumption of Huawei Cloud&AI and EBG business has been difficult to solve. Therefore, until the official release of the HUAWEI CLOUD brand in 2017, and in 2020, Ren Zhengfei will internally ask HUAWEI CLOUD to become the "black land" of global companies, helping ecological companies grow potatoes, peanuts, and so on.
Today's revenue must make way for tomorrow's development, and Huawei Cloud's strategic position has been clarified.
However, despite Canalys data, Huawei Cloud has ranked second in the domestic public cloud market with a 15.5% share. However, in the voice of Huawei’s intranet community, there are still employees who describe “the past three years are the three years that Huawei Cloud has lost.”
In the eyes of industry professionals, after all, Huawei’s size is beyond Baidu Cloud, Kingsoft Cloud It is easy to wait for enterprises, but it is not small to surpass Alibaba Cloud and Tencent Cloud. Huawei itself lacks online services such as e-commerce, video, and games. Its own business does not involve applications and data to do cloud computing. It has the problem of "smart women can't cook without rice". It has to compete for customers in various industries in the market and get started. The competition between domestic and foreign giants that have developed earlier, Huawei Cloud&AI BG's ability to organize wars is also questionable.
Huawei Cloud has experienced three heads. The first is the current Huawei rotating chairman Xu Zhijun , who led the birth and positioning of Huawei Cloud during his tenure as the rotating CEO. Because Xu Zhijun has been at the core of Huawei's power pyramid, Huawei Cloud can be upgraded from BU to BG and become four first-level business groups parallel to the consumer business group led by Yu Chengdong.
An old Huawei cloud employee commented on Xu Zhijun: "Xu is good at being sophisticated, and his personal positioning is to push some new technologies across the ages." For example, for Honor's AI mobile phone Magic, Xu Zhijun is behind it. Since cloud computing is essentially a cloud service, Xu's resume and background are more suitable for the strategic level. Therefore, the follow-up of Huawei Cloud ushered in Zheng Yelai and Hou Jinlong.
Huawei Cloud BU President Zheng Yelai’s main achievement is to productize Huawei Cloud.At present, Huawei Cloud has launched more than 210 cloud services and more than 210 solutions, which can provide complete services to most customers. Hou Jinlong, President of Huawei Cloud BG, was once a subordinate recruited by Yu Chengdong, laying the foundation for Huawei Cloud to expand its private cloud, hybrid cloud and storage business.
The biggest problem for Hou and Zheng leading the development of Huawei Cloud is that they are generals, lacking the ability to be handsome, that is, the ability to coordinate the resources of Huawei's entire system. The arrival of Yu Chengdong will solve the problem of how to integrate the leadership and coordinate the development. Moreover, Yu Dazui's "speak first and then do it" style is very different from Huawei's style of stuffy work, and it will also help build the confidence of cloud business BG.
Currently, cloud computing has a 3A pattern in the world, that is, Amazon's AWS, Microsoft's Azure and Alibaba's AliCloud. Huawei Cloud still has a great opportunity. According to Gartner's latest report, Huawei Cloud's global IaaS ranking rose to sixth in 2019, with a growth rate of 222.2%, the fastest growth rate in the world.
If Yu Chengdong can solve the problems of internal friction and morale of HUAWEI CLOUD, HUAWEI CLOUD's dream of becoming the "five clouds in the world" is just around the corner.
The third transformation of Huawei chose Yu Chengdong
The current Huawei is standing at the crossroads of destiny.
A Huawei internal employee said: In 2019, the company clarified the intelligent computing industry. This can be regarded as the company's third industrial upgrade and transformation from fixed to mobile, from operators to enterprises, and from connectivity to computing.
But at this turning point in fate, foreign markets and technology blockades, and internal transformation pains within the company have all put Huawei under considerable pressure. And Yu Chengdong's achievements in the consumer business have also made him a trusted minister of Huawei. Today, Yu Chengdong is responsible for Huawei's three core businesses for the future, and Huawei also has new strategic considerations.
Yu Chengdong previously proposed a 1+8+N strategy for the consumer business. 1 refers to the smart phone business, 8 refers to a series of businesses such as tablet computers, smart watches, VR glasses, car machines, and N refers to pan-IOT equipment. So far, the mobile phone business is not only the department where Huawei contributes one-third of the revenue, but also the channel for Huawei to open up the C-end and B-end business.
As a Huawei employee shared,"How to avoid repeating the tragedy of the GE Internet of Things platform, combined with the terminal cloud and using mobile phone traffic to break the game may be an option." Many Huawei employees agree with their view, because using this to increase SaaS, this city wall breach is worth hundreds of billions of dollars. As the market gradually improves its search and recommendation technology, Huawei will be able to conduct a complete layout of the four-tier industry.
In this strategic ecology, the bottom layer is the ICT layer, which is the business and foundation that Huawei started; the cloud computing and AI services are on the top, this layer provides digital infrastructure capabilities; the next layer It’s IoT devices such as Huawei’s mobile phones. These services can directly reach people. The next level is the Hongmeng Internet of Things system, which unifies life, home, car, and work scenarios. Finally, it’s Huawei’s ecosystem, which gathers outstanding global players. C and B-end product developers, improve Huawei's various services.
Huawei currently seems to be moving in this direction. Recently, Huawei Cloud released the HMS ecological support plan, providing 500 million yuan of cloud resources in the first batch, focusing on supporting 1,500 HMS applications. In the commercial stage, each application will also receive up to 1.2 million yuan in advertising resources support.
Huawei's dream is big, but the challenge is tough enough.
The C-side business meets Apple's narrow road, and the B-side business has to challenge Microsoft, which has been established for more than 40 years. This also makes Huawei have to choose what to do and what not to do. For example, when Huawei appointed Yu Chengdong to take charge of the smart car business, it mentioned that Huawei does not produce cars, and whoever proposes to build a car will be fired. When developing cloud computing and AI, they also choose to reduce the scale of business development.
Can Yu Chengdong turn the tide and become a ZTE general who will lead Huawei to the next stage?
Judging from Yu Chengdong's resume, his graduation from Tsinghua University has brought a better layout and vision. In the field of communications, Yu Chengdong is the first inventor of the fourth-generation distributed base station, and it has also proven that he is a technical talent. The success of Huawei's consumer business proves its outstanding strategic and management capabilities. In the eyes of the public, the marketing ability of "Yu Dazui" is most intuitive, but it is not important.
But this task is difficult enough. Yu Chengdong's biggest challenge is how to use limited resources to complete Huawei's transformation. It’s not difficult to see from some clues that Huawei is shrinking the front and focusing on core areas.For example, it is rumored that Huawei will leave some Kirin 9000 chips to develop Mate 50 and P 50 to retain the mobile phone business; the transfer of the former president of Huawei Cloud Hou Jinlong to chairman of digital energy will also help Yu Chengdong fully integrate mobile phones, automobiles, and cloud computing. Business with AI.
Although Yu Chengdong has not served as the rotating chairman of Huawei, he currently shoulders Ren Zhengfei's important expectations. Huawei's future is worthy of attention and expectation.
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