ZTE, like its bigger Chinese rival Huawei Technologies Co Ltd, is hoping to rely on mobile phones and other consumer devices to drive growth.

"We're seeing strong sales in mobile devices in markets outside China, such as Asia, Europe and Latin America," executive vice president Xie Daxiong told reporters at a company event in the southern Chinese city of Shenzhen.

Its revenue from cloud computing products would exceed $2 billion in 2011, he added.

With ZTE's pace of growth at more than 20 percent this year, executives said the company's sales gap with Huawei should be narrowing.

Huawei said last month that it expected revenue to grow by about 10 percent to $31 billion this year and smartphone sales to rise 10-fold by 2012.

ZTE's revenue was about a third of Huawei's in 2010, at 70.26 billion yuan ($10.8 billion).

Shares of ZTE fell 0.6 percent in Hong Kong on Wednesday, in line with the blue chip Hang Seng Index.

Copyright Reuters, 2011