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In the first half of 2015, the smart TV market was an ups and downs, and companies from all over the world, including the Internet, traditional home appliances, radio and television, IT, etc., competed unmatchedly. This stage play is not a comedy ending. It is more like a cruel war scene. The arms race has changed its face and has been upgraded to an ecosystem level. More and more frustrated people are dying. The author summarizes the top ten aspects of the smart TV market in the first half of the year, showing the changes in the market and the future of the industry.
One of the highlights: traditional color TV manufacturers collective coaching, save the map
According to Ovid Consulting's data, the penetration of smart TVs has reached 56% in the first quarter of this year and is expected to exceed 70% by the end of the year. The rapid rise of smart TV represents the full integration of the Internet and TV industry. In particular, the participation of Internet companies such as LeTV and Xiaomi has made traditional TV manufacturers who once monopolized TV enter the plight of the general public in recent years. They urgently need to make a transition to the Internet. Frequent events are a reflection of this phenomenon.
In June, the Konka Group saw high-level adjustments. Zhang Min, who had been elected as the chairman for only two weeks, resigned. The current president, Liu Fengxi, took over and veteran Liu Dan returned to the post of president. Konka stated that the new management team will work hard to improve the company’s performance and transform it into smart TVs, smart home appliances and the Internet.
Coincidentally, other color TV manufacturers have also resorted to coaching magic. Skyworth appointed Peng Jin, who has extensive channel and market experience, as the general manager of the marketing headquarters in China; Changhong appointed veteran Guo Dexuan as the chairman of the Multimedia Industry Group, and was responsible for all aspects of the work of the multimedia industry group; Huaxing Optoelectronics CEO Lian Lianming served as chairman of the TCL Multimedia Strategy Executive Committee. , led by thin Lianming and Hao Yi partner TCL Multimedia; Hisense Electric from the original general manager Liu Hongxin served as chairman of the company, Dai Huizhong served as general manager and so on.
Coaching from the side reflects the confusion and anxiety of traditional color TV manufacturers facing the wave of smart appliances, the Internet is pressing harder and harder, the former high-speed growth of color TV hardware is no longer, leaving the traditional color TV manufacturers new leadership transition time Already not much. 
The second part: starting from the start, traditional TV manufacturers have pushed the Internet brand
Under such circumstances, traditional color TV manufacturers also learned mobile phone manufacturers and set up separate Internet TV brands. Skyworth introduced the Coocaa brand. In April this year, it officially announced its independent operation. It separated from Skyworth in the organizational structure and allowed it to have greater autonomy. Konka launched the KKTV brand and also announced the establishment of a company to operate independently. It hopes to recreate a Konka online. Lenovo also launched a smart TV internet brand called 17TV, which focuses on the online market.
There are also custom-made commercial products for traditional color power plants to enter the Internet. For example, Haier’s Modular Card TV is a customized product for the Internet. It is mainly manufactured according to the needs of users in the Internet era and has distinctive Internet properties. Hisense’s VIADD is also true. Is a TV product that integrates with the Internet gene.
Whether it is to push customized products for the Internet, or to further push individual Internet brands or even operate independently, traditional TV manufacturers hope to meet the embarrassing attacks of LeTV and Xiaomi without affecting their traditional product lines and offline channel systems. For example, Lenovo’s smart TV adopts a dual-brand strategy, 17TV is an Internet brand, and existing Lenovo brands still have offline channels. In the operation of Internet brands, traditional home appliance manufacturers often adopt cooperation with e-commerce giants such as Alibaba or JD. They hope to quickly improve Internet thinking and compete with LeTV and Xiaomi.
However, at present, many so-called Internet smart TV products or brands are still in exchange for drugs, many still just stay on the hardware upgrade and functional customization, and some are only targeted at e-commerce channels in the channel, and did not adapt to large The trend of integration of hardware and software, content and applications is worrying about the real competitiveness in the Internet era.
Aspect 3: Affordable, foreign brands are fully defeated
Local traditional color TV manufacturers can not play the Internet, for those foreign brands is even more dissatisfied. In January this year, Panasonic shut down the color TV plant in Jinan, which is its last color TV factory in China. Although Panasonic emphasized that it will also use OEM OEM sales in China, it is destined to be marginalized in the future. The same is true of Toshiba. Since March, Toshiba has retreated to Japan and is only producing and selling in Japan.
Sony and Sharp, which are still sticking, are in the shadow of losses, including Sony's loss for six years, and Sharp's losses after losing his losses in 2013. Sharp recently announced that it will sell its TV factory in Mexico by March 2016. This is the decision that TV made after Sharp sold the Polish TV factory. According to Sharp TV's plan, Sharp's factories in China and Malaysia will also face adjustments.
In addition to the full return of Japan's color TV companies to China, the days of Korean companies are not easy. The consumer electronics division of Samsung TV and home appliance business suffered a loss of approximately 140 billion won in the first quarter, and the home entertainment division of LG Television lost 6.2 billion won in the first quarter. Japan and South Korea color TV companies, the more likely outcome in the future is to withdraw from the consumer terminal industry and switch to upstream component production.
Just as China's Internet market rarely sees foreign companies, when TV enters the Internet age, foreign brands that simply rely on the Chinese market for OEM and the Chinese market as the sales destination for low-priced products are entering a difficult position. In terms of technology, both Chinese traditional color TV manufacturers and emerging Internet companies like LeTV have become comparable with foreign countries. It is not difficult for foreign brands to retreat to China. The decline of color TV companies in Japan and South Korea is also a warning, indicating that the category of color TV as a pure hardware is declining, and the future will be a new generation of entertainment ecosystem.
Aspect 4: Roles are reversed, operators, licensees, and content providers accelerate incoming
A clear trend in the first half of the year is that smart TVs have gone beyond pure hardware and become an ecosystem of hardware, software, content, and applications. Just as LeTV’s super-powered TV startup ad says, “I am not a TV but a complete large-screen Internet ecosystemâ€, Smart TV is fully entering the arms race at the ecosystem level.
Under such circumstances, more non-hardware vendors on the ecological chain began to intervene in smart TVs to launch their own smart TV products. Before the Spring Festival, Dr. Peng of the domestic private telecommunication operator released his first smart TV barley television, shouting the slogan "Who's Really Super TV?" and the significance of LeTV PK; in May, cable TV network operator Gehua Cable also entered the field of smart TVs and launched a 4K fusion machine called Gehua TV. This product was jointly developed by Gehua Cable, BesTV, Skyworth, and Hisense; at the same time, CIBN, the Internet TV licensee, also launched its new smart terminal. Product brand CAN.
Operators and licensees are in the market. Can content providers not miss it? Storms announced that they will jointly build storm TV with Sunshun, and PPTV incorporated into Suning will also announce three new smart TV products. What's more exciting is that the original micro-whale technology of Shanghai Wenguang chairman Li Ruigang will be launched in August. Whale TV's first Internet smart TV. They started with good content and launched an impact on Internet TV.
Operators, licensees, and content providers join the smart TV war situation. The big background is the transition from pure hardware to hardware + services and hardware + content. This allows them to see opportunities from a single point of entry into the overall situation. However, they are often only good at one point, and there is still a long way to go in order to win in the increasingly complicated smart TV ecosystem PK battle.
The fifth highlight: The escalation of the arms race and the entry of PK into the ecosystem hierarchy
As mentioned above, smart TVs are no longer an ordinary color TV and are being upgraded in terms of performance. More importantly, smart TVs are no longer pure hardware but have become UI, content, applications, etc. Within the large screen ecosystem. As a result, the arms race between smart TV manufacturers has also been upgraded to an ecosystem-level PK.
Smart TVs have become a home entertainment center, not only to watch television functions, but also to have multiple functions of "playing" and "using." In addition, the life cycle of smart TVs is longer than that of smart phones. People have concerns about the outdated performance of smart TVs, which makes users have particularly high performance requirements when purchasing smart TVs. Taking music as an example, with the release of Super TV S40 Air and S50 Air, Super TV has fully realized 4 nuclearization and played a "top match" route. The 4-core ultra-high-performance configuration also establishes a performance threshold for mainstream-size smart TVs. The era when users only bought televisions and selected screens is over, and it becomes a choice between UI interactive systems and content, software and hardware. Big screen ecosystem.
Interestingly, the development of smart TVs has something in common with smart phones. For example, smart TVs are now starting to compete against the number of audits. The difference is that smart TVs have CPUs and GPUs. If CPUs have four cores and GPUs have four cores, they add up to eight cores. And, just as smart phones have hit the border battle some time ago, many mobile phone manufacturers have prominently promoted metal borders and no borders. Smart TVs have also seen this trend recently. For example, when LeTV and Xiaomi PK, LeTV took the matter and called it the "metal border full second killer business plastic frame." Perhaps, in the future, there will also be manufacturers launching "borderless" smart TVs, high-value smart TVs and so on.
Smart TVs will enter the full-scale performance and experience PK stage just like the old PCs and smart phones nowadays. Those who have comprehensive strengths can win in PK.
Aspect 6: Content anxiety, do it yourself or cooperate?
Since the smart TV's PK enters the ecosystem level, in addition to the hardware performance, the content of the smart TV has risen to the level of vital importance. In the first half of the year, major smart TV manufacturers escalated their content struggles around content, and even at the cost of a big fight, they highlighted their content anxiety and the importance of content.
The contention between Xiaomi and LeTV was most impressive. Lei Jun said that after half a millet transcript, the content of the integrated millet TV was already the first in the market, twice as much as that of the friendly merchants, and the Beijing Fangyuan notary was issued. The notary document at the office gives evidence. Although Lei Jun did not name the name, it is clear that this friend refers to LeTV. Then LeTV’s counterattack was triggered, and LeTV released a long response to “Restore: The Lies That Are Notarized is Still a Lie.†It points out that the content that the friends said is all public network content, that is, the contents of other Internet video websites, and the content itself is actually zero. .
The contention between Xiaomi and LeTV reflects the PK of the two content lines. LeSime builds a vertically integrated business model of "platform + content + terminal + application". The content is self-built through its own LeTV, LeTV, and Hua Film and Television. Xiaomi uses a collaborative approach. Before Xiaomi focused on On the hardware, there is not much attention to the content and the content is also its short board. Six months ago, Xiaomi finally realized the importance of the content and began to take actions. The original Sina editor-in-chief was included in the magazine, and then the contents were laid out by taking shares in iQiyi, investing in Youku potatoes, and taking shares in Huace Television. Xiaomi itself does not produce any content, but only assumes a platform-side integrated content distribution role. To some extent, the route taken by Xiaomi is also a copy of LeTV.
More traditional home appliance manufacturers also choose to cooperate to build a content system. For example, Konka’s T60 TV is a combination of GITV and Tencent. Interestingly, the Konka T60 also claims to be a super TV. When it was just listed in March, LeTV may be very angry at the pattern plagiarism and even the name plagiarism. Therefore, the three pictorial bombardment through official micro-bursts: imitating re-images is also not super. Look forward, then turn back! For example, Coocaa cooperates with Galaxy and accesses the central Galaxy Internet TV integrated broadcast control platform, which has content resources such as the Central TV, Jiangsu Internet TV and many other content service platforms. Cool open also proposed the slogan "More than a TV." Dr. Peng’s barley TVs and other products with these characters are cutting in content by cooperating with content providers.
It is expected that more and more manufacturers will call their TVs super TVs in the future. This shows that the super TV concept of integrating hardware, content, applications and services has been recognized by everyone.
Aspect 7: Content is free, hardware is free, but profitable opportunities are expanded
LeTV, Xiaomi and other Internet companies entering the smart TV are profoundly changing the cost structure of smart TVs. Smart TVs are moving towards the development of hardware cost and content. Taking music as an example, the price of super TV was the lowest in the recent mass promotion of all the people's carnival. The prices of the S40Air, S50Air and X50Air were only 1999 yuan, 2999 yuan and 3999 yuan, respectively, which also contains 30 Monthly full-screen movie membership service fee (X50Air even includes 36 months!). LeTV is selling hardware at a cost and earning money through content, applications and services.
Taking Small Times 4 as an example, LeTV, as the main investor and distributor, has brought its commercial value into full play. In addition to the hot box office, the official peripheral derivatives including small-times version paper towels, T-shirts and other products continued to sell well. At the same time, small-time 4 wallpapers, calendars, star alarm clocks, exclusive content, etc. landed on the LeTV Super Mobile Phone and other terminals, and the super premiere was on LeTV Super TV. , live broadcasts, etc. During ChinaJoy, LeTV also announced the opening of a somatosensory gaming platform, which brought in 20 billion yuan to share capital gains with development partners. LeTV also announced that it will launch a super gun king simulation somatosensory gun to enhance the video game experience, and proposed to create a large screen. The first platform for the game. CoolChoice also recently announced that it has entered into a partnership with YY Entertainment to combine the live game resources owned by YY with the Internet TV operating terminals owned by Coocaa to provide users with a live game service on a larger screen.
It can be seen that, whether it is a movie or a big screen game or a live game, smart TV is opening a new experience service for users, and smart TV manufacturers will also use this to earn extra income and achieve a content bonus.
Eight Aspects: Subverting Tradition, Live Broadcast Becomes Secret Weapon of Smart TV
When competitions such as variety shows and film and television dramas compete in a Red Sea, smart TVs are resorting to secret weapon sports to attract users, and this will also be the last straw to subvert traditional TV stations.
Recently, the Premier League's new season officially kicked off. The focus of this Premier League live broadcast was not on television, but on LeTV. Zhan Jun, known as "the first person to explain the English Premier League," joined LeTV, and at the same time built an English Premiere commentary team consisting of the best explanations of ESPN, CCTV, and local stations. It is understood that LeTV Sports has 17 types of sports and 121 top-level competitions, achieving an average of 4000 live broadcasts per year. The ever-increasing right to broadcast the game covers football, basketball, tennis, racing, golf and other events. It also builds its high competition barriers. The live broadcast of sports events is also a feature of PPTV. After being incorporated into Suning and launching its own smart TV, PPTV is also pursuing sports. The future sports industry will cover six major sectors, including full media platform construction, event operations, and sports. Training, sports intelligence, sports financing and sports investment.
The demand for live sports broadcasting is extremely high. Not only does it require a lot of money to purchase copyright, but due to the timeliness of sports events, it needs to have a live broadcast capability. Moreover, professional sports narrators are required to explain live sports. Therefore, for a long time, the live broadcast of sports has become the last position on which traditional TV stations rely to survive. At the same time, smart TV manufacturers are also most likely to achieve breakthroughs in sports live broadcasting. Multi-screen interaction and stronger interactivity are all advantages. Sports broadcast is also becoming a new secret weapon for smart TV manufacturers to compete.
The 9th Aspect: Interworking with Mobile Phones, Smart TVs and Mobile Phones to Establish Multi-screen Alliances
In the first half of this year, another aspect of smart TVs was to start surpassing smart TVs themselves and pay attention to the interconnection and interoperability with other devices. The interconnection between smart TVs and smart phones is even more important.
For example, Coocaa A55 highlights the multi-screen interaction with mobile phones. In addition to common TV stand-alone clients, it can also communicate with A55 through WeChat, including the sharing of recent hits and videos with friends in the same virtual theater. Simultaneously viewing entertainment films, reality shows, or blockbuster films at different locations. Cool open A55 system menu has a TV send QR code download portal, this is cool open TV mobile phone control APP, support Android, iOS and other intelligent systems mobile terminals. Through the TV school, you can complete video on demand, remote control of mobile phones, push of multimedia content in mobile phones, and even watch CCTV and local TV channels.
LeTV is through EUI to achieve the interaction and interoperability between Super TV and super mobile phones. With EUI, users can achieve consistent and seamless experience in different smart devices. At this time, the mobile phone can be used as a smart remote control for TVs, and it can be used to tune in, quickly install applications, recognize music wallpapers, etc. It can also be used to socialize content such as making a barrage on a mobile phone while watching TV. In addition, Le Super Mobile MAX wireless HDMI function can also realize low latency wireless transmission of 1080P ultra high definition video.
In the interaction between smart TVs and smart phones, there are three levels. The first level is that they own smart TVs and mobile terminals at the same time. This interaction is undoubtedly more seamless. LeTV and Xiaomi belong to this example. This is why many manufacturers want to At the same time, it has entered the field of television and mobile phones; the second level is the use of UI to achieve the interaction and interoperability between different terminals, LeTV, Xiaomi are the same; the third level is to use APP to achieve mobile phone control of television, which is a lot of tradition Appliance manufacturers' practices. In any case, the interaction between a mobile phone, a personal terminal that is carried around, and a smart TV, which is a home entertainment center, will become more frequent.
Ten things to watch: technology is king, CDN, cloud computing, PK era is coming
The smart TV competition is the competition of the ecosystem. Many of them ignore the technical platform's duel, and this may be the best way to determine the success or failure of the competition. This is because in the PK of the smart TV ecosystem, both the stability of the system and the support of big data require cloud computing capabilities.
The progress of smart TV manufacturers in cloud computing deserves attention. For example, Xiaomi proposed that cloud computing is the cornerstone of all businesses. In Xiaomi's layout, in addition to the above-mentioned hardware services such as Xiaomi TV, MIUI in the middle, and then cloud computing services. Xiaomi announced at the end of last year that it spent $1 billion to invest in cloud computing services. LeTV also established LeTV Cloud Computing Corporation, and has cloud computing as an important platform in its LeTV ecosystem. Currently, through the Vaas model, LeTV has opened up the content production to the entire industry chain, providing 4K-level global cloud live/on-demand neutral services, built nearly 600 CDN nodes, and exported 10T of bandwidth. The CDN transmission capability will be related to whether the big screen experience is smooth, as well as differentiated service and price competition.
In comparison, traditional home appliance manufacturers have made slow progress in cloud computing and CDN construction. This must be given enough attention. Cloud computing is not only a support for the smart TV content system, but also can become a profit center. For example, LeTV Cloud can provide tools and platform support for content manufacturing companies and channel distribution companies, and currently has 4,000 customers. Amazon will earn revenue by renting cloud computing facilities that support its e-commerce business. After experiencing the benefits, it will increase the development of cloud computing business. Currently, it has become a lucrative business, and smart TV manufacturers are likely to follow suit.
Looking to the future, the smart TV market is entering a new era of ecosystem confrontation. Users are increasingly demanding hardware performance, and they need seamless integration of hardware, software, content, and services. Traditional home appliance manufacturers need to rapidly transition to the Internet. Internet companies are seizing new heights of command, and new competition will become even more intense. 
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