August 16, 2021

Huawei moves up ranking in Fortune Global 500 List 2021 despite global economic slowdown during pandemic

Digitalisation enables smarter, safer oil and gas camp management — Huawei

Huawei’s ranking position in the global top 500 enterprises has improved from the 49th position in the year 2020 to the 44th position presently. The privately employee-owned firm, Huawei entered the list for the first time in 2010, ranking 397th, and by 2020, when Huawei leapt from 72nd to 49th place, broke into the top 50 for the first time.

The Fortune Global 500 annual ranking measures the business revenue of the top businesses across industries. The companies generated revenues totaling more than one-third of the world’s GDP and employed69.7 million people worldwide, however their total revenue shrank over the past year.

After reaching a record high of $33.3 trillion in the 2020 edition, the total revenue for the world’s biggest 500 companies fell from 4.8% to $31.7 trillion this year. It was the first decline in half a decade. The culprit was the global COVID-19 pandemic that slammed huge swathes of the global economy as countries went into lockdown. Interestingly, this was a boon for technology companies; a sector that not only demonstrated its importance to society, but also managed to continue to grow in 2020.

ALSO READ: Huawei Cloud ranked world’s 5th largest IaaS Provider

During the recent announcement of Huawei’s first half results for 2021, during which Huawei’s net margin increased from 9.2% to 9.8% compared to the same period last year. Eric Xu, Huawei’s Rotating Chairman stated: “We’ve set our strategic goals for the next five years. We are confident that our carrier and enterprise businesses will continue to grow steadily.”

The company has benefitted from its diverse business, operating in all regions in the world, in different markets from telecommunications to IT and energy, and from the increase in businesses digitizing across many different industries.

Huawei also benefitted from its large patent portfolio with Jason Ding, head of Huawei’s intellectual property department, saying earlier this year that Huawei expects to rake in around $1.2 billion to $1.3 billion in patent and licensing fees between 2019 and 2021. Huawei has one of the largest patent portfolios in the world and invested over 15% of its sales revenue into R&D last year in technologies such as 5G and Cloud.

Vanguard News Nigeria