I choked big time as well reading Suffolk's blog... The only thing Huawei has a passion for is subverting the rule of law by any means necessary to win deals, period. They don't give a damn about customers.
The reason the Chinese people earn less is that their government artificially keeps down the value of their currency. If you want to see what happens to wages under free floating currency in these conditions, see India. Used to be on a par with China. Now about 1/2 - 2/3rds of a US employee. On top of that Chinese companies are subsidized for exports.
In the 1970's, Americans were accusing Japanese companies of stealing US semiconductor and computing industrial secrets. In the 1980's, Americans set up quota for Japanese import cars. Now, it is China's turn to take this as the fall guy. In the heat of people losing their jobs, in this case is in telecom, you can see a lot of negative comments about their competitors from people who do not feel secured about their jobs. The reality is that Chinese engineers are earning 1/6 as much as American engineers. Chinese vendors do not need government subsidies to be cost-competitive.
It is extremely hard to trust Chinese companies when time and time again, they have no problems stealing IP property, flooding the market with cheap goods, subsidized by the Chinese government, forcing companies out of business and then jacking prices up or refusing to export.Gee, I wonder why no one trusts them.
i clicked on the link and read the first few lines ...
A company that is shaking up the world in terms of technology, a company committed to science, engineering and R&D, but fundamentally a company whose passion is for its customers and their customers to make the world a better place through the use of technology.
.. as i started choking, i realized this blog was hazardous to my health.
so i stopped reading. i am sure there's some good stuff in the rest of the blog, but you have been warned.
Just as big an issue for Huawei is selling optical gear near cost and killing margins for companies like ALU and NSN. Once you drive ALU and NSN out of the market, then you can jack your prices back up.
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