How Huawei Took Over the World

“In its early days, Huawei was accused of stealing technology, including by Cisco Systems Inc. in a 2003 lawsuit, which Huawei settled without admitted wrongdoing. Now it has the biggest R&D budget of any tech company in China, last year pouring $13 billion last year into developing its own technologies, outpacing Intel Corp. and spending almost as much as Google parent Alphabet Inc. Huawei says that 80,000 people—45% of its employees—work on R&D. They make chips, design phones and work on 5G technology.

In 2015, Huawei became the world’s biggest maker of networking equipment—gear like base stations, routers, modems and switches. Its rise has alarmed some officials in Washington, who say its products could be used to spy on Americans and allies. Washington has never proved the claims and Huawei has long denied them.

Not only does Huawei dominate in telecom equipment—it wants to sell you the phone that connects to that equipment, too. Earlier this year, it surpassed Apple Inc. to become the world’s No. 2 vendor of smartphones world-wide, behind only Samsung Electronics Co. Devices like the P20 feature top-of-the-line photography, helping shake the image of Chinese-made gadgets as cheap knockoffs”

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