On June 22, LeTV.com held a general meeting of shareholders. Liu Shuqing, chairman of LeTV.com, stated that the research and development of the new generation of super TV is nearing the end and will be available in the second half of the year. Partners such as Tencent and JD.com are in a period of cooperative development. As an Internet TV The founders, LeTV had developed rapidly, and once ranked among the first camps of domestic color TV, but due to the outbreak of LeTV crisis, it was gradually surpassed by competitors. With the introduction of Le Rongzhixin (former LeTV New), strategic partners were continuously introduced. LeTV is starting to gain momentum. Experts said that the dividend period of Internet TV is over, and traditional TV manufacturers once again have an advantage. LeTV must seize the right time to solve the problems of funding and product differentiation. A line camp.
New products will come out
At the 2016 annual shareholder meeting of LeTV, Liu Shuqing stated that the company is still in a very difficult situation. In particular, the funding issue has not been completely resolved. However, a short video service is being initially attempted, and a new generation of super TV will be launched in the second half of the year.
In the exchange link, LeTV's operating conditions, Jia Yueting's debt processing solutions became the focus of attention of shareholders. Liu Shuqing pointed out that the future development of Lefusion's new business will promote the performance of LeTV's listing system, in line with the company's sustainable development direction and long-term Benefits. Especially in the current situation where the company as a whole still has not emerged from the financial difficulties, the management of the company has made every effort to restore Super TV's service capabilities and content advantages to users, such as cooperation with Tencent and Mango TV. We hope to make continuous efforts to make The users feel that the company is making good changes. 'The new cooperation between Tencent and Leflux is still in a period of development. The sales and cooperation of the members are all in a normal state. The company will follow the relevant laws and regulations in time to achieve the results of the cooperation. Required disclosure. '
Liu Shuqing said that other business sectors of listed companies are also facing heavy historical debt and financial difficulties. At present, all employees of the company are still fully exploring business development opportunities and have achieved partial business innovation. Specifically, LeTV is relying on its business operations. The massive film library still maintains a stable operation capability, and has made initial attempts in the field of short video services. The team is actively advancing in the middle; cloud computing companies continue to provide stable technical services for super TV and video services while the team is also active. Explore a broader cloud service model for community and home scenarios.
In addition, Liu Shuqing also introduced that the company will continue to combine its own software, hardware production and research advantages, and further enhance the company’s product capabilities. The development of a new generation of super TV is nearing completion and will be put into the market in the second half of the year. A generation of super TV will be more in line with the needs of family intelligent entertainment scenes.
Replanning
However, the dividend period of the Internet TV brand has ended, and the major brands are currently struggling.
Since 2013, LeTV and Xiaomi have taken the lead in the emergence of Internet TV products that have gradually emerged in the market. Many Internet companies with no physical industry background have 'jumped' to create new brands as pioneers to attract investors. Save the money, the new brand's "pulling and stimulating", this stage of the TV market ushered in the stage of the brand explosion, the industry also known as the Internet TV 'spoiler.'
Although these companies have the advantages of film source freedom, short advertisement duration, and smart systems that can achieve richer features, they can quickly become the darling of the living room entertainment market. The more important reason is the low price. The Internet is in 2015-2016. In the most serious period of struggles for TV brands, Internet TV manufacturers, who have to bear the costs of foundry fees, copyright fees, etc., began a round of vicious competition, with more than 2,000 yuan on 55-inch TVs. 'You sell TV to send members. The phenomenon that I sell members to send TV's and sell one to lose one has already become the norm in this market.
Leveraging on the rise of Internet TV, Leverage has been one of the first-line camps in the TV industry and is moving forward with an average new TV every two months. It is a 'new' category featuring 'soft and hard'. , LeTV TV has been leading quickly in the continuing sluggish TV industry, growing against the trend, in LeTV's several sub-ecosystems can also be said that the development is the best.
According to public statistics, LeTV sold 1.5 million units, 3 million units and 6 million units in 2014-2016. On February 28 last year, at the LeTV 'Story of Springs' conference, he was the new president of Le Rongzhi. It vowed to announce that in 2017 LeTV's sales target was set to 'guarantee 7 million units and compete for 8 million units'. However, as LeTV's debt crisis erupted, LeTV brand was seriously affected, and LeTV's sales also fell all the way.
In addition to LeTV for its own reasons, the days of various brands of Internet TV in 2017 have become very difficult, and there has been a lot of ups and downs, such as seeing TV was found to be in arrears with suppliers’ payments and slashed staff.
Appliance analyst Liang Zhenpeng believes that the development of Internet TV is characterized by low quality sub-prices. Consumers have already formed a perception of Internet TV. If it is not a low price, there is no reason to buy it. However, last year, Internet TV brands gradually failed to bear losses. The price of liquid crystal panels soared, rising by 50%-100% according to different sizes, and the proportion of LCD panels in TV manufacturing costs accounted for more than 50%. 'But the entire manufacturers have not risen as much as panel makers. Only a 10%-20% increase, the direct result is that the overall machine manufacturer's profit margins decline.
According to Lu Jiebo, deputy secretary-general of the China Electronic Chamber of Commerce, the blinding Internet TV market share last year was only 10%, foreign brands accounted for 15%, and domestic color TV brands were still the main force, occupying 75% of the market share.
In addition to the rising price of LCD panels, Lu Jiebo pointed out that the deterioration in the development of Internet TV brands was due to the lack of an effective supply chain for Internet TV companies, and that they had no say in their own right; relying mainly on capital financing, the manufacturing capacity of products was almost zero; the trust crisis triggered user care. Buying, creating a vicious circle; product, homogenization of content, lack of innovation, weak profitability model.
Speed Competition
According to Hong Shibin, an industry watcher, the revival of LeTV is a race against time, and it cannot be stopped by the market.
At present, the advantages of Internet TV for traditional TV manufacturers are getting smaller and smaller. In the game with Internet TV, traditional TV manufacturers have launched their own sub-brands, such as Skyworth Coolo, Konka KKTV, Hisense VIDAA, and TCL Lei. Birds, etc., are equipped with intelligent systems and film sources. At this time, the so-called 'Internet TV' has officially changed from a product to a concept in which everyone plays. The intelligent transformation of TCL, Hisense and other manufacturers' products has gradually been completed. Internet TV The living space of brand manufacturers is also becoming smaller and smaller.
If LeTV wants to return to the first camp, it still faces many difficulties. On the one hand, the bonus period of the Internet TV market has passed and traditional television regains its advantage. On the other hand, Hong Shibin pointed out that the negative impact of LeTV’s LeTV crisis may also be To continue, how to regain consumer confidence is a key factor.
In terms of funding, on April 18th, LeTV.com announced the new LeTV Wisdom Replenishment Program, confirming that TCL, JD.com, Suning and other companies will participate in the latest round of financing of the new Lezhi Wisdom, which will, to some extent, ease the funds of LeTV. However, it is still not known whether funds have been put in place.
Hong Shibin thinks: 'These companies invest in new LeTV zhizhi is very strategic. There are two directions for future television development. One is Internet TV, and the other is artificial intelligence. However, artificial intelligence is a very virtual thing. It is far worse than Internet TV. The content presented has practical utility. There is a logic of the existence of LeSports software's free hardware logic. These companies must have recognized LeTV as an innovative business model. And it now appears that traditional TV manufacturers have come to the end to earn a hardware price difference. It requires the injection of fresh blood. '
Global Tiancheng CEO Liu Bin told the Beijing Commercial Daily reporter that if Internet TV is to be profitable in the future, it must break through the concept of big screen. For example, it can launch a 'big screen +' strategy, which is to build a home Internet TV intelligent platform that integrates technology and traffic. , Through multi-brand, multi-channel strategic cooperation, create more business forms associated with large-screen, form a large-scale business layout, business form can be extended to 'big screen +' content, 'big screen +' advertising, ' Big screen +' shopping, 'big screen +' game to 'big screen +' smart home and so on.
Fortunately, in the first quarter of 2018, the domestic color TV market rebounded, with 12.15 million retail outlets, a year-on-year increase of 3%, and retail sales of 40.2 billion yuan, a year-on-year increase of 3.3%. This also caused LeTV to see The rise of hope.