Tianjin’s Samsung mobile phone factory’s “ten years of ups and downs”

For the local, Samsung Communications is undoubtedly a landmark existence.

Located near the company in the Xiqing District Microelectronics Industrial Park in Tianjin, there is more than one bus station named after “Samsung Communications”: on the Edison Road where the factory’s north gate is located, there are 826 buses stopping at this station, and the east side is Weiwu Road. There are 504 road signs with the same name – although within a few hundred meters, a group of “Samsung” companies, including Tianjin Samsung Vision, Tianjin Samsung LED, etc., “Samsung Communications” has become the representative of this film.

Standing side by side with the “Tianjin Samsung Communications” on the roof of the main building of the factory is the “Samsung Smartphone”, which also implies the real role of the factory.

Born in 2001, with a registered capital of 104 million US dollars, Samsung Communications, a joint venture between Samsung Electronics Co., Ltd. and Tianjin Zhonghuan Electronic Information Group Co., Ltd. (hereinafter referred to as Zhonghuan Electronics), has always been the “first mover” of Samsung mobile phones in China.

In fact, in the second year of the factory’s establishment, Samsung mobile phones began to enter the Chinese market. Subsequently, relying on many advantages such as shape, technology, screen, etc., Samsung mobile phones began to stabilize their market position.

“I am here at the company, and I have experienced the whole process from rapid development to glory, then to decline and now closed.” As an old factory employee, Yang Lin had ample reason to be proud. He told the 21st Century Business Reporter, “2013 is a factory. In the most brilliant year, the monthly output is up to 10 million units.”

At that time, Samsung mobile phones are also catching up with the wave of smart machine replacement, and the models represented by Samsung Galaxy series mobile phones frantically seize the market. According to researcher Counterpoint, Samsung’s mobile phone market share in China was 20% in 2013, ranking first.

However, after that, Samsung mobile phones entered a bottleneck in the Chinese market and lost ground. Correspondingly, the output of Samsung Communications is also declining.

According to data provided by IDC China to 21st Century Business Herald, Samsung’s annual market share in China was 5.5% in 2016, less than 3% in 2017 and 0.9% in the first three quarters of 2018.

Even Samsung’s global smartphone sales have begun to weaken. According to Gartner data, in the third quarter of this year, Samsung smartphones shipped a total of 73.306 million units, down 14.3% from the 85,560,300 units in the same period last year. Samsung’s share of global smartphone shipments in the quarter also fell to 18.9% from 22.3% in the same period last year.

The decline in sales means that the intention to control costs is even more urgent.

“The production of Samsung mobile phones is gradually shifting to factories in Huizhou and Vietnam, China.” Many Samsung employees told 21st Century Business Herald.

According to previous reports from South Korean media, Samsung Electronics’ annual production capacity in the two factories in Beining and Taiyuan, Vietnam, is 240 million units, while the Tianjin plant has an annual production capacity of 36 million units and the Huizhou factory has 72 million units.

How can Lenovo mobile phone stay in this year in 2019?

Chang Cheng said that the current market is much colder than we thought at the beginning of the year, but for Lenovo, the impact of the market is not particularly large, and our most important concern is to solve the problem to the user side – because we are now The amount is not that big, and the routine adds.
The small-scale is the advantage of Lenovo’s mobile phone. There is no Lenovo mobile phone with a sales KPI package. This is one of the reasons why Z5 Pro can intercept the 855 chip.
As for how to use the Lenovo mobile phone for the winter, the routine also has its own views. He believes that whether a mobile phone can survive depends on two driving forces. First, the existing cost, that is, the expense rate, so many people, so much money, you must spend so much. The second is the profit rate. Lenovo “winter” pays more attention to the expense rate, spends less money, does more efficient things, and hopes to do some optimization.

In 2019, Lenovo had no target in market share, only two keywords – “growth.” Chang Cheng believes that “when others are afraid, we have to be greedy.” In 2018, Lenovo spent a year making products, and finally returned to the normal rhythm today: “New things will not be slower than people, will follow Like others, even in some places, they will lead some opponents.”

“If we are still developing a conference, it means that we are still alive.” Chang Cheng said that no one knows what will happen in the future, but “only if there is a return to the product, there is a way out.”

Lenovo Changcheng: Lenovo mobile phone to launch a price war to cut off industry profits

The vice president of Lenovo Group and the head of the mobile business China region announced that Lenovo’s mobile phone should launch a price war in China and cut off the profits of other manufacturers. Chang Cheng said that Lenovo’s mobile phone shipments in the Chinese market have been growing against the trend for four consecutive months, with a growth rate of more than 70%. The data also shows that from April to September this year, Lenovo’s mobile phone sales in the domestic market increased by as much as 85%. In the overall industry downturn, the growth rate far exceeded other manufacturers.

 

Corning acquires 3M Communications Market

In June of this year, Corning Incorporated announced that it had completed the acquisition of 3M’s Communications Marketing Department. The acquisition expands Corning Optical’s market reach and has access to more global customers, particularly in Europe, the Middle East and Asia, including Central and Latin America.

OFweek Optical Communication Network Editor Comments: This acquisition of Corning Company is mainly due to market development considerations. Corning is an internationally renowned material company with a wide range of industries. Therefore, for Corning, expanding the market is a very important part of the company.

Nokia acquires Internet of Things company SpaceTime Insight

In May of this year, Nokia announced the acquisition of SpaceTime Insight, a California-based Internet of Things startup that provides predictive analytics based on machine learning algorithms. Previously, Nokia’s business in the Internet of Things sector was quite small. By acquiring SpaceTime Insight, Nokia’s determination to further strengthen the Internet of Things business can be seen.

OFweek Optical Communication Network Editor Comments: After the mobile phone business has shrunk dramatically, Nokia has shifted its focus to network equipment. As a senior “player” in the field of communications, Nokia’s involvement in the Internet of Things is clearly well-founded.

Cisco’s $270 million acquisition of AI Enterprise Accompany

On May 2 this year, Cisco announced an agreement to acquire the business intelligence startup Accompany. Cisco will pay $270 million in cash and stock. After the acquisition, the Accompany team will join the Cisco Cooperative Technology Group, which intends to integrate Accompany’s technology. Go to the company’s own collaborative products.

OFweek Optical Communication Network Editor’s Comments: Cisco is a world-renowned network solution provider. The acquisition of Accompany is naturally a concrete manifestation of its enhanced AI capabilities. At present, the AI trend has swept the world. As a world-famous corporate giant, Cisco’s AI is naturally reasonable.

Lumentum wins Oclaro for $1.8 billion

On March 12th, US local time, on the eve of the opening of OFC 2018, the optical device industry announced a major merger and acquisition event. As the industry’s second child, Lumentum won the industry’s third-year Oclaro for $1.8 billion.

Lumentum hopes to strengthen its presence in the optical communications industry by acquiring Oclaro’s own product portfolio. The industry’s general belief that Oclaro’s strengths in telecom optical networks, enterprise networks and data centers is the main reason for its acquisition by Lumentum.

OFweek Optical Communication Network Editor Comments: As the industry’s two well-known optical device giants, Lumentum’s acquisition of Oclaro is undoubtedly a blockbuster in the optical communications industry in 2018. From this acquisition, we can see that the industry concentration is moving forward further. Strengthening its competitiveness in the optical communication industry through mergers and acquisitions has become a mainstream way for industry giants.

Huawei has an accident, why is Cisco nervous? What kind of company is Cisco?

If you use a sentence to explain the strength of Cisco, it is: without Cisco, there is no modern Internet. In the mid-1980s, the US computer network began to emerge. Because the networks used by universities and companies used different protocols and different devices, the demand for multi-protocol routers suddenly came into being. At this time, a pair of teachers and couples at Stanford University in the United States, Leonard Possac and Santi Lerner designed a networked device called “multi-protocol router” that can integrate computer LANs that are incompatible with each other. Together, form a unified network. This “multi-protocol router” is considered to be the real arrival of the human Internet era.

In 1984, Leonard Possack and Santi Lerner founded Cisco to develop network communication equipment. Since its inception, Cisco has entered an industry that does not want to make money. At that time, with the rise of the Internet, the amount of data transmission in the world has increased dramatically, and the amount of voice calls has dropped, and more and more money has been spent. On data communication devices, Cisco is the leader in this field. Cisco has been successfully listed in 1990.

After the listing of many companies, employees of the company will choose to leave the company to start a business or retire. The Leonard Possack and Santi Lerner have also chosen this path. They left the company. Although the founder left the company, but under the revolutionary wave of the Internet in the 1990s, Cisco’s development speed is getting faster and faster, but Cisco really becomes a giant in the industry, and he is a Chambers.

When Chambers joined Cisco in 1991, Cisco’s sales revenue was only $70 million, and the market value was $600 million. But in 1999, five years after he took over Cisco’s sales, Cisco’s sales revenue reached 12.15 billion. The US dollar has a market value of more than 500 billion US dollars, making it the world’s highest market value company. Chambers is therefore called “Mr. Internet.”

Network information at that time doubled on average every four months, which required newer, faster network transmission equipment to support it. As a device supplier, you must constantly innovate and master the latest technology, but no one can guarantee that all technologies can be developed. Under the leadership of Chambers, Cisco on the one hand to strengthen R & D investment, the other is to rely on “buy.” Cisco’s approach is to buy a new company that is developing a new product and, as much as possible, to launch an outstanding new product in the next six to 12 months, and then quickly bring it to market through Cisco’s existing distribution channels.

This strategy is effective. Through research and development and acquisition, the technological advantage is the market advantage, and Cisco has quickly become the dominant player in the network equipment industry. At that time, Cisco’s business scope covered almost every part of the network construction. The market for network devices such as routers and switches that make up the Internet and data transmission is almost always controlled by Cisco. In this market of more than 200 billion US dollars, Cisco is almost the same as “one-of-a-kind”, the market value of the Cisco family is more than the sum of other traditional communications equipment companies.

Junipernetworks (Chinese name: Juniper Networks) was once considered a competitor of Cisco, but its turnover is only 7% of Cisco. In fact, Cisco is fully capable of easily killing junipernetworks, but it did not do so because With juniper, Cisco has saved a lot of trouble with antitrust laws.

Cisco once could not find an opponent with a telescope. Until 2002, Chambers encountered the first Huawei company to exhibit in the United States at the Atlanta Communications Product Show.

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