Source: Business Insider
Chinese tech company Huawei has established a core cloud and AI business group, signaling a focused effort by the company to hone its AI and build up its cloud business, according to Light Reading. Huawei Cloud is the company’s fourth core business group, along with its operator, enterprise, and consumer business groups, indicating the promise it sees in the young unit. Huawei Cloud was first established as a smaller unit in 2017, but has grown quickly, creating over 180 cloud services by mid-2019. However, the company still sees room for improvement for the unit — it said its cloud business “needs to further develop its AI capabilities and hone its competitive edge in enterprise services.” Huawei can leverage its new cloud and AI business group in two ways: The new business group can help Huawei capture a larger share of the fast-growing Chinese cloud market. The Chinese cloud market is dominated by Alibaba, which accounted for 45% of the market in Q3 2019, while Huawei’s cloud group was relegated to the “other” category, meaning it accounted for less than 8%, according to Canalys.