The "capital" is gradually replacing the "technology" as Huawei's new favorite "?".
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--Read this article, you will find that this conclusion is incorrect. Huawei is relying on technology, explore a different type of capital operation mode.
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"Hatching a product line, independent or joint ventures, and sell or market" has become a Huawei alternative capital mode. The "zero cost" of joint-venture model for Huawei strategic intrusive new market share a huge risk.
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Although China is the latest announced the establishment of joint venture "huasai" to the end of 2007 to complete the form, but the relevant information for the operation of the JV or gradually from the escape of non-official channels.
June 26, insiders familiar with Huawei disclosed to reporters, senior vice president of Huawei Trader Teng Biao, a joint venture of the possibility of the actual maximum, Deng Biao had been in charge of Huawei Network Product Line, Huawei Technologies and served as general manager of Guangzhou Branch . June 21, Huawei storage and security product line engineering, said Minister Zheng Zhibin, Huawei is a large-scale recruitment of hackers, as. .
"The future operational huasai". "Huawei has taste tasting the capital times, Huawei joint venture is becoming a strategic incursions and important means of risk-pooling. ”Frost。.
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Sullivan (China) company President Wangyu said. Only in May this year, Huawei has twice declared the venture. In addition to the 21 may announce a joint venture with Symantec, May 15, Huawei and industry-leading submarine cable company Global engineering system.
Marine Systems Limited ("Global Marine Systems Limited"), a joint venture company signed a letter of intent, cut into the submarine cable market. .
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With the November 2003 and the establishment of high-profile Huawei 3Com is not the same, Huawei joint venture exception of two low profile recently. Insider familiar with Huawei told reporters, corporate strategic development has become one of the most important sectors of Huawei, Huawei is hatching some product lines, and frequent contacts and the multinational giants, he judged the next few years, Huawei's core business outside the area, the joint venture will be continuously emerging. .
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"Sleight of hand tricks." .
In many cases, a joint venture in China to "cut" list, only the injection-related business and staff, and in exchange for a controlling stake.
As is now wholly owned by 3COM, and changed its name to China three joint venture Huawei Communications 3Com, Huawei brings to the investment income, but also with any classic case of a rival Harvard. Because of the litigation and Cisco sadly out of the U.S. market with Huawei Huawei 3Com, only to return to Europe to solve the major problem the mainstream market, also the domestic price war, and the acquisition of the bay across crowded network, eliminating the scourge directly. November 2006, 3COM announced that out of 8. .82 Million (a time when 6.8 billion yuan) of the price in the acquisition of Huawei Huawei 3Com 49% of the shares. Huawei 3Com at a time when only the 3rd anniversary of the establishment. .
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Huawei, a former executive from the sale of which gave the Chinese to pay the costs calculated that an account. "At the time, Huawei did not dig a penny of cash, put the low-end routers, Ethernet switches, and related technical and sales team with less than 1,000 people." The former executives of Huawei, said, "but also That Huawei team, use of the time 3COM advance into the 1. .6 billion, out of the crisis in the completion of the historical mission of Huawei 3Com, while in 3 years time, Huawei earned 6.8 billion yuan. ". .
Similarly, Huawei in the joint venture operations and to sell the shares of JV, never give up enterprise network market. This reporter has learned that Huawei Datacom core strength has been in existence in the womb, Huawei, telecom operators is the revenue of the head, but Huawei has a special Department for petrochemical industry, railway and other large enterprises, in 2006, operating income reached ten million. In addition, Huawei, through distribution of the Integrator to help Huawei hit single.
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Huawei's temptations.
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A joint venture relationship between the parent companies, and their interests. But gradually disappeared survival status as well as the significant financial pressure, which makes them "Pong Huawei Technologies, so that my old tree flowers". Huawei Technologies, business operations, as these multinational companies doing business quickly.
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"Huawei joint process too in the interests of the parent company, this means that the joint venture company in General will be short-lived. ”Frost &。.
Sullivan (China) Wang Yuquan, president of such a judge, "If the business doing well, Huawei can be docked to survive; if the business well, Huawei will be their best toward the market, and sell the joint venture is a premium." . .
Since Huawei such "hegemony", that will be able to win the favor of multinational giants with love? Huawei seductive end? " Huawei Technologies, business operations, as these multinational companies doing business quickly, and makes the company's financial statements can meet the needs of the shareholders. ”。.
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One of the most typical example of this is the third.
It is understood that Huawei has been since its establishment in 1998, the annual R & D investment is maintained at about 10% of sales. In 2006, Huawei's R & D expenditures as high as 59 billion yuan, accounting for 8 of the proportion of corporate revenue. .9%. Continued accumulation of many years in technical, making a total of Huawei in 2006 for the 2575 patent. In 2006, Huawei's international patent application submitted, even more than the U.S. Cisco, at 575. .
While a middle Huawei believes that because of Huawei in joint venture with unique technical attraction, Huawei in the joint venture, have a very strong "right." "Past ventures are often ' market for technology ', with Huawei-led joint venture changed this, not just ' technical exchange market ', you can also change the ' capital ' of technology. ”。.
"Symantec's storage and security technology and experience accumulated wealth than Huawei." Telecommunications consultant Tan Yanming and insiders have known that Huawei Huawei allure lies in its unique, highly commercial operation ability Huawei and implementation capacity. Moreover, this joint venture, Huawei is a complementary field of its strong combination. There is no conflict of interest burden of the mother, both objectives. In theory, the "Chinese race" together is greater than the previous joint venture. .
The "capital of chess" evolution.
Huawei's unique "chess capital" is in the process of expanding its high speed, gradually formed Evolution. Huawei has never been familiar with the road of cooperation and capital. In the initial stage of the growth of Huawei, Huawei is a respected national independence and cooperation with "nationalism." Huawei and three or four markets post office (then Telecom has not split out) set up a joint venture company to "encircling the cities" model, "from the 'powers', won the first pot of gold in the hands", then those with Huawei branches form a joint venture of the shares fully recoverable. 2001, Huawei to sell means the first to address the winter heating and domestic large-scale development of money and grain core business issues.。 As a non-listed companies, Huawei to raise capital in the most effective way, it is clear that it is "hatching a lucrative but with main business relations more distant product line — joint or independent — sell or listing". At the same time, Huawei "gradually opening up. There was of Huawei's expert disclosure, ren zhengfei do dahua is thinking is that with world-class enterprises to establish overall strategic capital relations, Huawei in the internationalization and the world-class enterprise on the road to direct access to more comprehensive support. Huawei tried "private equity introduced strategic investors, and the overall listing" base path to borrow some ship, do dahua..
Since 2001, Huawei extensively with IBM, Motorola, Intel, Marconi, NEC and other U.S., European and Japanese access to large international companies, intends to sell 25% to 30% of the shares, while absorption of 5 to 6 business investment shares and become a strategic partner Huawei Technologies. Huawei hopes after the completion of private placement to overseas listed as a whole. To balance the interests of all parties and have control over the idea of each Huawei stake of strategic investors are not more than 5%. Ren and even to negotiate personally with IBM. Huawei only consider the strategic investor's capital will be value-added cooperation, without considering the technical, market exchange cooperation.。 Investment and business and market cooperation is not a separate, but related.
Huawei will insist on its strategic investment program. Therefore, no substantive progress. This scene is also Huawei other strategic investors invited to repeat itself. Some of these multinational companies recommended in certain products with Huawei cooperation in the field, and some want to work with Huawei set up a "best, only two parties," the joint venture. Moreover, it seems in some multinational companies, Huawei Technologies is a privately held company, its financial content can be kept confidential, in such a case, the co-operation will become complicated.。 In 2003, and the United States intellectual property between Cisco lawsuit, so have to go abroad for Huawei produced in Europe and overseas market crises, thereby accelerating and 3COM established "only two sides" of the JV process. In a joint venture in China to discover their non-core businesses and future trend of business in the eyes of these multinationals, as well as to the enormous added value, a series of negotiations relating to the joint venture in China to steadily. . .
"The joint venture, in a sense, is the final part of the capital strategy. "Familiar with Huawei insider's opinion. He said that as early as in 2004, Huawei has developed the first partition after the listing of thought. "Huawei will eventually separated from the individual service blocks introduced strategic investors, respectively, to implement the listing, respectively. ”。.
Alternative "strategic investment Huawei will explore new markets and transition on the body, always maintain a cautious and pragmatic manner. This free movement of strategic investment, Huawei will never hurt himself. And BenQ, TCL, Lenovo and even, it is the practice of venture capital, investment fail, the companies will be beating..
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Most agree that the object to be interviewed, Huawei is using a relatively "alternative" model to build a huge Huawei "system." This alternative is reflected in two aspects, it differs from Western companies such as Cisco, Microsoft, by virtue of the hands of the capital, merger-related technology companies, to do all their product lines and expand market share; also different from Lenovo, BenQ , TCL, as to "look at a lower price," the acquisition of large companies have formed a standardized product line, has been trying to help each other market resources and brand to achieve "scale", "international standards." In Frost. .
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Sullivan (China) Wang Yuquan, president of opinion, for now, Huawei's this model is successful. "Huawei is a truly international company.". .
Wangyu said, "this is reflected in the strength of Huawei real action on internationalization and operates on an international scale. Huawei and cooperation of the Giants, followed by a strategic investment, rather than risk investment. ”。.
Wang Yuquan that Huawei will explore new markets and transition on the body, always maintain a cautious and pragmatic attitude. The free movement of strategic investment, Huawei will never hurt himself. BenQ, TCL, Lenovo and even, it is the practice of venture capital, investment fail, the companies will be beating. .
"Enterprise development should be gradual, to first learn to crawl, then walk, then run, this is done. ”。.
Wang Yuquan said that "in foreign countries have not learned how to master and control of a corporation, they use the capital to operate in a way that did not learn to walk, they begin to run. You plug a big stall, there is no other business to adjust ability, how can make money? only gambling CEO..
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"Huawei's way of doing things, let coyotes to try to see if there is no meat. If there is, big wolf full follow-up." Insiders think so familiar with Huawei, "China's success of the three models, this will stimulate Huawei mode selection on the acceleration. but Huawei's successful model of this hard copy. ". .
First, private enterprises, decide the Huawei may freely choose the external partners and cooperative modes. Huawei's non-listed companies, allowing us to avoid a lengthy review and decision-making process. "On the strength, a strength of the Earth's external cooperation, but it is a listed company, is a State-owned enterprises. Its capital structure is not convenient and quick joint-venture and bigger. ”。.
Second, with Huawei's image and strength related. "Like Huawei are so well-known enterprises in China are rare. The well-known domestic enterprises, mostly 'trade, industry and technology' started, such as do PC companies, products and technologies in the not too many words Right, if and multinational joint ventures, can only be 'market for technology', eventually being led by the nose. ". .
Third, with Huawei's capital requirements. Familiar with Huawei insiders believe that Huawei in 18 years, has accumulated a lot of talent in some uncertain trend or prospective areas, so much talent needs massive human resource costs. While Huawei is not listed, there is no way to go from the capital markets to raise capital, talent and technology to "swap" became a Huawei shortcut.
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"Early, Huawei tried through the internal business staff, to reduce the cost of human resources. ”。.
Insider familiar with Huawei, said, "but in the end proved to be unworkable, the internal staff of companies out of business, such as Harbour, Gabriel, etc., after the formation of the forces, gathered together, a threat of Huawei.". .
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Comments:. .
Huawei joint venture why love?.
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Huawei and rival Cisco's expansion in different ways. Cisco is jumpy merger means to reach the company's extraordinary expansion, Huawei is mainly taken joint ventures (other than Huawei merges the harbor — this time with the incorporation of special nature of the original huaweiren merger) expansion or entry into new markets. In my view, select and enter the international company, the new market is Huawei wise choice. For the following reasons: first, it is beneficial to the health of the cash flow. Mergers and acquisitions to suddenly get a lot of money, and joint ventures invest much less money, but is also a party to a joint venture, can often be based on the technical, personnel, equipment, etc., ruzi. . Although related to the leadership of Huawei, said not long ago, Huawei is not short of money, cash ample, however, the communications industry as a high-input high-risk industries, technology upgrading soon, new product research and development of new projects require huge investments, to Huawei said that enough money is impossible. But, while no listing of this financing channel, but Huawei has its own "capital" - compare other Chinese IT companies, Huawei not only has the experience and resources of the Chinese domestic market, as well they do not take available technology and personnel strength, which became Huawei joint venture with multinational capital and an important bargaining chip. This is a joint venture between Huawei and other domestic "traditional joint venture" case because there are differences.。 Indeed, in several of Huawei joint venture cases, Huawei is essentially only inputs and technology, whereas the "vote" for the purpose of the joint venture. The second is to avoid the risks entered into. Joint ventures, mergers and acquisitions are more than their investment in their development and access to new markets more quickly and more active, but mergers and joint ventures are more direct than faster, the corresponding risks but also to a much larger than the joint venture. In the competition context, Huawei to seize market opportunities, to their own independent self-expansion, it is clear that no longer meet the changing market situation and trends, and Huawei select joint ventures are more wise — not only more quickly but also reduce the risk. Third is the strategic retreat more flexible. . Now a lot of mergers and acquisitions, as the French drinks giant Danone acquisition in the Chinese market is not really about the whole thing on the acquisition of a company, but the first joint venture company through the first step, then the joint venture acquisition of the Acquired the assets of the company. From this perspective, joint ventures often become a step acquisition. Can be said that no permanent and stable joint ventures, the final outcome is not "East Eats West" is "overwhelming westerly wind." In the joint venture after the end of the honeymoon period, timely entry or exit, depending on the strength of the two sides battle and strategy choice. For example, Huawei had established a joint venture with 3COM H3C, main purpose is to explore the international market, enhance the brand.。 At the same time, Huawei "accident" and you reap a sum no small investment income.
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Finally, and I believe that the most critical reason is to reduce the difficulty of cultural integration. Mergers and acquisitions, particularly cross-border mergers and acquisitions, in addition to the company, there are cultural differences between countries and cultures. In fact, many famous Manda finally failed as the result of the fusion of culture is difficult. While Huawei's culture is too strong, decided to adopt the merger and acquisition of Huawei's expansion means less successful. . Whether the spread of the outside world, "hyenas" culture or just the. ".
Barracks "culture," culture ", perhaps the mattress cannot represent all of Huawei's culture, but it is a well-known fact that the cultural huaweiren, Huawei, deep" Huawei "burn-in, contacted huaweiren, giving the impression is that Huawei characteristics. But to Huawei's character is obviously used to strong merger and consolidation "culture", it is better to use joint ventures to Huawei's strong cultural evolution "peace" foreign culture favored higher. In fact, as far as I know, Huawei joint venture as H3C more is to show the cultural characteristics of Huawei.
