Internet TV has been booming for three or four years, and now there are basically only three or two brands that can maintain profitability, but they are still trapped in the overall industry downturn and appear embarrassed.
Although all of them are losing money, there are very few who have completely quit. Basically, they all hold their breath and wait for the outbreak. Huawei, OnePlus, China Unicom, etc. all want to join the industry. What is the reason why everyone is reluctant to let go?
In the future, the window for people to obtain information will be divided into three screens: mobile phone screen, car screen, and color TV screen. As a home scene, it is also the largest screen among the three major screens. Naturally, there is a lot of room for development in the future. Although everyone still does not know what the future business model of color TV will be, they have to jump in. Once anyone misses this window, they may miss a great opportunity.
Although it is difficult for companies in other countries to understand that Chinese companies can keep pouring in capital to maintain the operation of burning money without making money. But unfortunately, with China's large population and resources, every small group and small project can have the opportunity to achieve a lot of success. The color TV industry is a cake that looks good from a future perspective, but those who compete for this industry seem to have a bad time.
Where is the threshold for color TV?
The market is big, and there are more people doing it, and the price/performance ratio will come into being, and the battle that has nothing to do with the core technology will continue to upgrade. Everyone is vying for "I am the maker of the rules of the Internet TV industry". It doesn't matter who is the maker of the rules of the Internet TV industry. What matters is that they can take the lead in shaping a healthy market competition environment. If you follow the way of smartphones and continuously release new products by stacking hardware, the threshold for doing so is too low.
And in order to compete for the market, many Internet manufacturers have become price butchers unknowingly. A serious drop in price means a compromise on product quality. No businessman will make a loss-making business. At a price of 1999, you will definitely not be able to buy a product of 2000. Moreover, most consumers already have an inherent impression that when they see "low price", they will associate with "low quality". Price wars bring opportunism among competitors.
In the past few years, a large number of ghosts and snakes have "popularized" Internet TV, and at the same time, they have also lowered the average level of the industry. You always don't want to see people who are irrelevant to the TV scene, so that the TV that can be used for 10 years will be scrapped in 2 years. However, this year, some Internet TV manufacturers have also begun to gradually wake up. A batch of more expensive, but high-quality and highly personalized TVs have all appeared one by one in recent times.
Internet TV market is weak
As a relatively mature home appliance category, the competition in the color TV market has always been fierce. Last year, the color TV market suffered the largest decline in history, but after entering 2018, the panel price reduction and the holding of the World Cup in Russia, the global color TV sales have shown a recovery growth. According to Home Grid, the global color TV market shipped 99 million units in the first half of the year, a year-on-year increase of 4.9%.
However, such growth is still difficult to offset the disgusting competition caused by the price competition of many color TV brands. The color TV industry has undergone a major turning point since 2013. The continuous imitation and learning of domestic manufacturers in panel production has resulted in a rapid increase in output and a gradual decline in the price of LCD panels. In an era where everyone can make a TV, Internet companies have been pushing forward, and they have brought new content and gameplay to TV. At the same time, it is more important to make the price of color TV market transparent, which will pull the entire industry into a dire price war.
Internet companies have begun to have ambitions. They want to be members and ecosystems on TV. They also want to do VR and AR. Now they want to do artificial intelligence. They want to turn TV into a new species through the Internet.
The purpose of these concepts is very clear. The color TV market with fierce competition and lower and lower profit margins needs to continuously introduce new concepts and technologies in order to continue to gain attention and maintain survival. However, it is not considered whether these concepts can be continued and developed.
The awakening of traditional TV, fighting back against Internet brands
Although the TV industry already has a very mature and transparent package solution, Internet TV brands can use this to integrate resources. However, this does not solve all problems. Raw material procurement, quality control, craftsmanship, marketing, warehousing, and services are not something that can be bought with money, but a system that cooperates with each other for many years to achieve efficient results.
One of the biggest advantages of traditional TV entering Internet brands is that the R&D, production and promotion of new brands can completely share existing industrial resources. Traditional brands already have a rich supply chain relationship in the industry and a complete R&D team. They only need some independent members to operate the new brand independently, and they can quickly hit the road.
And not limited by the existing sales pressure, traditional brands of Internet TV will live more "easy", such a "tolerant" environment is often more conducive to their research and development of innovative products.
Is there still a wind in artificial intelligence?
Artificial intelligence is the next big thing, yes. It has gone through three generations of technological revolutions, conforming to the law of third-eyed beauty, and facing a "big explosion", which is also true. But, you made me use it happily now, sorry, can't keep it up.
Let's take the gimmick of artificial intelligence TV and analyze in detail what embarrassment it brings to use. First of all, we need to know that the so-called artificial intelligence on TV is a setting of voice interaction. Therefore, there are several processes of voice command collection, transmission, processing, and feedback.
The first point of voice capture, basically all "artificial intelligence" TVs are defeated. The current method of collecting voice data is achieved through an external USB device. This device will have a microphone array and a camera, and a better voice recognition engine will be integrated. But the most generous manufacturers only use 4-way array microphones. The consequence of this is that it is impossible to achieve the effect that you can hear the TV while lying on the sofa. You have to scream at your voice, or run to a distance of one meter from the TV and speak into the microphone, so that it can hear arrive.
For someone like me who just wants to watch TV in peace, I can't stand it. It seems like I want the whole world to hear that I'm going to watch the movie "Macau's First Casino Online". To come up with such a tasteless sound acquisition device, I really doubt that they have done it with all their heart.
The second point is the practical use of speech. After so many years, Siri is still only used to set an alarm clock to make a phone call, and the intelligent voice assistant on the TV is also only used to search for a movie, adjust the volume and so on. Some manufacturers are clever enough to add the function of map navigation to the TV. Do they still need to carry a TV to go out? What other reminders, notes, inquiries about surrounding life services, etc., are separated from the premise of "carry it with you", what is the meaning of these functions?
Summary: Internet TV will continue to exist, and gradually start to do data and OTT at the hardware level, and the attributes of circle users may remain desirable for a long period of time. However, starting this year, the traditional brand's product strategy of "hardware is king" has become the opposite of Internet TV in the context of consumption upgrades. The game between the two is not a relationship that replaces each other, but a relationship that complements each other's market diversity. I believe that silence is only temporary. With the deep integration of the big screen of TV and the smart home Internet of Things, Internet TV will usher in a spring.
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