Without Google's Android operating system, Huawei may have to put off new launches.
Huawei came under a cloud after allegations that the firm's electronic and telecom devices helped China spy on US corporations and agencies.
The move will help curb the attrition rate in the company, Huawei that employs over 6,000 people in India said.
Huawei Technologies to invest $170 million in India.
Huawei willing to place its software code with government.
The company has set target to sell 15-20 lakh units of Honor smartphones by the end of this year
Investors expect more investment-friendly policies opening up more sectors for foreign direct investment
Chinese equipment contracts had been given by many public sector undertakings and government companies for their networks, even in sensitive places such as the north east.
There were reports of a mobile tower being impacted a few months ago in coastal area of Andhra Pradesh that was attributed to hacking by the company's engineers.
'The huge amount of investments being made by telcos in India for telecom gear, there is no way this demand could be met only by Europeans.' 'The Chinese are quick in installation and offer great value for money.'