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Huawei to sell servers with own chips to boost its cloud computing business

Servers using Huawei chipset to be available for Q2, 2019. Huawei says it will not sell these chips to third parties.

Reuters  |  Shanghai 

Huawei

China's Huawei, the world's largest telecom-equipment maker, on Wednesday said it will sell some powered by its own chips for the first time, doubling down on efforts to boost its business.

This comes at a time when Huawei, which set up its cloud business unit last year, is trying to gain a firmer foothold in the public cloud market at home that is currently dominated by Alibaba.

Huawei's arm, Hisilicon, already makes some chips the company uses in its smartphones and telecom equipment, but the it currently sells to telecom and clients mostly use Intel chips.

did not say what percentage of the it makes will use its chips.

Its 7 nanometer Ascend 910 chipset, which the firm claims is twice as powerful as its nearest competitor Nvidia's v100, will be available from the second quarter of 2019.

will not sell these chips to third parties, its rotating chairman, Eric Xu, said at the company's annual global partners' conference, Connect.

"Since we do not sell to third parties, there is no direct competition between Huawei and chip vendors," Xu said on Wednesday, in response to questions about competition from such as Qualcomm, and

"We provide hardware and service." Huawei also unveiled Ascend 310, a chipset for computing on smart devices, which is available right away.

Huawei has been trying to boost its profile in the cloud computing market and has teamed up with Microsoft to offer Microsoft apps on Huawei Cloud.

First Published: Wed, October 10 2018. 13:23 IST
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