In fact, in recent years, for the smart entertainment experience in the family scene, it is no longer a new thing for Internet manufacturers and mobile phone manufacturers to make TV. Mobile phone manufacturers such as LETV, Fengfeng, Xiaomi, Huawei and Yijia have already entered the TV market, competing with traditional TV manufacturers such as Sony, Skyworth, Hisense and Konka.
Oppo Zhimei Life Conference product exhibition oppo
TV industry enters stage 2.0
The TV industry is a dull market which is even older than PC. It has been firmly controlled by Chinese, Japanese and Korean manufacturers for nearly 100 years. It was not until the mobile Internet era that the Internet manufacturers represented by LETV appeared that the pattern and competition situation had some looseness.
At that time, with the concept of new business model and ecological counter, LETV entered the TV market with a high profile as a reformer and subverter, which brought a great earthquake to the traditional TV industry and became the pioneer of smart TV 1.0 stage.
In May 2013, letvx60 and letvs40 were launched for the first time by letvx60. As a flagship product, letvx60 is manufactured by Foxconn. It is equipped with high-throughput processor and Google Android 4.0 system. It is 60 inches in size, and its price is only 6999 yuan. Jia Yueting called this the most powerful hardware monster and won a good start. It was officially opened in July and sold out in LETV mall in less than an hour, becoming the domestic monthly sales champion.
In 2014, LETV launched the 70 inch max70 of high-end TV products, and reduced the price of letvx60 by 2000 yuan. With the same screen size, hardware configuration, the price is only half or even a third of the competitors. LETV has successfully become a troublemaker in the TV industry, which overtook Xiaomi, a mobile phone manufacturer who promoted Internet TV products almost at the same time.
But three years later, the living room war of LETV came to an end due to the fracture of the capital chain of LETVs mobile phone business, which affected other business lines. This year, with LETVs delisting, LETVs model, which once caused a stir in the market, has drawn a terminator.
Looking back on LETVs business model of platform + content + terminal + application, it is nothing more than the integration of hardware and software. In terms of hardware, processors and screens are used to benchmark traditional manufacturers. In terms of software, it includes not only the TV system supporting on-demand, live broadcast and rotation, but also the integration of the copyright of a large number of films and TV plays. And its profit mainly comes from hardware gross profit and income of content, advertisement, Appstore and so on.
LETVs success lies in that it has promoted the transformation of traditional TV manufacturers and launched Internet TV sub brands, such as Skyworths Kukai and TCLs Thunderbird. But the failure lies in the violation of some basic laws of Commerce, especially in the late stage of strategic deviation, from the integration of software and hardware to the mode of service and content payment, and hardware free, which has become the last straw to overwhelm camel.
Just after LETV entered the silent period, the domestic TV industry passively ushered in the node of the second round of reform, the IOT brought by 5g and the third wave of artificial intelligence.
Xiaomis 8th Anniversary new product launch
In the AI + IOT era, smart TV has entered the 2.0 stage, and Xiaomi has also become a representative of the 2.0 stage. Compared with LETVs radical route, Xiaomi is more stable. Since 2013, Xiaomi has invested and incubated IOT equipment. This year, Lei Jun, CEO of Xiaomi, once again established the strategy of mobile phone as the core and aiot ecological layout, and the intelligent life built by aiot penetrated into more scenes.
The biggest difference between the smart TV 2.0 stage represented by Xiaomi and the 1.0 stage is the intelligent interaction between aiot and AI.
Smart hardware manufacturers have begun to set foot in TV, mainly focusing on the large screen ecology in family scenes and the multi scene cross screen ecology combined with mobile phones. This attempt not only considers hardware profits, but also empowers the home IOT industry. IDC analyst pan Xuefei told geek Park, compared with traditional TV manufacturers, the advantages of mobile phone manufacturers lie in cross screen collaboration and intelligent interaction.
It is not easy for mobile phone manufacturers to cross the border
The oppos had to build TVs.
On the one hand, with the increasingly saturated smart phone market, the replacement rate of smart phone market has decreased. In the post Moores law era, the iteration and update of mobile phone technology become slower, and the smartphone industry faces the ceiling in terms of sales volume and innovation. According to IDC data, the global smartphone market will continue to shrink by about 2.3% in 2020.
On the other hand, in the 5g era, mobile phone manufacturers have entered the field of aiot smart home. With diversified layout, they will not be able to get around the TV layout.
For example, after the decline of LETVs sound volume, Xiaomi TV quickly fills the gap in the Internet smart TV market, and after several years of development, it has become the leading TV manufacturer for domestic mobile phone manufacturers. According to the data from Aowei cloud network in the first half of 2020, Xiaomi TVs shipment volume ranks first in China, ranking first for six consecutive quarters. According to the Q2 financial report of 2020 disclosed by Xiaomi, Xiaomi intelligent equipment under aiot strategy has increased by 38.3% year on year. In addition, in terms of turf efficiency, due to the variety of products, the floor efficiency of Xiaomi offline retail stores reached about 270000 / year, second only to apple.
But its tasteless to eat, but a pity to abandon.. Entering the TV industry is contrary to the general trend of aiot, and it is more embarrassing to enter the TV industry.
Since the rise of PC, tablet and smart phone, the demand of TV market has shrunk, the growth has slowed down, and the dividend has gradually faded. Since 2014, Chinas TV market has shown negative growth. After Q4 in 2018, the domestic TV industry started to decline and downturn for several consecutive quarters. Especially this year, affected by the epidemic situation, omdia, a market research organization, showed that global TV shipments fell by more than 16% year-on-year.
Oppo smart TV S1 product diagram oppo
Therefore, the TV industry is more difficult and dangerous than the mobile phone industry. If mobile phone manufacturers want to break through the traditional TV market, they need more obvious advantages. But what is the actual situation?
TV can generate high gross profit in the production, manufacturing and processing sectors, and has its own industrial chain value. Generally, mobile phone manufacturers do not have their own factories, but through third-party OEM production, the supply chain of production is likely to have problems. Said Liang Zhenpeng.
In other words, although the current gross profit rate of the TV industry is not high, the mobile phone manufacturers will incur costs of coordination and profit distribution when entrusting the third-party OEM assembly plant to produce TV, which is slightly larger than that of TV manufacturers with fixed production lines.
In terms of content operation, TV manufacturers must cooperate with Internet TV integrated broadcast control platform operators. It is difficult for mobile phone manufacturers to distance themselves from traditional TV manufacturers in terms of TV content.
Even in the content resources linkage, integration and other aspects, traditional TV manufacturers have more advantages. After being baptized by the Internet thinking of LETV, Fengfeng and other Internet TV companies, the domestic traditional TV manufacturers have imitated and learned to launch Internet sub brands, which have penetrated and bound up with bat and other Internet companies in content and capital.
For example, Tencent and iqiyi invested in Skyworths Kukai and Alibaba invested in kangjiayi square; Skyworths Kukai and TCL Thunderbirds content turnover have increased by 50% in recent years. Today, the boundary between traditional TV manufacturers and Internet TV manufacturers is increasingly blurred.
Of course, this does not mean that the mobile phone manufacturers who entered the oppo late have no chance at all. The mobile phone manufacturers may need to find new ways, such as the linkage between mobile phones and TV, large screen entertainment games, AI intelligent interaction and other dimensions.
For oppos, when the cake in the original market is completely divided, the first mover advantage in entering the new market no longer exists, and the fear of hand and foot restricts the development. Facing the aiot market, mobile phone manufacturers should not only seize the opportunity to touch the market, but also avoid AI intelligent interaction and large screen entertainment from becoming pseudo demand and gimmick.