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Huawei CEO Ren Zhengfei is interviewed in Taiyuan, north China’s Shanxi Province, on February 9. Photo: Xinhua

Battered by US sanctions, Huawei founder Ren Zhengfei vows to keep fighting in latest motivational message to employees

  • The video speech was recorded at a ceremony to announce four new ‘army groups’, or cross-departmental teams, aimed at seeking new sources of revenue
  • The company is quickly losing relevance in the global smartphone market, while sales of its telecoms gear are facing resistance in some countries

Ren Zhengfei, the 77-year-old founder and chief executive of Chinese telecommunications giant Huawei Technologies Co, told employees that peace can only be achieved through battle, and that they should fight for a day when “no one dares to bully us”.

The message from Ren, who has a habit of using military and philosophical jargon in his speeches and writing, was included in a two-and-half minute video published by Huawei, with the apparent goal of motivating employees amid the company’s ongoing struggle to cope with US sanctions.

“We must go through hard work and brave sacrifices to fight for a peaceful environment for the next three decades so that no one dares to bully us. We are fighting for ourselves as well as our country,” Ren said.

“We will enjoy the eternal glory as the sun and the moon if we contribute our lives to the country; we will be admired on Earth and Heaven if we can rebirth like a phoenix,” he said in the video.

A man walks outside a Huawei store in Shanghai, China, 10 January 2021. Photo: EPA-EFE

The video speech was recorded at a ceremony to announce four new “army groups” – as Ren called them – essentially cross-departmental teams - in addition to the existing one in the coal industry - that will seek alternative revenue growth after Huawei’s smartphone business was crippled by US restrictions on its access to high-end chips.

The four new groups will focus on smart roads, customs and ports, solar energy, as well as energy solutions for data centres – target markets chosen by Huawei as fields vital to reviving its business momentum.

Huawei’s group revenues in the first nine months dropped 32 per cent from a year ago.

The video, entitled “The Road to Victory is One Without Returns”, also contains clips of Huawei employees shouting “Will win, will win”, and was posted online by state media the People’s Daily.

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Huawei has found itself at the centre of geopolitical rivalry between Beijing and Washington.

Meng Wanzhou, Ren’s daughter and Huawei’s chief financial officer, was portrayed as a national hero by official Chinese media after she was freed from nearly three years of house arrest in Canada awaiting an extradition request from the US.

At the same time, Huawei faces strong headwinds in its attempts to move forward under US sanctions.

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Hero’s welcome for Meng Wanzhou at Huawei offices in China after extradition battle and quarantine

Hero’s welcome for Meng Wanzhou at Huawei offices in China after extradition battle and quarantine

The company is quickly losing relevance in the global smartphone market, while its sales of telecoms equipment are facing resistance in some countries.

Huawei is also talking with potential buyers for its key server unit, which relies on chips from US giant Intel, due to the US blacklisting, according to a Bloomberg report last week.

Huawei has tried to expand into new businesses. Those initiatives include expanding its cloud services operations in the Asia-Pacific region, helping domestic enterprises cut their carbon footprint, supplying more 5G base stations and core network gear to China’s major telecoms operators, increasing patent licensing deals, and establishing partnerships for its HarmonyOS mobile platform.

The sale of its budget smartphone brand Honor last year was meant to free that business from the impact of US sanctions on the former parent, but US Senator and China hawk Marco Rubio has been pressuring the Biden administration to put Honor on the same blacklist as Huawei.

This article appeared in the South China Morning Post print edition as: Keep fighting, Huawei founder tells staff
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