China's Huawei to go it alone in network gear, handsets
* Will not do acquisitions in either business line -exec
* On track to hit 10 pct sales growth target this year, next
* Gradual approach to growing handset business
By Leila Abboud
LONDON, Nov 5 (Reuters) - China's Huawei is not planning acquisitions to expand its telecom network equipment and mobile phone businesses, preferring a go-it-alone strategy centred on R&D firepower and building a consumer brand, the group's co-chief executive said.
Speaking in London on Tuesday, Eric Xu, who now holds the rotating CEO job, also said Huawei would have no problem hitting its target for 10 percent revenue growth this year and next on strong demand from global telecom carriers and consumers.
Shenzhen-based Huawei earned roughly 73 percent of its 220.2 billion yuan ($36.1 billion) sales last year on network equipment for telecom operators, while 22 percent came from mobile phones and other consumer devices like wifi dongles. Nearly three quarters of revenue is earned outside China, making Huawei one of the country's first truly global companies.
"We will not do any acquisitions to support the business objectives we have for our smartphone business, rather we will take a step-by-step approach to build it," Xu told reporters.
As for the telecom gear unit, Xu also said no acquisitions were planned. Continued...