In the mobile phone industry, stable settlement within two months can only be achieved by giants such as Xingyi Technology and Apple with considerable profits.
Most other brands have a settlement cycle of half a year, or even more than half a year!
Another year is even far away.
As for small businesses?
Small businesses have no guarantees and may go bankrupt at any time, and they are too small to be of much significance.
Therefore, for small businesses, suppliers will not sell on credit, and may even require cash in advance.
For example, Xiaomi today is small and requires prepayment.
In the previous life, Xiaomi became a giant, and as it became larger, it also started periodic settlement, and provided an ultra-short period of 45 days, which was regarded as the conscience of the industry.
But in contrast, Xiaomi will also keep suppliers' profits to a minimum.
In a word, the settlement cycle is the shortest, the settlement is stable, and you can definitely get the payment within 45 days, but the profit is also the lowest.
Even so, many suppliers are happy to do so.
As a supplier, you would rather make less money, have stable settlement, and have large orders.
Xiaomi's 45-day settlement cycle is shorter than Apple's, its volume is also larger, its settlement is stable, and its profits are low. It can make small profits but quick turnover, and it can still make a profit.
It is much better than other companies, with higher profits, but longer settlement cycle and unstable settlement.
No matter how high the profit is, you will lose money or even go bankrupt if you can't get the payment.
It is precisely because of this that Xiaomi has become the moonlight of many suppliers, and many companies that are about to go bankrupt have been revitalized because of Xiaomi's large orders.
Similarly, Xiaomi used the ultra-short settlement cycle of 45 days to obtain the lowest price, reduce costs, focus on cost-effectiveness, and achieve a virtuous cycle in sales.
But this time, due to the emergence of Xingyi mobile phone, Xiaomi failed to develop, and it lost that structure and treatment.
Fortunately, Rebus and several partners have money, and they can maintain the research and development and production of Xiaomi mobile phones with the advance capital.
But the cost is high, and the sales volume is low. In order to maintain profits, we can only sell at a high price.
For example, Xiaomi Mi 3 has gone from 1999 in its previous life to 2999!
Small profits and high sales will not work, so high profits and low sales will be the only option.
Apple is another path. It is conscientious about the 60-day settlement cycle of the supply chain. It will also give suppliers a good profit margin, allowing them to make money, and the quality requirements are much higher than Xiaomi.
If anything is not up to standard, Xiaomi will tolerate it because of the low price.
But apples can't hold any sand in their eyes, so they are directly expelled and no longer used.
In the previous life, Intel's 4G baseband was obviously cheaper, and cooperation with Intel was also in line with Apple's interests in breaking Qualcomm's monopoly.
But because the Intel baseband was stretched and the signal was poor, Apple eventually gave up on the Intel baseband, preferring to pay a huge protection fee to Qualcomm and switch to Qualcomm baseband.
Xingyi Technology’s attitude towards suppliers is similar to Apple.
There is also a 60-day settlement cycle, which ensures stable settlement and allows suppliers to make a certain profit, but the quality requirements are high.
After all, it is a flagship phone, so the quality is ambiguous.
Major suppliers are making money, and settlement is done within 60 days. It is super stable, so they are naturally rushing to cooperate with Xingyi Technology.
In order to win Xingyi Technology's huge order, they even took the initiative to lower prices and engage in price wars.
Therefore, the cost of Xingyi mobile phone is also very low, the profit has always been considerable, and there is no need to advance funds during the 60-day settlement cycle.
At this time, Zhu Changlin walked in with several mobile phones: "Chairman, the first batch of Unbounded 1st generation mass production machines have rolled off the production line. Take a look."
Wang Yi took over the mass-produced Unbounded 1st generation and experienced it, and was very satisfied:
"The configuration is not very high, but considering the price of 999, it is really delicious!"
Anyone who talks about quality and performance aside from price is just being a hooligan!
Zhu Changlin nodded: "Yes, the Unbounded 1st generation starts at 999. The price of a copycat phone is the configuration and experience of a smartphone. As soon as it is released, it will definitely sell out!"
"It will be launched next month, so it will definitely be a hit! The entire mobile phone market will be shocked!" Wang Yi said with a smile.
Different from the high-quality requirements of Xingyi mobile phones, Wujie mobile phones are positioned as mid-to-low-end mobile phones and focus on cost-effectiveness, so they will slightly relax quality restrictions and reduce costs.
If we all follow the quality requirements of Xingyi Mobile Phones and order from the supplier of Unbounded Mobile Phones, it will be over.
There are currently very few qualified domestic suppliers.
Even BOE's screen in 2013 could not meet the specifications required by Xingyi mobile phones.
But if all screens from Sharp and JDI are used, and all use top international supply chain quality, then the material cost of the Unbounded 1 generation will rise to 1,000, plus taxes, marketing expenses and other costs, it will be 1,200. If you sell one unit, you will lose 200.
.
Wang Yi is not a philanthropist.
With the use of a domestic supply chain, and the fact that the processor and power management chips are self-developed, the cost is ultra-low, so the material cost of the Unbounded 1st generation will be reduced to about 500 yuan.
Including taxes, marketing expenses, after-sales expenses, etc., the total cost is only about 600.
Selling for 999, there is still a profit of 400 yuan for one unit!
If you sell 100 million units a year, there's no pressure. If you make 40 billion units, it's not a big problem.
Of course, if a friend wants to make such a thousand-yuan machine, the material cost will not be 500 yuan, but more than 700.
Without him, an entry-level quad-core processor, even from MediaTek, costs 105+.
The Unbounded 1st generation processor Kunpeng 500 integrates the Wing Loong 3000 baseband. It is self-developed by Xingyi Technology and manufactured by TSMC. The volume is large enough, and the total diluted cost is only about 20 yuan.
There are also two power management chips, a wifi chip, and a Bluetooth chip. These chips cost more than ten yuan or more than twenty yuan each when purchased in bulk from friends.
As for Xingyi Technology’s self-developed products, plus OEM costs, the total cost is only one yuan per device.
Adding up the five chips, the cost of Xingyi Technology’s self-development + OEM is only about 25 yuan, while the cost of its competitors is more than 175 yuan.
Wang Yi makes Unbounded Generation, the material cost is 500 yuan, and the total cost including tax is about 600 yuan.
If a friend wants to do this, not only will five chips cost an additional 150 yuan, but other components will also cost a lot more.
Without him, the Unbounded mobile phone has a volume of hundreds of millions, so it can naturally get the lowest price for all components.
Friendly merchants do not have such a large scale and cannot get the lowest price for components, so the material cost will not be 650, but more than 700!
Adding in taxes, sales costs, after-sales and other costs, the total cost of the friendly business will be 850.
Selling for 999, the profit is only a little over 100 points, while the profit of Unbounded Generation is 400 yuan!
This is the difference.
Therefore, after the advent of the Unbounded mobile phone, Wang Yi was not worried about other companies following suit.
This thing is really not easy to follow if you want to, unless it is large enough like Xingyi Technology to keep the cost down!
But this is not easy.
Moreover, if a friend of mine dares to follow suit and make a thousand-yuan phone, Wang Yi dares to lower the price of the Unbounded 1 generation to 899, or even 799, and sell it at the same cost as the rival merchant!
At the price of 799, a friend of mine lost 50 yuan on one unit, while Wang Yi made 200 yuan on one unit!
Of course, the main reason why the Unbounded 1 generation is more expensive than the previous Redmi phone is that the processor performance is stronger and it supports full Netcom!
In the previous life, the 799 Redmi not only did not support telecommunications, but was also divided into China Unicom version and mobile version.
The China Unicom version of Redmi does not support mobile 3G, and the mobile version of Redmi does not support China Unicom 3G.
It can be said that the cost is reduced to the minimum!
Wang Yi, on the other hand, is more generous, and even has a thousand-yuan phone on Netcom.
In this way, the cost seems to be higher, but the profit is higher.
The profit of Unbounded Generation increased directly from 400 to 600!
Nothing else, operator subsidies!
For a TD 3G mobile phone, the mobile subsidy is 100 yuan.
For a Telecom 3G mobile phone, Telecom subsidy is 100 yuan.
The Unbounded Generation supports full network access, and you can get both subsidies, with a direct subsidy of 200.
So the profit of Unbounded Generation increased from 400 to 600!
In addition, software and Internet services can also generate profits of tens of yuan, and related accessories such as tempered films, mobile phone cases, headphones, and mobile power supplies can also generate income of tens to hundreds of dollars...
A 999 Unbounded 1st generation, the profit has exceeded 700!
This is why the red rice in the previous life cost 740-760 including tax, but it dared to sell for 799!
Mobile phones do not make money, but there is a mobile subsidy of 100 yuan, Internet income, advertising income, accessories income... 799 can be earned.
And as time goes by, the cost of components decreases, and the total cost including tax will gradually drop below 700, and the profit will be higher.
Of course, all Netcom models of Xingyi Mobile also have mobile subsidies and telecom subsidies, and they are even higher.
Mobile 3G’s subsidy for flagship phones is 200 yuan!
However, by the end of the year, 3G mobile phones will no longer be subsidized, and subsidies for 4G mobile phones will begin!
This is why Wang Yi wants to switch as soon as possible, stop production of 3G mobile phones, and vigorously promote 4G mobile phones.
Although the cost of 4G mobile phones is higher, the subsidies are higher and the sales volume is also higher!
Zhu Changlin changed the subject: "Recently, HTC, Meizu, and Xiaomi have all released new Kunpeng phones, and they are all selling well. Especially HTC, which has placed an additional order for 2 million Kunpeng 702 SOCs."
"This is a good thing!" Wang Yi smiled.
Nowadays, all major domestic mobile phones are starting to make new moves. HTC’s NEW one equipped with Kunpeng 702 sold for 5,499. After it went on sale globally in April, overseas sales were very good.
Three million units were sold in one month, and HTC decisively placed an order for another 2 million Kunpeng 702 processors and fast-charging chip sets.
Wang Hong plans to let HTC new one hit 8 million sales in half a year!
Fortunately, HTC new one does not support 4G, otherwise it would not have sold 8 million units when it was launched globally.
The third generation of Xiaomi is equipped with Kunpeng 700, which sells for 2,999. It also went on sale in early May and is selling well.
A few days ago, the Meizu MX3 equipped with Kunpeng 702 was also released. Full-price pre-orders were opened, and shipments would begin at the end of the month. The prices started at 3,999. This caused another uproar, and a lot of kerosene began to be sold.
Wang Yi was very satisfied with this.
The better the sales of our friends, the greater the demand for Kunpeng 702.
Now HTC has placed an additional order of 2 million units. Next, Meizu and Xiaomi may also be able to place additional orders.
Even if it's 500,000, it's still meat.
Next year, the country will also start the 4G era, and the Kunpeng 702 will be outdated. Now the more it sells, the more money it makes.
"By the way, will the hot sales of our friends have a big impact on our old models?" Wang Yi asked.
"Not big, not big at all. The sales of Xiaomi 3 have little impact on xphone 1pro. HTC new one (M7) and Meizu MX3 have not had much impact on xphone 2 and xphone 2pro." Zhu Changlin shook his head:
"I can't believe that our Xingyi Technology brand has become so powerful. Meizu and Xiaomi are 1,000 cheaper than our phones with the same processor, but they can't even impact the sales of our old phones."
"It's indeed not normal. It's not just the brand difference, there should be other reasons." Wang Yi thought thoughtfully, and then suddenly realized: "It's a terrifying improvement of the XOS system!"
"Yes, it should be the XOS system!" Zhu Changlin was enlightened and understood immediately.
Although both have Kunpeng 702 SOC and the same processor, Meizu and HTC both use 32-bit Android 4.2 systems without the 64-bit bonus.
When xphone 2 and xphone 2pro are upgraded to the 64-bit XOS system, there is a 60% improvement!
The same processor is 60% more powerful than Meizu MX3 and HTC new one!
With this 60% gap, most users are willing to give up the 3999 Meizu MX3 and choose the 4999 xphone 2.
I will also give up the HTC new one priced at 5,499 and choose the xphone 2pro with the same 5,499, fingerprint recognition + fingerprint payment, and 60% performance improvement!
There is no doubt about it.
Even overseas, many people gave up on HTC new one and chose to spend extra money to buy parallel imports of xphone 2pro!
No way, the 60% performance improvement and fingerprint recognition of the XOS system are too good.
For the same processor, there is a performance gap across generations.
Therefore, Meizu MX3 and HTC new one have not had much impact on xphone 2 and xphone 2pro.
The Xiaomi Mi 3 priced at 2999 did not have much impact on the Xphone 1pro priced at 3999.
Without others, it is also equipped with Kunpeng 700 SOC. The xphone 1pro has a 60% improvement in the XOS system, and its performance is better than that of Xiaomi 3.
It can be said that the XOS system has become the moat of Xingyi mobile phones!
As long as competitors do not use the XOS system, Xingyi Technology's old mobile phones, even if they cost a thousand more than Meizu and Xiaomi, will still sell well.
As a result, by the end of the year, the sub-flagship Kunpeng 706 SOC can also be sold to HTC, Meizu, Xiaomi and other friends.
Even Kunpeng 902 SOC can be sold!
After all, a friend bought the Kunpeng 902 SOC and will launch it next year equipped with the Kunpeng 902 X4 and HTC M8, without the terrifying improvements of the 64-bit system.
Xingyi Technology’s xphone 3 still has a 60% performance lead.
Even the xphone 2pro equipped with Kunpeng 702 can outperform the Meizu mx4 and HTC M8 equipped with Kunpeng 902!
It will not affect the sales of xphone 3 at all.
The 60% improvement of the XOS system is the most powerful moat!
As for the 64-bit Android 5.0, it will not be launched until the end of next year, and the large-scale popularization of 64-bit Android applications is even further away.
In the past life, 64-bit applications on the Android system were popular, but they were many years behind Apple and even more years behind the XOS system.
This is the difference between open systems and closed systems.
For example, Apple's IOS system will no longer be compatible with 32-bit systems in two years, and all developers will actively adapt to 64-bit IOS.
The XOS system is even more unique. It starts with 64-bit, and developers cannot use it if they are not suitable.
But an open system like Android is difficult and cannot be fully managed.
As for one-size-fits-all? It'll be over in minutes.
After all, Android can't even handle unified push, so why do you expect them to uniformly adapt to 64-bit?
This is too difficult.
Wang Yi smiled and said: "The 64-bit upgrade of the XOS system has become the strongest moat for Xingyi mobile phones. The subsequent Kunpeng 706 SOC and Kunpeng 902 SOC can be sold to friends, but their improvements are limited anyway."
Zhu Changlin's eyes lit up: "What a great idea. With the addition of the XOS system, Kunpeng 902 will be launched by other companies next year, but it won't be able to impact our new flagship."
"Yes, after the Xphone 3 is released in September, Kunpeng 902 will be available for sale."
"Ah? So fast?" Zhu Changlin was startled: "In this way, although it will not impact our xphone 3, it will impact the xphone 2 and xphone 2pro equipped with Kunpeng 702, right?"
Wang Yi waved his hand: "No, Kunpeng 902 processor will be sold in September and will be available in December. The fastest they will go on sale will be February or March next year. By then, the 3G xphone 2 and xphone 2pro will be discontinued.
Unable to bear the impact."
"That's no problem." Zhu Changlin suddenly realized.
Wang Yi also has another consideration. Even if Xingyi Technology does not sell Kunpeng 902 to its friends, Meizu, HTC, Xiaomi and other friends will also buy Qualcomm's Snapdragon 800, Nvidia's Tegra 4, and Samsung's new flagship!
Rather than letting Qualcomm, Nvidia, and Samsung make this money, it would be better for Xingyi Technology to make it.
Anyway, Xingyi Technology has a 60% improvement over the XOS system, and the same processor can be far ahead without being impacted.
As for the Unbounded note equipped with Kunpeng 700, the ultra-low price of 2,999 is beyond the reach of other competitors.
The price of models equipped with Kunpeng 902 will be controlled, with the minimum starting at 3,999, which is naturally less than the 2,999 Unbounded Note.
And the Unbounded note 2 will be released soon. Equipped with Kunpeng 706, coupled with a 60% improvement in the XOS system, its performance can crush the Kunpeng 902 of its competitors!
It can only be said that before Android popularized 64-bit systems and before a large number of Android applications were adapted to 64-bit systems, the 60% improvement of the XOS system was just a bug!
"By the way, the first-generation prototype of Unbounded Note has also been produced, equipped with BOE's 1080P flagship screen."
Zhu Changlin took out a mobile phone again and handed it to Wang Yi.
After the prototype comes out, it will be fully tested for one or two months. If there are no problems, it will be used as an engineering machine and the test will continue for another month.
If there are no problems, you can finalize the plan, place an order, and prepare for mass production and launch.
Wang Yi took it and experienced it carefully: "Is it BOE's flagship screen? It's okay, but it's still a lot worse than Sharp's flagship screen. Or several generations."
With that said, Wang Yi opened the drawer and took out an xphone 1pro released in March last year and put it together with the unbounded note for comparison.
Even though the configuration of Unbounded Note is much higher than that of Xphone 1pro and its performance is much better, the screen quality and quality may not be as good as that of Xphone 1pro.
Like Wujie Note, Wujie Mobile Phone and Wujie TV, more than 80% of the components are domestically produced components.
All I can say is you get what you pay for.
The screen of the simplest Xphone 1pro is much better than that of Unbounded Note.
These days, domestic screens such as BOE’s are still far inferior to Sharp’s flagship screens.
It will take a few more years to catch up or even overtake in corners.
Just like the domestic mobile phones ten years later, Samsung screens, Sharp screens, what are they?
Not many domestic manufacturers use it.
On the contrary, they are all top-notch domestically produced screens such as BOE, CSOT, and Visionox.
Whether it is quality or eye protection, it is top-notch, even surpassing Samsung's flagship screen.
Without him, Samsung’s flagship screen may be more gorgeous, but it’s also more eye-catching.
Another name for OLED screens is blind screens. Compared with LCDs, the eye damage index has increased dramatically, so that major domestic manufacturers have begun to research various eye protection black technologies.
However, Samsung’s eye protection technology is so awkward that it can only be abandoned by the times.
Wang Yi sighed: "There is still a long way to go to make domestic screens. I hope BOE will rise as soon as possible, gradually narrow the gap, and catch up with Sharp and JDI."
"Chasing Sharp, JDI!" Zhu Changlin was a little unbelievable: "Is this possible?"
Wang Yi nodded: "Of course it is possible. In the future, Unbounded mobile phones will be equipped with BOE screens as standard, and the large orders placed with BOE in a year will exceed 150 million units. I hope that BOE can take advantage of it as soon as possible."
"So that's it, what if the milk doesn't come up?" Zhu Changlin couldn't help but ask.
Wang Yi smiled lightly: "If you can't breastfeed, don't blame me for being rude. BOE's senior management and even the chairman can be replaced!"
"If they can't do it, then change a group of management who can do it!"
Zhu Changlin was shocked, but had no doubts.
As BOE’s largest shareholder and largest customer, Wang Yi has full power and ability!
What Wang Yi is most worried about is that BOE will become the second SMIC. It has given enough support, but BOE has not worked hard enough.
If this is the case, then Wang Yi would not mind changing BOE's leadership team.
"If changing the leadership team doesn't work, then we can also turn around and support Visionox and allow both parties to compete healthily!"
As for the self-developed screen?
Forget it, Xingyi Technology cannot do everything.
At most, like Huawei, it will set up a screen research and development center to develop some black technologies such as eye protection and DC dimming.
But it is impossible to start from the base material and fully develop the screen by ourselves.
If you have this kind of funds and energy, you might as well invest in other important fields such as drones!
Why make drones?
First, drones are the mainstream of the future.
I won’t go into detail about the role of drones in the military field.
Even in the civilian field, drones are YYDS.
After 2030, SF Express will use large drones for high-efficiency and low-cost transportation.
Meituan's drone delivery will also develop from a small-scale pilot in 2021 to large-scale popularization.
Don’t think it’s incredible, on the contrary, this era is very likely to come.
The simplest thing is that logistics warehousing centers in 2013 are inseparable from sorting workers. They are all semi-automatic sorting + manual sorting. Each warehousing center has many sorting workers.
But after 2017, many warehousing centers will use intelligent sorting machines to replace manual labor and realize fully automatic sorting!
By then, the entire warehouse will become an unmanned warehouse. From warehousing, storage to packaging and sorting, the entire process will be intelligent and unmanned, and all the sorting workers will lose their jobs.
Capital is the most ruthless.
Even warehouse sorters can be replaced by smart sorting machines, and it is very possible that Meituan delivery workers can be replaced by drones.
But Wang Yi will not be so ruthless, nor will he directly make Ele.me delivery workers unemployed in order to reduce costs!
On the contrary, it is a cooperative model.
Some of Ele.me's delivery staff will become food pickers, stationed in shopping malls, commercial streets, and large stores. They will be responsible for packaging takeaways from one store or several stores, and loading the takeaways one by one into the drone's takeout boxes.
Another part of the delivery staff is stationed in various large communities, responsible for a large community or several small communities next to each other, and become the last mile food delivery people.
For consumers with open balconies, drones can deliver food directly to the balcony.
But most balconies are enclosed and have screen windows outside, making it inconvenient to open the windows.
Drones can only deliver takeaways to community takeout storage centers or squares.
The takeaway guys stationed in the community pick up the meals and then deliver them upstairs one by one to the users' homes, solving the last mile problem!
Chapter completed!