Behind the prosperity of domestic mobile phone manufacturers is actually a bleak situation

In 2015 and 2016, the development of domestic mobile phone manufacturers ushered in a new climax, and the development of major mobile phone manufacturers also entered a new situation. From the previous assembly, they gradually realized the importance of patents and the research and development and production of hardware equipment. Huawei can be said to have set a benchmark, from its own HiSilicon Kirin processor to Apple also using Huawei's patents, and Apple also has to pay the corresponding patent fees. From China to Europe to the United States, Huawei can be said to have brought honor to the Chinese people.

Xiaomi, on the other hand, seems a bit pitiful. It started out as an Internet mobile phone manufacturer and was not established as long as Huawei. Therefore, it lacks a lot in terms of mobile phone-related patents and hardware research and development. The newly started Xiaomi relied on "assembly" and cost-effectiveness to gain a firm foothold in China and become popular among the people. Xiaomi currently has a large number of fans.

Moreover, their products are also exported to foreign countries. Meizu, known as the domestic Apple, sold 20 million mobile phones last year. OPPO and vivo have also gained a large number of fans through various advertisements and celebrity endorsements. The OPPOr9 series even defeated the Apple 6s series and became the best-selling model in China in 2016. The newly emerging companies such as 360 and LeTV, the former focusing on security and cost-effectiveness and the latter focusing on cost-effectiveness, also have their own place in China.

It seems that Chinese mobile phone manufacturers are thriving.

Behind this prosperity is actually a desolate scene. Next, I will tell you why it is so desolate.

First of all, the product itself. Currently, except for Huawei, which has its own mature processors, other manufacturers have to rely on others to provide them. Of course, Xiaomi released its own processor "Surge S1" yesterday, but this chip is only a low-end chip. For its own flagship models, it still needs to use Qualcomm chips, as well as screens, Samsung's, memory, etc. For large manufacturers, all of these need to be purchased, not to mention Meizu, 360, LeTV, etc. Many domestic manufacturers have used Qualcomm's flagship processors as the first release, and have promoted them as a highlight of their press conferences. Isn't it a bit sad?

In terms of patents, Huawei is the only company that can beat Apple in the patent war. What about other manufacturers? They all have to pay patent fees to Apple. Meizu, which cannot use Qualcomm processors, can only use MediaTek (only a few models use Samsung processors). Last year, the patent fee war between Meizu and Qualcomm was finally resolved. How much patent fees do they have to pay for each mobile phone sold? Isn't it sad?

The bleakness of the market. Last year, Huawei's annual sales of mobile phones reached 130 million units, and various mobile phone manufacturers also showed their own performance. But why in our great China, Samsung and Apple ranked second and third respectively? We hold so many concerts a year, but we still can't sell as well as Apple and Samsung? What does it mean? It means that the market's recognition of your products and the popularity of your products are still not as good as theirs. But don't domestic mobile phones have advertisements? Remember Xiaomi booked a 30-second advertisement during the Spring Festival Gala, and Huawei announced the good news with a truck advertisement? On the contrary, Apple and Samsung have advertisements, but only so many? We make our products so well and promote them so well, but we can't sell them as well as others. Isn't it bleak?

The problem of self-production capacity. Take last year's Xiaomi 5 as an example. After the release, how many people got the phone within the time they expected? How many people waited in front of their computers every day waiting for the rush to buy? On the one hand, this is a marketing method, on the other hand, it is actually the embarrassment of insufficient production capacity. There are so many choices now. If you can't buy it, just buy other brands. Because of this, how many fewer phones will the company sell? How much less money will it make? There are good things, but they can't be made. Consumers are anxious, and mobile phone manufacturers are even more anxious. Isn't this embarrassing?

Apple can get 91% of the profits in the mobile phone industry, what about other manufacturers? We are both selling mobile phones, why do they make money while I lose money? Isn't this embarrassing?

Maybe you think that the editor is too pessimistic and thinks things are so simple, but the fact is that the seemingly prosperous Chinese mobile phone manufacturers are actually extremely embarrassed. Behind the prosperous scene, many people are actually living a miserable life. Behind the glory and glamour, they are being bullied by foreign manufacturers.

Finally, I hope that domestic manufacturers will become stronger soon.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.