Leading New ICT, Making eFinance More Effective

3-Phase Financial Cloud Transformation, from IT Resource Convergence to Comprehensive Ecosystem Phase 1: IT-oriented 2015 to 2017 Phase 2: service-oriented 2017 to 2025 Phase 3: business-oriented Customer Needs Access with numerous legacy devices Fully automatic cloud management Comprehensive cloud ecosystem Huawei Capabilities Unified management, industry-leading coverage Open standards, converged industry resources O&M, automated App deployment

Two Platforms Serve All Financial Institutions IaaS: Helps banks build private clouds SaaS: Enables partners to provide cloud services Success story: ICBC’s production cloud provides 10+ services (mobile banking, eBanking, etc.). Huawei helped ICBC quickly deploy Microsoft 3E business process platform. Success story: Yusys Technologies’ eChannel Cloud (mobile banking, eBanking, etc.) serves 30+ mid-/small-sized banks. China: Cloud OS Cloud mgmt. platform Cloud migration Russia: Europe: Infrastructure cloud (IaaS) Computing Storage Network

Huawei Helps Banks Develop New Cloud IT Platforms Open Standards Credit card Small loan eBanking Mobile banking ESB Cloud management services Uses OpenStack interfaces from layer I to layer P and helps financial institutions develop a comprehensive cloud ecosystem. 2. Auto O&M Service orchestration: supports service-based auto O&M Monitoring IaaS Service Orchestration (GUI/API) Deployment Automatic O&M Uses service orchestration to enable one-click deployment and elastic expansion of financial applications. Maintenance Infrastructure cloud (FusionSphere OpenStack) Process orchestration, scheduling, execution engine Unified Management Supports legacy PMs, VMs, and heterogeneous devices. Automatically deploys and centrally manages computing, storage, network, and firewall resources in the cloud. Traditional infrastructure New infrastructure Virtualization Server SAN/NAS x86 server Server SAN SDN

Traditional IT Architecture Cloud Transformation Brings Tangible Benefits to the Financial Services Industry Business Trends Traditional IT Architecture Financial Cloud 1. Time to market Year → month → week IT environment preparation: 50+ steps, 1+ month Self-service, ready in a week 2. Daily transactions Millions → 10s millions → 100s millions Resources procured based on peak hour traffic: 30% resource usage Time-based load balancing Resource usage improved by 80%+ 3. Service continuity 24/7 (channel selection) → ubiquitous (consistent experience) Quarterly version upgrade System shutdown during major changes Zero service interruption 4. Cost per transaction High → low Cost per account: > CNY10 Cost per transaction: CNY0.1s Cost per account: < CNY1 Cost per transaction: CNY0.01s 5. Maintenance efficiency Series, manual → automatic PMs maintained and upgraded one by one Number of devices maintained by each O&M person < 50 Automatic O&M tool management Number of devices maintained by each O&M technician > 200

Huawei & YTEC Develop China’s First eChannel Cloud Yusys Technologies (YTEC) and Huawei jointly developed Chinese financial industry’s first eChannel cloud Features fast market response, lower investment cost, and flexible and efficient operation Background Uses x86 servers and VMs to provide Web, App, and DB nodes eChannel cloud uses service directories to simplify service deployment and eBanking templates to enable one-click system deployment Automatically scales up when business traffic is heavy to ensure service continuity Joint Solution Quick deployment, one-click installation, minute-level service deployment Second-level fault detection, hot VM migration, no service interruption Manages heterogeneous systems, uses legacy devices, reduces TCO 30% Solution Highlights