Chinese telecom firm Huawei on Monday announced plans to invest 70 million
euros (USD 90 million) to open up a research and development centre for
smart phone and tablet software in Finland, home to rival Nokia.
Finnish R&D center will be a key driver in Huawei's research and
development of new technologies for mobile devices," the company said in
It said the centre, which is to start with 30
employees and grow to 100 within five years, will focus on software
development for smart phones, tablets and rich-media devices using
Andriod and Windows Phone operating systems.
"The open and
innovative environment in Finland is an ideal place for Huawei to
strengthen our global R&D capabilities for devices, creating
opportunities for both Huawei and the Finnish telecommunications
industry," said Kenneth Fredriksen, Vice-President, Huawei Central,
Eastern and Nordic Europe.
Finland is the headquarters of Nokia, until recently the world's top mobile phone manufacturer.
company is shedding thousands of jobs as it restructures towards using
Windows Phone 8 for its smart phones. Nokia previously had programmers
developing its own smart phone operating system.
"I think this is
another example on how other companies like Huawei can take advantage of
the fact that Nokia is firing 10,000 people," said Magnus Rehle from
the strategy firm Greenwich Consulting.
"There are a lot of highly
skilled people who can help Huawei to make cheap Android-based smart
phones for the growing markets outside Europe and the United States," he
Huawei announced in September it would invest USD 2.0
billion in Britain and roughly double its workforce in the country
within five years.
The company currently has 7,000 employees in Europe and 70,000 involved in R&D worldwide.