Huawei Cloud launches major restructuring, merges departments to focus on AI

Last Friday, Huawei Cloud CEO Zhang Ping’an announced a major organizational restructuring under which multiple departments will be cut or merged. The move aims to increase strategic investment in artificial intelligence, streamline non-core businesses and improve operational efficiency. Following the adjustment, Huawei Cloud will focus on its “3+2+1” business strategy, which includes three areas—general computing, intelligent computing and storage; two areas—AI platform as a service (PaaS) and databases; and one key pillar—security. Sources suggest the restructuring may impact core teams such as the product department and the public cloud services department, potentially affecting thousands of employees. Huawei Cloud posted losses in 2024, and the company has set profitability as its goal for this year, sources said. [Icsmart, in Chinese]