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Huawei sets vision high in ME’s smartphone market

Huawei, a leading global information and communications technology (ICT) solutions provider, has made a successful foray into the UAE smartphone market by introducing its flagship models in the emirate, its senior official said.

The company, which started its global device business in 2003, is one of the more recent entrants into the UAE smartphone market. It aims at achieving 20 per cent sales growth in 2012 and captures at least 15 per cent share of the UAE’s overall smartphone market by 2015.

“We have launched two smartphones, the Huawei Honor and Vision, in the UAE market. We anticipate that these two models to be high-sellers throughout the year. Consumers can expect to see at least three more high-end models unveiled in the UAE during 2012, with a number of surprises along the way,” David Tian, director of sales for Huawei Device in UAE, told Khaleej Times during an interview.

Huawei Device, which recorded $6.7 billion global sales revenue in 2011, is confident to make deep inroads to the Middle East smartphone market by establishing its base in the UAE. With UAE national mobile penetration rates is one of the highest in the world, the company is set to introduce a variety of high-powered smartphones catered to specific audiences and lifestyles.

“Looking to 2012, we have already started the year off with unveiling several exciting industry firsts in the global device arena. This includes the world’s slimmest smartphone — Huawei Ascend P1 S, the world’s fastest smartphone — Huawei Ascend D quad, and the industry’s first 10-inch quad-core tablet device — Huawei MediaPad 10 FHD. These flagship devices will be introduced in the Middle East within second quarter of 2012. By continuing to innovate and adapt new technology within all corners of the device market, we look forward to the rest of 2012 with great anticipation,” he said.

“Huawei’s device business is still relatively young in the UAE — especially when it comes to our top-tier smartphones. Our main goal for the country is to see positive growth for each of our handset categories that is consistent with Huawei’s global expansion trend,” Tian said.

“Our priority this year is really building momentum in UAE around select devices within our portfolio. If we’re just looking at smartphones, Huawei is anticipating to grow its UAE shipments exponentially between now and 2015 — amplifying our 2012 sales targets by probably three or four times,” he said.

Citing a recent report by Business Monitor International, he said the UAE’s consumer electronics device market is expected to increase to $4.3 billion by 2015 due to popularity of new device innovations.

“While large global brands have long dominated this space, we have also seen more and more niche consumers coming together around very specific products, platforms and technologies,” he said.

In reply to a question about distributor channels, he said the company’s local distribution network includes a strong set of partnerships with both operators and leading open-market retailers.

“The number of individual outlets that fall within this group is constantly rising, so extending these existing relationships will be the greatest priority for us in 2012. We will also forge new ties in the industry, looking at promotional collaborations as well as long-term alliances that present our handsets in a broader range of locations across the emirates,” Tian explained.

To a question about launching of Huawei smartphones in other GCC and Middle East countries, he said the company has already been investing in the region to expand its brand.

“We most certainly do! The Middle East is truly a unique and promising ecosystem for nearly all information and communications technology. In bringing further competition and innovation to the handset market, we are already investing significantly in countries like Bahrain, Saudi Arabia and Qatar, with existing operations in places like Egypt and Pakistan adding to our overall global market share.”

“At Huawei, we believe that creating devices which are simple to use, to connect and to share will be fundamental to enriching the lives of users in the Middle East,” he added.

Aims to be in top 3

Tian said his company is keen to become one of the top three handset manufacturers in the world during next three years. He said Huawei considers Middle East a significant market for smartphones and it will strengthen its position in the region by expanding distributor channels.

“Our long-term goal is to be one of the top three handset manufactures worldwide by 2015, currently projecting annual growth of over 30 per cent. We see the Middle East as being a significant market for that growth and will expand our distributor channels during 2012,” he said.

Tian said Huawei is a new entrant in smartphones market. He said the company first launched its smartphones in markets across Asia, Europe, the Americas and Africa in 2010 and approximately sold five million handsets.

“We recorded a truly momentous growth in 2011 by quadrupling sales to some 20 million units. By 2015, our goal is to expand this number even further by being amongst the top three handset manufacturers worldwide,” he said.

In reply to a question, he said Huawei has created three distinct collections within its smartphone portfolio for the incredibly vibrant consumer market of Middle East.

Tian said Huawei Device launched its operations in 2003 as a wholly-owned subsidiary of Huawei’s global technology portfolio. The business was originally founded to provide accessories for mobile 3G networks, not necessarily as a handset business.

“In 2010, Huawei unlocked the potential of mobile technology by investing in smartphone products. Huawei brings great experience in pioneering mobile networks, cloud computing, and integrated technology solutions,” he concluded.

muzaffarrizvi@khaleejtimes.com