Our reporter Yu Jianbin
Although the company is in a very difficult situation, the company's board of directors and management will do their utmost to protect the rights of 80,000 employees to work legally and the legal interests of the family of 80,000 employees. ”
The U.S. Department of Commerce has made an activation denial order prohibiting ZTE from buying, selling, or engaging in any transactions involving articles, software, or technology that are subject to U.S. export control regulations within 7 years. In response, Yin Yimin, chairman of ZTE Corporation, stated that he will exert the utmost efforts to fulfill the consumption of hundreds of operators, thousands of partners and suppliers, including hundreds of millions of companies, including the United States. User's responsibility.
“If we get a refusal order, we still use the standards of the world's first-rate export control compliance company to meet our requirements.
A few days ago, the U.S. Department of Commerce, with ZTE, did not deduct the bonuses and did not issue disciplinary letters on certain employees involved in historical export control violations, and submitted them to the U.S. government on November 30, 2016 and July 20, 2017. In two of the letters, it made a false statement on the grounds that it had made a decision to activate the refusal order and imposed the most stringent sanctions on ZTE.
ZTE responded quickly and expressed its firm opposition to the decision made by the US Department of Commerce, resolutely opposed unfair and unreasonable penalties, and even opposed the politicization of trade issues, which had a great impact on enterprises. ZTE also stressed that it will continue to uphold openness, transparency, and integrity, continue to communicate, solve problems in a legal and compliance manner, and do its utmost to reduce the adverse impact of the matter.
Inside ZTE, Yin Yimin sent a letter to all employees to inform the company that it is actively communicating and making the greatest efforts to promote the resolution of the crisis. On the other hand, it also hopes that all employees will maintain a steady state of mind and stick to their own We hope that everyone will strengthen their confidence, unite, and tide over difficulties.
Yin Yimin said in the letter, "Every employee is doing their own job, is the greatest support for the company. ”
As we all know, on a global scale, the internationalization journey of a company is not simple, and it is often full of risks and challenges. Taking last year as an example, ZTE’s overseas revenue accounted for 43.06% of the company’s revenue, of which Europe, America and Oceania accounted for 25.1% of the company’s revenue. As a highly globalized high-tech enterprise in China, in the complicated international situation, ZTE has invested a lot of energy in compliance governance in the past two years, and all employees have participated in it and made tremendous efforts.
According to ZTE's introduction, “Compliance with export controls is the most important” principle. In respect of export control compliance, the ZTE Compliance Committee has established a global team of senior export control compliance experts. Introduced a number of international top consultants. The relevant investment in 2017 exceeded US$50 million, and it plans to invest more resources in 2018. At the same time, it also organized compliance training for more than 65,000 employees.
“ Even today when we get a refusal order, we are still self-requiring the standards of a world-class export control compliance company. "Yin Yimin said." In this incident, the company's self-inspection found problems and took timely remedial measures, which in itself reflects the effective operation of the compliance system.
Yin Yimin believes that in this incident, ignoring ZTE's strenuous efforts, huge investment, and long-term progress in compliance with export control compliance, as well as the initiative in problem discovery and handling, before the relevant investigation has yet to end, the US Department of Commerce Industry It is extremely unfair and unacceptable to impose the most stringent sanctions against the Security Bureau. ZTE will neither abandon its efforts to solve problems through communication and dialogue, but will also safeguard its own legitimate rights and interests through all legal means.
"We also need to increase our investment in technology to make our capabilities stronger."
Industry experts stated that it is generally acknowledged that in the global communications industry, ZTE Corporation has become the first queue of communication companies in the world through independent innovation and hard work. It has made tremendous contributions to the construction and service of global communication networks for more than a decade. It plays an active role in narrowing the information gap and benefiting the people of the world.
According to reports, ZTE currently has 30,000 R&D personnel. According to the public information released by the World Intellectual Property Organization, in 2017, ZTE Corporation occupied 2,965 PCT international patent applications for the second place in the PCT international patent applications for 8 consecutive years. The number of international patent applications ranks among the top three in the world. It is the only company in China that has won this honor for eight consecutive years.
As we all know, information technology is the most open industry in the world. Countries around the world are developing information technology, leading to the global distribution of the industry chain. No country can complete it independently. Although the United States is the world leader in some fields, the United States cannot. exception.
Yin Yimin said that ZTE Corporation is leading the world in 5G wireless, core network, bearer, and terminal products. The company's major products use a large number of self-developed chips, but there are still a large number of general-purpose devices that are inevitably outsourced. This is also the demand and trend of the development of a globalized market. At the same time, ZTE Corporation is also strengthening its innovation. According to the “Chip Industry Patent Analysis and Patent Portfolio Quality Assessment” report issued by QUESTEL, an internationally renowned patent search company, ZTE’s patent strength in the field of IC (Integrated Circuit) chips is a leading position in the country. The Chinese company that holds the most patents.
"Of course, we must increase our investment in technology to make our capabilities stronger. Yin Yimin said that ZTE has always insisted on independent innovation of core technologies and strengthened R&D investment. In 2017, R&D investment was 12.96 billion yuan, accounting for 11.9% of revenue. Among them, the Group continued to increase investment in 5G R&D and related fields. Currently, it has formed a 5G wireless R&D team with more than 4,500 employees and invests 3 billion yuan each year for 5G wireless R&D. As of December 31, 2017, ZTE has a total of more than 69,000 pieces of global patent assets and more than 30,000 authorized patent assets. Among them, there are more than 1700 patents worldwide for the 5G strategic layout.
There is enough evidence to prove that ZTE has always been a trustworthy and trustworthy enterprise, whether it is in African countries or developed countries in Europe and America. In terms of wireless, ZTE has obtained more than 320 LTE/EPC commercial contracts globally and entered 80% of countries that have invested in 4G networks. The number of Pre5G network deployments has grown rapidly. By the end of 2017, more than 110 networks have been deployed in more than 60 countries around the world.
Yin Yimin said that ZTE has always had the idea of creating and sharing value with customers and users. ZTE is a major contributor to the global 5G standard research and has joined almost all international mainstream standards organizations and advancing platforms. At the just-concluded 3GPP RAN plenary session in Lisbon, ZTE and 29 other major manufacturers in the industry witnessed the freezing of the first version of 5G NR. They will work together with industry partners to promote 5G testing and commercial scale based on unified standards.
"With the development of internationalization, we will unremittingly safeguard the legitimate rights and interests of all employees and shareholders and fulfill our responsibilities to customers, consumers, partners and suppliers worldwide. "Yin Yimin emphasized again."
ZTE employees spontaneously expressed their confidence in the company. An employee said, "We believe that the company's management has the ability and wisdom to resolve this incident; we believe 80,000 brothers and sisters will choose to stay with the company during the company's difficult times; we believe in a lot of ZTE Family members will silently stand behind the people of ZTE and give them the greatest support and encouragement. We believe that as Chairman Yin Yimin said, any road leading to a bright future will not be straightforward, and the company’s internationalization journey will also be accompanied by twists and turns. Injustice. On the way forward, we must strengthen our beliefs, believe in ourselves, and believe in the company. We believe that after the storm we will become stronger. ”