Internet companies war TV manufacturers color TV industry?


Recently, Leshi Mall opened its own "919" promotion, trying to create another e-commerce festival since the day of the Twelve Cats and Jingdong "618". On the morning of the same day, Zhang Weiwei, president of LeTV's Eco O2O, showed off his blog: “At 9:19 am, sales broke 2.17 billion”. The small circle of friends was completely captured by LeTV.

A "Black 919 to buy members to send hardware! As of 9:19, music as the total ecological sales have exceeded 2.17 billion yuan! Among them, LeTV membership revenue of 1.22 billion yuan, super TV total sales of 418,000 units, over 919 last year, Ms. Super TV total sales, super mobile phone sales of over 375,000 units.The hot activities in progress, buy buy buy "brutal copy brushed the circle of friends. Although this kind of poor publicity means is prone to boredom, it also intuitively shows how popular Internet smart TVs are in the market.

Smart TV PK Traditional Vendor: The War has already begun

In the past two years, with the integration of smart hardware and the Internet, the boundaries between mobile phones, televisions, computers and other products have become increasingly indistinguishable from those of the Internet. In the past two years, smart TVs represented by millet and LeTV have produced a large number of industries. The impact. The new marketing game of Internet companies, "hardware free" is in full swing, and it also subverts the traditional TV makers by destroying three views.

The low price spoof of Internet TV made the competition in the color TV industry explosive. Traditional manufacturers are also fighting back with "Buy TV for Free Content." Hisense launched a self-made football program and sent free high-definition video resources. Skyworth and iQiyi jointly launched VIP TV and sent Tencent members.

In the past three years, the domestic traditional TV manufacturers Changhong, TCL, Hisense and Konka have felt the bleakness of the autumn and have experienced a substantial decline in revenue growth in the television business. In contrast, as a new generation of Internet TV operators, LeTV and Storm Group, both hardware sales and paid video services and advertising revenue growth, basically maintained a high growth rate of two to three digits.




In the first half of this year, brand competition in the color TV market has become more intense and intense. According to the data from Ove Cloud Network, the market share of domestic traditional brands in the first half of 2016 was 75%, a decrease of 3.8 percentage points from the previous year; the market share of internet brands was 16%, which was an increase of 7.9 percentage points from last year.

Behind the Growth of Internet TV: Sacrificing Profits




However, the high growth of Internet TV is obtained at the expense of profit margins and adopts the "hardware free" or "content free" rough method. "Hardware free" and "content free" are similar to "send phone bills" and "buy mobile phone bills," but in the actual operation, the end result is that the lower the price of TV, the lower the company's profits. The thinner the booth.

In the first half of this year, LeTV and Storm's TV subsidiary respectively lost 56.78 million yuan and 78.38 million yuan. With the competition of the two companies on Internet TV terminals, this figure may still continue to magnify.

The Internet TV brands that hit the market with low prices cannot promote market share expansion at very low prices for a long time. Even the former “red cardinal” Zhou Hongyi, who has scrambled to make free hardware, himself admitted: “I used to pretend that hardware should be free, smart hardware. It was fooled by many people, including myself!"

Trends: Internet companies shake hands with traditional electricity providers




Some insiders commented that for the Internet companies, the way to really make the hardware free of charge is not enough to justify the ecology. The hardware must be excellent. This requires the help of traditional manufacturers. At present, the traditional traditional color TV manufacturing industry is facing the predicament of overcapacity. Seizing the opportunity and integrating with Internet companies is an important bargaining chip for successful transformation.

In fact, in AWE 2016's "China Color TV Development Trend Forum", the industry has reached a consensus: the boundaries of the future Internet brands and traditional brands will gradually disappear, the pattern will be a huge change, the trend of each company will also appear relatively large differentiation . Dong Min, Avi Cloud Network (AVC) believes that the ultimate can stay, with long-term vitality, it must be a versatile type of manufacturer, the so-called all-powerful manufacturers should have the following two capabilities: First, the hardware operation, and second, ecological construction. With the complementary advantages of traditional enterprises and Internet companies, it is possible to grow into a cutting-edge brand in the industry and to interpret the story of the big and the strong.

Therefore, starting from last year, various traditional television companies and Internet broadcast platforms began to build alliances. This year, iQiyi and Skyworth announced that they have reached a cooperation at the capital level. In December last year, LeTV announced that it had invested HK$2.267 billion to become the second largest shareholder of TCL Multimedia. TCL Multimedia also cooperated with Tencent to share video content. In April this year, Microwhale invested 450 million and plans to hold 3.14% of Konka shares. Similarly, Stormwind Group has also started to build a coalition ecosystem last year, hand in hand with Iqiyi and Aofei Animation on the content side.

Major traditional TV manufacturers have cooperated with Internet companies, and a new "hardware + software" camp has been formed. The new competitive landscape has already begun. The future market competition is no longer merely a competition between TV manufacturers, but Hardware + software vendor alliance competition.

Evolution of War: Realization of VR and AR Technology




Since the inception of smart TVs, Internet companies have defined TV as the computing center of the future family and an important traffic entrance, with more features than film and television entertainment. Internet TV has been given many functions such as social networking, games, education, and e-commerce. The most ideal interactive state for users is simpler and lighter, but they can enjoy a first-class entertainment experience. In this regard, VR and AR technologies have inherent advantages.

The popularity of AR and VR technologies has led many senior people in the TV industry to begin to review the market prospects of AR and VR TVs. Through the use of technologies such as AR and 3D real-time rendering, virtual animation and real space are combined. The player's image in front of the TV is displayed on the screen and can interact with the image in the screen in real time.

In the era of vigorous VR, the video industry has changed quietly. With VR, AR technology is becoming more and more sophisticated, and more and more AR products will be put on smart TVs.

As the saying goes, the first to succeed, there are also some predictable Internet TV companies, the first to integrate VR or AR and its own smart TV products, launched a VR TV. As early as May 4th this year, Storm TV released the world's first VR TV as the pioneer of VR TV. It was the first to open VR TV. Currently, VR TV, Storm VR TV and Skyworth AR TV are already on the market. .




While VR and AR continue to flock to the living room, how will Internet TV companies face these new technologies in addition to their integration? The only certainty is that TV, as a multimedia integrated information service platform, is destined to become the core life application platform. However, in the face of this new smart device, how to develop the potential of smart TV in many aspects to meet the deeper needs of consumers, remains to be explored and explored by Internet companies and traditional vendors.


Smart TV/box information can focus on smart TV information network sofa butler (http://), China's influential TV box and smart TV website, providing information, communication, TV boxes, smart TVs, smart TV software, etc. Answering questions.

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