Huawei established its R&D centre in Bangalore and currently employs more than 2000 R&D engineers and has invested approximately USD 300 Million till date Huawei Telecommunications India Private Limited (Huawei India) established Sales and Marketing office in Gurgaon and started business with first set of clients in the public sector domain, namely BSNL and MTNL Huawei India progressed in the private sector, both in the GSM and CDMA business

Huawei actively collaborates with leading Indian telecom service providers like Reliance, Tata, Aircel, BSNL, MTNL and others in the strategic areas of GSM/CDMA, Broadband, IP/MPLS and terminal devices/CPEs. They have also set up three branch offices and eight technical support centers across India in order to provide proactive and reliable support services.

China’s Huawei Technologies is facing an investigation in India for alleged hacking of a local telecommunications company. This may look similar to the situation in the U.S. where Huawei’s telecom equipment has been effectively banned because of concerns about national security risks. But it seems that Huawei will not be kicked out of the Indian market. Because….

The Indian government hasn’t provided any evidence or details about how the local telecom company(Bharat Sanchar Nigam) have been hacked. And Huawei also denied the allegations. More importantly, Huawei is already deeply entrenched in India’s telecom sector, both as a major supplier and employer. About 95% of its employees in India are locally hired Indians.

There is no doubt that India is an attractive market for Huawei or any other telecom suppliers. The country is one of the world’s largest telecom markets, and its underdeveloped network infrastructure still needs a lot of work. And India is already one of Huawei’s largest markets in the Asia-Pacific region, contributing roughly $1 billion to the company’s annual revenue.

India is also a source of talent for Huawei. Huawei has been operating in India for 14 years and currently works with all major local telecom operators, according to the reports. Today, India is Huawei’s second largest market outside of China.

The latest government investigation isn’t the first time for Huawei to cope with security claims in India. From time to time over the past few years, Indian government officials have raised questions about security risks of relying on Chinese suppliers for equipment used in the country’s telecom networks. Despite such questions, Huawei’s business in India has continued and expanded over the years.

Most Indian security experts feel that the biggest threats to our country come from Pakistan and China. In 2010, India blocked domestic carriers' imports of Chinese telecoms equipment for several months. Any overseas Telecom company that has the potential to harm national interest is banned or restricted from operating in the host country.

Indian intelligence and defense officials are very careful of Chinese Telecom major Huawei operating in India. Meanwhile Huawei India bagged a $400 million order from mobile operator Unitech Wireless to deploy its services in Karnataka, Tamil Nadu and Andhra Pradesh. But Huawei is facing strong opposition from the Indian intelligence agencies whenever it tenders for any Indian project with a national security dimension. At last, the Indian Intelligence Bureau and Defense Ministry has warned the Government owned BSNL that it should not give any of its major contracts to Huawei.

Then Huawei awarded the contract in south India since the region did not share sensitive borders like Pakistan, China and Bangladesh. In mid-2011 India reportedly turned to Huawei for help in searching imported smart phones and communications devices for signs of malware and spyware. Then Huawei opened a research lab at Bangalore's Indian Institute of Science that will be used for this purpose among others.

It’s been argued that opening a joint Indian-Chinese cyber security lab may also present problems for Huawei, since it creates an environment where it will be easy for Indians to observe Huawei's techniques and corporate behavior. In other words perhaps there is a cyber analogy to the saying, “Keep your friends close and your enemies closer”. The purpose of close friendship with possible enemies is to get to know them as well and thoroughly as possible in order be able to anticipate and counter any aggressive initiatives they may undertake.

One of the Chinese vendors like Huawei continue to see significant growth, with Huawei shipping 20.3 million smart phones during the quarter for a 6.9 percent share and growth of 95.1 percent. MARKET SHARE VALUE