By strategically distributing workloads, optimising computing resources, and maintaining compliance while leveraging scalable cloud technologies, hybrid cloud solutions are increasingly becoming a critical strategy for digital transformation across industries.
As a result, both the hybrid cloud and multi-cloud markets are experiencing rapid growth. Allied Market Research projects the hybrid cloud market to reach $480.2 billion by 2033, highlighting its growing importance in the digital economy.
One business that has quickly emerged as a significant player is Huawei Cloud.
With demand for hybrid cloud continuing to rise, Huawei Cloud Stack has expanded its presence in key markets to meet that demand, evolving its offerings to meet customer needs for secure, scalable, and flexible cloud solutions.
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Hybrid cloud as the foundation for digital transformation
Hybrid cloud solutions are becoming increasingly sought after by businesses and governments, who want to balance the flexibility of public cloud with the security and control of private infrastructure.
Huawei Cloud Stack’s unified architecture aims to address these needs by offering over 120 on-premises cloud services, alongside 50 industry-specific solutions.
This capability has made it particularly relevant for sectors such as government, finance, and telecommunications, where data sovereignty, security, and operational reliability are critical.
Huawei’s focus on bridging public and private clouds ensures that organisations can transition core systems to the cloud while maintaining compliance and control.
Global reach and localised expertise
Huawei Cloud Stack supports over 5,500 customers across 150 countries, and its investments in international markets have earned it notable growth in key regions such as Europe, Asia-Pacific, the Middle East, and Africa.
Huawei contends the platform's ability to adapt to local needs while leveraging a globally consistent framework has driven its success, enabling it to support a variety of sectors including the government cloud.
For example, Huawei partnered with Uzbekistan to develop Central Asia’s largest national government cloud, enabling digital services for 4.5 million citizens. Meanwhile in Ethiopia, Huawei Cloud Stack supported the creation of the largest carrier B2B cloud in Africa, helping Ethio Telecom enhance its services and competitiveness, benefitting 38 million users.
These projects underscore Huawei’s approach of combining technological expertise with localised solutions to drive meaningful digital transformation.
Closer to home, Huawei Cloud leads 10 major markets in China, notably taking the top spot for more than 30 niche market segments. Reports from IDC and Frost & Sullivan have named Huawei the leading provider of government cloud solutions for seven consecutive years and financial cloud solutions for six consecutive years.
Huawei Cloud Stack 8.5: Redefining hybrid cloud
Huawei unveiled its latest offering, Huawei Cloud Stack 8.5, designed to meet the demands of AI-driven industries. The new version introduces innovations that address challenges in scalability, security, and AI integration.
Huawei Cloud Stack 8.5 features a new modular hypervisor architecture that allows for in-place OS upgrades, drastically reducing upgrade times. For example, one client in the financial sector used it to reduce upgrade times for a 1,200-node cluster from 21 days to just five hours.
Huawei Cloud Stack 8.5 also comes with new security features, including a ransomware defence tool capable of protecting against 100% of known ransomware families, leveraging AI to detect unknown threats and ensuring robust data security.
Huawei Cloud also released the newest version to support even more cloud services, including advancements in big data, AI, and blockchain. Huawei Cloud Stack 8.5 also offers over 50 scenario-driven solutions, including the National Government Cloud and the Mainframe-to-Cloud Solution for the finance sector. The latter feature supports seamless migration of core services from legacy mainframes to modern, agile cloud environments.
Hu Yuhai, Vice President of Huawei Hybrid Cloud, described the platform as a tool to accelerate industrial intelligence, combining powerful infrastructure with diverse services to meet regional needs.
AI integration and innovation
With AI adoption becoming an ever-increasing strategic priority for businesses and governments across the globe, Huawei Cloud Stack is looking to ensure users are able to build and deploy bespoke AI capabilities seamlessly.
Its hybrid cloud capabilities are allowing businesses to develop and deploy large-scale AI models within their own data centres, offering greater control as well as the low latency required for high-performance AI workloads.
For example, Huawei Cloud released a new Stack solution back in April designed for larger generative AI models. Its Pangu Doer AI assistant can help guide users through development, while the ModelArts suite development platform provides an array of AI-powered tools and services to support developers as they build and scale their models.
In addition to offering the ability to better build custom solutions, Huawei Cloud Stack offers more than 10 large AI models prebuilt to support sectors ranging from government, mining, ,finance, to construction, professional development, and training.
Users can leverage these prebuilt solutions and fine-tune them using their own data to further customise them to fit their needs.
By simplifying everything from development to deployment, Huawei Cloud Stack aims to make it easier for business and governments to access and unlock the potential of AI, even in highly regulated industries like finance or resource-constrained environments.
Balancing security and scalability
Security remains one of the biggest challenges in cloud adoption, and Huawei Cloud Stack addresses this head-on. Its multi-layered ransomware protection ensures that sensitive data is safeguarded against even the most sophisticated threats.
The platform’s approach to scalability is equally compelling. Innovations such as dynamic partitioning have dramatically reduced the time needed for infrastructure upgrades, enabling organisations to modernise at a pace that works for them—without the downtime that often accompanies such transitions.
Recognition and challenges ahead
Huawei Cloud Stack’s contributions to the hybrid cloud market have not gone unnoticed. Industry analysts such as Gartner, Frost & Sullivan, and Omdia have highlighted its strengths in areas like infrastructure, AI capabilities, and customer experience. Huawei Cloud has been included in eight Gartner Magic Quadrants and ranked as a Leader in 12 product and solution dimensions and secured the top position in over 20 niche market segments.
According to the 2022 Emerging Asia-Pacific Hybrid Cloud Market Report by Frost & Sullivan, Huawei Cloud was named a Leader in the emerging Asia-Pacific hybrid cloud market. It ranked first in market performance, technological innovation, and customer service.
Furthermore, a recent study by Omdia commissioned by Huawei recognised Huawei Cloud as a Key Player in the Middle East hybrid cloud market. It was recognised as a leader in infrastructure, cloud architecture, and AI capabilities. Huawei Cloud also achieved top ranking for proactive service optimisation, AI training workload suitability, and cloud service reliability.
Further reinforcing its market position, Huawei Cloud Stack ranked No. 1 globally in strategic execution and No. 2 globally in solutions in Omdia’s Universe on CloudOps report.
The report highlights Huawei’s strengths in cloud management, data handling, and security, awarding it a 90% score in cloud management monitoring and 87% in both data and security management. This marks the first time an international analyst report has recognised Huawei Cloud Stack across these critical domains, underscoring its competitive edge in sovereign cloud and enterprise cloud solutions.
But the road ahead isn’t without challenges. As competition in the hybrid cloud market intensifies, Huawei will need to double down on its R&D efforts while working closely with local partners to navigate the complex regulatory environments of its key markets.
Looking ahead
Huawei Cloud Stack’s recent success reflects the rising demand for hybrid cloud solutions in regions undergoing rapid digital transformation. However, sustaining this momentum will require more than just innovation — it will demand adaptability.
The company’s ability to evolve in response to changing market conditions, while maintaining its focus on security, scalability, and customer-centric solutions, will determine its long-term success.
As AI and cloud technologies continue to shape the future of industries worldwide, Huawei Cloud Stack has positioned itself as a critical enabler of this transformation. The challenge now is to ensure that its solutions remain inclusive, sustainable, and aligned with the diverse needs of its global customer base.
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