Huawei may no longer be popular among smartphone users but it’s certainly still big in the IT industry and the Chinese tech giant is trying its best to expand on that.
The company is said to be planning a huge US$632.52 million (CNY 4 Billion) in order to build a new HQ and R&D center for its digital power unit in Shenzhen.
The report was made known by local media reports as Huawei seeks to diversify its portfolio amid U.S. sanctions.
The company, Huawei Digital Power then signed an agreement on Thursday with the local government of the southern metropolis of Shenzhen where its parent company is also headquartered for the project.
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The signing was part of a larger event held by Shenzhen to mark the launch of new construction projects in the city, it said.
According to the 21st Century Herald, Huawei’s project was conducive to promoting the “dual carbon” supply chain – referring to China’s goal of reaching its carbon emissions peak before the year 2030 and becoming “carbon neutral” before 2060.
Huawei did not respond to a request for comment on the agreement.
Ever since it was axed by the US government, Huawei has been struggling which has ultimately led to the diversification of its businesses. Huawei Digital Power is therefore the latest spinoff from the brand and it was registered last June under the name of the parent company’s current rotating Chairman, Ken Hu.
It was created to face “the challenges of the era of big data, traffic, and energy consumption”, providing solutions such as smart data centers and helping telecom and tower operators achieve “green efficiency”, according to the company website.
The company along with China Resources Power Holdings Co. Ltd, which operates coal-fired power plants across China, signed a cooperation agreement in a bid to create clean energy projects such as a big data platform for solar panels, energy storage systems, and smart power plants.
($1 = 6.3239 Chinese yuan renminbi)