Color TV product features tend to be networked

With the rise of mobile terminals such as smart phones and tablet PCs, people’s demand for TVs has gradually become weaker, the number of people watching TV is decreasing, and the time for people to watch TV is getting shorter and shorter. Many young people even said that they have not watched TV for a long time. The more TV features are replaced by mobile phones, the greater the impact on TV sales. This is the reality that lies ahead.

The rapid development of Internet video

In 2014, the project of fixed-asset investment of RMB 5 million or more for the TV manufacturing industry completed 10.2% year-on-year, which was lower than the average level of the electronic manufacturing industry by 26.7 percentage points. From the perspective of investment growth, it showed an L-shaped trend, and the decline rate has gradually narrowed since March. From the investment perspective, investment focuses on such areas as smart TV and chip development.

Internet video content has developed rapidly. TV manufacturers are racking their brains to retain their viewers. One of the most important directions is to give televisions more entertaining features. They put forward the slogan “Let TV become the main character of the living room” and launch games, television, entertainment TV, and WeChat TV. 55-inch flat panel, and so on. In fact, Internet companies are exerting force from another direction in order to pull TV viewers from the front of the TV. They are constantly launching Internet video, realizing the demand of the public for video content through mobile terminals such as mobile phones, and forming a siege on TV. The rapid development of internet video has indirectly affected the sales volume and revenue of color TV sets.

At present, color TV companies are still unwilling to believe that the reality of recession has emerged, wishing to regard negative growth as a special case in 2014. This is precisely the time when the color TV industry has reached “the most dangerous time.”

Color TV product features tend to be networked

With the gradual advancement of the national information security strategy, content supervision will become the norm. It will bring several effects: First, the business model of “trimming the ball” will face huge policy risks; second, the difficulty of integrating the industry chain through the capital level, the “partnership of cooperation” model may be more efficient, and the third is the entrance resources. The relative concentration has laid the foundation for “users’ payment for content”. Fourth, strict content review has prompted content service providers to further refine product management.

In the case of cakes no longer getting bigger in the entire TV market, companies must learn to grow their scale by grabbing other people's cakes. In other words, in the future, color TV companies will no longer need space for the market, but will need space from their opponents to “eat food” from their opponents’ mouths and cut their own cake as large as possible. This actually means that the weak brands will be more difficult in the next three years and their share will have to be handed over to strong brands. This process is actually what we usually call "shuffle."

In fact, the development of mobile Internet threats more than traditional TV companies. It also includes a lot of TV companies such as IT Internet companies. The squeeze of smart phones on the color TV market is not divided between "traditional color TV companies" and "Internet color TV companies."