Why doesn't Qualcomm make its own mobile phone?

Because he knows what he is suitable for.

Although Qualcomm's processors are very powerful, and in the past, they were the only two, referring to the processors in MediaTek and Qualcomm. Now there are already Huawei's Kirin processor and Xiaomi's 澎 processor.

Although Apple has a processor, Android phones can't use such a processor. Then there may be many friends who want to ask why they don't make mobile phones.

That's because Qualcomm's processors make a lot of money, and almost every mobile phone manufacturer has to use their processors, which is very profitable. So why do you want to make mobile phones?

Moreover, there are too many competitors in the mobile phone market. Mobile phone manufacturers are frantically fighting price wars, and profits naturally decline.

Therefore, there is no need for Qualcomm to make mobile phones and do this unprofitable business. It's good to be an honest mobile phone processor.

Don't think so simply. You can always find a way to change careers. In fact, changing careers will face many problems. After all, if Qualcomm does so well, if he rashly changes careers, he may not be able to do as well as before.

In fact, there is no need for Qualcomm to make her own mobile phone, which is analyzed from the following points.

Qualcomm has cooperative relations with many mobile phone manufacturers. There is no need to compete with downstream enterprises in order to produce mobile phones. Besides, making chips is already very profitable, higher than most mobile phone companies. When producing mobile phones, you will naturally consider your own mobile phone first, and the first stunt is gone. Will many manufacturers still compete for the first round? This will naturally affect sales in Qualcomm.

Just like the creatures at the top of the food chain, don't compete for food with the creatures at the bottom, because there is enough food at the top. Qualcomm, as the upstream, made a lot of money with chips. Why not continue to let the downstream younger brother work for himself? Because making chips is far more profitable than making mobile phones.

Welcome to express your views below, and let's communicate together.

In fact, Qualcomm wants to make mobile phones more than any mobile phone manufacturer. It thinks so and does so. As early as 1998, a mobile phone named Qualcomm pdQ was launched, which is also the world's first commercial CDMA smart phone. Then why doesn't Qualcomm produce mobile phones now?

The main reason is that Qualcomm's mobile phones can't be sold and the sales volume is not ideal. Although the hardware of several mobile phones made in Qualcomm is not bad, the ending is not ideal, so we have to sell the hardware to Kyocera Company, and the business of the remaining chip and radio departments has gradually grown, and now it is the largest commercial chip manufacturer in the world.

It can be said that Qualcomm wants to make mobile phones more than any other chip manufacturer. Although Qualcomm has the title of the world's first commercial chip manufacturer, the three giants of mobile phones have not used their chips, and their market share is not as big as expected. Apple has its own A-series chips, and Huawei has HiSilicon Kirin, Samsung and Orion. In addition to Samsung also purchasing some Qualcomm chips, Apple (purchasing baseband) and Huawei basically do not purchase them. So Qualcomm's main customers are Xiaomi, OPPO and vivo, but these companies are now closer to MediaTek and Samsung (mainly vivo), and Qualcomm doesn't look as moist as expected.

These big manufacturers have their own processors, which can not only be used as a big selling point, but also reduce the cost of mobile phones. As an enterprise, everyone is pursuing profits. The scale and profit of Apple, Samsung and Huawei are much higher than that of Qualcomm. It is impossible to say that Qualcomm is not jealous (after all, the profit ratio of selling parts and whole machines is different, especially for high-profit enterprises like iPhone), and now OV companies are rumored to develop chips.

Even so, Qualcomm is unlikely to enter the mobile phone industry now. Take the United States as an example Except for the iPhone, it is basically Samsung's world. Even the mobile phone Pixel produced by Google, the owner of Android, is not popular in the United States, and the sales volume is not even mainstream. So at this moment, Qualcomm wants to get involved, and the outcome will not be better than Google. In terms of sales and money burning, Qualcomm is no match for Google.

Look at the world again. In addition to Apple and Samsung, there are only domestic mobile phone manufacturers in the global mobile phone market. Qualcomm made its own mobile phone, and I think it is inferior to domestic mobile phone manufacturers in terms of price and product competitiveness. Qualcomm's own mobile phone will affect the delicate relationship with mobile phone manufacturers and break this balance. It is entirely possible that chip customers may all run away if the mobile phone is stopped.

Therefore, even if the order volume in Qualcomm decreases in the future, it is also a manufacturer that collects patents and makes rules. In its view, making a mobile phone costs money and is too risky, so it is more nourishing to be a lightweight head enterprise.

At present, Qualcomm basically produces hardware, and the designed chips are made by TSMC. The light asset model does have great advantages. Focus on communication technology and chip technology. Isn't this better than producing mobile phones (now the patent fees are all extracted according to the percentage of the whole mobile phone, which is a patent for self-protection)?

I have always believed that an enterprise should focus on one thing. Such enterprises will succeed, and so will Qualcomm.

Qualcomm is a technology company founded in 1985. In fact, it was originally a communication company, including all the contents involved in his current business. In fact, it is mainly based on communication, but at the earliest time, Qualcomm sold its communication service through the sending processor.

Now Qualcomm has semiconductor business, which is known as processors and so on. Of course, Qualcomm has a technology licensing business department, which is known as patent. In fact, the 2G network, 3G network and 4G network we use now all need to pay royalties to Qualcomm, and the 5G network we use in the future also needs to pay some royalties. This is the characteristic of Qualcomm, and it is also the patent characteristic of Qualcomm.

Of course, Qualcomm also has its own venture capital department. As Qualcomm, its processor may not have thought that it would become the best processor in the world at present. Qualcomm has won the recognition of more consumers and the mobile phone market by virtue of its processor advantages. In fact, he can understand why the Xiaolong processor can achieve more mobile phone markets.

Why didn't Qualcomm invent his own mobile phone? I don't think it is necessary for Qualcomm to make its own mobile phones, because there are many mobile phone manufacturers in the current mobile phone market, and it is absolutely unnecessary for Qualcomm to join such a battlefield. On the contrary, if there is, it is likely to be isolated by other mobile phone manufacturers.

With its own natural advantages, Qualcomm processor can be favored by various mobile phone manufacturers. If communication abandons its own advantages and turns to the mobile phone market, it will limit the development of Qualcomm.

For Qualcomm, its main business is still mainly processors and patents. If it becomes a hardware manufacturer, it will become a target for Qualcomm.

Speaking of Qualcomm in the United States, it can really be said that he is a giant in the chip industry, but his influence is not limited to the chip itself, and even plays a more important role in upgrading the mobile phone and its own communication technology. You know, Qualcomm is not only the first in the global mobile phone brand CPU industry, but also can charge other related users various patent fees for 3G and 4G. Now, with the advent of the 5G era, Qualcomm should be the first American enterprise to develop 5G. Similarly, because of its large investment, its 5G technology is indeed at the forefront of the world. Then the problem is coming. Since Qualcomm is so famous and its chip performance far exceeds that of Huawei in China, many friends will ask such questions. Since Qualcomm is so strong, why can't it produce its own mobile phone and own its own brand?

business

Qualcomm's old job is communication, and even making chips can be regarded as an unintentional transfer. In this case, if Qualcomm makes mobile phones again, it will be tantamount to expanding the business chain. Although the processor of the mobile phone is the core of the mobile phone, the performance of the mobile phone can't rely solely on the processor, and we also know other parts of the mobile phone. If Qualcomm wants to make mobile phones, it is bound to purchase other related parts of mobile phones from other brands, such as cameras and screens. So if this is the case, it will become a competitive relationship with other mobile phone brands, and the troubles will gradually increase. Needless to say, it may not sell, so if you do this, Qualcomm really needs to take a big risk, so Qualcomm may think it is not as practical as making chips. And even if you make a mobile phone, to a certain extent, you may not know more about marketing than domestic mobile phone brands, let alone far away. For example, Samsung mobile phones are not doing well in the domestic market now. ...

market saturation

Many companies will choose to focus on their own strengths and rarely choose the whole industry chain. In addition, the current mobile phone market has basically reached saturation, and they get along well on the CPU. Tomorrow they will go to Apple, the day after tomorrow they will play Samsung, and finally they will have a patent war or something. Isn't this a sweet way to make money by lying down? Why spend huge financial, material and human resources to go to this muddy water?

profit

Moreover, from the profit point of view, the profit level in Qualcomm is really considerable now, which makes it possible that even if you make your own mobile phone, the profit will get worse with the increase of expenses. Therefore, Qualcomm will choose to focus on developing technology, because it can promote the company's development and maintain its market position better than making its own mobile phone.

finally

Therefore, Qualcomm is unwilling to make its own mobile phone. It is much better to be a partner of major mobile phone manufacturers than an enemy of major mobile phone manufacturers. In addition, the profit of making chips in Qualcomm is really high, even higher than that of many mobile phone companies. After all, so many mobile phone manufacturers use processors made in Qualcomm. As the saying goes: first-class enterprises make standards, second-rate enterprises make products, and third-rate enterprises make production. At present, Qualcomm basically has its own exclusive standards in the fields of chips and communication, and it can be said that it has already become a pioneer in leading the industry. In these areas, Qualcomm does have the right to develop industry standards through continuous development.

Why doesn't Qualcomm make its own mobile phone? This is a successful example of deepening a field.

Excellence in any enterprise is very important, especially in high-tech enterprises. Only by investing in research and development for ten years can we stand out from many competitors and finally form a leading position in this field.

In the process of the company's development, there will be many opportunities to make quick money, but what you do today, what you will do tomorrow. Ten or eight years later, you may not know what you should do. Therefore, it is very important to focus on one field in order to make the enterprise develop for a long time.

Qualcomm's chips are very good, and they are basically in the leading position in the world. This is because it focuses on the field of chip technology. If it makes a mobile phone, it can be done, but it may lead its enterprise development direction in the wrong direction. Making mobile phones is not an easy task. Otherwise, if we look at the original domestic mobile phone brands and foreign brands, many of them will fail because of the changes in the market. This is because the chip is only a part of the mobile phone, and the mobile phone is the owner, including the camera and RF transceiver. , and software. If the adjustment is not good, the mobile phone business may fail.

So Qualcomm doesn't make his own mobile phone, but focuses on chip technology, which is its success.

Qualcomm was founded in 1985, headquartered in San Diego, California, USA, with more than 33,000 employees worldwide. Qualcomm is a global leader in the research and development of 3G, 4G and 5G technologies. At present, it has provided technical authorization to many manufacturers around the world, involving all brands of telecommunications equipment and consumer electronic equipment around the world.

Qualcomm's customers and partners include not only the world-renowned manufacturers of mobile phones, tablets, routers and systems, but also the world-leading wireless operators. Qualcomm is committed to helping all members of the wireless industry chain succeed. Adhering to the consistent spirit of innovation and relying on technological innovation and progress, Qualcomm has been leading the evolution of wireless technology, promoting the development of wireless communication industry and making advanced wireless digital technology better benefit mankind.

There are not many companies that are better than Party A, but Qualcomm is one. Judging from the current profit rate and risk of the mobile phone industry, Qualcomm simply despises it. As a global monopoly enterprise, what he has to do is to keep a leading position in this industry, so that no matter what new equipment and new formats he has, he can't lack chips. This is already the most advanced and basic industry, and the profit rate is still very high. He's basically in charge. Why should he play that set of strict survival rules in the mall?

In fact, the profit of making mobile phones is not high. As long as a large amount of research and development is invested, Qualcomm can collect patent fees, and the profits are even more impressive.

There is a story that vividly illustrates this problem. There is a very wide river, opposite which is a super-large gold mine. Someone asked why gold mines were not dug and how valuable they were. Instead, I'm going to sail and transport. The answer is: everyone who digs gold mines must get on my boat. The dug gold mines need to be pulled by boat, but they can make more money. Everyone only pays attention to the most expensive, but ignores the simplest. In the face of different disciplines, many people compete for a piece of cake, so it is better for many people to bring you dessert alone.

First of all, the market is too big for high-tech to eat. If Qualcomm makes mobile phones, half of the world's mobile phones will be produced in Qualcomm, and Qualcomm will take care of itself. CPU is just an accessory of mobile phone. If the production capacity of one accessory can't keep up, it will slow down the production of mobile phone.

Secondly, the essence of CPU is silicon dioxide integrated transistor, except the manufacturing cost, others are the value brought by high technology. Maybe being a mobile phone can earn 500 yuan, but being a CPU can earn 200 yuan. Simply put, time is short. To ask for money.