How much has Ren Zhengfei of Huawei contributed to China?

Ren Zhengfei's contribution to China is not high no matter how you evaluate it. China can still have other new Internet companies to fill the gap without BAT, but without private high-tech companies like Huawei, the development of China's high-tech field will stagnate. Moreover, Huawei's ability in the research and development of high-end and mid-range chips is second to none, and even companies like TSMC can only make low-end chip products.

We believe that Ren Zhengfei of Huawei has made the following major contributions to China: First, Ren Zhengfei has made great contributions to China's communications industry. As early as 2009, Huawei successfully developed HiSilicon chips and became one of the few developers of high-end and mid-range chips in China. Now only Huawei can reduce its dependence on chip products produced by Qualcomm, while ZTE is often controlled by others. In the future, Huawei will lead a large number of Chinese high-tech companies to overcome the difficulties of independent chip research and development.

Second, Ren Zhengfei's Huawei has solved many employment problems in China and is also a major taxpayer of the country. Huawei has 180,000 employees worldwide, 80,000 of whom are technical staff. There are 150,000 employees in China, providing 150,000 direct jobs and more than 5 million indirect jobs.

At the same time, Huawei paid 110 billion yuan in taxes in 2017, far more than Tencent and Alibaba (Alibaba paid 36.6 billion yuan in taxes and Tencent paid 7 billion yuan in taxes). This is Huawei's most direct contribution to China. The huge tax revenue accounts for 20% of the tax revenue of the city of Shenzhen. At present, Huawei has moved its production and R&D base to the Songshan Lake area in Dongguan because the land there is cheap and the tax is favorable. This lays the foundation for the long-term development of the company.

Third, establish a new corporate incentive mechanism to effectively encourage employees to work hard for the development of the company. Ren Zhengfei allows all employees to hold shares, while he only holds 1.4% of the shares. Compared with a certain Internet giant who holds more than 95% of the shares and takes a 60 million dividend even if the company loses money, Ren Zhengfei is so broad-minded. Since companies like Ren Zhengfei don't care about shares, Huawei's employees are more motivated and continue to break through technical difficulties in the field of communications. Now they are gradually leading the new trend of 5G. This is the good effect of the incentive mechanism.