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Mitch Wagner
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Mitch Wagner,
User Rank: Lightning
11/7/2016 | 9:10:28 PM
Re: Why not both?
If a new strategic direction jeopardizes a company's existing successful business unit, leaders of that business unit will fight the new direction even if the new direction is better for the company.
mendyk
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mendyk,
User Rank: Light Sabre
11/7/2016 | 8:23:44 AM
Re: Why not both?
Robert -- what you're describing is what goes on in any number of large organizations. Individual operating units have numbers to meet, and those individual targets determine their success or failure. It's very difficult for a company of any size to execute a major strategy shift in this context. So in a way, this is evidence that Huawei isn't all that different from other companies in terms of organizational issues.
R Clark
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R Clark,
User Rank: Blogger
11/7/2016 | 4:20:48 AM
Re: Why not both?
I suspect this is aimed at the Huawei account executives who pushed back strongly when China Mobile built a controller with its own software an hardware from a local OEM (and probably on other occasions). Huawei senior execs give the appearance of being committed to nerw business and revenue models but still has a number of teams well-remunerated for selling traditional products and are reluctant to change.
Pull_Request
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Pull_Request,
User Rank: Light Beer
11/5/2016 | 6:17:19 PM
Re: Why not both?
Because of the ultra-intense politics between the product lines. Huawei is now poised for a very difficult transition that it is not currently equipprd to survive. First, the transition from hardware to software always fails at the Go To Market, just ask Cisco. Second is the emergance of open source software as a dominant factor in future networks. Huawei will struggle with open source on many levels because it's not culturally capable of grasping the nuances of open source. This should be interesting to watch.
mendyk
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mendyk,
User Rank: Light Sabre
11/3/2016 | 2:15:08 PM
Just ... wow
I wonder how surprised Huawei is by the apparent criticism from some of its more closely held customers. The company has spent more than a decade now in building up market share in telecom equipment. The comments at the event cast a different light on that achievement.
Mitch Wagner
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Mitch Wagner,
User Rank: Lightning
11/3/2016 | 12:31:14 PM
Why not both?
A company with the resources of Huawei should be able to do both hardware and software. Key to success would be the keep the business units independent, with a firewall (I hesitate here to use the usual business cliche "Chinese wall") between them, so customers can be free to choose either hardware, software, or both from Huawei. 


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