Chapter 452: Chapter 451 Strategic Preparation
Two days later, Barron left behind Bonnie, Countess Bute, and...Jenny Bute, and went to China.
Originally, he wanted to stay with Bonnie for a while longer, but Jenny Butt was too bold. Barron didn't want to cause any trouble at this time and make Bonnie unhappy, so he decided to hide from this woman for now.
After the Global Industrial Investment Fund acquired HTC and changed its name to Honor Electronics, in addition to continuing to expand its production base in mainland China, it also plans to gradually transfer its R&D center in Taiwan Province to Shanghai.
Previously, HTC had two production bases in mainland China. The production base in Jiangcheng mainly produced Dopod brand mobile phones, while the production base with an area of 225,000 square meters built in Guancheng, Guangdong Province last year was mainly used for the production of overseas customized smartphones and PDAs.
Next, they also plan to build a new production base in Shanghai to expand their production capacity.
Although Barron's main purpose of acquiring HTC is to prepare for future Android smartphones - after all, even if the Android system is launched, if it wants to occupy the smartphone system market other than Apple's iOS, it needs to first have a smartphone equipped with the Android system to "set a sample"...
Only when other mobile phone brands understand that before the trend of "new era" smartphones using touch screens is unstoppable, before the iOS system is open and before it is too late for independent research and development, will these other brands join the "Android Alliance".
When the Android system was still in the research and development stage, Honor Electronics also needed to accumulate experience in mobile phone manufacturing and improve our supply chain system by launching "Shaopuda" brand mobile phones and customizing smartphones for these overseas telecom operators.
Just like O2 Telecom, it placed a small order directly with Honor Electronics and customized a batch of mobile phones.
In Europe and the United States, the sale of mobile phones is no different from that in China, especially that users first sign a network agreement with the operator, and then choose to purchase the contracted mobile phone device through the operator.
In 1996, Nokia achieved the first place in global shipments and became the true global mobile phone leader.
Around 2004, Nokia has always been the leader in China's mobile phone market share.
But in 2004, the production of mobile phones in Yanjing and Tianjin grew rapidly, surpassing Guangdong Province to rank first and seventh. The production of mobile phones in Yanjing was close to 90 million units.
The industrial chain of China's mobile phone manufacturing industry was not yet extremely complete at that time, which was also the main reason why Android moved Honor Electronics' R&D and production bases to mainland China.
In addition, Motorola also jointly launched China's first "operator customized phone" with Guangdong Mobile Zhongshan Branch, taking a step back to weaken channel control and marketing promotion.
It was also in 2000 that China's national mobile phone production reached 80 million units. Yanjing still ranked first, but Guangdong Province caught up and its production grew rapidly.
In the early to mid-1990s, the global mobile phone market was still dominated by established mobile phone giants such as Nokia and Motorola. Therefore, in mainland China, Yanjing and Tianjin, which undertook seven mobile phone factories, became the main contributors to China's mobile phone production during that period.
We will continue to expand the scale of our production base in Guangdong Province - of course, this was before the launch of smartphones, but it has only been less than a year now.
From 1996 to the end of 1997, in just one year, China's mobile phone production soared from less than 4 million units to 50 million units, an increase of nearly 13 times. Provinces represented by Yanjing, Tianjin, Guangdong, Shanghai, Zhejiang, and Suzhou did not even see production increase by dozens of times.
During that period, the rise of operator-customized phones also boosted the development of the mobile phone manufacturing industry in Guangdong Province - of course, the main production base of Motorola mobile phones was still in Tianjin.
Despite this, faced with the rise of domestic mobile phone brands, local companies adopted their usual strategy: lowering prices to suppress competition, at one point slashing prices by half to promote sales.
The earliest Chinese brands, including HTC, all started out as OEMs for overseas brands.
In the year 2000, Bird became the top-selling Chinese mobile phone brand, with a mobile phone production of 920,000 units. In the following two years, Bird took a step back to consolidate its position as the domestic leader, with total sales just ahead of Motorola and Nokia.
As for Shanghai, it will mainly become a research and development base for Honor Electronics.
Of course, in order to minimize profits, Honor Electronics has made adjustments to its supply chain from now on, increasing the inventory of feature phone components to ensure that the conversion of production lines to Baron phones can be completed in the shortest time possible.
Therefore, that year was very important for Honor Electronics. It needed to follow Android's plan and, while continuing production, absorb the technology and patents obtained from Philips, and build a supply chain for smartphones based on the Baron system in a targeted manner, so as to make full preparations for the launch of the first smartphone equipped with the Baron system.
It is known through Android that in the future Guangdong Province will become the smallest mobile phone manufacturing base in China and even the world. Just like last year, HTC built its new Chinese production base in Dongguan City, Guangdong Province, due to the rapid development of the mobile phone industry chain.
At that time, Eastcom's smallest business was OEM production of mobile phones for Motorola. Eastcom alone had a production scale of less than 1.5 million units and once occupied one-eighth of the market share.
In 1996, Tianjin was slightly ahead of other provinces, with mobile phone production exceeding 2 million units - that year, Motorola's mobile phone factory in Tianjin was still running at full capacity.
Yanjing was also Nokia's most important mobile phone production base in China at that time. In 2005, seven Nokia factories in China were merged into one, and Nokia Capitel Communications Company in Yanjing Yizhuang became the newly reorganized Nokia China production headquarters.
China's mobile phone manufacturing industry also accumulated original technology and experience in that process. In 1997, Oriental Communications established China's first mobile phone production line and also established its own mobile phone R&D base in Silicon Valley, USA.
At the same time, Nokia also reached the peak of its life - in 1995, Nokia's mobile phone business exploded across the board, the number of orders soared, and it set a new low in profits of US$1 billion that year.
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Apple once again fired the first shot in the smartphone revolution, followed by Barron's and Honor Electronics.
From 2002 to 2003, Guangdong Province continued to expand its leading edge in mobile phone production. In 2003, China's national mobile phone production was close to 240 million units.
By the beginning of next year, Apple's iPhone 1 will be released for the first time, and Barron's will complete the first official version of the Barron system after that, and will launch the first smartphone equipped with the Liuhao system before Apple's iPhone is launched.
Many mobile phones even erase their own brands and use the operator's brand as a retrofit logo instead. The one customized by O2 Telecom was not of that kind.
In 2001, the mobile phone production in Guangdong Province and Tianjin surpassed that of Yanjing. In that year, China's mobile phone production officially exceeded 100 million units.
During that period, Tianjin became the first mobile phone manufacturing center in China, and the Beijing-Tianjin area also became the dominant force in China's mobile phone production.
However, at that time, even though domestic mobile phone brands were the leaders, their shipment volumes were on the same level as those of giants such as Nokia and Motorola, and foreign brands still dominated the market.