Xiaomi is only ten years old

Lei Jun said that his wish was not to be a model worker. His words could be proved by the fact that he was accidentally photographed with a mobile phone screen saver that “whatever you can leave alone”. At the 10th anniversary of Xiaomi, four months late, Lei Jun once again showed his nature as a model worker. < p > < p > is still a familiar match. Lei Jun, the iconic jeans + short sleeve, stood on the stage of Xiaomi science and technology park. In nearly four hours, Lei Jun recalled Xiaomi’s ten-year entrepreneurial story with 20 story systems. < / P > < p > to the excitement of the media and fans, Lei Jun responded to many hot questions for the first time in this speech: for example, he responded to the one billion bet with Dong Mingzhu in public for the first time, saying that he was “very sorry”; he played “are you OK” ghost animal music on the spot, On the issue of competition, Xiaomi, who has always been fond of choking and touching porcelain, seldom admits that it is “inferior to apple, Samsung and Huawei”. After conveying feelings, Lei Jun did not call other product managers to the stage. Lei Jun released the most products in history at one time: a transparent TV, two “super large cup” mobile phones, a biography and a go kart. < / P > < p > with the departure of the old people of the original founding team, the “Avenger alliance” has parachuted into the market. Today’s mobile phone market is not the mobile phone market ten years ago. Although Xiaomi, who is 10 years old, has grown into one of the world’s top 500, Lei Jun, who is 51, still can’t let go. < p > < p > “the R & D cost budget in 2020 will exceed 10 billion”, Lei Jun mentioned this idea more than once this year. The visible change is that Xiaomi is turning to a “R & D” brand. Xiaomi’s financial report shows that from 2015 to 2018, Xiaomi’s investment in R & D was 1.5 billion yuan, 2.1 billion yuan, 3.2 billion yuan and 5.8 billion yuan respectively. By 2019, the research and development cost has risen sharply to 7 billion yuan, less than 1 / 10 of Xiaomi’s revenue. It is worth comparing that Xiaomi’s corresponding adjusted net profit in that year is 11.5 billion yuan. < / P > < p > this year’s R & D of 10 billion yuan + is not much higher than that of last year, and it is only on the budget level, which also proves the urgency of Xiaomi’s turning to technology research and development, especially when the current overseas epidemic is impacting the basic market of mobile phone sales at home and abroad. < p > < p > in the past decade, Xiaomi has stepped into the wind of demographic dividend and the explosion of smart phones, and used cheap pricing to copy the bottom line of the industry again and again. From the era of China cool union to huami ov, the decline of mobile phone market has been highlighted in 2017. Now Huawei can eat half of the domestic mobile phone share, not only because of the international emotional orientation, but also because of the support of Hisilicon halo. This also proves that in a mature mobile phone market, the match point returns to the product itself, which makes Xiaomi’s price war strategy unsustainable. In the “three iron laws” announced by Xiaomi, “technology-based” is put in the first place by Lei Jun. It’s not so easy to turn around. Xiaomi is a company that pays great attention to efficiency and cost, so the time and investment of technology research and development should be based on the premise of mass production and landing. This can be found in Xiaomi’s past R & D experience. < / P > < p > 2019 Xiaomi released its much anticipated surround screen mix Alpha concept machine has become a PPT product in less than a year because of its great difficulty. On the core chip, Xiaomi is also the first company in the second echelon to announce its end. Pinecone chip had its first generation product in 2017. When the second generation product is out of stock, Xiaomi has changed from independent research and development to investment led by its funds. It is undeniable that there is a certain probability of abortion in technology research and development. Among them, the prediction of technical route, long-term vision and long-term continuous investment are indispensable. In addition to Xiaomi, the R & D investment of OV reached 10 billion level last year. Hisilicon’s success is not groundless. In addition to the above factors, of course, there is a huge revenue support for Huawei’s operators other than mobile phones. It is also necessary to consider cost / efficiency of millet. As a company with hardware gross profit less than 5%, Xiaomi’s hardware dishes are becoming bigger and bigger from mobile phones to routers / computers / smart speakers to TV / refrigerator / air conditioning and other large household appliances, which also puts forward higher requirements for revenue generating capacity other than hardware. Before the two new carriages, Internet revenue and IOT revenue are fully running, it may be difficult for Xiaomi to switch to a technology led company wholeheartedly. Of course, Xiaomi is not without bright spots in technology research and development. What’s worth mentioning is that the Xiaomi camera department, just one year after its establishment, ranked the industry’s DxO mark No. 1 in the world; in addition, on the Xiaomi 10 commemorative edition, it produced graphene based batteries for the first time, and the world’s first transparent OLED TV. However, it seems that there has not been much precipitation in the users’ minds at present. At least when it comes to the mobile shooting function / fast charging technology / TV screen technology, users may not immediately reflect on millet. Ten year old Xiaomi has a long way to go from R & D to mass production to mental health. < / P > < p > “cost performance is our most powerful weapon,” Lei Jun said in his 10th anniversary speech. Under the inherent cognition of the Chinese people that good goods are not cheap, “they are also our most vulnerable weakness.”. < / P > < p > the double-edged sword of cost performance, Xiaomi doesn’t want to put it down now. “Cost performance as the key link” is also put in the second place of Xiaomi’s “three iron laws”. This is also determined by Xiaomi’s brand image. “Millet” is originally a very common food material, the brand image of the earth gas determines that millet can not push the previous cost-effective way back. < / P > < p > in relatively mature products such as mobile phones and TVs, Xiaomi has obviously transformed to high-end products. Instead of blindly measuring costs and prices, Xiaomi has not spared no effort to build hardware with higher prices. This year’s Xiaomi 10, its commemorative edition and Xiaomi TV’s “Master Series” are all the same. < / P > < p > nowadays, the cost performance of products with higher price is more emphasized. Whether it’s graphene based or OLED screens, with the support of these technologies, Xiaomi has a ticket to enter high-end products. On this basis, it emphasizes cost performance. This strategy has been verified at present. Just as in overseas markets, Xiaomi has torn a small gap from the high-end mobile phones controlled by apple and Samsung by relying on high-quality models and lower prices than apple. < / P > < p > < p > the problem with “cost performance as the key” lies in that Xiaomi’s pursuit of the ultimate cost performance ratio has become the “original sin” for Xiaomi to break through the high-end. It can also be seen from the swing pricing of several recent models of Xiaomi that users may not pay for it. This year, Xiaomi 10 and redmi K30, two higher priced products, have dropped in price in the short term after they are put on sale. The cost performance ratio is improved, but the high-end products are not so good. How can Xiaomi remain invincible in the long journey ahead? Lei Jun asked himself and answered this question in his speech. It is quality. “We must produce good products of world quality”, he also admitted, “improving quality is a very complicated process.”. Ten years ago, Lei Jun took a difficult road in Xiaomi’s business model. Ten years later, the “technology-based”, “cost-effective” and “making the coolest product” of the “three iron laws” point to Xiaomi. Next, we will continue to add technical content / design sense on the basis of the original cost performance. It is also not an easy way to go. < / P > < p > before that, everyone expected Xiaomi to disclose the most advanced technology research and development progress, or to explain the technical direction left before. Finally, it was discovered that it was a go kart product with cool design and full of gimmicks. But in fact, the R & D, design and manufacturing of the car all come from Xiaomi’s eco Chain Company No. 9 robot. When Lei Jun looks back on the past 10 years, tears come to my eyes. The following market has never been so complicated, politics has never been so deep into business, and users naturally have more expectations for big factories. In addition to emotional stories, we are also looking forward to his more thoughts on Xiaomi’s short board and potential crisis. Continue ReadingDeveloped a “plug and play” solar power generation scheme, and “5B” won a $12 million round a financing

Author: zmhuaxia