Huawei Digital Technology Co Ltd, the Beijing branch of the world's No 2 telecommunication equipment maker Huawei Technologies Co Ltd, is now building its biggest domestic R&D center in the capital city's Zhongguancun Haidian Science Park.

Established in Haidian district in 2006, the company has completed development of 260,000 square meters in the northern part of the district. About 8,000 people started working in the new facilities in the beginning of this year.

The total office area of the company is expected to reach 400,000 sq m in the next three years.

Zhao Yong, president of Huawei Digital Technology Co Ltd and chief of Beijing R&D Center Huawei Technology Co Ltd, said that the company chose Haidian for its favorable policies, talent pool, innovation tradition and pleasant natural environment.

The science park has offered tax breaks to high-tech enterprises and public housing for talented employees, Zhao said.

The area also has rich human resources comprised of graduates from top nearby universities such as Peking University, Tsinghua University and Beijing University of Posts and Telecommunications, Zhao said.

Every year large numbers of talented graduates join the company, based on its long and solid cooperation with famous universities and research institutions, he said.

He added that 60 percent of the personnel in Huawei's Beijing branch have master's degrees, 30 percent have bachelor's degrees and 5 percent are PhDs.

Last year, Huawei Digital Technology generated 10.8 billion yuan in revenue and paid 340 million yuan in taxes, among the top 50 high-tech companies in Zhongguancun.

Innovation is the common value that Huawei shares with the science park, said Zhao.

"Our innovation is based on customer demand as well as the understanding of industrial trends," Zhao said, noting that every year the company invests at least 10 percent of its R&D budget in innovative research.

"In stead of short-term interest, we more value long-term and sustainable development," Zhao said.

"We also have an effective internal mechanism, including promotions, bonuses and stock ownership, to encourage innovation," he said.

The company is also competitive in saving energy. Zhao said that Huawei's telecom products have very strict standards in power consumption, materials and thermal design.

"We never waste resources," Zhao said, noting that the company is a good example to illustrate "quality growth" - an agenda at the ongoing Summer Davos in Dalian.

Huawei unveiled its first mobile phone offering cloud computing services in early August, the latest achievement in the company's devices business.

But Zhao noted that talent remains one of the company's biggest challenges, since technological innovation is a rapid process and its staff has to consistently learn new things to adapt and lead in the fast changes.

In addition, the mindset of the company's management also needs to change to cope with future challenges, Zhao said.

(China Daily 09/14/2011 page43)