I also know that rice noodles and the navy have always been tit for tat, and the situation has been fierce during this time. But regardless of the mobile phone brand dispute, Huawei and Xiaomi are completely incomparable.
Look at Xiaomi first. 20 19 earned 205.8 billion yuan. Smartphones, Internet of Things and consumer goods, Internet services and other services accounted for 59.32%, 30. 16%, 9.64% and 0.88% respectively. From the perspective of business composition, the proportion of intelligent terminal business is close to 90%. Although Lei Jun himself never admitted it, Xiaomi
Huawei's revenue in 20 19 was 858.8 billion yuan, and the proportion of carrier business, enterprise business and consumer business was 34.5%, 10.4% and 54.4% respectively. Although more than half of the consumer business represented by smart phones has become an important source of profit, Huawei's genes are still hard technologies represented by 5G communication.
For example, Huawei's communication protocol standard, AAU and BBU of access network, optical transmission and switch of bearer network, NFV and core network are all world-leading levels; For another example, Huawei's cloud computing is excellent, from general-purpose chips to servers to middleware and operating systems. The domestic share of public cloud ranks second, and the video cloud technology is the top in China. Based on this, government cloud, smart city, intelligent manufacturing and other businesses derived from it are also doing very well.
Even with Xiaomi's consumer business, Huawei has the independent ability of the whole industry chain from CPU design to terminal manufacturing, which is far from Xiaomi's strategy of focusing on terminals.
Regardless of corporate strategy or business composition, ZTE should be the party that is completely opposed to Huawei.
As a leader in the communications industry, Huawei has always been the focus of public attention. Although ZTE's strength is good, it has been concealed by Huawei's light, and its consumer business is relatively small and gradually marginalized. It seems to be a helpless move to become a spectator of the dispute between Huawei and Xiaomi.
However, the fact is that ZTE is the judge who loves to kill Huawei from the private exchange in the 2G era to the current 5G era.
Why ZTE? Because ZTE is one of the only two vendors in the world that can provide complete 5G end-to-end solutions, the other is Huawei.
Limited by space, I won't mention my favorite stories about bidding, overseas turf wars and resolute support for Huawei at critical moments.
Similar to Huawei, ZTE also has strong chip design capabilities. Its 7nm chip has been mass-produced and commercialized, and 5nm is being promoted. In terms of market, the share of base stations is stable at around 30%, although it is not as good as Huawei's 50% to 60%, but it is also an important builder of domestic 5G.
In the government-enterprise market, ZTE focuses on the four major industries of energy, transportation, finance and government affairs, and has also done a good job. For example, by the end of June 2020 165438+ 10, ZTE had successively won smart city and government cloud projects in Hunan, Wuhan, Xining and other places, providing ICT services to many large corporate customers such as Guangzhou Metro, China Southern Power Grid and Shenzhen Southern Airlines.
For another example, in 20 19, ICT Institute organized a distributed data capability evaluation, and ZTE's GoldenDB database beat top players such as Alibaba Cloud and Tencent Cloud to win the championship with full marks, and then CITIC Bank chose to migrate its core business to ZTE's GoldenDB database. We should know that the financial database has a high threshold, and the domestic market is almost completely monopolized by foreign manufacturers, while ZTE has achieved a zero breakthrough.
20 18, the United States sanctioned ZTE, and ZTE decisively knelt down. Not only did he honestly pay a fine of $654.38+03 billion, but he also reorganized the board of directors according to the requirements of the United States and accepted the supervision of the United States. This incident not only seriously damaged ZTE's business, but also hit the bottom of its image. Many people regard it as a national humiliation and predict that ZTE "should not last for three months".
But it turns out that ZTE has not weakened, but has quickly recovered its vitality, and the more it lives, the more moist it is. The reason is different from the inherent impression of "no core technology+soft egg" in the eyes of the public. In fact, ZTE is an enterprise that attaches great importance to R&D investment and is very good at technological innovation. ZTE's income from R&D investment has remained above 65,438+00% for many years, and reached 65,438+03.8% in 2065,438+09. In contrast, Huawei's revenue 15%, Xiaomi's revenue 3.6%. In terms of output, ZTE ranked the top five in the world in PCT patent applications for nine consecutive years, among which the 5G standard essential patents ranked third in the world.
ZTE was hacked by Trump and immediately fell to the ground. First of all, compared with Huawei, ZTE lacks strategic vision and self-control ability. After bending its knees, ZTE has actually paid more attention to the research and development of core technologies. Secondly, I admit that ZTE's internal management is speechless. I secretly know how to cover my ears and install scorpions. ZTE is a thief and doesn't even have any security measures or control measures. This hasn't been washed; Eventually, it can become the target of hunting in the United States, which has proved ZTE's position in the field of 5G communication. Now it is Huawei's turn to be accurately targeted, and it also needs to break its arm to survive. Many of us owe ZTE an apology.
It is worth mentioning that when ZTE was in trouble, Ren announced that he would no longer dig ZTE's corner, which was a kind response to ZTE's unanimous support in the 5G Polar code voting.
I believe that only Huawei and ZTE can understand what each other means to themselves and even to the communication industry in China.
Although ZTE is not as good as Huawei in carrier business and government business, the gap is not far, at least not an order of magnitude. But when it comes to the terminal business represented by mobile phones, it is a typical good card, which was beaten by ZTE.
As early as the 3G era, ZTE was a member of "China Cool Alliance" and won the domestic mobile phone sales list. The mobile phone business is still very good. One by one, ZTE introduced many good products: the first generation of low-priced magic machine V880, the first batch of Z9 with borderless technology, the earliest folding dual-screen Axon M, the earliest dual-screen machine Nubian X, the first game phone with shoulder keys, the first azazel 3 with a fan, the first mass-produced wrist machine Nubian α, and the latest Axon 20 with an off-screen camera.
The disadvantage is that many products are full of bright spots, and friends can blow out rainbow farts, but in ZTE's hands, it is difficult to kick a fart. The typical "research and development with heart, marketing with ass" makes people sad and angry.
Entering the era of mobile internet, Xiaomi began to engage in marketing, and ZTE was making products; Huawei began to be a brand, and ZTE was making products; Oppo and vivo began to make channels, and ZTE was making products; Everyone is playing online, and ZTE is still busy making products.
As a result, "China Cool Alliance" disappeared and was replaced by "Huami OV", and ZTE was completely marginalized.
The same ICT technology gene and the same business layout entered the terminal business almost at the same time. ZTE used to lead. Why did Huawei turn around and become the domestic leader and the third in the world, while ZTE became a niche brand?
Personally, there are three reasons:
First of all, to a large extent, the genes of an enterprise are determined by its founders. Ren Zheng Fei, the founder of Huawei, was born in the military and had rich experience. Therefore, Huawei prefers to expand its business and dare to carry out radical management reforms. Every employee has a wolf warrior. Hou Weigui, the founder of ZTE, is a technical expert with a gentle and rigorous personality. Since its establishment, ZTE has gone smoothly. Therefore, enterprises are obsessed with technological innovation, preferring steady operation, and employees advocate the golden mean. When the mobile phone sales channel changed, it failed to transform in time, still stuck to the operator contract machine, failed to establish the brand in time on the eve of the outbreak of domestic smart phones, but turned to overseas markets, and finally missed the development opportunity.
Secondly, ZTE, as a state-owned enterprise, is naturally not suitable for making such terminal consumer goods as mobile phones. Communication equipment is sold to operators, or government cloud and smart city scheme are sold to the government. As long as the relationship is in place, the function is similar, the quality is acceptable, and the price is not outrageous, the business is done. C-end user routines are completely different. You have to understand the demand, you have to grasp the psychology, you have to know how to make products, you have to control the cost, you have to ensure the quality, you have to iterate constantly, you have to harvest marketing, you have to touch porcelain, you have to be good at camouflage, which is very difficult to serve! As a private enterprise, Huawei has a perfect distribution system, high salary and shares, and eating meat can be a wolf. ZTE's shareholding structure is complex, and its top management shares are limited. The salary increase of employees is even less. It's strange that there is less money and more things.
Finally, as a listed company, ZTE is limited by the capital level, so it is difficult to have a vision for the future and the determination to stick to the strategy. If Huawei doesn't go public, it won't worry about the control of the enterprise at first. Secondly, it can firmly implement the established plan and endure strategic losses for many years. Even if Ren Zheng Fei misjudges many times, it will eventually be compensated by Huawei's powerful error correction mechanism and efficient execution. On the other hand, since ZTE has been listed, it must consider the interests of shareholders and compliance requirements. Risks and crises are often ignored, and the stock price and cash flow are the most important.
I sprayed a lot, but I still said something nice.
ZTE has realized its own shortcomings and decided to make efforts in channel and marketing. Recently, Xu Ziyang, president of ZTE, said that he would strengthen the construction of domestic brands and channels. Ni Fei, the newly appointed general manager of ZTE's terminal business unit and president of Nubia, also said that ZTE will fully return to the 2C market in China and build a "1+2+N" smart terminal product layout. As soon as Snapdragon 888 was released, ZTE immediately announced that the upcoming ZTE Axon 30 and the next-generation Red Devils would be the first to carry this strongest chip and ask about the mid-to-high-end market.
I personally used V880, Nubian z 1 1, Red Devils, Red Devils Mars and Red Devils 3s, and I am a senior user of ZTE. Objectively speaking, ZTE's mobile phone materials are real, the price is moderate and the experience is quite pleasant. I have not encountered the "negative optimization" of the system rumored on the Internet, especially the shoulder key of the Red Devils. Don't be too happy to play with chicken.
I hope ZTE mobile phone can get out of the predicament and reorganize the rivers and mountains. I also hope that the next generation of Red Devils can be released as soon as possible, so that I can put on a satisfactory 5G mobile phone as soon as possible.