The company’s outlook is not as “optimistic” as it thought
Huawei founder and CEO Ren Zhengfei (pictured) has warned employees that as countries impose bans on its equipment, the firm might need to cut jobs as it lowers targets for 2019.
According to an email seen by Mobile World Live, Ren said the outlook over the next few years “will not be as optimistic as we imagined. We must prepare for hardships and make a correct estimate of the economic situation”.
He added targets that are unrealistic need to be adjusted and non-productive staff will be cut to reduce labour costs.
The founder also summarised a recent speech to Huawei senior management where he downplayed 5G’s impact in comparison to 4G, as 5G will be rolled out to specific use cases unlike 4G which saw nationwide roll out in first stages.
The usually elusive founder stepped into the front lines last week to address concerns surrounding its 5G network projects, which several countries have banned. He promised Huawei will be more open and transparent in future strategies.
Oxford University cut ties with Huawei last week and warned students to not give sensitive data to the firm.