AsianFin — Huawei founder and CEO Ren Zhengfei disclosed that the company allocates $25 billion (approx. ¥180 billion) each year to research and development, with $8.3 billion (approx. ¥60 billion) specifically earmarked for basic theoretical research that is not subject to performance evaluations.

Speaking during a recent dialogue at Huawei’s headquarters in Shenzhen, Ren stressed the critical role of foundational science in maintaining global competitiveness. “Without breakthroughs in theory, we won’t be able to catch up with the United States,” he said. The remaining $16.7 billion (approx. ¥120 billion) is used for product development and is closely tracked for results.