HUAWEI P40 series domestic version was released, Huawei Consumer Business CEO O Yu Chengdong accepted an online media interview. Answered some questions that everyone is concerned about, including: How to view the impact of the high-end mobile phones of
- ? Will there be more and more cameras for
- ? How to balance photography and other functions? Why did a Pro suddenly appear in the P40 series? +; How much communication between Huawei and TSMC has reached, will the OEM be affected; how is the ecology of
- HMS progress, and has the cooperation with Google been fully restored;
- HM system deployment status;
…
We excerpted and refined some of the content to see what Yu Chengdong said.
How to view the impact of the epidemic and market expectations
Yu Chengdong: Thanks to consumers across the country, thank you very much, in this difficult period, everyone bought our products, gave us more support and help, allowing us to still have good growth in the Chinese market in the first quarter. was growing well in January, fell in February, and there was a great growth in March, so we had good growth in the Chinese market throughout the first quarter.
China's market economy recovers rapidly, which is also an opportunity. Our products with work from home, remote work, remote learning, and large-screen products, such as PCs, tablets and smart screens, will increase at the current stage. So at present, our PC and tablets have grown significantly, with more than 100%.
Our consumer business is expected to grow, of course this year is very difficult. We will definitely continue to maintain good growth in the Chinese market this year, and will definitely decline in the overseas market. This year, HMS has expanded rapidly and the user experience is pretty good. So I believe that the second half of the year should be better, and we are confident that we will continue to grow throughout the year. Of course, everyone knows that the United States is still imposing further sanctions. If such a very extreme incident occurs, it will have a great impact, and it is hard to say.
There are many measures for our non-decline, and the most important thing is the service and experience of the product, and consumers are satisfied. Consumers may not buy things when they are in trouble, but there are still people who need to buy products, so who they buy is very important at this time. It depends on the product experience, product innovation, and product services.
How to view the impact of high-end competitors on Huawei
Yu Chengdong: Huawei has been building our high-end brand. high-end must have leading technology and innovation, including design, technology, innovation, brand, etc., in order to be high-end. , like our P40, is very distinctive. The four-curve overflow screen is the only one in the world, and our cameras and AI capabilities are also leading. Simply stacking, the so-called specifications of a certain indicator, cannot create a truly high-end brand. In fact, we have also seen some other manufacturers want to do this, and we also welcome it. But what I want to say is that we need technology leadership and consumer support, otherwise it will not be able to have sales. Therefore, we must truly have brand and innovation to support it.
You see a small thing on our mobile phone, and the front camera digging single holes is our level in the past two years. I have put a lot of complex sensors here, such as our P40, which was originally planned to hibernate, but it found that I was watching it, and it no longer hibernates. It can allow me to continue to watch these very considerate functions, which are very convenient for people to use. Our cameras are also far ahead of our peers in this regard. Our camera costs are also a few hundred and dozens of dollars, which is just the cost of this part of the camera, which is very expensive. In fact, the gross profit of the sales price we sell is very low. Our P40 Pro high refresh rate screen, our operating system core is optimized, silky smooth and power-saving. Our 90Hz experience is smoother than the 120Hz experience. There is also charging, we need to ensure safety. Our charging safety technology is obviously much ahead of others.
so we can see that Although we want to build a high-end brand, our cost-effectiveness is still there. , and you can see that the P40 we released this time is as small as 6.1 inches, but my screen is larger than the 6.58 inches, so my grip and battery life are very strong, and the experience is very good. So from this point of view, we cost about 4,000 yuan, and the cost-effectiveness is very high. Although we are high-end products, our cost-effectiveness still has a clear leading advantage.
But I think the design of our product, the experience advantages of the product, and our optimization of the operating system can actually lead and surpass our competitors in terms of user experience. Ten times optical zoom is the most complex technology in the world. We can get these technologies through , which costs huge R&D investment. Huawei ’s annual R&D cost is close to US$20 billion, ranking among the top three in the world. among all companies around the world. I estimate that if this continues to grow, it may reach the top one or two in 2020. The R&D expenses released by other manufacturers are not on the same order of magnitude as us. They are increasing by billions of RMB, and our R&D expenses are 20 billion US dollars, which is not on the same order of magnitude at all.
I'm talking about R&D investment and innovation for user experience, because other manufacturers can't do such optimizations as operating system kernels. Therefore, when we build high-end brands in , we must lead high-end design and innovation, and truly bring disruption to the user experience. Everyone uses our mobile phones to watch concerts, football games, shoot things in the distance, zoom, and the ability to take photos at night is really beyond the human eye. Will there be more and more cameras in
. Will there be more and more cameras in mobile phones
Yu Chengdong: You can’t do too much cameras in . If you do too much, the size and space of the phone will take up a lot of space, because now we have the five cameras in the back and the two cameras in the front. It is impossible to blindly increase the number, but to increase the algorithm and quality of each unit.
I used to be a camera enthusiast, and I also played SLRs, but now our mobile phones are getting more and more powerful. Professional cameras and professional video recorders have been replaced. They cannot achieve such a large size physically, but they are miniaturized, and comprehensively realize ISPs, AI processors, etc., and comprehensively realize this powerful ability. So I think there will always be demands for camera technology in , but we do need to control the cost well, and we cannot make the volume bigger and more expensive.
P40 Why is there more Pro + gear
Yu Chengdong: is too high and the difficulty is too high, so the price of P40 Pro+ cannot be reduced. To reduce the cost, we can only use it at the mid-range price, so is the cost reason. , but this technical point is very powerful, it is a telescope. We don't make all our products like this. But it can also support leading technology, great innovation, and also allow our products to support higher-priced users, because its cost cannot be sold too cheaply.
devices domestically produced and will TSMC cut off the supply of
Yu Chengdong: First of all, our Huawei phones are not only domestic devices, but also Japanese and Korean devices, and American devices, because different configurations are different. We can do without the use of American devices in because we have made a complete replacement. The reason we are still using American devices is that our past partners have given us a lot of support and help to take care of their business.
Chinese enterprises are becoming stronger and stronger, and many things can be handled by themselves. We also give domestic manufacturers more opportunities. Huawei is also cooperating with MTK and is also using some low-end products. We are also useful for mid-to-high-end products, and we also cooperate with , Spreadtrum , etc., such as our watches, Spreadtrum is useful for. HiSilicon is a mid-to-high-end supplier for us, but we have multiple suppliers and maintain relationships with multiple suppliers.But you also see the news uploaded online that the United States wants to further sanctions (forcing TSMC to cut off chip foundry). I think this approach is a great destruction to the global industry, because everyone is interdependent in this society. I believe that American companies cannot do without Chinese things, Chinese companies cannot do without American things. Today, globalization is interdependent. If it is counter-responsible, it will cause great harm to both sides.
HMS progress, as well as the deployment of Hongmeng
Yu Chengdong: I want to tell you that our HMS4.0 has been released, HMS progresses very well, and the experience of overseas users has also improved rapidly. We have even built our leading advantages in some fields. So it’s not just following others, we’re closing the gap, and building our strengths and our lead. Our overseas HMS is making very good progress. Our HMS4.0 was first used from P40 and Mate 30 Pro. Many of our employees are currently using it, and many users have a very good experience and made great progress, exceeding our expectations. So in the past, we have created a lot of commercial value with Google, including some Chinese companies. This kind of sanctions in the United States have greatly damaged the commercial interests of American companies.
P40 series, all markets except the United States and Brazil and South Korea will enter. Overseas depend on GMS, but our HMS in is not bad. It can meet the requirements of most users and meet the requirements of 80 or 90% of users.
Our core smart home systems widely use Hongmeng's operating system, but in fact, the Hongmeng operating system has been prepared long ago.
What are the advantages of Huawei’s full-scene scenes?
Yu Chengdong: The advantage of our entire scenario is not that many products are available, and everyone can do a variety of products. The problem is that its operating system connects it. You can look at the things on your phone and go to the smart screen, and you can walk into your PC and tablet. The mobile phone videos can be made with the tablet camera and the microphone. This distributed operating system has the capability of being loaded on Android, and has been used on tablets, PCs, smart screens, and watches.
You see our photos and send them directly to the watch. This kind of performance, the connection performance of our mobile phone and smart screen is not as good as the ability of other screen projections, and is not at the same level. Therefore, from the convenience, convenience, and the coordination of operating systems, this is achieved by operating systems, software, and our distributed operating system kernel. This experience cannot be achieved by other manufacturers.
Our X65 smart screen is very cool and very beautiful on the wall. You can see that it may be a little thinner and a bit awesome on the screen. It is the most expensive product sold by Huawei terminals. It is more expensive than folding screen phones, but you have to know its level. Other devices with more than 300,000 yuan are now replaced by ours, and the price is less than 1/10. In addition, our smart TV has very obvious advantages, and our experience advantages, performance advantages and product specification advantages are very obvious. Because of consumption upgrades, it doesn’t mean that it will be used for one or two days. It will take many years to use it, so the average cost per day is negligible, and it is not even the price of eating an egg every day. Therefore, such products must have a good enough user experience.
Not only do we have a good hardware, but our software experience, user convenience, our AI capabilities, our automation capabilities, and even our smart screen live broadcasts are built into it, integrating five major video websites, such as AI fitness, education, etc. Our software will be upgraded and our capabilities will be further enhanced.
So in scenarios like , you must make some truly innovative and great products, so that you can be far ahead in terms of user satisfaction and reputation. You see our NPS value. Our consumer satisfaction is far ahead of our peers. Although they are cheap, consumers are not satisfied.So the same is true for our smart screens. Our satisfaction is very high. The satisfaction of the previous generation V65 and V75 is higher than that of the other. The V75 is 75-inch NPS value far ahead of its peers. So now we will reach a new level after the X65 is launched. So we focus on consumer satisfaction and have a high net recommendation value. So this also inspires us to keep making more innovative and greater products.
Everyone knows that Apple wants to build its own ecosystem, but our experience in the entire scene is far greater than that of Apple. mobile phones can run into a PC, tablets and smart screens, and the mobile phones and all devices can collaborate. Our smart home has received the widest support in the world, including the support of major foreign brands. So in the future it will become the world's strongest standard. It is the Hi Link smart home standard. There is also the Hi Car we released this time. All the cars support Huawei mobile phones. You can call, navigate, and use your mobile phone. You can directly answer the voice of the steering wheel button saying that I can navigate to Shenzhen Third People's Hospital and you can go directly to it. The experience is great.
We are constantly building ecosystems, and no one else can do these ecosystems. This experience is beyond Apple. It is something that they can't do at home and abroad because they do not have such ability in the operating system to do such things. Now, the future new cars of several major car manufacturers in the world will be integrated into our Hi Car in the future. Several major Chinese brands will integrate with , Volvo and other foreign brands. The mobile phone will run directly into the car machine, so the car screen, car audio, and car camera.
We have chip capabilities, software operation capabilities, communication protocols, and interconnection standards, so if you want to develop the ecosystem and join Huawei's ecological camp, you can bring you good income and continuous growth in profits. Is there any inventory in
?
Yu Chengdong: Our inventory is very serious out of stock. is not in stock, but out of stock. Because we came early this year, migrant workers had to go on holiday before the Spring Festival, and they had to prepare goods before the Spring Festival, but they were sold quickly. They could not produce them after the Spring Festival, so they were very out of stock. Why did I join Huawei? Because I think Huawei has a great boss. I think we have a great boss, so the company should have a promising future in the future. It turns out that my judgment is correct. Just like buying stocks, they said that my prediction is so accurate. According to my opinion, some stocks have risen dozens of times. It is not that I have a level, but that I see the future trend, I look at the long-term, whether the company has a future, and that there is a future company that can invest in a long-term basis. I think people and gods are accurate, not because I have the ability, but because we have to look at the overall situation and the general trend. I wish I had stock, and we would make money if I had stock.
(The picture is from the Internet, for the purpose of spreading more information)
