Cover story

Fighting dragons

Chinese telecommunications equipment suppliers ZTE and Huawei are no strangers to controversy. They are grabbing a lot of business in Africa and look set to win plenty more.

01 August 2012

Recent legal ructions in Gauteng courts have thrown the spotlight on the African ambitions of two of China’s largest technology corporations. Telecommunications equipment vendors Huawei Technologies and ZTE have captured some of the biggest networking accounts in South Africa and are aggressively pushing into markets throughout the continent. Huawei lists Telkom, MTN, Vodacom and Cell C among its local customers, while ZTE has clinched contracts with Cell C, MTN and FibreCo (a partnership between Cell C, Convergence Partners and Internet Solutions).

Combative sales pitches, keen prices and access to attractive financing are the hallmarks of the Chinese firms’ success. Rivals are quick to point to the mutual courting between the South African and Chinese governments as a possible further advantage in state contracts.

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