What's new

ZTE to shut R&D operations in India

indian_foxhound

FULL MEMBER
Joined
Jan 10, 2013
Messages
1,827
Reaction score
0
KOLKATA: ZTE, China's second
biggest telecom equipment
maker by revenue, is shutting
down its R&D operations in India
and sharply scaling down its
services business in the country to optimise costs amid reduced
gear sales, top executives aware
of the development told ET. The Chinese networks vendor, it
is learnt, has quietly reduced a majority of its near-60 strong research staff and
asked the few remaining team members, earlier
on the company's rolls, to opt for contract
service. The sharp reduction was effected after
ZTE India recently merged its R&D set-up in
Bangalore with its Indian Engineering & Service Centre (IESC), which offers engineering support
services for multiple telecom projects. But the impact on the company's services
business is likely to be even more severe than
R&D as contracts dry up amid reduced networks
gear spending by mobile phone companies. Five
senior executives in the rank of vice president to
project director in the services and enterprise sales divisions have put in their papers last
month. They include Dinesh Sharma and Shabbir
Ahmed -- both key members of ZTE's team
managing Bharti Airtel's LTE networks -- and
Ashish Vaishya, a director and member of the
services vertical managing BSNL's cell networks. Rajneesh Sharma, who was one of the
seniormost executives in charge of PSU and
enterprise sales, has also quit last month,
executives who declined to be named said. The
latest to leave is Arvind Rangnekar, who was
project director in the services division, they added. In a clear indication of the shape of things to
come, ZTE has also asked about 100 of its 180-
odd Chinese expats in its Indian arm to relocate
to China and other global markets where the
company has a presence. These expats were
primarily involved in the engineering services and solutions business in India. "The move is
aimed at cutting down ZTE India's expat-related
outflows as part of a drastic cost-optimisation
exercise," said an executive aware of matters. ZTE India did not respond to ET's specific queries
on the winding up of its R&D operations, the
spate of top level exits or the mass relocation of
expat Chinese executives. But executives familiar with the matter claim the
latest developments have been triggered by an
ongoing management rejig following the recent
change in ZTE's India leadership team with ex-
services business head Xu Dejun replacing Cui
Liangjun as the new chief executive.

http://www.timesofindia.com/tech/te...-operations-in-India/articleshow/18345449.cms
 
.
Kind of funny - companies come to India for cost cutting and this company and this company is leaving India for cost cutting, must be more to it then what is being stated.....does this have anything to do with the accusations of covert surveillence and spying using chinese networking components?
 
.
Kind of funny - companies come to India for cost cutting and this company and this company is leaving India for cost cutting, must be more to it then what is being stated.....does this have anything to do with the accusations of covert surveillence and spying using chinese networking components?

Yap india came up with such case. India stoped using chines sim cards. Only 10% are getting impoted.but government asked to stop that too because of threat of surveillence and spying using chinese networking components
 
.
Kind of funny - companies come to India for cost cutting and this company and this company is leaving India for cost cutting, must be more to it then what is being stated.....does this have anything to do with the accusations of covert surveillence and spying using chinese networking components?

There has been huge trust deficit between GoI and Chinese telecom companies. Though it's unfortunate, but national security comes first.
 
. .
Very good news, At least for we R&D telecom engineers... Hope the other Chinese (CCP/PLA) company die soon...

Kind of funny - companies come to India for cost cutting and this company and this company is leaving India for cost cutting, must be more to it then what is being stated.....does this have anything to do with the accusations of covert surveillence and spying using chinese networking components?



Sour grapes///...
 
.
good news.our national security were compromised by those sims.

read it somewhere.
 
.
.
Kind of funny - companies come to India for cost cutting and this company and this company is leaving India for cost cutting, must be more to it then what is being stated.....does this have anything to do with the accusations of covert surveillence and spying using chinese networking components?

that is quite simple - India said "no" so such a market is meaningless to ZTE
so stop continually wasting money and leave the market to expensive Cisco
/ Ericsson devices is somehow a smart reaction
 
.
Canada, US, EU, Australia...name a country not blacklisting Chinese Telecom firms.

fine, but news is just news.
start from June 2012, now Huawei is already the 1st in ICT industy in the world, serving 140+ countries

__________________________________________________

The Fastest Internet in the Universe. So Far.

At The Gathering 2012, Altibox and Huawei demonstrated access to the world's fastest network – with an unprecedented network speed of 200Gbps to over 6,000 computer enthusiasts. The two parties have more to share on this successful cooperation.

video:

Huawei United Kingdom - Broader+smarter
 
.
fine, but news is just news.
start from June 2012, now Huawei is already the 1st in ICT industy in the world, serving 140+ countries

__________________________________________________

The Fastest Internet in the Universe. So Far.

At The Gathering 2012, Altibox and Huawei demonstrated access to the world's fastest network – with an unprecedented network speed of 200Gbps to over 6,000 computer enthusiasts. The two parties have more to share on this successful cooperation.

video:

Huawei United Kingdom - Broader+smarter

I never said ZTE or Huawei lacked in technology or anything, just their business process is not transparent and web infrastructure littered with loopholes waiting to be taken advantage of.
 
.
There is an old Chinese saying:

" 欲加之罪,何患無辭 " ——

「Where There is a Will to Condemn, There is "Evidence"」
「罪を加えんと欲するに、何ぞ辞無きを患へんや」

Accusation without any real evidence is always the chosen way of a coward.
 
.
My layman's opinion would say the reduction of manpower has a lot to do with the parent company not doing so well. And overseas or foreign investments are usually first to be axed in any company that has problems.

ZTE Corporation, the struggling Chinese handset and telecoms equipment maker, has secured an additional $5bn of funding from China Development Bank, the state-backed financial institution.
The Shenzhen-based company, which has been forced to issue profit warnings given a slump in its core infrastructure business, already had a financing facility with China Development Bank (CDB) of $15bn.

ZTE secures $5bn from Beijing-backed bank - FT.com

Struggling ZTE must rework its business operations - China Daily.com
 
.
Kind of funny - companies come to India for cost cutting and this company and this company is leaving India for cost cutting, must be more to it then what is being stated.....does this have anything to do with the accusations of covert surveillence and spying using chinese networking components?

I think yes

OR maybe its the case suggested by Audio
 
.
There is an old Chinese saying:

" 欲加之罪,何患無辭 " ——

「Where There is a Will to Condemn, There is "Evidence"」
「罪を加えんと欲するに、何ぞ辞無きを患へんや」

Accusation without any real evidence is always the chosen way of a coward.

hehe.luckily zte is not the only company treated differently by indian govt for stupid reasons.walmart was blocked at the door for decades for a poor reason that they would threat to small traders.
 
.

Latest posts

Pakistan Defence Latest Posts

Pakistan Affairs Latest Posts

Back
Top Bottom