Huawei: Cloud Logic behind operator transformation

Telecommunications infrastructure operators, which sit on networks and end user resources, have been the dominant provider of communications industry ecosystems, but the situation is being broken by the acceleration of communication and it.

Ovum data shows that SMS SMS services each year can generate 153 billion of dollars in revenue for operators, while One-third of iphone users are now switching to ip-based communications applications such as WhatsApp.

At the 2012 Mobile Communications World Congress (MWC2012), the telecom base operators such as Italia Telecom and Deutsche Telekom OTT the content and service providers, because they stole the original operator's cake and brought huge flow pressure, But the traditional business income of the operator has been declining in the market environment of fierce competition.

Is it gradually becoming a dumb pipe or base station repairman, or is it becoming a butterfly in a difficult situation?

Undoubtedly, in the face of the OTT content and service and its long-term development, operators urgently need to find new revenue growth point and business model, this is the whole communication industry chain is closely concerned about the survival problem. Thankfully, cloud computing offers transformational opportunities.

Cloud Computing: Transition opportunities from within to outside

The rise of cloud computing is the fourth time it industrial revolution, but also for operators to provide "from the inside Out" of the transition opportunities, Huawei Telecom Cloud computing marketing director Wang in an interview with C114 said.

Traditionally, operators provide a service that favours piping, that is, voice or data connections. In the explosive growth of data traffic today, "incremental income" has become a common problem for global operators-when OTT content and service providers use the bandwidth offered by operators to cut the most generous portion of the cake, operators can only charge a relatively small amount of money from the traffic, and bear the huge investment pressures caused by the multiplication of network traffic alone. Force。

At the same time, the operators ' traditional business based on voice has been confronted with the double impact of OTT service substitution and industry competition, and the growth of users ' scale is more and more difficult to offset.

While cloud computing provides operators with a way to innovate business models that extend their business beyond pipelines, operators also have an innate advantage in providing cloud services, one of the main reasons being that they hold pipelines and end users--through cloud operators that can use preferences, Billing information and other previously relatively independent, fragmented user information, combined with network assets to create new services.

Many operators have been transformed in this direction. In the United States, Verizon and Comcast began providing home security systems and remote energy management services, and At&t also released its own cloud platform, where service providers could launch cloud services.

In addition to business development, business model innovation, cloud computing is also very helpful to operators of their own operations, and this has been often overlooked.

Wang points out that operators themselves are large IT applications, whether operating support systems or business support systems, or internal office, customer Service center, are related. And the deployment of cloud computing to the operators within the short-term, intuitive positive effect on the four levels: substantial energy savings, improve operational efficiency, reduce the overall cost of ownership, especially operating costs, provide it control mechanism of information security.

Huawei Telecom Cloud: Binding operators to innovate

Cloud computing is a transformational opportunity for operators, as is the case with Huawei, which gives the company the best time to get to the same starting point as other IT giants.

Today, the company has become the world's second-largest provider of communications equipment, and in 2011 it achieved $32.4 billion trillion in sales (C114: RMB 203.9 billion) and is expected to grow by 15% to 20% this year. Traditional main business facing the market capacity of "ceiling" to promote Huawei to the IT industry transformation, and this just with the operator's transformation demands.

November 29, 2010, Huawei in Beijing officially for the global release of its cloud computing strategy and End-to-end solution, high-profile march into this traditional sense of the key areas of IT industry. After that, a series of internal restructuring, resource integration, acquisitions to strengthen the end-to-end competitiveness of cloud computing. At the market end, the transformational enterprise has not given up the position of the long-term operators. "Huawei will not leave the tradition to blindly innovate, but to open and innovate based on its existing existence," said Huawei President Ren. Huawei's cloud cannot survive if Huawei does not bind telecoms operators to innovate. ”

Based on operator demand innovation is Huawei's long-standing strengths. According to Wang, the current Huawei Telecom Cloud can provide server, storage, virtualization and cloud operations management system, while adhering to the concept of open cooperation, with Intel, IBM, Accenture, Citrix and other more than 300 partners to join hands, vertical integration of third-party IT applications, In order to achieve the requirements of all types of operators end-to-end coverage.

Huawei's strategy to cut into the IT industry with telecoms clouds also highlights its strengths. First of all, for Huawei, operators are their base, attention level, input resources, response speed are unmatched by traditional it giants, and the long-term cooperative relationship with operators and the large scale of current network communication equipment, Huawei's understanding of the operator's demands, the understanding of the network far beyond the IT industry competitors.

Meanwhile, IT industry small enterprises do not have the power to do telecommunications cloud, large enterprises do telecom cloud will endanger the existing IT product sales, Huawei is not this "historical baggage"-This also enables the company to truly open up cooperation, so that other it enterprises difficult to do third-party application integration. In addition, the carrier business to the IT field of extension and traditional it enterprises in some degree of competition, Huawei itself does not participate in IT business operations.

Huawei's emboldened

Huawei Telecom Cloud has won a series of market successes because of its "internal to external" transformation.

Taking China Mobile international information port project as an example, this port is an important carrier for China Mobile to implement centralized strategy, enhance independent innovation ability and promote social informatization. After the completion of the project, China Mobile will become the international support, research and innovation, information services, international cooperation, exchange and display functions in one of the world-class "information", "High-tech", "green" comprehensive base.

December 2011, Huawei won the project's total integrator, responsible for the first phase of construction projects. The adoption of advanced modular data room solutions, and ultimately shorten the overall program deployment time, to help China Mobile to quickly respond to the internet business demands, but also expected to cut 40% of the initial investment, save 30% of energy consumption, increase the storage utilization of 30%.

Overseas, Huawei helped a developed country operator in the Asia-Pacific region to set up a unified cloud computing platform to provide IaaS and SaaS services, and to expand the SaaS market by leveraging its partner advantage to introduce the operator to a global network of independent software developers and service providers.

In addition to binding operators, Huawei's clout also comes from its technological prowess. In the global Internet's most authoritative technology standards organization IETF, Huawei led the establishment of the cloud Computing/data Center ARDM Working Group, and the Chairman of Cisco, in a commitment to the development of key technology standards in cloud computing DMTF, the company has been among the 14 board members, is one of only two non-US companies in the Board of Directors (C114 Note: The other is Fujitsu).

In addition, Huawei is also widely involved in SNIa, ISO/IEC, TMF, IEEE, ITU-T, CSA, ODCA, OMA, ETSI, ATIS, CSCC and other international cloud standards related organizations, as well as domestic CCSA, Cesi and other cloud computing standardization activities. On the list of key contributors to the Open-source community Hadoop, the company also ranked ahead of Google and Cisco. It can be said that Huawei in the field of cloud computing standards has been equal to the international giants of the right to speak, with the same competitive technical strength.

(Responsible editor: The good of the Legacy)