In this year of the rat, which begins with a variety of special circumstances, domestic mobile phones have ushered in a “charge”.

Xiaomi 10, Huawei mate XS, which was finally listed, oppo find X2, which was just released today, and the new generation of Huawei’s P-Series flagship which has begun to be rumored to be scheduled. This wave of domestic mobile phones in addition to mass release, another feature is further high-end. Huawei mate XS of folding screen doesn’t say that even for Xiaomi 10, the price of basic model has reached 3999 yuan, and that of Pro version starts from 4999 yuan.

The same is true for oppo find X2, with various bright technical details: 120Hz refresh rate, 3K QHD + resolution super sensitive screen, support for 240Hz touch sampling, hdr10 + and 1 billion color display, and specially equipped with a plug-in chip to make the picture smoother. There must be 5g flagship SOC. With the new charging technology and so on, these configuration details can be compared with Samsung’s self-made screen.

Judging from the current trend, it is obvious that domestic mobile phone brands have reached a consensus in 2020 that we want to enter the high-end market.

High end: choice or necessity?

The impact of domestic mobile phones on the high-end market has existed for a long time.

Around 2015, domestic brands launched a “charge”. A number of manufacturers, including ZTE and Huawei, set the price of their flagship products at 3000-4000 yuan. At that time, the starting price of Apple’s iPhone 6 was only 5288 yuan.

However, due to a series of reasons, such as the greater ecological advantage of apple at that time, the small price difference and the more value preservation of second-hand transactions, the domestic flagship mobile phones basically suffered Waterloo. After the direct impact on the high-end market failed, domestic mobile phones soon turned into the middle and low-end cost-effective market.

Naturally, the attention of each brand has been focused on the mainstream models of their own midrange, and the water testing of high-end products has become “ingenious”. The most obvious one is “shell playing party”: some brands join hands with the design industry to directly replace the back cover with leather, while others try to make the back cover translucent to show the circuit board inside the mobile phone. None of these attempts, at least in terms of results, have been expected to succeed.

More importantly, the general environment has changed since 2015. We can see from IDC’s global and Chinese smartphone shipment changes.

The determination and perseverance of domestic mobile phones to impact the high-end market is essential

The determination and perseverance of domestic mobile phones to impact the high-end market is essential

Since 2016, the global smartphone shipment began to decline, and China’s decline was greater than that of the world, which indirectly indicates that the large Smartphone development stage from 2013, that is, 4G deployment, is coming to an end, and the overall smartphone market has completely shifted from incremental to stock.

On the premise of the continuous reduction of the overall shipment, another series of data can reflect the change of people’s consumption concept of smart phones. More and more people are upgrading from one smartphone to another. In this process, there is a self contrast between the old and the new mobile phones.

According to a report at the end of 2019 by counterpoint, a third-party consulting firm, in terms of Q3 in 2019, the price distribution of smart phones shipped around the world has changed significantly compared with the previous year. The sales volume of 400-600 US dollars models decreased by 42%, and the sales of high-end mainstream machines with 800-999 yuan increased by 59%.

The logic of “if you want to change, you have to change for a better one” obviously exists. Naturally, more and more mainstream users will consider upgrading to high-end products.

Last year, the interest rate of iPhone’s direct revenue is higher than 9% of the gross profit rate of the mainstream users. However, the profit rate of the mainstream users in the third quarter is more than 9%. The gap is huge.

There is another potential factor worthy of special attention: in the huge industrial chain of smart phones, there are actually many suppliers. If they just create mainstream products or even low-end products, mobile phone manufacturers themselves do not need to invest too much. As long as they are responsible for paying and coordinating, mobile phone manufacturers themselves will not form corresponding technology and experience accumulation. From this perspective, although the development of high-end products is more difficult, the greater the challenge, the greater the harvest.

Combined with the above three points, it is obviously necessary to create high-end products. It may not become an invoice to guarantee revenue, but it can at least make mobile phone manufacturers more successful and long-term on the long-term business road.

Why should we build high-end products in 2020?

Leaving aside the influence of the big environmental factors, “making high-end” will be an opportunity for domestic mobile phone manufacturers to compete for the development initiative in 2020.

First of all, the trend of mobile phones this year. After the “evolution” of cameras in the first two years, the competition for photo taking ability of high-end smart phones has slowed down, and a new main competition point has emerged, that is, the screen on the mobile phone that most obviously affects the user experience.

At present, these new mobile phones to be released in 2020 are equipped with new screens with higher refresh rate and higher touch sampling frequency. In theory, the new hardware has the ability to make the display smoother and the operation more convenient. However, software adaptation outside of hardware has always been a big problem, and it is too difficult to support huge application and content ecology.

This time, oppo’s latest find X2 is likely to break this impasse. The new function “video dynamic insertion frame” uses independent chips to calculate the picture, and then directly improves the original low frame rate video to 60 or even 120 frames. As the so-called “early bad, later to make up”, this magic general process, AI computing credit is obviously indispensable.

The reason why oppo can come up with such exclusive new skills is obviously the result of its own R & D and innovation. In fact, since the establishment of the Research Institute in Shenzhen in April 2018, oppo’s R & D team has exceeded 1W people, and has built 4 R & D centers, 6 research institutes and 1 global design center. Taking imaging as an example, oppo has applied for nearly 6000 patents worldwide, and its authorized number has exceeded 2000. Overall, oppo has been ranked third in the number of invention patents of enterprises in China for two consecutive years.

But this is nothing. In December 2019, oppo founder and CEO Chen Mingyong announced a message in public:

In the next three years, oppo will invest 50 billion R & D budget. In addition to continuously focusing on cutting-edge technologies such as 5g, artificial intelligence, AR and big data, oppo will also build core technologies of underlying hardware, software engineering and system capabilities.

In addition to the attractive number of money, oppo chose these fields for obvious reasons: smart phones are information terminals that human beings have spent nearly 20 years and invested countless human and material resources to create. In the future, smart phones will also have their own advantages in the end scene. What mobile phone manufacturers should do is to study how these cutting-edge technologies can help intelligence Mobile phones create more value.

This is why, in addition to the find x2 mobile phone, oppo also produced the first smart watch product oppo watch and the new oppo 5g CPE Omni. In particular, the latter is compatible with a variety of IOT protocols and advanced Wi Fi connection technology, with a peak rate of 7.5gbps. It is expected to become a 5g hub in various scenarios in the future. The emergence of these other products also illustrates another fact: in the face of the coming challenges of new technology trends, high-end solutions actually need to solve a certain degree of ecological problems.

What’s the next step to get to the high end?

High end, first of all, it is not the price, but the quality of the product. The promotion of quality will naturally pass on to the brand influence. The latter in turn promotes the actual sales effect of high-end products. According to the trend in 2020, the quality improvement of domestic mobile phone manufacturers should not stay at the level of income, but should further tap the value of the brand.

The most basic thing is to spread the products, especially in foreign markets, to find ways to build global word-of-mouth, and even to open up high-end sales in some markets.

Ecology is another key direction. At the moment when 5g is coming and the overall mobile Internet is about to meet the great changes, mobile phone manufacturers should make good use of the power of ecology instead of fighting alone. Strive to find their own mobile phone enterprises, to a new generation of core data terminal manufacturers to change the path.

Of course, if we lose the determination and perseverance to enter the high-end, it is obviously impossible to succeed in these magnificent and beautiful goals.

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