Huawei Restructures Cloud Business to Prioritize AI Amid US Tech Rivalry

The revamp is not just for commercial profit but is part of the Chinese regime’s political strategy, one expert points out.

A pedestrian talks on the phone while walking past a Huawei Technologies Co. store in Beijing, China, on Jan. 29, 2019. Kevin Frayer/Getty Images

China’s Huawei Technology will undertake a significant restructuring of its cloud computing sector, focusing resources on artificial intelligence amid increasing tech rivalry with the United States.

This comes as Huawei Cloud CEO Zhang Pingan announced the severance and consolidation of several departments on Aug. 22, with the goal of focusing on developing AI.