Reborn multinational giant

“That's it, Qualcomm representatives came to visit us and said they were willing to sell the chips to us for 1 point in the coming year, provided we just promised to leave the Alliance!"

At the headquarters of the Huichuang Patent League, which is also the headquarters of the newly established China mobile phone manufacturer Chip Defense League, Vivo's permanent representative Dong Zhuo briefed the other members of the League.

I'm afraid Qualcomm representatives would never have thought that just after their front foot left, the back foot vivo snitched on the chip defense alliance.

vivo is not reluctant to put forward the conditions for Qualcomm, but now all domestic mobile phone manufacturers are united. If Vivo is flying alone, it will inevitably be targeted and jointly blocked by other domestic mobile phone manufacturers.

In fact, strict exit restrictions have also been established within the Alliance. Once a manufacturer privately agrees to the terms of a company such as Qualcomm or Taiwan Electricity Company, it will be blocked by all other members of the Alliance, in addition to which exits will be blocked and punished, including the Huichuang Patent Union and even the entire domestic mobile phone industry chain.

Think about the consequences of being blocked by the entire domestic mobile phone industry chain. Even if vivo is moved by the conditions of Qualcomm, he dares not betray the alliance. Besides, the top of vivo is not a fool. Qualcomm's poor differentiation tactics can be seen by anyone who uses a little brain.

“We mobile phone manufacturers are under a lot of pressure now that Taiwan Telephone and Qualcomm are working together to push up global chip prices," said a representative of a mobile phone manufacturer in the League.

“Yes, we can't easily adjust the price of our phones. In the end, we will probably have to pay for the losses ourselves. The Alliance should always come up with a way!" echoed a representative of a small and medium-sized phone manufacturer.

Their cell phones have never been ranked in the market.

Divided into other columns, originally thought that joining the Alliance would reap the benefits, I didn't expect to face such a difficult situation just after joining. If not, he would still have to bear the losses. This made him somewhat dissatisfied. If this alliance was not established, how could Qualcomm and Taiwan Electricity Increasing the price of chips?

Huawei's representative glanced at him. Otherwise, there are too many boneless guys like this. Why is Qualcomm so arrogant? Huawei's representative said:

“We have nothing to do here. Qualcomm and Taiwan Television are thinking about the price increase. We can see how arrogant they are and how passive we are. If we lose the Disbanded Alliance this time, we can only let them cut a tray of sand after dissolution. ”

“Yes, now that we have come here, the Alliance cannot be easily dissolved. Although the difficulties are great, everyone can always think of solutions. Everyone has any way to discuss them.” The representative of Xiaomi echoed.

Representatives of more than a dozen domestic mobile phone manufacturers interacted with each other to discuss solutions. In fact, they had met in various companies long before the Alliance meeting to find solutions, but basically no good solutions were found. Qualcomm was stuck with high-end chips from almost all mobile phone manufacturers on the mainland, and prices rose if they wanted to raise prices. Many mobile phone manufacturers felt that there was something they could do.

“Let me make a few comments!" A few minutes later, Li Zhipeng, CEO of the Huizhuang Patent Union, met with representatives of many manufacturers who still had no results.

Li Zhipeng and the Huichuang Patent League are the main promoters of the Chip Defense Alliance. He also serves as the “master” of the Chip Defense Alliance. When he says to talk, all the phone manufacturers' representatives quiet down.

“I know that everyone is stuck to the neck by Qualcomm on high-end chips, and there is some helplessness. Neither MediaCom nor Qualcomm can replace Qualcomm's position and importance in the high-end chip field.

But in my opinion, maybe we alone will be afraid of Qualcomm, but we are united. What's to be afraid of?

Qualcomm is important to us. Is it not important to us?

Together, the global market share of our manufacturers is more than 40%. Qualcomm now has more than 60% of its profits from our continent. With Qualcomm's greed, how can we lose out on our customers? "

“You're right about that, but Qualcomm hasn't turned its face directly on us. It's just using various excuses to increase the price of the chip. Taiwan Electricity has postponed the delivery time of the chip for various reasons, and delayed the launch time of our new products. So, the biggest loss, isn't it still us?"

An objection was raised by a representative of the manufacturer.

Li Zhipeng smiled and said:

“You're right about all of this, but I think you should think deeper about these two issues.

First, the price of the Qualcomm chip has increased. So, the two major competitors of Qualcomm, Apple's chip, Samsung's chip, have not increased the price. Apple's mobile phone price can remain stable for so many years. In the relationship between Apple and Qualcomm, will it follow the price increase of Qualcomm?

There are also Samsung. Most of Samsung's chips are produced by itself. The price of Qualcomm chips has increased, driving downstream mobile phones using Qualcomm chips to increase the price. Does that not mean that it is weakening the competitiveness of the Qualcomm mobile phone camp and increasing the competitiveness of Samsung mobile phones?

The second point is that Taichung postponed the delivery to QUALCOMM, which indirectly affected our new release speed. The final result of this incident is very similar to that above. Today's mainland market is already under the brand name of our domestic mobile phone and Apple Samsung. QUALCOMM will delay the delivery, not any of us, but all of our domestic mobile phone manufacturers. Our new speed will slow down. Finally, it will only make Apple and Samsung convenient. The final feedback will only reduce the shipment of QUALCOMM chips.

To put it bluntly, Qualcomm and our mainland manufacturer are tied to a chariot. We are not happy. He will not be better. In a short period of time, he will not be able to support other mobile phone manufacturers that match the size of our market.

Besides, is the alliance between Qualcomm and Taiwan Television really as strong as we imagined? We were caught in the neck by Qualcomm. Qualcomm was also caught in the neck by Taiwanese electricity.

Today, there are only two manufacturers with the most advanced technology in the world, Samsung and Taiwan Electricity Co., Ltd., which supports the rise of China Core International. Not only does it conflict with Qualcomm's interests, but it only benefits it. Otherwise, last year, Qualcomm would not have easily promised to hand over the order to China Core International.

In my view, we might count on the mainland market, where the price of the Qualcomm chip goes up, the price of all our mobile phones goes up, and we focus on strengthening joint publicity, telling consumers that the reason for the price increase is to shift consumer grievances to Qualcomm as much as possible because the price of the Qualcomm chip goes up.

Likewise, if Qualcomm delays the delivery time of our chips, all of our allied manufacturers will postpone the new time and see if it is us or Qualcomm that can't sit still! "