IT security services company
said it will form a joint venture with China's
to develop and distribute security and storage products to telecommunication carriers and businesses in Asia.
The new company will be headquartered in Chengdu, China, with Huawei as the majority partner owning 51% of the joint venture.
Huawei will offer Symantec access to its intellectual property licenses, clients and businesses, research-and-development capabilities and its engineering workforce of more than 750 employees, Symantec says.
Symantec plans to make its storage and security software licenses, working capital and its management expertise available to the new company. It also plans to contribute $150 million toward the joint venture's growth and expansion.
The partnership deal is expected to close late in the calendar year, pending required regulatory and governmental approvals.
Research firm IDC estimates the global security and storage appliance market at $23 billion. The Chinese market is forecast to exceed $1.1 billion, says Symantec.
Symantec shares closed the regular session off 7 cents to $19.79. After hours, shares recently were losing a penny to $19.78.