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Chapter 611 Looking at Huaqiangbei from afar

At around 6 pm, He Wei and his team arrived at the Shanghai Stock Exchange from the Special Administrative Region. At 7 pm that night, Xiao Ziming, the vice president of the marketing department, also rushed over. For a time, the entire Yuanxin Marketing and Marketing Department, gathered in the Shanghai Stock Exchange, and temporarily regarded this place as a battlefield.

One afternoon, various sources, including the current demands and conditions of the companies that cooperated with Yuanxin, quickly gathered.

In Wen Xiaoqian's words, the fax machines in the Science and Technology Park almost burned because of overheating.

...

At nine o'clock, the conference room of the flash memory department was brightly lit.

Li Mingliu and Gao Xiaodi knew that they couldn't help much, so they just showed their faces and said goodbye.

Since it was an enlarged meeting of two departments, leaders from middle and above participated, and a round table room with a capacity of 20 people was filled with a full set.

"Okay, everyone stop what you have at hand." Duan Yongping saw that everyone was here and announced that the temporary meeting was officially started.

"I believe everyone has already understood the situation of the press conference during the day, so I will not repeat it anymore. Now I will only talk about the motivations and consequences of foreign competitors' price cuts, and then we will discuss countermeasures."

Duan Yongping looked down at the notebook, then looked at Su Yuanshan sitting next to him with his light, and felt a lot of emotion in his heart. This afternoon, Su Yuanshan had been analyzing the impact and consequences of the price cuts of foreign competitors.

In Yuanxin, everyone knows that Shanmao is prepared for danger in times of peace. Judging from the price cuts of his opponents this time, if it were an ordinary person, he would probably only think that foreign brands that have been squeezed and expelled from the mid- and low-end markets for a long time have been squeezed and expelled by Yuanxin and Zhongxin in the mid- and low-end markets. This time, the price cut is a struggle.

The best way to deal with it is to just lower the price.

But Mr. Shan believes that in this collective price cut incident, foreign competitors have more far-reaching intentions.

"Based on the information and information we have obtained so far, we must first admit that this price reduction behavior means that foreign colleagues have a thorough judgment on our country's policies, market direction, and purchasing power of the people."

"In addition to the current fluctuations in Southeast Asia's financial market, a large amount of investment has also been withdrawn from the Southeast Asian region, and has also been transferred to our country. Through cooperation with domestic enterprises and local governments, the cost of mobile phones produced by foreign brands in China can be reduced to very low."

"Reduced costs mean increased profits, but they did not enjoy high profits, but chose to lower the selling price and spread the entire line... This means that foreign brands have increased their attention to the domestic market."

"To be honest, this is okay for vidoo, but it may not be a good thing for other domestic brands."

"And in the models released this time, foreign brands are still using the same old solutions. In a sense, they are using mature, low-cost, and backward solutions to prevent the soc baseband integration solutions we adopt in order to win the opportunity to catch up for their baseband integration solutions."

Duan Yongping said that, and knocked on the table with a serious expression: "Everyone should know what the yx architecture means to us - the future we are aiming at is the digital age, and mobile phones are just the most representative product in the digital age."

"In the digital age, Yuanxin is the Intel and YX architecture of the digital age, which is x86."

"Please look through the fifth page of the document and see the current companies and situations of baseband integration solutions in the international field. We can see that in the field of baseband integration, our completion rate is the highest and the fastest."

Although Su Yuanshan had already read all the documents, he still flipped over as Duan Yongping's instructions.

Thanks to the advantage of yx architecture "diding" out of the arm and the advance layout of communication protocols, Yuanxin naturally came to the forefront in the integration solution.

Of course, compared with the soc chips of later generations such as Qualcomm, MTK, Samsung, Apple, etc., the current integration is of course not enough. It only integrates processors and modem modules, as well as various interfaces, DSPs, channel coding and other functions, and also requires plug-ins.

Among them, the ones that catch up the most is the integration solution based on the mips architecture of Qualcomm and Motorola, followed by the integration solution based on the yx architecture of Huaju and UniWAKI.

As for Europe, because Arm is completely crushed by the YX architecture, Apple's withdrawal has lost the opportunity and ability to integrate chips...

Obviously, with the 3G standard being put on the agenda, major communication equipment companies have realized that in the mobile Internet era, high-performance soc is the best and even the only solution and way out.

And now it seems that the fastest running on this road is undoubtedly Yuanxin, the dark horse.

If you don’t stop it for a while... Yuanxin will probably be more troublesome than Intel in the future.

"And according to the news, Intel also intends to intervene in the field of low-power processors." Duan Yongping looked at everyone with a serious expression: "This is related to Yuanxin's voice in the future baseband chip field, so everyone cannot be confused by the behavior of foreign brands in reducing prices to seize the market."

Duan Yongping's words set the tone for this meeting.

"Talk about our own opinions and see what aspects we need to start to respond perfectly. Who will come first?"

As Duan Yongping glanced over, Cao Xiaoliang looked at him again. He Wei smiled at him and reached out to him to make an invitation.

"I'm at the press conference today, so I'll just throw a brick and urge me to talk about it first." Cao Xiaoliang cleared his throat and looked at everyone and said, "Before the press conference was over, our marketing team in Shanghai went everywhere to buy new mobile phones. They also bought a lot - everyone saw it."

"Through the afternoon disassembly analysis and the information sent by Mr. Jiang, we can roughly draw the cost and gross profit of the brand this time. Of course, this is not important. What is important is the shipment volume and customs clearance volume of mobile phones sent by Mr. Chen, as well as the growth rate of mobile users in the previous few months."

"According to these data, in China, the sales of mobile phones will increase significantly this year compared to last year. This range is not as simple as doubling - by the end of the year, mobile phone users are likely to reach 20 million. In other words, with the stimulation of a significant reduction in access fees, the average sales volume this year will reach 1.1 million units."

"Even if ten percent of old mobile phones are removed from circulation, an average of 1 million new mobile phones appear in the hands of users every month - even if each mobile phone is only sold for 2,000 yuan, this is an emerging market of more than 24 billion yuan! Not to mention the large domestic population, the economy is in a rapid development trend, and the future is extremely promising."

"It can be said that if anyone can win half of the domestic mobile phone market this year, he will earn $1.5 billion in revenue - last year's semiconductor industry, the tenth-ranked revenue performance is exactly $1.5 billion."

"In this case, how much money is made is secondary, and occupying the market is the main one. What's more, Mr. Duan said just now that foreign brands are using backward solutions to occupy the market and seek a chance to breathe for them to lag behind our integrated structure."

"So, price reduction is the only way to deal with it. But I have two solutions here."

Cao Xiaoliang said as he picked up the teacup and took a sip, and said in a deep voice.

"The first solution is to directly take advantage of our complete industrial chain, launch the mobile phone with the fastest speed of the lowest price series and take it on the market in person."

"In the afternoon, I made a simple calculation. If we go into the market personally, we can make the mp3 mobile phone cost 2,000 yuan. Based on the gross profit of 20%, that is, about 2,400 yuan. In terms of cost-effectiveness and configuration, we can form a crushing competitiveness for the cheapest Nokia at present."

"The second solution is that our vidoo still maintains the existing model and price level, and is positioned at the absolute high-end. Speaking of which, according to feedback, this time the peers actually helped us, which instantly raised the brand value of Yuanxin."

Everyone just smiled.

"But because we need to consider the promotion of the yx architecture, we need to support our cooperative companies more - in addition to giving up profits, we may also have to provide cheaper solutions to cooperative companies, otherwise it will be difficult for them to compete with foreign brands that are rogue."

Seeing Su Yuanshan nodding slightly, Cao Xiaoliang let out a light sigh.

It’s time for him to know what Mr. Shan’s mission is to be made by Yuanxin – Yuanxin wants to become a world-class enterprise with world-class influence and stand at the top of the ecological chain. Then the promotion of the yx architecture must be unswerving.

It seems that I can only go to the second plan.

"Let me add a little more." Seeing that Cao Xiaoliang finished his speech, others had no intention of answering, he pursed his lips and said, "Although I have been in Chengdian Hi-Tech recently, I am also paying attention to the mobile phone industry. I have data on newly registered mobile phone brands last year and the first half of this year - to be honest, for some workshop-style factories, they don't care about what architecture and plan, as long as they can make money, it is a good plan."

"Now, in addition to the solutions we provide, foreign countries such as Sachim and Siemens have cheap baseband solutions. With cheap batteries and LCD panels, and with small workshop-style production, there is no tax cost, and even parallel components are used, their costs can even be reduced to less than 700 to 800 yuan."

"Of course, these phones don't have to say anything about quality and functionality. They can only say that they can answer calls."

"These mobile phones have appeared in the second and third-level markets, and the brand new price can even be as cheap as about one thousand..."

"And these inferior mobile phones, and those under the banner of vidoo... in short, they just fool people and do whatever they want."

"Copycat machine." Su Yuanshan gave a more pleasant title.

He Wei was stunned and nodded, "Yes, a copycat machine."

"Compared with foreign brands, whether from the entire 'domestic product' or from the competitiveness of our soc, these counterfeit machines are our biggest enemy."

Su Yuanshan nodded slowly.

Indeed, the overall value of counterfeit machines to domestic brands is obvious to all - although the buyers know that there is no good product, they will still curse themselves after using it and put the pot on the "domestic brand". After having some economic ability, they will start to "respecte foreign countries and fawn on foreign countries."

Now, as the counterfeit phones are released and the price reduction of international brands generally makes regular domestic mobile phones suddenly become difficult. Not to mention anything else, if Yuanxin cannot come up with a solution, it will be difficult for these mobile phone manufacturers to continue to support Yuanxin.

Su Yuanshan frowned and looked at He Wei with an expectant look.

Facing Su Yuanshan's gaze, He Wei took a deep breath: "Mr. Shan, Mr. Duan. Xiaoliang said the two plans just now make sense, but I prefer the second one - because we are regular soldiers, and for a long time, we have been trying our best to maintain the brand value of Yuanxin. The difficulties in it... Mr. Wan should have a deep understanding of this."

As He Wei's old superior, Wan Yongliang couldn't help but smile and sighed: "Yes, he was filming promotional videos, asking international celebrities to endorse, and asking writers from all walks of life to keep praising... Even a village girl can be praised in the palace as a concubine."

"Haha, yes, so our Yuanxin mobile phone is now a noble lady. If you ask her to go to the fields to work again... then they will feel down and out."

"What's more, if we get out in person, we will push all our partners to the opposite side... This obviously goes against our original intention."

"So, the second solution is our only choice - I don't know much about technology, so I want to ask, can our yx architecture minimize the cost? Can we design an extremely low-cost public version PCB just like a computer board?"

"In this way, our partners do not need to invest in technical design, they just need to determine the appearance."

"To put it bluntly, they go to find an OEM factory, and then the OEM factory will give them different prices of PCB, LCD panel, battery, microphone and even appearance for them to choose from. As long as they are sure, they will be able to assemble and leave the factory immediately. They only need to consider the channels and market."

"In this way, I believe that the cost can still be reduced. At least, it can compete with international brands."

Cao Xiaoliang turned around and looked at her: "Mr. He, what do you mean is to treat your phone like a computer? Create an assembly machine market?"

"right!"

Su Yuanshan's mouth moved when he heard it. After a moment, he smiled slightly: "He Wei, have you been in Huaqiangbei?"

"Ah? Yes, Mr. Shan, the electronics market in Huaqiangbei is very active. Although it is mainly computers, second-hand mobile phones are also circulated frequently."

Su Yuanshan laughed meaningfully.

Huaqiangbei...

This magical place that has created countless miracles and is even called a holy place by some geek players...

Indeed, there is nothing better than it.

"I have the cost of the various chips of the long-core series provided by Deyuan." Su Yuanshan opened the document and his eyes fell on yx0333.

"yx0315 is the earliest baseband chip. We don't use it much, and it mainly provides it to Niguo and Southeast Asia. If the shipment volume can reach 50 million, then its factory cost can be as cheap as US$25. We take $10 to pay for various patent fees and make some porridge money by the way, which is US$35."

"In addition to other devices, the material cost of a basic mobile phone can be as low as $80."

Su Yuanshan said and looked at everyone: "If you want to reduce the price, I will reduce it."

"My only request is that you can push it, and then... use lithium batteries as much as possible to push it."
Chapter completed!
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