Cloud Computing Services Drive Huawei Cloud's AI Growth Amid US-Led Sanctions
Unprecedented Growth in Cloud Computing Services
The cloud computing unit of Huawei Technologies has identified the Asia-Pacific region as a key market for its artificial intelligence (AI) products. This comes in light of a staggering 20-fold growth in cloud services over the last four years, despite facing US-led sanctions that hinder operations. Jacqueline Shi, president of global marketing and services at Huawei Cloud, emphasized the company’s commitment to offering comprehensive AI solutions.
Innovative AI Solutions Emerging from Huawei Cloud
- Ascend Cloud Service: A one-stop AI development platform that enhances efficiency and reduces costs through advanced solutions.
- ModelArts: An innovative platform that simplifies AI model development.
- Pangu LLM: A self-developed large language model that powers generative AI services like ChatGPT.
In Thailand, Huawei is collaborating with weather forecasters to leverage the Pangu LLM, extending its reach across various sectors, including finance.
Strategic Moves in the AI Expansion Plan
- The Asia-Pacific AI expansion signifies Huawei’s effort to diversify revenues and attract more overseas clients.
- Despite being blacklisted by the US government, Huawei has identified significant opportunities for GenAI services within traditional industries.
- Notable launches include the first public cloud service in Cairo, Egypt, and a data centre in Riyadh, Saudi Arabia, enhancing its public cloud offerings.
Market Position and Future Outlook
Research from Canalys places Huawei as the second-largest cloud services provider in mainland China, trailing behind Alibaba. In 2023, Huawei Cloud's revenue increased by 21.9% year on year, amounting to approximately 55.29 billion yuan (US$7.6 billion). This growth is attributed to Huawei's Ascend AI platform, which utilizes self-developed processors to navigate around US sanctions restricting access to superior semiconductor technology.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.