Millet and LeTV compete for television and mobile phone market who is more promising?

Millet and LeTV as the Internet TV upstart, in recent days to start an explosive battle, its popularity has shocked the entire television circle. The communication held by the millet yesterday and the music communication that will be held today will push the verbal battle to a new peak.

Just two years ago, Xiaomi and Leshi were almost entirely two-dimensional companies with different models. Xiaomi was a mobile phone manufacturer who made systems and applications. LeTV was a video website. No matter what, but LeTV launched Super. With the television rate being advanced in the field of television hardware, the contradiction between the two has gradually intensified.

TV is undoubtedly one of the core businesses of Xiaomi to build its ecosystem. However, the previous sprint in the mobile phone business made Xiaomi undisturbed and devoted more resources to the mobile phone business, delaying the time for building an Internet TV brand.

From the business model, LeTV and the subsequent launch of the millet TV are essentially different, but in the concept of subversion, pre-sales mode, self-built channels, emphasis on cost-effective, fan management and other gameplay, there is no denying that had borrowed a lot of millet phone The successful experience, and beyond this, backed LeTV, LeTV has content advantages, the founder Jia Yueting also created a different concept of music as the ecology.

The focus and content advantages in TV business have made LeTV throw off Xiaomi in this field. Super TV has sold 2.5 million units so far ahead of Xiaomai's sales of several hundred thousand units. Without LeTV, Xiaomi TV will undoubtedly still be the most competitive Internet TV brand.

Let’s enter the mobile phone field this year, which leads to a continuous overlap of the business lines of the two companies. In addition, the competition is extremely similar. The fierce confrontation between the two companies is inevitable.

TV business: Xiaomi counterattack LeTV

Currently, Xiaomi is far ahead of LeTV in handset shipments, and LeTV is better than Xiaomi in TV business. If LeTV wants to make a breakthrough in the mobile phone business, it must seize market share and user groups for Xiaomi, and Xiaomi must not only defend the mobile phone business, but also need to shake off LeTV's base camp through the TV service.


Millet's latest valuation is close to 50 billion US dollars, Leshi market value is now less than 20 billion US dollars, millet recently to LeTV as a full-fledged war, the latter's brand and status has in fact brought up, but on the other hand, millet in the mobile phone business The position is even more difficult to shake than LeTV’s position in the TV business. This is why Xiaomi took the initiative to open the attack.

In millet's internal view, the reason behind Xiaomi TV's falling behind is because of its short content.

The first round of verbal warfare between LeTV and Xiaomi was a copyright dispute in the first half of last year. In February 2014, LeTV sued iCNTV for violating the right of dissemination on the information network, and listed Xiaomi as a jointly responsible party. The Haidian District People's Court of Beijing subsequently ruled that Xiaomi Company had lost the case and compensated LeTV with a loss of RMB 150,000. In July last year, LeTV claimed that it had obtained evidence of Xiaomi’s infringement of LeTV’s 500+ film and television series and continued to file copyright lawsuits against Xiaomi.

Because of his lack of copyrighted content, Xiaomi was at a disadvantage in this war of words with LeTV. The logic of the matter is very simple. Xiaomi TV used the content provided by LeTV to the licensee in cooperation with the licensee. The content is deemed to have its own copyright and it has the right to request not to provide it to a third party.

Of course, LeTV also suffered losses in this incident, hurting its cooperation with the licensee.

In order to reverse the shortcomings of Xiaomi in terms of content, Xiaomi also brought in the former Sina editor-in-chief Chen Hao to invest $1 billion in layout content last year.

However, it is not so easy to recreate a video site. Lei Jun chose to cooperate with the content provider to promote content layout after a short period of hesitation.

In January of this year, Xiaomi and LeTV were once again in friction. Vice President Wang Chuan accused LeTV of the ecological model as a closed model and set up competitors everywhere. Such a closed-door model of eating all over is about to come to an end; LeTV is using the official Weibo to the king. Sichuan’s artillery bombardment made a counterattack, arguing that LeTV’s ecological closed loop did not mean closing. Finally, he claimed that Wang Chuan’s ridicule of LeEco’s ecology was a matter of self-inflicted and insulting.

However, there was no major outbreak of this round of warfare. Until recently on June 10, Xiaomi’s UN video site and film and TV drama production company announced overall data on its video content and terminal playback platform, which also ignited the music as millet. The fuse of the new round of the war.

Xiaomi official stated that the total amount of genuine video content on Xiaomi TV's access to the broadcast control platform reached 18,051. Xiaomi TV content was twice as much as rival LeTV and was free of annual fees. It also sought notarization for notarization. Wang Xiao, deputy president of Xiaomi, said that Xiaomi first cooperated with the video website and other content parties, and then accessed the licensee's broadcast control platform, but these contents could only be provided to Xiaomi's TV terminals.

On June 11th, LeTV held an investor meeting and exchange. Leighton's chairman Jia Yueting responded to Xiaomi. He said that Xiaomi’s understanding of Internet content and ecology is not deep. Xiaomi’s content is not self-owned, but is obtained through a loose alliance. In addition, Xiaomi’s ability to charge content is not strong.

Wang Chuan, vice president of Xiaomi, later said in an interview with the media that LeTV’s business model is diversified, not ecological. Leshi’s various businesses have failed to lead the market and cannot achieve strong alliances. Wang Chuan subsequently submitted three questions to Jia Yueting on the Weibo: First, does LeTV see if the TV passes the broadcasting platform? Is it illegal? Second, is millet TV content doubled than LeTV? Third, does LeTV oblige to bundle an annual fee of 490 yuan per year?

Yesterday, Xiaomi held a television communication meeting. Wang Chuan answered the questions on his own, including the securities, funds, and media sources. He said that LeTV had violated SARFT's rules and regulations by arguing that it violated the requirements of Article 181 of the State Administration of Radio, Film and Television, and listed all kinds of data to re-item Xiaomi TV. Two times more than LeTV content.


Wang Chuan said that Internet TV needs to strictly comply with the provisions of Radio and TV Article 181 and integrate content through seven broadcast control platforms. The content of Xiaomi's TV uses the logo of Galaxy GICV. LeTV’s content appears on LeTV as a logo without going through the broadcast control platform. Output, in addition to search content can also be played through the browser outside the chain. Wang Chuan said that the competent department may call LeTV at any time, and the management of LeTV should publicize the risks of its business violations to shareholders.

This afternoon, LeTV will also hold a press conference to respond to Xiaomi’s accusations.

So, what exactly does LeTV and Xiaomi have on television? It is still difficult to conclude that, from a quantitative point of view, Xiaomi’s way of collaborating with the alliance is able to obtain more content than LeTV’s. The worry of Xiaomi’s lies in the fact that Xiaomi’s current licensee’s main partner, Galaxy Internet TV, has the investment of iQiyi behind it. , then other video sites will have to take into account when cooperating with Galaxy, how much cooperation can not be determined (for example, Youku Tudou is another licensee Fangfang Guangdong investor), in addition, Xiaomi and the content of these video sites Cooperation is difficult to guarantee is an exclusive form.

Of course, LeTV's trouble is that it needs to find a proper export and recognition for its television business and model from a legal perspective.

Mobile phone business: music as Xiaomi

In addition to TV business competition, LeTV is constantly making efforts on mobile phones, hoping to grab some of the market share from Xiaomi.

Millet mobile phone shipments this year is expected to reach 100 million units, LeTV's goal this year is a million, the gap is still very clear.

However, music as the phone can still bring no small pressure on millet. According to sources in the investment community, LeTV will soon complete the first round of 450 million U.S. dollars of financing, and investors include 45 investors such as Yizhuang International Investment and Haidilao.

Prior to this, LeTV was officially listed on May 19 this year. According to the official, LeTV's first-time spot buying and pre-sale volume exceeded 500,000 units in 24 hours.

More importantly, LeTV's previous disclosure of the price of mobile phone BOM (bill of materials) is more controversial. Jia Yueting said that LeTV is the world's first mobile phone manufacturer to announce the BOM cost price. LeTV will be sold at a production cost. LeTV does not need Make money through hardware, even shouting out hardware free slogans.

Obviously, a series of games played by LeTV is clearly aimed at Xiaomi. "Millet's success is due to the combination of traditional mobile phone production and Internet marketing to achieve the ultimate, so in the past year to achieve a 'silk counterattack.' But this knowledge of Internet marketing is social, not a patent millet." Music as The mobile president Feng Xing once said.

Feng Xing also said that LeTV is inaugurating a new model, relying on LeEco to break the pain point of high homogeneity of mobile phone hardware. Mobile phones are the entrance and platform for LeTV to acquire and serve users for a long time. The main purpose of LeTV as a mobile phone is to Rapidly expand the size of LeTV's mobile internet users and members.

However, at present, Xiaomi does not primarily attack LeTV for its mobile phone business. On the one hand, Xiaomi has a firm position in the mobile phone business. On the other hand, Xiaomi does not want to help LeTV hype in the mobile phone business, but hopes to have a TV business. Catching up and even overtaking Xiaomi. On the contrary, for LeTV, it is hoped that the topic will be more hauled to the mobile phone, and the television service will be maximized by Xiaomi’s benchmarking.

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