Hanwang color screen e-books: the final stroke or a small try?

Hanwang moves again. The "Hangwang problem" in which capital markets frequently dodged has finally begun to make substantial progress in the product area. Last Tuesday, 6 hours before the opening of the 2012 CES (Consumer Electronics Show) in the United States, Hanwang held a press conference at its headquarters in Beijing to launch its latest product, the 5.7-inch color-screen e-book C18, in cooperation with Qualcomm. On the evening, Liu Yingjian, the president of Hanwang Group, who had not shown up for a long time, personally attended the press conference and answered questions from reporters.

This 2,880-priced product is easily reminiscent of two years ago. At that time, the Hanwang was the first to pioneer the e-book Blue Ocean in China, occupied the market commanding height, and finally completed the market's degeneration. Today, Hanwang once again hopes to occupy the highland of color e-books, which are still in the market at present, and realize the second revival of Hanwang.

From the reporter’s point of view, this is full of too many twists and turns and variables.

However, it must be pointed out that Hanwang is such a fighting spirit. In the face of hardships and difficulties, the commercial spirit of daring to face and dare to fight may be a manifestation of Zhongguancun's spirit.

Around the release of new products from Hanwang, a series of questions were sorted out: Is the pricing high, can it promote performance improvement, and is the cooperation with Qualcomm the United States subject to the other party? Is the new product the final stroke of Hanwang or an ordinary attempt? Liu Yingjian's answer is sincere, but some of the answers are not clear. Through these answers, we seem to have stepped closer to Hanwang.

There is no basis for pricing 2880 yuan?

At the conference, the media is most concerned with pricing. Liu Yingjian first answered this question, "This product is priced at 2,880 yuan." Later, the reporters asked about technical issues, such as what browser software supports the product, whether the battery lock screen can be used for 30 days, and if the book can be flipped continuously for 10,000 pages.

The Daily News reporter is concerned about the origin of this price.

Liu Yingjian explained that “the reason why the price was set at 2,880 yuan was because the screen was very expensive. This technology was invented by the MIT professor. Why is it expensive? Because the structure is quite complicated”.

Even if the screen is expensive, is it as high as 2,880 yuan? It is understood that there are already relevant statistics in the industry on the cost structure. Some reports indicate that color e-book screens are about 30% higher than black-and-white screens. At present, the general price of 6-inch black-and-white screen e-books on the market is about six or seven hundred yuan. If calculated in this way, what is the basis of 2,880 yuan?

Is there a market?

Reporter: "Which people are the product?"

Liu Yingjian: “There are several types of positioning. One is a high-end person who especially likes to read. At the beginning, he generally targets enthusiasts, outdoor workers, tennis coaches, football coaches, and people who love to travel.”

The reporter then asked, "Which of the Hanwang's e-book products have the largest volume of sales? Is it high-end customers or primary school students? What is the proportion of major consumer groups in total sales?"

Liu Yingjian: “At present, it is still the cheapest sales volume. Low-end products account for more than 60% of sales.”

The reporter asked again, "Hanwang has targeted high-end customers' products, for example, there is a 3,000 yuan or so 10-inch product. Is there any conflict with new products?"

Liu Yingjian: “The 10-inch product positioning is very accurate, and it is used by scholars, engineering technicians, university teachers, and government agencies.”

Reporter: "What is the advantage of Hanwang in the future? Is it consolidating market share?"

Liu Yingjian: “We have the most complete industrial chain in China, we have terminals, and we have marketing. Our products and software are doing better. This market has to say something is good, then I tell you that it must be the best of Hanwang because we The investment is the biggest, and it also takes a lot of thought.Many domestic manufacturers may just have done something to the software.We are not the same, our hardware system, industrial design, production and manufacturing are all done by ourselves, we have this power, there is This experience will be done from beginning to end."

Reporter: “You just mentioned that the HW invested a lot. How much is this product currently invested?”

Liu Yingjian said that it was not convenient to disclose it.

Will product prices plummet?

Faced with the price of 2,880 yuan, it is easy to think of two years ago, it was a luxury era of e-books. The concept of Hanwang's e-book has just come to an end. E-ink's black-and-white screen was once sold at a high price of about 2,000 yuan. E-books are targeted at high-spending consumers and have been popular as gifts. However, when the enthusiasm retreated, it became clear that only low-end consumers have been the main consumers of e-books. The wave of 3,000 yuan rushed back quickly. At present, as Liu Yingjian said, the groups that support Hanwang's e-book consumption are more than 60% from low-end users.

Two-year-old 6-inch e-books could be fired to a high price of around 2,000 yuan. Nowadays, as more brands and manufacturers get involved in e-books, e-books with 6-inch E-ink screens are used in JD.com. Bo) Mall sells for as low as 399 yuan. Will the color e-books reenact the roller coaster-type price crash? In response, the reporter once again throws a question to Liu Yingjian.

Liu Yingjian said: “We are a manufacturer of products. Screens are purchased from key suppliers. Qualcomm said that this screen manufacturing process is more troublesome and there will be no significant price reduction in five years or so.”

Subject to the supply of core parts?

Just as two years ago, e-book consumer products began to develop in China, and the industry has widely discussed one core topic: the manufacturing technology of e-book core components and E-INK displays is almost monopolized by a few companies in the United States and a few other countries. The cost of the screen accounts for 60% of the cost of the entire component, which determines that the Chinese e-book industry is subject to the fate of overseas screens from the date of its birth.

Similarly, the Hanwang release of the product, screen purchases from Qualcomm.

Reporter: "After seeing a prototype of a new product, I have an idea if I can add it to the function of surfing the Internet and talking because I think that apart from these two aspects, I have almost reached the level of smart phones, even more than Samsung. This brand also has the advantage of longer standby times and better eye protection.”

Liu Yingjian: "Yes. The Hanwang did have such considerations. Because it is not difficult at the technical level, it can be solved."

Reporter: "Why didn't it start?"

Liu Yingjian: “We want to coordinate with Qualcomm’s plans. Qualcomm believes that 4.3 inches is more appropriate. For this product, Qualcomm hopes that CES will release, if I want to add the phone function too late, then it does not meet its requirements. ”

Liu Yingjian continued to explain that “Americans (Qualcomm Corp.) think that making such a phone call may be silly and that it is better to make a small call.”

Obviously, Qualcomm’s opinion prevailed. Then the reporter asked that, in fact, this may be a difficult problem that the Chinese e-book industry is currently facing - "Because of the lack of core technology, over-reliance on a supply source may tie your hands and feet."

In response, Liu Yingjian said, “This is called a strategic partner, and it cannot be said to be a source of supply, because this technology is not yet in the cottage phase, and not everyone can make it.” The reporter of Zhang Xiaodong, a reporter of the Commercial Daily reporter, observed the final stroke or was he a small tester?

The stock price plummeted and senior executives cashed in... In the previous year, the capital market made Liu Yingjian somewhat embarrassed. Compared with the pre-IPO market, he now seems to be more humbling and patient with the press. His tone is down, but it is much stronger.

E-books made Hanwang's dream of listing and pushed Liu Yingjian to the pinnacle of his career. The same e-book, he was thrown to the bottom, so that he began to dodge the public. The once E-ink black-and-white screen e-books and the 2880-yuan high-priced color e-books seem to be parallel to two spatial dimensions, and have many similarities. When the products are available, they are positioned high-end and their price is good. They are all blank markets that almost no one in the Chinese market has ever encountered. The former achieved the Hanwang and quickly destroyed the Hanwang. Is the latter a "wake-up" of Hanwang's panacea or a "strength agent" to save the market? We cannot make a conclusion yet.

Color screen technology is not exclusive to Qualcomm, and Qualcomm's color screen technology is not only available to Hanwang. Only Chinese companies that have grasped the tail of technology will probably set off an embarrassing color e-book battle.

We all understand that companies can only keep up with fashion trends through continuous innovation and will not be eliminated by society and the market.

Hanwang, the introduction of high-priced color screen e-books, is the final stroke of the Hanwang, or a small test before the revival, to explore the road in advance? We don't know about the future of Hanwang. However, what is worthy of recognition is that although Hanwang is in a predicament, he still does not abandon or give up. The spirit that he always upholds is the real portrayal of Zhongguancun Technology Company. The result may not be important. The important thing is that the Hanwang people still have dreams, dreams and hopes...

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