Chinese telecommunications giant Huawei will invest $3.1 billion in its business in Italy over the next three years, according to the chief executive of the company,
Thomas told reporters that the company also planned to create 1,000 new jobs in the country.
U.S. media reported over the weekend that Huawei was planning large-scale dismissals in its U.S. division.
The exact number of cuts is still unknown, but according to sources, hundreds of people may lose their jobs.
The U.S. and several other countries have accused Huawei of spying on behalf of the Chinese government through its devices.
However, Huawei has repeatedly refuted all the accusations.
In May, the U.S. Commerce Department blacklisted Huawei and 68 of its non-U.S. affiliates, banning them from importing U.S. hardware amid a long-ongoing trade dispute between the two countries.
At a news conference at the G20 summit in Osaka in late June, President Donald Trump, however, said that the U.S. would allow its companies to sell their equipment to Huawei if this did not threaten U.S. national security.