Chinese telecom equipment maker Huawei Technologies Co Ltd said it is deeply committed to the European market, especially in the United Kingdom, since the country provides a superb investment environment.
Huawei will sink $200 million into a new research and development centre in the UK. In addition, the company is working closely with BT Group, a British telecom service group, to expand a national broadband network that currently covers 15 million UK households, Huawei said in a statement on Thursday.
Victor Zhang, chief executive officer of Huawei UK, said the country is home to an outstanding pool of talent and a hub for world-class business services.
"London is one of the world's best-established strategic finance hubs and one in which Huawei has based its global Finance Risk Control Center," Zhang said in the statement.
"As a renowned and influential design hub, it is also an extremely conducive environment for innovation. In partnership with leading British design institutions, Huawei's London-based global device design centre will guide design concepts for our flagship smartphones and devices," Zhang said.
The new R&D centre will be located at the Ipswich research office, which now has about 80 staffers. By 2017, the centre is expected to employ more than 300 senior researchers.
In the next five years, Huawei plans to invest 5 million pounds ($8.17 million) with which several elite UK colleges can develop big data and fifth-generation (5G) mobile network technologies, according to Zhang.
In June, Huawei expanded its operations with a new UK headquarters in Reading. The company will invest 1.3 billion pounds over a five-year period.
Xiang Ligang, a Beijing- based telecom expert, said Huawei's aggressive expansion into the European market is in stark contrast to the company's standoff in North America, where Huawei has met with stiff entry obstacles.
"The British market indeed lends more support to Huawei," Xiang said.