Huawei Technologies Co., China’s largest telephone-network equipment maker, says the coming “revolution” of merging computer and communication networks will help it challenge Cisco Systems Inc. (CSCO)’s lead in data routers and switches.

“The market Huawei sees is huge,” Leon He, president of solution sales at Huawei’s enterprise business unit, said in a May 6 interview at the company’s headquarters in Shenzhen, southern China. “If we digitize, we will bring a revolution. When the shift occurs from digital to smart networks, that will be another revolution.”

Huawei is expanding beyond its traditional business of supplying equipment for phone networks as it strives to more than triple sales to $100 billion in the next 10 years. The company established the global enterprise business unit last year to focus on businesses and government agencies, a thrust that may pose its biggest threat to Cisco since Huawei’s entry to the U.S. a decade ago.

The time is right for Huawei to push into the enterprise market because of the opportunities created by businesses and governments merging their audio-visual systems with telephone and computer networks for functions including video conferencing, He said. The potential market is in the “trillions of dollars,” John Roese, Huawei’s senior vice president and general manager of North America research and development, said in Shanghai on April 27.

‘Food Chain’ “Huawei is definitely moving up the food chain,” Sandeep Shyamsukha, an analyst at Auriga USA LLC in San Francisco, said. “As their products get better and their pricing remains aggressive they can take away market share from other players,” said Shyamsukha, who has a “hold” rating on Cisco and doesn’t own the shares.

Bidding for enterprise business will mean more head-to-head competition with San Jose, California-based Cisco.