Chapter 695 Chain Reaction, Falling a Blockbuster, the Hardest Year for Traditional Mobile Phone Giants

Although Microsoft's acquisition of Nokia has not been finalized, the world knows that it is most likely true.

Many experts also came out to analyze and express their opinions, and all kinds of media were not lively for a while.

At this time, Xu Jun on Huawei's side also took Lian Zhitian and others to Nanshan Group to visit Cao Yang to exchange information on the development of smart phones in the future.

"Mr. Cao, congratulations, I finally pulled Nokia off the horse."

Xu Jun was a participant and witness of the first battle of the Nanshan Group at the beginning of the year, so he naturally knew very well what role the Nanshan Group played in the process of encircling and suppressing Nokia.

Although these actions of the Nanshan Group will cause some people to be jealous and even offend some people.

But it also made many friends a lot more honest, and they didn't dare to easily touch porcelain to offend Nanshan Group.

Just like now Xu Jun took the initiative to visit Cao Yang, in fact, he is also showing an attitude.

"Rejoice and rejoice!"

"As soon as this Nokia fell, a large market was freed up for everyone."

"And the failure of Nokia's mobile phone business has further made everyone realize that traditional feature phones have no market prospects, and they will be the world of smart phones in the future."

"I heard that Warwick's smartphone sales reached 2 million units last month, which is a very fast growth."

At present, the mobile phones produced by Huawei are mainly mid-range products, and there is no competition with Honor mobile phones for the time being.

So even if Cao Yang knew that Huawei mobile phone might be very powerful in the future, he didn't regard it as an opponent for the time being.

Don't put down Samsung and Apple, and have been fighting with China's domestic independent brands, which is obviously not Cao Yang's style of doing things.

"This is all following the pace of Honor mobile phones, and you are trying to find a successful path for everyone."

"We're growing on the shoulders of giants."

There is still a big gap between Warwick's mobile phone business and Honor mobile phones, and Xu Jun's current mentality is very positive.

This pragmatic attitude is naturally very beneficial to the cooperation between Huawei and Nanshan Group.

"At present, your mobile phone business should be mainly developed in China, right?"

"Huawei has many overseas branches, and I think we can make full use of this advantage to open up overseas markets."

"Otherwise, it will soon be occupied by Apple mobile phones and Samsung mobile phones."

In the overseas market, Cao Yang knows that it is impossible to be dominated by Honor mobile phones.

Many countries also do not allow a Chinese mobile phone company to become the largest mobile phone market share.

However, if you pull Huawei and other companies to work together to occupy more than half of the market, it will not be so eye-catching.

Eat half of the market, let Apple and Samsung compete with the rest, and several companies will divide up the market together.

Then each relies on the performance of the local market to compare the final global sales.

The market in China is much larger than that of the United States and Korea, and in the end, as long as the Honor mobile phone can achieve a decisive dominant position in the Chinese market, then it can suppress Samsung and Apple mobile phones.

and even find a way to squeeze Samsung mobile phones out of the Chinese market in the future.

That kind of prospect is even more exciting.

"I came here this time, and I just want to communicate with Mr. Cao."

"The situation in overseas markets is very different from place to place."

"The United States and Europe, as well as Dongying and Southeast Asia, Australia, South America, the Middle East and other places, these markets are worth developing."

"In addition to Samsung and Apple mobile phones, there are a few competitors such as Motorola, and other manufacturers are not competitive in the world."

"We hope that in the future, overseas sales can exceed domestic sales, so that Huawei mobile phones can become an international brand."

Xu Jun is also obviously a very thoughtful and ambitious person.

Since we have engaged in the mobile phone business, it is natural to become bigger and stronger.

The first position in China is occupied by Honor mobile phones, and he has no ideas in a short period of time.

But if Huawei mobile phone can become the highest overseas sales among all mobile phone manufacturers in China, it is also a great achievement.

"Mr. Xu, it seems that we are thinking of going together."

"The space for overseas markets is larger than we imagined, and as long as the products are competitive, it is not impossible to do so."

"At present, the overseas sales of Honor mobile phones have exceeded 1 million units per month, and it will soon exceed 2 million units."

"If the two of us together can sell more than 10 million phones a month overseas in the future, that's when it's time to really celebrate."

Selling mobile phones overseas, Huawei really has an advantage over Honor mobile phones.

After all, Warwick's communication business has spread all over the world, and as long as you add a department responsible for mobile phone sales, you can start selling immediately.

The two exchanged views on the development of overseas businesses for a long time, and then chatted about some cooperation between the two sides in the supply chain, and finally ended the meeting.

And the day after Cao Yang and Xu Jun met, another big event happened in the mobile phone industry.

"Mr. Cao, just now Dongying's media reported that the two parent companies of Sony and Ericsson reached an agreement that Sony would pay Ericsson 1.05 billion euros, and Sony would buy Sony Ericsson from Ericsson."

"Ericsson officially exited the mobile phone business and focused on 2G, 3G and 4G mobile communication networks and professional services in the communications market."

The matter reported by Xia Qingqing is obviously a big deal for the mobile phone industry.

Although many people no longer know Ericsson, the mobile phone brand, they used to be very brilliant.

In the mid-1990s, when Huaxia was just transitioning from analog to digital phones, Ericsson mobile phones occupied the first position in the mobile phone market share.

Even Nokia has to make way for it.

Unfortunately, in August 2000, the Ericsson T28 model was exposed to quality problems.

Since then, Ericsson's mobile phone sales have repeatedly fallen, and Siemens mobile phones have been squeezed out of the top three sales positions in the Chinese market.

At the beginning of 2001, Ericsson was the first among the world's major mobile phone manufacturers to outsource the mobile phone manufacturing process, and then established a joint venture with Sony to establish a co-branded mobile phone company, Sony Ericsson Mobile Communications Company, with Ericsson and Sony each holding 50%.

The joint venture went through a seven-year itch, but finally broke up again just after the tenth year of cooperation.

"Sony-Ericsson's sales aren't declining as fast as Nokia's, right?"

"Why do you feel like it's suddenly gone?"

Although Cao Yang knew that the Sony Ericsson brand would disappear into the long river of history, he was not particularly impressed when they would break up and when they would disappear.

Now listening to Xia Qingqing's report, I will feel a little shocked.

2011 was definitely an eventful year for the mobile phone industry.

"Sony Ericsson is a relatively early manufacturer to enter the smartphone industry, but at the beginning, it used Nokia's Symbian system."

"They only began to switch to Android in the past two years, and this year they have launched three flagship series of new Xperia series products in one go, including Xperia neo MT15i, Xperia pro MK16i, Xperia play Z1i, plus the previous Xperia arc LT15i, these four mobile phones are an important sustenance for Sony Ericsson to turn over."

"However, the competition in the mobile phone market this year is very fierce, and the sales of these flagship phones of Sony Ericsson have not risen."

"The mobile phone business itself is not Ericsson's biggest business, and now it has cost a lot of money, and it has not made much money."

"I guess they don't have the confidence to win in this competition, especially the fall of Nokia has given them a lot of stimulus."

"Mr. Cao, this time we are basically one less opponent."

"In the future, I don't think Sony mobile phones will be able to bring any threat to everyone."

After all, Sony Ericsson is also a leading mobile phone company, so Xia Qingqing also knows more about its situation.

Listening to Xia Qingqing's explanation, Cao Yang probably knew it in his heart.

"I didn't expect the chain reaction of Nokia's fall to be so big, and it took Ericsson's mobile phone business away."

"But you're right, we'll have one less opponent in the future."

Cao Yang was not surprised by this result at all.

After all, there is no Sony mobile phone among the final winners, so it means that Sony Ericsson has failed in the end no matter how much it tosses.

"Last year, Motorola split the company in two and listed the mobile phone business separately."

"After that, some time ago, Google acquired Motorola Mobility, which does the mobile phone business, for $12.5 billion."

"However, I think that after Google tried the mobile phone business, once it found that there was no way to make Motorola bigger and stronger, it was likely to give up this part of the business."

"That means that Motorola, the mobile phone giant, is also going to fall."

Xia Qingqing gave a guess very boldly.

Nokia, Sony Ericsson, Motorola, these traditional mobile phone giants, have all seen significant changes in 2011.

This is definitely a very representative thing.

"Motorola and Nokia used to be like two swords, which put huge pressure on many Chinese mobile phone companies."

"I didn't expect it to decline so soon."

"But this can be regarded as a lesson for Honor mobile phones, there is no 100 days of red, and the launch of each mobile phone is related to the life and death of the company."

Just when Cao Yang and Zeng Tingting were discussing Motorola, Lenovo was also discussing this topic internally.

……

"Mr. Yang, our mobile phone business has indeed declined sharply in the past two years, especially after entering this year, sales have declined sharply."

"Under the malicious propaganda of some people, our mobile phones were compared with Huaqiangbei's copycat machines, thinking that they were just designing a shell, and then all the parts were bought from outside."

"Saying we're just an assembly plant has seriously affected our sales."

"Especially in this year's environment, even giants such as Nokia and Sony Ericsson can't hold on."

"If we're going to rise again, we're going to have to do something different."

As the person in charge of Lenovo's mobile phone business, Zhang Rongji was called to the office by the boss today.

No way, the sales of mobile phones in the first nine months were too unsatisfactory.

And there are all kinds of news related to Nokia and Sony Ericsson on the Internet, and Yang Erqing, as the president, is naturally a little anxious.

He didn't want the company's mobile phone business, which had been developed for many years, to fall completely.

This is an unacceptable outcome.

"What do you want to do differently?"

Yang Erqing stared at Zhang Rongji with a little unkind face.

In his opinion, Zhang Rongji is making excuses for himself.

"Motorola has split its business in two last year, of which the mobile phone business belongs to Motorola Mobility, which is now acquired by Google."

"But after being acquired by Google, Motorola's sales did not improve, but continued to fall into losses."

"According to the style of doing things in European and American companies such as Google, as long as you persist for a period of time and find that there is no way to reverse the situation, you will definitely continue to sell Motorola Mobile."

"Although Motorola's mobile phone business is declining rapidly, they still have a lot of mobile phone-related patents that are more valuable."

"If we can find a way to acquire it and merge it into the mobile phone division, then it may become a milestone in the history of our company's mobile phone business, just like the acquisition of IBM's personal computer business."

As soon as Zhang Rongji said this, Yang Erqing immediately became interested.

In 2004, when Lenovo first acquired IBM's personal computer business, its turnover was just over $3 billion.

But by last year, it had gone to more than $20 billion.

Even in 2008, it entered the world's Fortune 500 for the first time.

This is a very remarkable achievement in Yang Erqing's opinion.

If this thing can be replicated in the mobile phone business, then the status of its own Huaxia business circle will be completely different.

"If I'm not mistaken, Google spent $12.5 billion to buy Motorola Mobility, right?"

"We can't eat this high price!"

As a Chinese company that wants to enter the American market, Yang Erqing also hopes that the mobile phone business can conquer the city in the United States.

Then some of the stories are better told.

But the price of $12.5 billion is too high.

"Mr. Yang, Google did spend $12.5 billion when it was acquired, but if Motorola moves into Google's hands and sales are still declining, then it will definitely not be worth $12.5 billion."

"Maybe we'll be able to buy it for a fraction of the price."

"After all, even Nokia and Sony Ericsson can't hold up this year, and I don't think Motorola's performance can be much stronger."

"This bad situation continues for a while, and Google's mind is about to start to change."

I have to say that Zhang Rongji's statement is still very reasonable.

However, he is obviously too optimistic, thinking that after Lenovo mobile phones have the technology and patents of Motorola mobile phones, they will be able to turn over.

Motorola has a lot of technical advantages in the field of traditional feature phones, but in the era of smartphones, the situation is completely different.

Lenovo has not started the mobile phone business before, and it will obviously have no chance in the future.

Whether it is Honor mobile phones, Samsung, Apple, or companies such as Warwick and OPPO, it is obvious that a new strong competitor is not welcome.

Together, we can get Nokia down, and it will be easier to deal with Lenovo phones.

Zhang Rongji obviously did not take these things into account.

"What you say is not unreasonable."

"You can make a specific plan and plan first, and then arrange someone to try to contact the people at Google to see what the other party thinks and offers."

"If you can really buy it for a fraction of the price, then there is still something to do with it."

Yang Erqing said expectantly.

Motorola, its name is no smaller than IBM.

Even in 2009, Motorola began to use the Android operating system, and several Motorola mobile phones became one of the best-selling products on the Android platform.

Originally, Motorola should be able to smoothly transform from a traditional feature phone giant to a smartphone giant like Samsung mobile phones.

However, the development behind did not keep up with the pace, and the scenery was no longer in just two years.

"I'll arrange it right away."

"According to the current pace of market development, unless Google has a way to change Motorola's life, Google will have the idea of reselling Motorola within next year at the latest."

Zhang Rongji gave his judgment very positively.

This made Yang Erqing even more supportive of his idea.

……

Just when the mobile phone market was bustling, Xiaomi mobile phones started official delivery.

Although Honor mobile phone is the leading mobile phone in China, there will be special people to study the new products of various competitors.

For example, Xiaomi's product only began to be delivered yesterday, and it appeared in the laboratory of Honor mobile phones on the same day.

"Mr. Cao, Xiaomi's mobile phone has also been a bit popular recently, and the hunger marketing plan they use seems to be quite successful."

"The price of 1999 yuan looks like it is not inferior to our configuration, and it is still attractive to many consumers."

"This is how it looks, with a 4-inch TFT screen, a body height of about 125 mm, a width of about 63 mm, a thickness of about 11.9 mm, a weight of about 149 grams, and the body color is equipped with black, bright silver, and supports a colorful back shell."

"Equipped with a Qualcomm Snapdragon Snapdragon MSM8260 dual-core processor, an 8-million-pixel single camera on the rear, supporting continuous shooting, scene mode, autofocus and other camera functions, and a 1930 mAh capacity battery."

"Objectively speaking, the performance of Xiaomi mobile phones is still very strong, and Xiaomi mobile phones are in the first echelon of smartphone products in terms of various indicators."

"Its e-commerce sales model has opened a new trial model for mobile phones at low prices, and at the same time, Xiaomi technology, which uses the Internet model as hardware, has made Xiaomi mobile phones have a more powerful experience."

"I think they will still have some markets in Huaxia's own brand mobile phones in the future."

Xia Qingqing reported the situation of Xiaomi Mi 1 to Cao Yang with a serious expression.

In her opinion, among the self-owned brand mobile phone manufacturers that she needs to pay attention to in the future, in addition to Warwick, there is another Xiaomi.

"The threshold of smart phones is actually not as high as everyone thinks, otherwise there would not be so many copycat manufacturers in Huaqiangbei."

"Now Xiaomi has blazed a trail and walked out of a low-cost mobile phone road that is different from Huaqiangbei, and the competition for smartphones will definitely be more fierce in the future."

"But we don't need to compete with them for price, we have to work innovation and become a mobile phone company with a brand premium."

Cao Yang has always hoped to manage the Honor mobile phone into an existence like the Apple mobile phone in the future.

So the low price will definitely not be the low price.

The low-end market is left to domestic brands such as Xiaomi and Warwick to roll.

Even in the low-end field, he also supported Transsion to attack the African market.

"I also think so, if you sell this product at a price of 1999 yuan, there will really be no profit."

"If you don't control it well, you will lose money."

As the general manager of Honor Mobile Phone, Xia Qingqing naturally has a very good understanding of the situation in the mobile phone industry.

With this configuration of the Xiaomi Mi 1, its profit margin is definitely no more than 5%.

This is still the case that they have drastically reduced their sales expenses, otherwise they will lose money.

"Xiaomi's own brands of smartphones are getting more and more cost-effective, and the publicity is doing very well, it is estimated that those copycat manufacturers in Huaqiangbei will not have such a good time."

"You call Zhang Jing over when you go back, and I'll have a good chat with him about the mobile phone chip."

Most of the chips of those smartphones in Huaqiangbei are produced by Nanshan Semiconductor.

If their sales decline, and the market is eaten by companies such as Xiaomi and OPPO, Nanshan Semiconductor's business will also be affected.

"It shouldn't decline so quickly in a short period of time, and Huaqiangbei's own adjustment ability is also very strong."

"But we do need to think about what to do if they fall."

A giant like Nokia can fall at any time, and it is naturally not impossible for Huaqiangbei's copycat manufacturers to fall.

Cao Yang also knows this.

"Xiaomi, OPPO and VIVO, the new products of these manufacturers, you should pay attention to them."

"Don't capsize in the gutter then."

These companies that became famous in later generations must be the winners of the competition.

Although Cao Yang felt that it was impossible for them to completely threaten the status of Honor mobile phones, he still hoped that Xia Qingqing would pay attention to it.

However, as soon as he said this, Xia Qingqing couldn't help but ask, "What about Lenovo?" Their current mobile phone sales are not low in China, especially in the contract machine market, their share is even higher than ours. ”

Obviously, in Xia Qingqing's view, the threat of Lenovo mobile phones still exists.

It's just that Cao Yang's view is completely different from hers.

Although Xiaomi's mobile phone companies can't talk about how high the technical content is, there are still some merits in people's integration plans and publicity.

But Lenovo is different.

Their mobile phones are completely dependent on special cooperation with several operators to achieve today's results.

With a slight change in the situation, the situation is completely different.

Honor doesn't want to rely too much on contract phones, but Warwick can.

When the time comes, see how long Lenovo's mobile phone business can last?

(End of chapter)