Mobile TV chip manufacturing: business opportunities in old technology
In the field of IT manufacturing, which is known for its admiration for technology, how to trade off between "new" and "old"? Does "new technology" necessarily mean a good market prospect, and should "old technology" be abandoned?
The facts are not entirely true. Taijing Information Technology, a company whose main business is the manufacture of mobile phone and TV chips (through which the chip can be used to watch TV on mobile phones), reveals another possibility with its own experience.
When many companies are targeting the high-end crowd and optimistic about the digital mobile TV market, this company is doing the opposite, rooting in the development and manufacturing of "lagging" mobile phone analog TV chips, and based on this, it has been done in just two years. He won half of the mobile TV market and became the world's largest supplier of analog TV receiver chips.
Aiming at "old technology"
Watching TV on a mobile phone! A few years ago, this idea attracted several technology companies, including Taijing Technology, to give it a try.
From the perspective of background technology, this requires the implantation of a functional chip specifically in the manufacturing process of mobile phones, the so-called mobile TV chips.
So the question arises: is it to make a chip suitable for traditional analog TV signals, or to follow the trend of the popular digital TV at any time? This is the direction to be determined first.
Even today, this is not an easy question to answer. Singing and declining analog TV has been continuing, and the problems of low utilization rate of analog TV signals to the frequency band and poor picture quality have been criticized repeatedly; and the trend of "analog to digital" (analog to digital) in various countries It seems more unstoppable.
This is the logic of most people. Just like many chip manufacturing companies later chose the path of mobile phone digital TV chips almost "justifiably", and confidently believe that this will help them make a profit in the future. In the field of IT manufacturing, which is known for admiring technology, "chasing new" is almost synonymous with most companies.
When everyone is fanatical, you need to be calm. Yun Weijie, chairman of Taijing Technology, obviously has his own ideas. In his view, analog TV has possessed unique advantages after more than 60 years of development. If you want to watch TV on your mobile phone, you only need to use the existing global broadcast TV channel resources of analog TV. You don't have to make any changes to the existing facilities. It has a more "landing" possibility.
Of course, there is another important reason: digital mobile TV must charge mobile phone users to make up for the previous investment in the construction of new networks; analog mobile TV can be completely free. In the context of low-end and middle-end consumers occupying 70% to 80% of the global mobile phone market, the temptation of "free" is self-evident.
Based on the above understanding, after achieving breakthroughs in chip technology research and development, Taijing has officially deployed the field of mobile phone analog TV chips since 2007. Over the past two years, through the "bundling" cooperation with mobile phone manufacturers and operators, the total shipment of analog TV chips produced by Taijing has exceeded 50 million pieces, becoming the analog TV receiving chip-the largest market segment in the world Supplier.
Especially in emerging markets where domestic mobile phone manufacturers such as the Middle East and South America are struggling to develop, Taijing has been "following" all the way and closely laid out. Yun Weijie said that these emerging markets, especially the Middle East and South America, accounted for 60% of Taijing's shipments.
Wu Guo, a mobile phone trader in Futian District, Shenzhen, Guangdong, is a partner of Taijing for more than two years. In his view, digital mobile TV is indeed superior from a technical point of view, but it has been entangled in how to charge and how to balance the interests of charging entities, which has caused mobile phone manufacturers to be reluctant to produce. The technology has always been It cannot be implemented as a realistic productivity.
He believes that many IT companies like to chase new concepts, but "new" does not constitute a necessary condition for popularization. "Many people make digital chips, 3G hits the head and breaks the blood flow, and in the end it still has no results, because these things have not yet achieved It ’s just a hollow concept. Productivity is the foundation. â€
Step by step
It is obviously not objective enough to simply attribute the current success of Taijing Technology to the fluke of “crash and misunderstandingâ€.
A sales manager of a Sony Taiwan foundry of Sony Ericsson believes that Taijing Technology "does the most appropriate thing at the most appropriate time." He said: "Before and after 2005, digital TV technology has just emerged and started to be promoted on TV carriers. Everyone is immersed in the imagination of the future of new technologies. They all assume that they must also follow the trend of making mobile TV."
Looking back, Taijing Technology's original decision to "bet on" mobile phone analog TV chips required sufficient will and determination: "The more this time, the more it can reflect the understanding and grasp of a company's trends."
The research and development of mobile analog TV chips is not a light work. It needs to integrate the original bulky TV on a chip. From the perspective of power consumption, integration and other performance standards, the threshold is not low. It was when many companies blindly watched the technology of mobile phone digital TV chips and rushed on, Taijing concentrated on doing this research and development.
In 2007, Taijing officially released its mobile phone analog TV chip and began a large-scale promotion. Since the cost of chip implantation is not high, and end consumers can watch it for free, the products are well received in the market, and the market share is rising.
At this time, when other chip manufacturers want to join back, Taijing has almost monopolized half of the mobile phone model TV chip market, and its total shipment of 50 million tablets is called "a single company" globally.
"It came by coincidence, not just early." This is a word that many domestic mobile phone manufacturers use most frequently when describing Taijing Technology. Now, the industry's research on Taijing is more important for its ability to judge the market.
Based on the existing success, Taijing began to break through the market from "old" to "new". In early 2009, Taijing officially launched a digital-analog TV receiver chip, which is a transitional product. The main purpose of its release is to track the current promotion of digital TV and not to lose market share.
Yun Weijie revealed that about 2010, Taijing will also try to launch mobile phone digital TV chips. "We believe that the profit model of mobile digital TV will be clearer, and mobile phone manufacturers will also try to produce it."
This kind of thinking has obviously caused deep thought in the industry. Right now, four companies, such as Fuzhou Ruixinwei, Shanghai Retech, Shanghai Lanqi and Beijing Chuangyi Video, are also preparing to enter the analog TV mobile phone chip market. These four chip design companies have all been involved in the development of mobile phone digital TV technology.
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