The United States punished ZTE severely
In 2017, the United States** carried out three inhumane rounds of strikes on ZTE like a trap. In the first round, ZTE was fined $1.3 billion and pledged to comply with the rules. Who knows, in less than a year, the United States ** once again carried out a "thunderous attack" on ZTE on the grounds of violating its commitments, and fined it as much as $1 billion. After two rounds of punishment, ZTE has been ruined, but the United States still dealt with it ruthlessly, and fined another $700 million in the third round. The three rounds of penalties totaled $3 billion, making it almost unsustainable for ZTE.
In the face of the big stick punishment of the United States, ZTE feels great pressure. The astronomical figure of $3 billion is almost equivalent to ZTE's profits for an entire year. This undoubtedly brought a huge impact to ZTE's survival. After the heavy blow, ZTE is like a bird that has lost its wings, struggling to survive in the wind and rain. Serious worries about the future development of the enterprise permeate the hearts of every ZTE person. In the face of such a brutal blow, where should ZTE go?This made ZTE fall into heavy thinking.
ZTE strengthens its own technology research and development
The repeated blows of the United States did not knock down ZTE, on the contrary, it chose to strengthen itself. Since 2018, ZTE has adjusted its strategy and begun to vigorously strengthen investment in technology research and development, actively seeking breakthroughs. ZTE's management encourages employees to "forge ahead" and enhance the company's scientific and technological strength through independent innovation. In just a few years, ZTE's R&D investment has increased from $1 billion to $20 billion, an increase of as much as 20 times. ZTE's choice to use technological innovation to resolve external difficulties is worthy of admiration.
Vigorously strengthening technology research and development has brought remarkable results to ZTE. At present, ZTE's investment in R&D has reached about 20% of revenue, which is already comparable to the industry giant Huawei. For technology companies like Huawei, R&D expenses typically account for between 20% and 25% of revenue. ZTE's R&D investment accounts for 20% of revenue, indicating that its scientific research strength has reached the advanced level in the industry, laying the foundation for its products to enter the high-end market.
ZTE has made major breakthroughs in the field of 5G and databases
While ZTE continues to increase R&D investment, it has also made major breakthroughs in the field of 5G. ZTE's global shipments of 5G base stations have ranked second, second only to the number one player Huawei, and surpassed traditional communication equipment giants such as Ericsson and Nokia. This shows that the performance and quality of ZTE's 5G products have won wide recognition from operators around the world. ZTE's unremitting technology research and development has finally ushered in the dawn of success.
In the field of databases, ZTE has also launched its self-developed core product, Goldendb. It is a high-performance distributed database designed with a new architecture. It supports multiple ways to store and access data, while providing complete data security and protection. With this database product, ZTE's data business in the core field of the Internet also has independent and controllable technical strength.
In the database market, ZTE's Goldendb will compete differently with Huawei's GaussDB. From the perspective of product positioning, the target market for the two is different. In terms of technical implementation, Goldendb adopts a new design concept, and the two products have their own advantages. This kind of healthy competition is conducive to promoting the progress and innovation of database technology and providing users with more high-quality choices.