Huawei to spend two billion USD on cyber security

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Huawei Technologies said on Tuesday it would spend two billion U.S. dollars over the next five years on cyber security.

The Chinese tech giant said it plans to employ more staff and upgrade lab facilities.

During a press conference on Tuesday afternoon, Huawei's rotating chairman Hu Houkun rejected allegations about the company's network security, telling reporters that no evidence had been presented to back them up. He said no one can improve by locking out competitors.

Hu said Huawei faces some challenges, but the company, with a global presence, takes cyber security issues seriously.

He did not comment on the recent case of Meng Wanzhou, Huawei's CFO, but said he is confident on the equity and independence of legal system and Huawei's global regulatory compliance process.

He said some unwarranted speculation against Huawei posed by some countries are out of ideological and geopolitical considerations, which is irresponsible.

Huawei's rotating chairman Hu Houkun attends the 2018 Summer Davos in Tianjin, September 18, 2018. /VCG Photo

Leading 5G

The chairman also confirmed that Huawei had secured more than 25 commercial contracts for 5G networks.

In the past year, Huawei conducted 5G testing with over 30 leading operators in more than ten cities around the world. The company also built a cloud-based network and digital operation and maintenance systems with data center as the core.

Huawei's 5G exhibition at the China International Information Communication Technology Exhibition, September 28, 2018. /VCG Photo

In terms of R&D investment, Huawei continued to increase R&D investment in 5G, chips, and smart terminals. Its R&D expense increased by 0.3 percentage points year-on-year, according to the annual report.

Hu said the company's revenue is on track to reach 100 billion U.S. dollars this year.