Transcript 1 - ZTE

ZTE Corporation
An Overview
Sep 2015
Founded in 1985, ZTE is Committed to:
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Providing customized communications products and services
for clients globally
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Respecting employees and enabling their career development,
providing opportunities for them to grow with the company
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Generating optimal returns for shareholders and giving back to
society
© ZTE Corporation. All rights reserved
M-ICT Strategy to Realize the Excellence and Value
Ubiquitous inter-connections
By 2020, there will be more than 50 billion connections
Mobile traffic is doubling every year
Symbiotic relationship between the digital and physical
worlds
Life and works with the Same Experience
The cloud service is everywhere
Business applications emerge in endlessly
Focus on information security and privacy especially
the information and network security
Under the background of “Mobile Internet of Everything”, ZTE proposed the concept of “M-ICT”
(M: Man to Man, Man to Machine, Machine to Machine, Mobile)
The overall strategy of ZTE is Enabler@M-ICT
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To Become a Distinguished Global Leader in the M-ICT Era
To improve their life
To Help enterprises improve efficiency
and to help the industry upgrade
To Help operators and let the flow
create multi-dimensional value
Corporate Vision: To become a distinguished global leader in the M-ICT era
Corporate Mission: We will spare no effort in providing cool, green, and open ICT products and experiences to the people
of this world. To our partners who share in this vision, we will establish a safe, open, and reciprocal
platform to help them achieve their goals and realize their excellence
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Achieve High Quality Growth and M-ICT Core Competence
China's first A to H listing company, listed in Shenzhen as an A-Share Stock in 1997, and listed in
Hong Kong as an H-Share Stock in 2004
Net profit jumped to RMB 1.62 billion in the first six months of 2015, while revenue increased 21.8%
to RMB 45.9 billion
ZTE will focus on four key areas: telecommunications equipment, enterprise solutions, mobile devices
and emerging technologies, as part of the new M-ICT strategy outlined this year
Strengthen project management, achieve high quality growth and M-ICT core competence in 2015
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Europe, Americas and Oceania Contribute the
Largest Revenue among Overseas Markets
Others
49.8%
27.8%
14.2%
28.4%
14.9%
7.5%
57.4%
China
Terminals
Carrier Networks
Europe,
Americas and
Oceania
Asia
(Excluding China)
Africa
Source ：2014 Annual Report
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Global Top-3 Innovators for Fifth Straight Year with
More Than 60,000 PCT Filings
ZTE ranked third globally in patent applications under the Patent Cooperation Treaty (PCT) in 2014
ZTE was ranked inside the global Top-3 by WIPO for fifth straight year
Patent filings exceed 60,000, more than 17,000 have been granted
More than 90% of the patents owned by ZTE resulted from original inventions, including a high number of standardessential patents adopted in the telecommunications industry globally
Currently, ZTE has filed applications for more than 20,000 terminal-related patents globally, with more than 4500 granted
In Europe and North America, ZTE has been granted more than 2000 terminal-related patents
ZTE is committed to leading-edge innovations in 4G and 5G telecommunications, intelligent mobile devices, optical
communications, cloud-computing, big data and emerging technologies to play a leading role in the development of nextgeneration technologies
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Leader on 5G
70+
30+
Membership seats in international
organizations/forums
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Leadership seats in standards
organizations
815
30,000+
Essential LTE patents, 13% of
global total
International Standard proposals
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Releases Pre5G pre-commercial base station using massive multiple-input multiple-output (MIMO) technology
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One of the first partners of Deutsche Telekom 5G Innovation Lab; Singed a MOU with SoftBank Corp. and KT to
collaborate on research and development on Pre5G/5G mobile communications networks technology; Selected as one of
the first group of partners in China Mobile Open NFV Test Lab
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One of the main contributors to the SAE/LTE standards development working group under the 3rd Generation Partnership
Project (3GPP)
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More than 500 technical specialists are devoted to the research of key LTE technology and the evolution standards
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More than 8,700 proposals related to SAE/LTE were submitted to 3GPP and about 2,850 proposals were accepted
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43 3GPP standard or technical specification reporter seats
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18 R&D Centers Worldwide
China
France
Xian
Beijing
Tianjin
San Jose
New Jersey
Paris
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Wireless
Handset
WDM
Ethernet Switches
RFID
WiMAX
New Service
M2M
Wuhan
Chongqing
Changsha
Austin
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Value-added
Service
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Mobile
Internet
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Chengdu
Sanya
Shenzhen
North Carolina
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Optical
Transmission
Network
Management
• OS
Service
Platform
Shanghai
Nanjing
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Wireless
• Fixed Network
• Handset
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USA
Core Network
• Fixed Network
• Bearer Network
• Cloud Computing
Wireless
Transmission
IC Design
Bearer Network
Fixed Network
Value-added
Service
High-end
Chip
Sweden
Wireless (Microwave)
Stockholm
San Diego
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Wireless(4G&CDMA)
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Next generation
Wireless Technology
ZTE Provides Products and Service in 160+ Countries
~60,000 staff
107 global branches
8+1 global logistics centers, 15 global training centers
1 global customer center, 6 regional customer centers, 46 local customer
centers
More than 10,000 after-sales staff, 3,000+ local contracted partners
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Collaboration with 500+ Operators Globally
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End- to- End Delivery
Terminal
Wireless
Fixed Access
Core Network
Bearer
Cloud & IT
Service
Others
Smartphones
UMTS/GSM
MSAN
Voice Communication
WDM/OTN
VAS
Consulting
Services
Power
Tablets
CDMA2000
xPON
Packet Core
NG-SDH/MSTP
Feature
Phone
TD-SCDMA
DSL
Convergence
User Data
IP Transmission
Cloud-computing
Infrastructure and
Services
Integration
Services
Data Card
LTE
CPE
Routers &BRAS
Server
Home Terminals
Microwave
Module/Chips
WLAN
Intelligent
Operation
Management
Managed Services
Ethernet Switch
Storage
IPTV
Wearables
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Customer Support
APP Store &
Convergence Service
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UniCare Services
Learning Services
OSS/BSS
CAF
ZTE Mobile Device Story
2006
2001
Launched ZTE802, the
world’s first CDMA mobile
with removable SIM,
a breakthrough
for CDMA development
in China
Initiated strategic cooperation with
Vodafone to sell mobile phones in over
50 countries worldwide, enabling
global presence and international
strategy; in the same year, the
overseas income exceeded the
domestic income for the very first time
2010
Launched Racer, becoming
one of the first Chinese
companies to release an
Android device.
Joined Google OHA.
2014
Terminal Division
established and began
operating independently
1998
Former mobile phone R&D site
Mobile Department founded,
ZTE enters mobile market
2002
1999
2007
2011
2015
Launched CDMA mobile
with MetroPCS and
entered the US market
Blade device shipments
exceeded 10m worldwide.
Entered new
M-ICT era
Launched world’s first dual
mode dual band 4G data card.
Mobile Phone Division
established, mobile phones
become one of the company’s
three strategic focuses
Ranked No.1 worldwide for
international patent applications.
Launched the first
independently developed
dual band GSM mobile
phone
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ZTE Mobile Device Today
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17
Years
600
Million
DEVICE R&D
DEVICES SHIPPED
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60
Million
ACTIVE USERS
2015 Outlook
PREMIUM DEVICES
• Sales of premium devices to double
• Mid-high end smartphones to
account for 45% of total shipments
CHANNELS
• Channel income to account for 50% of
overall Mobile Devices income
• Number of partners and stores to triple
DEVICE SHIPMENTS
• 60 million smartphones
• 100 million mobile devices
MARKETS
• NA: Top 3 in the market in 2 years and reinforcing premium position
• China: focus on premium products (e.g. Star Series)
• EU & APAC: focus on channel development in key markets with mass
market premium (e.g Blade Series)
• LATAM & Africa: rapidly boost smart device sales
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A Leader in 4G Era
A Tier-1 vendor for LTE/LTE-A
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ZTE has won 170 LTE/EPC commercial contracts by 2014
The world’s fastest-growing provider of 4G network products
In 2014, ZTE 4G shipments increased 100% and achieved double 4G shipments consecutively
ZTE has successfully deployed its products in 70% countries with LTE networks
Steady growth for 2G/3G
GU :
•ZTE’s GU solutions are deployed commercially by more than 160 operators in over 110 countries, More than 60 operators from 50 countries and regions are
deploying HSPA+ commercial networks
TD-SCDMA:
•More than 170,000 base stations in China Mobile’s TD-SCDMA network was deployed , accounting for 1.2 million carrier frequencies, serving 29
provinces, 3 municipalities and 130 cities. In China Mobile’s TD-SCDMA network, ZTE’s market share is more than 33%
CDMA：
•ZTE is the world’s biggest CDMA network vendor with over 32.6% market share, having accumulated shipments of more than 360,000 CDMA base stations,
supporting 388 million lines
•ZTE’s CDMA networks are deployed by more than 120 operators in over 70 countries
Core Network:
•ZTE’s Evolved Packet Core (EPC) solutions are deployed in 75 commercial networks globally, and more than 170 IMS commercial/trail networks
•ZTE is the world’s No. 1 provider of Subscriber Data Management (SDM) solutions
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ZTE FBB and Bearer Networks for Intelligent
Broadband
1st
CPOAGGREGATION
PRODUCT
Market share
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2nd
PON OLT
Market share
2nd
2nd
PON ONT/ONU
OPTICAL NETWORK
Market share
Market share
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2nd
IP / ETHERNET
Market share
2nd
Broadband CPE
Market share
Investment in Enterprise Cloud Computing Technology
 Integrating enterprise
applications, services and
terminals to build “terminal,
pipe and cloud”
 Delivering competitive
advantages in IT to customers
and lowering TCO
Leading core-competitiveness: ZTE is committed to
developing leading-edge IT infrastructure and cloud
computing technology, offering a comprehensive range of
enterprise solutions from hardware, software and solutions
Diversified cloud applications and services & Green
technology to lower TCO. Holder of more than 200 cloud
computing patents
Continuous investment and deployment by customers
worldwide: 7,000+ R&D staff in cloud computing; ZTE
CoCloud has been widely used by nearly 100 global
operators and enterprise customers
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Growing Footprint of Enterprise Business
Focuses on 6 industries: energy, transportation, government,
public utilities, finance, and internet; provides ICT products,
solutions, and services
Provides 50+ industry ICT solutions, which have been
successfully deployed in 100+ countries
1000+ industry partners, 3000+ channel
partners
Enterprise solutions deployed in more than 110 Smart City projects in over 40
countries, and ZTE won the TMF President's Award at the 2015 TM Forum
Global Summit in Nice, for its ZSmart CC (smart city & community) solution
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Industry-Leading Innovative Solutions
Public Safety
The open and shared
Urban Operation Center
is the base of city
intelligent applications
Big data analysis on
social relations,
intelligent video analysis
Wireless
Charging
Rail Transit
ATG Broadband
LTE-R supports various
railway wireless services
and speed up to 500
km/h
Air to ground
broadband provides
wireless network
services for passengers
Wireless charging solution
for automobiles reduces
cost
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Wireless
Government
Smart City
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Wireless government
network deployed in big
cities as Beijing,
Shanghai, Tianjin
Industry-leading Growth in Managed Services
CAGR of 32% in revenue from Managed Services between 2010 - 2014
CAGR of 18% in revenue from Professional Services between 2010 - 2014
More than 150 contracts globally
Manage 240,000 base stations, serving 200 million end users worldwide
OFC exceeds 210,000 kilometers
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Gaining Customers Trust in Learning Services
2010-2014 Learning
Services’ CAGR reached
11%
Over 1400 Learning service
contracts in 2014
1477
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Commitment to Employees, Environment and Society
ZTE CSR
Bringing
You Closer
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Fair Business
Practices
Environmental
Protection
Societal Good
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Caring Employer Socially-responsible
Supply Chain
Thank you