1. Interview with Ziguang Zengrui CEO Zeng Xuezhong: How to step into one of the world's top two chip design companies;
Abstract: In a blink of an eye, it has been seven months since Zeng Xuezhong was formally appointed CEO of Ziguang Zengrui in November last year. During these seven months, what new changes have taken place in Zifeng Zengru? With these questions, The Micronet reporter had the privilege of interviewing Zeng Xuezhong in India and unveiled the new changes he has brought to Violet in the past seven months.
The micro-network message/Mau Mao, India in June, maintained a high temperature of more than 40 degrees a day, which is much hotter than in China. However, the hot climate cannot resist the expansion of overseas markets by many domestic companies. Enthusiasm, but Ziguang Zengru is one of the most active members.
As the "Elite" force under the Ziguang Group, since its inception in 2016, Ziguang Zengrui has attracted a lot of attention. Among the most compelling ones, Zeng Xuezhong was officially appointed as CEO of Ziguang Zengrui in November last year. They are all very curious. Under the leadership of ZTE’s youngest executive vice president, how will Ziguang Zengrui plan and develop in the future? With these questions in mind, Jiwei’s reporter had the privilege of interviewing Zeng Xuezhong in India. In the past month, he has brought new changes to Ziguang.
Violet highlights three new changes
As a marketing expert once known by ZTE as 'Zeng billion' and 'eight big vajra', Zeng Xuezhong now faces the semi-conductive industry with higher technical difficulty, greater investment, and slower returns. He also admitted that he is actually under pressure. Very big.
“After coming to Ziguang, it was not the same place as I used to be that I started to think more systematically. For the chip industry, I can actually describe it in a single word: 'The bench must sit ten years cold'. This is an industry that cannot change the pattern in a year or a half, so you need to think more systematically and then plan and implement your goals step by step. ' Zeng Xuezhong said to reporters on Microblog.
In an instant, it has been seven months since Zeng Xuezhong was formally appointed CEO of Ziguang Zengrui in November last year. In the past seven months, what new changes have taken place in Ziguang Zengru? In response, Zeng Xuezhong said that these changes have taken place. Mainly reflected in the three aspects of strategic direction, organizational structure and products.
First of all, in the strategic direction, Ziguang Zengru’s latest strategic goals are: To be one of the best chip design companies in the world. This goal will be divided into three stages: development, catch-up, and leapfrogging. This year and next year, Ziguang Zhanrui will continue to focus on development, make solid products and strive to achieve better business goals.
Secondly, in terms of organizational structure, on January 19, 2018, Spreadtrum’s divisions Spreadtrum and Rydiko were formally merged into Zengguang Zonui. After the merger, the resources and products of the two companies were also integrated to achieve the Panchip field. Multi-dimension layout. At the same time, the integration of Ziguang Zengrui has also increasingly emphasized the importance of product technology and market. Zeng Xuezhong believes that the future development of 5G and IoT will open a window of development for Ziguang Zoom.
Finally, in terms of products, it can be summarized as compact and low-end, steadily entering the middle and high-end, 5G change the pattern. From Zeng Xuezhong's view, from 2G, 3G to 4G, Ziguang Zengrui continues to narrow the gap with the world's giants. But in the 5G era, Ziguang Zengrui will be in the same starting line with the world's giants, so we hope to change the pattern on 5G.
Independent Innovation and International Cooperation
Why these changes from the three aspects of the development of purple light sharp? 'These changes are mainly based on my thinking about the future of China's semiconductor industry from 20 to 30 years, but also based on my reflection on the next 10 years Ziguang Zengrui. Zeng Xuezhong Tell reporters.
It is worth mentioning that Zeng Xuezhong divided the development of Ziguang Zongrui into three 10 years. The first 10 years were from 2001 to 2009. At that time, Spreadtrum and RDA were not merged, and each achieved 0 Breakthrough to 1, and listing on Nasdaq respectively; the second 10 years from 2009 to 2017, with the support of Ziguang Group, seized the opportunity of China’s 3G, achieving from 100 million to 10 Billions of dollars in the leap; and the third 10 years will be jointly created by the new team of Ziguang Zunrui, so Ziguang Zhanru set a goal to become one of the world's best chip design companies.
"Ziguang Zengrui wants to become one of the world's best chip design companies. It must be independent and internationally driven by two-wheel drive." Zeng Xuezhong said. It can be seen that in the development plan of Ziguang Zengrui, independent innovation and international cooperation are very important. Directions.
Zeng Xuezhong emphasized that in terms of independent innovation, from 2G, 3G to 4G, to the current 5G, Ziguang Zunrui always insists on independent innovation and has achieved numerous innovations with global influence. In 2018 Zhanrui launched the SC9850KH chip platform. It is China's first truly domestically-developed domestically produced CPU chip, and is also China's first 4G chip platform with proprietary CPU core technology.
In terms of international cooperation, Ziguang Zengru is also an industry model for domestic IC design companies. Ziguang Group is a major shareholder of Ziguang Zhanrui, and the world's top giant Intel is also an important shareholder. Both of you have me and I have you. Multi-level in-depth cooperation.
India is one of the most important overseas markets
Of course, for Ziguang Zunrui, in its quest to become one of the best chip design companies in the world, the global market layout and development are particularly important. At present, with the gradual saturation of the Chinese mobile phone market, the Indian mobile phone market is gradually replacing China. Become the next blue ocean. Therefore, the Indian market has also become one of the most important overseas markets for Ziguang Zengru.
According to Zeng Xuezhong, as of now, Ziguang Zengru has become India's number one mobile phone chip maker, occupying 40% of the market share. Especially in the 4G field, Ziguang Zengrui has designed a truly local product according to the needs of local users. Differentiated products with user characteristics, ie 4G functional machines. It is reported that this product currently accounts for a very large proportion in the local market in India.
From a general perspective, India is transforming from Indian manufacturing to digital India. The government's support is the key to attracting companies to invest in India. 'In the communication with Indian partners, I was surprised to find that Indian users use on an average monthly basis. The data flow is as high as 20GB or more, and the total amount consumed per month is even more than the sum of China, Japan, and South Korea. This is amazing, so it also strengthens our determination to increase investment in the Indian market. ' Zeng Xuezhong said.
Since its entry into the Indian market in 2009, Ziguang Zengru has taken root in India for nearly a decade. In the past decade, Ziguang Zengru has established a good relationship with Indian local operators and local governments.
At present, in India, almost all local brands have used the company's chip products, including Micromax, Lava, Intex, Karbonn, Zen, etc., the top operators in India, including Reliance Jio, Airtel, Vodafone, Idea, And Chinese brands include acoustics, Lephone, etc.
'A company that wants to succeed in some big countries must be localized.' Zeng Xuezhong said, 'The current Indian team with nearly 100 people at Ziguang is managed by the top management of China. The rest are all Indian locals. The channel of our Indian team, hopes to be more Indian in India. '
In addition, Zeng Xuezhong stated that the ecological construction of the Indian market is also very important. It is reported that in addition to continuously strengthening cooperation with Indian partners, Ziguang Zengru has invested in many Indian brands in India to help India achieve better development. .
The 5G era changes the pattern
Previously in a public occasion, Zeng Xuezhong once stated that 5G and AI will usher in an outbreak, and that the driving force of technological change will also come from chips. Therefore, no matter how the economy develops in the next 10 years, chips will be needed.
In this interview, Zeng Xuezhong also emphasized that Ziguang Zengrui attached importance to the 5G layout. 'The next decade is the era of 5G. I hope to use the 5G opportunity to make Ziguang Zengru a new level.'
From Zeng Xuezhong's point of view, from 2G, 3G to 4G, Ziguang Zengrui is narrowing the gap with the world's giants. However, in the 5G era, Ziguang Zengrui will be on the same starting line with the world's giants, and hopefully it will be possible at 5G. On the change of the pattern. At the same time, Zeng Xuezhong revealed that Ziguang Sharpui's first 5G chip will be officially launched next year.
According to the micro-net reporter, in 2018, Zhanrui opened the '5G chip global leading strategy' in R&D of 5G, including China Mobile, China Telecom, China Unicom, Intel, Huawei, ZTE, Ericsson, Datang, Shanghai Bell. , Keysight Technologies, Rohde & Schwarz, Star River, and other partners, committed to build China's 5G high-end chip, becoming one of the world's leading brands of 5G chips.
In addition, the advent of 5G is also a golden opportunity for the enhancement of Ziguang Zonui's chip manufacturing process. 'Currently, Ziguang's chip process technology mainly focuses on 16 and 14 nanometers, and next year it will reach 12 nanometers, and it will reach 2020. To reach 7 nanometers, we must quickly match the world-class standards in the process.' Zeng Xuezhong said.
From this it can be seen that Ziguang Zengrui has always been practicing low-end solidification and gradually entered the strategic plan of high-end and high-end. Although the current Ziguang Zongrui products are still concentrated in the low-end, but with the arrival of the 5G era, Ziguang Exhibition Sharp's chip products will achieve full coverage of low, medium and high levels and enhance its overall competitiveness in the global market. (Proofreading/Fan Rong)
2. Does ZTE's fate or decide whether to impose tariffs or not, implicating Qualcomm's ability to acquire NXP;
Washington —
President Trump urged Republican lawmakers not to reverse the decision to reduce punishment for China Telecom’s ZTE.
When Congressional Republican lawmakers met with President Trump at the White House on Wednesday evening, both parties seemed to be moving toward a compromise, namely, how to give ZTE a way out, and at the same time eliminate the concern raised by national lawmakers about national security.
The New York Times reported that Trump told lawmakers that he demanded that weakening the punishment of ZTE be part of the overall strategy of geopolitical negotiations.
ZTE was fined by the U.S. Department of Commerce for violating the ban on the sale of mobile phones to Iran and North Korea. After dismissing the relevant management personnel for failing to fulfill its promise, it rewarded and concealed it. The Ministry of Commerce punished U.S. companies for selling their products for seven years. ZTE, which relied on US microchips and software, was sentenced to death.
Trump once said in a tweet that he asked Xi Jinping to lobby for the Ministry of Commerce to consider alleviating sanctions against ZTE. The New York Times reported that the deal eased the tension between Trump and Xi Jinping because he needed Xi Jinping to work for him. The meeting with Kim Jong-un paved the way, and China and the United States are in a stalemate because of the intensification of trade disputes.
The Ministry of Commerce decided to impose a one-billion-dollar fine and a four-million-guarantee bond plus the US’s compliance supervision in exchange for lifting the ban on ZTE. This decision has caused dissatisfaction among many lawmakers. Members of the National Assembly have considered the ZTE sanctions as a national security issue.
The Senate voted to pass the annual defense authority bill on an 85 to 10 basis on Monday. It also shows the senator's attitude toward the ZTE sanctions. The supplementary provisions in the bill will restore the ban on the sale of ZTE that violates the trade ban.
Senate Republican party whip John Corning was one of the senators who opposed the reduction of the ZTE punishment. He said after the Trump conference: 'I think we can find a way to both lift the president’s concerns and take into account national security.'
President Trump demanded that the punishment for ZTE be reduced, and at the same time, it would increase the threat of tariffs, and many people were puzzled.
After meeting with North Korean leader Kim Jong-un in Singapore, President Trump suddenly announced that he would impose tariff penalties on China. Prior to this, Chuan Jinhui’s expectations of success or eased tensions between the United States and China were frustrated. Trump set the time for the implementation of tariffs. And steps, even increasing the number of additional customs threats have also increased several times. China as usual, said that it will retaliate by levying equal tariffs on US goods.
An analysis of the "Investor Business Daily" asked questions. If Trump really wanted to launch a large-scale trade war against China, he would not even think of helping to save ZTE's 70,000 employees.
After the increase in tariff threats last week by Trump, the Dow Jones index fell by nearly 300 points, showing investors' worries. However, according to the analysis, Trump sharply points to Congress rather than Beijing because Trump’s performance in China is sufficient. To be tough, members of Congress need to worry about all-out trade wars with China. They are more likely to follow the White House’s intentions on the issue of ZTE.
According to the logic of this analysis and reporting, if the United States makes concessions on tough penalties for major Chinese technology companies, then the two countries can reach a trade agreement. The analysis mentioned that China had previously intended to purchase US$70 billion US products. , Including more agricultural products, but when the United States further pressures China to make greater concessions, Beijing does not seem willing to talk again, and this time the Senate put ZTE back in desperation.
The defense authorization bill passed by the Senate needs to be coordinated with the version passed by the House of Representatives last month to form a final version for the president to sign and become effective. As there is no provision in the House of Representatives regarding the restoration of the original restraining order, whether the supplementary clause in the Senate version will include Still unknown in the final version of the harmonized bill.
As Trump set the date for the first tariffs on Chinese products worth US$34 billion on July 6, if Congress moves fast, the destiny of ZTE will become clear before the recess on July 4th, then the tariff process may come to a standstill. If the final version cannot be formed before the recess, then the United States and China will fall into a trade low temperature battle in the next month until the fate of Zhongxing is clear.
The analysis of Investor Business Daily also mentioned another point, namely the deadline for Qualcomm’s acquisition of Dutch chipmaker NXP on July 25th. Qualcomm's acquisition of NXP requires 9 countries to conduct anti-monopoly review, and currently there are 8 State approval, only China has not yet made a decision. There are indications that China intends to approve Qualcomm’s M&A transaction in the United States when it decides to ease the punishment for ZTE.
3. ZTE reportedly will pay a 400 million U.S. dollar deposit;
Reuters quoted officials from the U.S. Department of Commerce as saying that ZTE expects to deposit $400 million into a U.S. bank escrow account within a few days.
This may be the last chance for the Chinese company to obtain a ban on the U.S. government. According to the settlement agreement reached by the Ministry of Commerce and ZTE, the latter has to deposit a fine of 400 million U.S. dollars in a escrow account in addition to a fine of 1 billion U.S. dollars. The deposit will be confiscated once the violation is found again. The source pointed out that ZTE had paid a fine of 1 billion U.S. dollars last week.
ZTE declined to comment on the above news.
However, it is still unknown whether ZTE can be lifted. The U.S. Senate passed a bill a few days ago, including negating the provisions of the settlement agreement. However, the bill has not yet officially become a law. The White House has indicated that it is seeking approval from the House of Representatives for approval. The bill related to the provisions.
Letter
4. Taiwan's smart phone May sales ranking Huami OV met for the first time;
Abstract: As part of the motherland, what is the status of the smart phone market in Taiwan? With this question, you will probably understand this after reading this article.
Set micro-message news, recently media ePrice announced the Taiwan smart phone market data in May, let's take a look.
Best-selling machine list: iPhone does not move steady
Judging from the rankings, domestic mobile phone manufacturers and foreign mobile phone manufacturers are evenly matched. Samsung and Apple have 11 mobile phones sold by the two major manufacturers. There are 9 domestic mobile phone manufacturers.
From the specific mobile phone models, Apple’s iPhone 8/8 Plus firmly occupies the top spot in the best-selling machine list. The position of the second place is worth noting that the domestic mobile phone manufacturer OPPO has performed outstandingly, and its A73 has ranked third in two consecutive months. The best-selling machine list was third, and its strength was good. Moreover, the R15, which was just listed in Taiwan, was also airborne to the ninth place. R11s was released for a period of time. Although it fell one month from the previous month, it was still on the list. TOP10 inside.
In addition, millet's red rice 5 32GB version and Huawei P20 Pro also appeared on the list. In the mainland market, the Huami OV semi-finished vivo did not appear on the list, from the vivo in May released X21 in Taiwan, Thanks to the help of under-screen fingerprint black technology, it is likely to appear on the best-selling machine list next month.
Sales list: Huami OV gathers for the first time
Apple ranked first with sales of 48.4%, followed by Samsung. Interestingly, the TOP4 mobile phone manufacturer Huami OV was the first to meet on the list in Taiwan.
The sales of OPPO increased more prominently, from 6.7% in April to 9.1% in May. Huawei increased from 3.3% in April to 4.8% in May; Xiaomi increased from 1.2% in April to May. 1.4%. vivo for the first time in May 2018 into Taiwan's top ten sales of mobile phone brand list, with 0.5% of the sales figures exceeded 0.4% of SUGAR to become the 10th.
Market share list: TOP10 Domestic mobile phone brands have a weak advantage
Although Apple had the market share of 22.5%, it was the largest mobile phone brand in Taiwan in May, and with the second-ranked Samsung assist, Noah Sony did not give power. Within TOP10, domestic mobile phone manufacturers took a slight lead with 49.5% market share. Foreign mobile phone brands (Apple, Samsung, Sony's market share added to 48.3%)
It is worth mentioning that the domestic mobile phone brand SUGAR succeeded in squeezing out Nokia in May 2018 and was among the top ten brands in the Taiwanese mobile phone market for the first time in terms of market share. (Proofreading/Luoming)
5. Lei Jun's amazing quotations: Xiaomi's valuation equals Tencent’s number one by taking Apple’s mobile phone and Huawei;
Summary: Xiaomi is currently busy with the IPO roadshow in Hong Kong. In order to publicize the situation, Lei Jun made a big move and released amazing quotations.
Set micro-network comprehensive report, Although Xiaomi gave up the first share of the Mainland CDR, it did not mean that Xiaomi’s listing process was blocked. On June 21, Xiaomi held an IPO (initial public offering) roadshow in Hong Kong and Xiaomi executives attended the event. , Millet Lei Jun is an amazing quotations frequent.
Millet's valuation is equal to Tencent's by apple
When talking about the issue of millet's valuation, Lei Jun said that he does not care whether Xiaomi is an Internet company. Many people asked him whether Xiaomi's valuation is equivalent to which big company is currently on the market. Is it Tencent or Apple, he thinks that Xiaomi’s estimate The value is equal to Tencent's valuation by Apple, because millet is all-powerful.
Lei Jun redefines Xiaomi with 'new species'. He said: In the past week, he finally wanted to understand that Xiaomi is a rare company in the world. He can also be an all-round company for e-commerce, hardware, and the Internet.
According to Tencent and Apple's market value when the writer wrote this article, the former is 3771.2 billion Hong Kong dollars, equivalent to 319.1 billion yuan, the latter 9420.8 billion dollars, equivalent to about 6.1141 billion renminbi yuan. If really according to Lei Jun said millet's valuation Equal to 'Tencent's apple,' What do you think of the value of the millet?
Global mobile phone market grabs first with Huawei
Lei Junfang boasted that in the next 10 years, the world's largest mobile phone company is very likely to be a Chinese company, not Huawei, or Xiaomi, and there is a great probability that Xiaomi, a good company depends on profits, and a great company depends on People's mind. Xiaomi wants to be a great company. 'The world's largest mobile phone company' In other words is to become the world's number one mobile phone company, which is to grab the first with Huawei.
As for why we have the confidence to grab Huawei first, we can see the strength of Lei Jun from the following two aspects:
First, Xiaomi counterattacked. From the second quarter of last year, Xiaomi's shipments increased significantly, market share returned to the top five in the world, and continued to create new shipments of single aircraft. In the fourth quarter, market share rose to the fourth place in the world. What's even more rare is that Xiaomi was the only brand still growing in the market with a 6.3% overall decline last year, and its sales volume was up 96.9% year-on-year. This year, Lei Jun said with excitement that there is no mobile phone company in the world. Sales volume can be successfully reversed after falling, except for millet'.
At this year's annual meeting of Xiaomi, Lei Jun is setting the ambitious goal of returning to the domestic market in the next 10 quarters. The reason why Lei Jun puts aside his words to take the first place with Huawei in the global market may be the conviction of Xiaomi The miracle of the attack will continue.
Second, Xiaomi’s achievements in the sea are dazzling. Look closely at Xiaomi’s counter-attack data. It is not difficult to find that Xiaomi’s overseas data was dazzling last year, especially in India. From the third quarter of last year, Xiaomi firmly held the market share in India. The throne of one.
In the European market, according to the detailed data of the European smartphone market in the first quarter of this year released by the market research organization Canalys, Xiaomi’s growth rate has exceeded 999% in the first quarter, with 2.4 million units shipped, and airborne at 5.3%. In the fourth place, Xiaomi was previously unknown.
According to Xiaomi’s CDR prospectus, the company’s revenue ratio from overseas continues to increase, mainly because the company started to promote its internationalization strategy in 2014. It has been successively deployed in emerging markets such as India, Southeast Asia, and Eastern Europe. In 2017, Xiaomi’s mobile phone became a smart phone in the Indian market. The smartphone brand with the highest volume of goods. At present, Xiaomi’s mobile phone has entered 74 countries and regions, among which 15 countries and regions have entered the top 5 in the market.
Maybe it was because Xiaomi was listed. Lei Jun was too excited to be confused and drunk, and released the amazing remark that Millet's valuation is equal to Tencent's by Apple's, and the global mobile phone market is robbed by Huawei's first, although it seems unlikely to others. It's nonsense, but you can use Mr. Ma's words to encourage Lei Jun's dream to have something to do if it does. (Proofreading / Luo Ming)
6. BlackBerry's first quarter net loss of 60 million US dollars
Fenghuang Wang Technology News Beijing time on June 22 news, BlackBerry (NYSE: BB) today announced the first quarter of fiscal year 2019 as of May 31 earnings. Financial reports show that according to the United States General Accounting Standards (GAAP) calculation, BlackBerry Revenue in the first quarter was US$213 million, a decrease of 9.4% from US$235 million in the same period of last year. The net loss was US$60 million, which was a net profit of US$671 million in the same period of last year, which turned negative year-on-year.
Stock performance:
BlackBerry stock price
The BlackBerry opened at the New York Stock Exchange on Thursday at the opening price of $11.86. As of Tuesday's close, BlackBerry's share price fell by $0.20 to close at $11.70, a decrease of 1.68%. Before the Eastern Time Friday morning, the BlackBerry's share price rose by $0.41. Reported US$12.10, an increase of 3.55%. For the past 52 weeks, Blackberry’s share price has reached a maximum of US$14.55 and a minimum of US$8.47.
First quarter results highlights:
- Revenue was US$213 million, a decrease of 9.4% from US$235 million in the same period of last year. Among them, total software and service revenue was US$189 million, an increase of 18% year-on-year;
- According to non-GAAP, revenue was US$217 million, compared with US$244 million in the same period of last year; of which, total software and service revenue was US$193 million, an increase of 14% year-on-year;
- The cost of sales was 52 million U.S. dollars, which was 85 million U.S. dollars in the same period of last year and 56 million U.S. dollars in the previous quarter.
- Gross profit was US$161 million, compared with US$150 million in the same period of last year and US$177 million in the previous quarter.
-- Gross profit margin was 75.6%, compared with 63.8% in the same period of last year and 76.0% in the previous quarter. According to non-US GAAP, gross margin was 76.5%;
- R & D expenditures were 61 million U.S. dollars, unchanged from the same period of last year, compared with 58 million U.S. dollars in the previous quarter.
- Sales, marketing and administrative expenses were US$100 million, compared with US$110 million in the same period of last year and US$133 million in the previous quarter.
-- Qualcomm’s arbitration income was 0 US dollars, compared with 815 million US dollars in the same period of last year.
- Operating loss of 65 million U.S. dollars, operating profit of 536 million U.S. dollars in the same period of last year, and operating loss of 17 million U.S. dollars in the previous quarter;
- Net loss of 60 million U.S. dollars, net profit of 671 million U.S. dollars in the same period of last year; Non-US GAAP, net profit of 17 million U.S. dollars, net profit of 10 million U.S. dollars in the same period of last year;
- Basic and diluted losses per share were both $ 0.11, and the basic and thin earnings per share for the same period of the previous year were $ 1.26 and $ 1.23, respectively; Non-US GAAP, earnings per share of $ 0.03;
- As of May 31, 2018, Blackberry holds cash, cash equivalents, total short-term and long-term investments of approximately US$2.3 billion; free cash flow of US$3 million; operating cash flow of US$7 million; capital expenditure of 500 Million US Dollars; Excluding the face value of debt of 605 million U.S. dollars, the net cash balance as of the end of the quarter was approximately 1.7 billion U.S. dollars.
Second quarter results outlook:
-- Total software and service revenue is expected to achieve double-digit percentage growth;
- Non-US GAAP, earnings per share is expected to be profitable;
- Without considering the impact of reorganization and legal proceedings, it is expected to achieve positive free cash flow throughout the year;
-- Total software and services revenue will grow 8% to 10% year-on-year.