Editing by Xin Lanhua

Chinese server provider H3C Group (新华三集团) won recently a major bid of server procurement of China Telecom, the country’s 3rd largest carrier, JW Insights learned.

The H3C got a high score in the bid, winning contracts worth more than RMB3 billion ($475 million). It reflects H3C’s new industry layout and consolidates its status as a mainstream supplier in carriers’ cloud network field.

Formerly a joint venture established by Huawei and 3Com, H3C was founded in 2016 and headquartered in Beijing and Hangzhou. Tsinghua Unigroup is its largest shareholder now. More than 50% of its employees are R&D personnel. It has filed over 12,000 patents, of which more than 90% are invention patents. 

H3C offers a portfolio of digital infrastructure products on chips, storage, networking, 5G, security, terminal, and related domains. The company said that it provides a one-stop digital platform for cloud computing, big data, artificial intelligence (AI), industrial internet, information security, intelligent connectivity, AI vision, edge computing, and end-to-end technical services.

This round of procurement is reportedly one of the largest for Chinese carriers so far, with more than 200,000 servers and RMB13 billion ($2.06 billion).

The demand for this round of server procurement came from China Telecom’s own Cloudification and Digital Transformation strategy and the Chinese Government’s new regionally allocated data computing strategy, boosting China Telecom’s business development in the 5G and even the future 6G era. Sources close to China Telecom said that H3C’s solutions are preferred for achieving the goal.