Feb 19, 2019 06:12 PM

Tuesday Tech Briefing: Huawei Chairman Accuses U.S. of Coordinated Campaign Against Company

1. Huawei Is ‘Sesame Seed’ Under Attack from U.S. ‘National Machine,’ Chairman Says

Amid U.S.-led doubts about the safety of its core networking equipment, telecom giant Huawei Technologies Co. Ltd. has come back swinging by defending itself and its products in a wide-ranging series of interviews with foreign media.

In the latest counter-offensive, rotating Chairman Eric Xu sat down with a group of reporters last week in Britain, which has been among the more receptive major Western countries toward Huawei’s equipment.

Xu said the company currently faced a “well-coordinated geopolitical campaign” by the U.S. government, which he accused of “essentially using a national machine against a small company, as small as a sesame seed.” (Caixin)

2. U.K. Finds Risks of Huawei Technology Manageable: Report

The British government has found that risks related to using Huawei technology in next-generation 5G telecom networks are manageable, the Financial Times reported, a blow to a U.S.-led campaign to contain the Chinese telecom supplier.

Britain's National Cyber Security Centre concluded that any risks posed by using Huawei technology and equipment in Britain’s telecom projects “can be mitigated,” the newspaper reported, citing two anonymous sources.

The decision came as a growing number of Western nations put the Chinese company under closer scrutiny following allegations by the U.S. that Huawei is a threat to national security. Huawei has repeatedly denied such assertions. (Caixin)

3. Xiaomi ‘Matures’ With More Centralized Corporate Structure

Xiaomi says it will further centralize its decision-making, and move away from being a loosely managed “flat” startup. In addition to personnel changes, it has set up a high-level smartphone decision-making department called “Canmoubu,” a reference to the People’s Liberation Army’s Staff Department, a leading command organ in the army.

The company is also dividing its corporate security into two departments: safety regulation compliance and safety management, to focus on quality inspection and public affairs, respectively.

This is Xiaomi’s fourth structural and personnel shift since its listing in Hong Kong last year. The moves are seen as attempts to combat rivals and thrive amid a sluggish domestic market. Xiaomi's 2018 fourth quarter smartphone shipments in China dropped 34.9%, according to industry watcher IDC's latest data. (Caixin)

4. Shanghai to Launch First 5G Railway Station

Shanghai Hongqiao Railway Station will roll out comprehensive indoor 5G internet coverage by September, making it the first 5G-equipped railway station in the world, according to the Shanghai Municipal Commission of Economy and Informatization.

The station’s network is being constructed by China Mobile Shanghai.

Shanghai’s local government has said it aims to achieve outdoor 5G coverage throughout the city center by the end of 2019. (Caixin)

5. China’s Smartphone Shipments Down 11.4% in January

China's smartphone shipments fell 11.4% in January to 32.15 million units, according to data from a research institute under the Ministry of Industry and Information Technology, China Daily reported.

Overall mobile phone shipments dropped 12.8% in January to 34.05 million units, among which 95% were 4G phones.

Chinese-brand mobile phones accounted for 94.2% of total shipments last month, up from 85.7% in January 2018, according to the report. (China Daily)

6. Hong Kong Disneyland Narrows Losses With High-Flying Revenues

Hong Kong Disneyland reported a record-high HK$6 billion ($760 million) in revenue and HK$1.4 billion EBITA for the 2018 fiscal year ended Sept. 29. These represented year-on-year increases of 8% and 48%, respectively.

The figures narrowed Hong Kong Disneyland’s net loss by 84% year-on-year to HK$54 million, the company said. The resort hasn’t turned a profit since the 2012-2014 fiscal years.

Disneyland attributed the improved performance to increased guest spending, with a total of 6.7 million annual visits, and hotel occupancy that improved by 6% year-on-year to 75%. (Caixin)

Compiled by Qian Tong and Hou Qijiang

Contact editor Teng Jing Xuan (

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