Inject capital into nine cities ' zhongxing nine-city Network Technology Wuxi Co., ltd

March 3, according to the 21st Century Economic report, the reporter was exclusively informed that the Nineth City (hereinafter referred to as "nine city") Chairman Zhu will personally, to nine cities under the ZTE nine-city Network Technology Wuxi Limited ("nine") injection. After completion of the injection, Zhu or will obtain the ZTE Nine city about 10% of the shares, the investment is getting board approval.

After playing football for 7 years, Zhu completely withdrew from Shenhua club at the beginning of this year and returned to nine cities wholeheartedly. But after getting rid of the "mess" of football, Zhu's nine-City game empire, the situation is also not optimistic. As of February 28, the Nineth City (NCTY) share price has fallen to 2.8 U.S. dollars/shares, and from the trend of nearly three years, its share price overall showed a downward trend.

How to make the best of the Zhu is a problem to be considered after the reunification. From the current action of the nine city, it is clear that Zhu's first fire to the "box".

Nine was a joint venture between the City of Kowloon and ZTE in 2012, which was dominated by interactive television services. In February this year, Guangdong Radio and television's wholly-owned subsidiary, Guangdong Province, announced a 12.5 million-yuan injection of nine, gained 10% per cent of the shares and officially announced a march into the TV box market. It is understood that there is also a private investor shares, but the company did not disclose the details.

Of the nine of the four major shareholders, nine cities and ZTE accounted for the same share, tied to large shareholders. And the Zhu to the individual in the name of the nine after the completion of investment, although it has not been disclosed after the parties to the proportion of shares, but an online game business executives speculated: "Nine cities and Zhu individual shareholding plus total, will be in the majority of nine of the shares." ”

The person told the 21st century economic reporter, Zhu personal stake in the side confirmed that he is the nine of the upcoming TV box has great expectations.

Alliance TV Push Box

A person inside the city said that Zhu now attaches great importance to the box project, focusing on every step of progress, including the introduction of Guangdong radio and television investment.

Shen, vice president of Kowloon City, said in an interview with the 21st century economic reporter that the cooperation with ZTE was valued for its strong hardware research and manufacturing capabilities, which the Internet companies are not good at, and the introduction of Guangdong radio and television is an attempt to occasion its powerful channel network.

"No matter hardware or software, in addition to some retail, can be promoted through Guangdong radio and television sales, hope that this development into a channel model, the future spread to the country." "It is understood that Guangdong radio and television in Guangdong region has 13 million TV users, and most of them are already digital interactive television users."

At present, the nine did not introduce specific channels to promote the rules, but in accordance with the broadcasting system used to practice, radio and television operators may be based on user characteristics, customized different versions of the box, such as the provision of different prices, or different content to different users.

Obviously, the nine boxes are different from the pure Internet mode of millet and le-view box, and more like the traditional radio and television system of OTT enterprises. But over the past few years, this pattern has been far less than the former. In response, Shen responded, "There are different market needs at different stages, after a year or two of development, the consumer's acceptance of the box greatly improved, this mode of space is very large." But an industry analyst who declined to be named said that "the millet model is not an Internet company that can be learned, and neither the nine nor ZTE are capable at all." ”

The two cooperation more than this, according to the 21st Century Economic report reporter exclusive learned that after nine of the investment, Guangdong Radio and television have the intention to invest with their own only nine joint venture to set up a company, is currently being negotiated. This cooperation is considered more based on radio and television considerations.

In the field of Internet television, radio and television system of digital set-top box direct competitors have been regarded as telecommunications IPTV business, the two systems operators do not want to, the cooperation with the Internet companies to launch the box may help its breakthrough.

In addition, Guangdong Radio and television also covet through such cooperation mode, can let as many users use two-way business, the user will be retained in the net, and will not be lost to telecommunications IPTV or other set-top box platform. If you set up a joint venture to operate this matter, not only from the business can be divided into, but also consolidated statements, large income scale and profits. The joint venture controls the set-top box, the entrance to the home, and provides the initiative to implement other business model innovations. At present, Guangdong Radio and television will be the first pilot in a number of areas, and then consider extending the business to the entire network.

Can the nine cities be revived?

The box in the nine city is as important as radio and television. According to the nine city results, the second half of 2012 and the first half of 2013, the performance of a more substantial decline. Coupled with the slow growth of the original market, nine cities must develop new user groups. Nearly two years of the advent of the screen era, perhaps to nine city a chance.

Shen said that ZTE and nine cities 2012 joint venture in the Nine o'clock, some Internet applications began to expand from the PC to mobile phones, televisions and other terminals, then considered into the hardware field, after a period of time to consider and research and development, only recently on the product has a mature idea.

The box is just a connection point, behind the nine city's coveted video game users. According to Shen, nine cities in the field of interactive television has been deep for many years, not only for operators (telecommunications IPTV and radio and television digital STB) to provide game content, and solely responsible for the operator's game platform.

According to the data provided by nine cities, as at the end of 2013, the total number of users in the calculation, nine (content provided + operation) in IPTV and interactive television coverage of more than 90%, in nine platforms and products have covered more than 48 million users, registered active users more than 20 million, has more than 200 kinds of various types of TV games.

The box now wants to be upgraded from a simple TV game content provider to a platform. "In the Nine box the future is certainly not just a channel, but a platform to be made." "Shen said.

It is reported that the nine boxes will be standard video, music, reading and other content, but the game will become the main content of the box. Shen said that, unlike other market boxes, the future of the nine box will focus on the video game design, including game content, operating tools (handles, remote control) and so on. "Of course everything else will be taken into consideration".

And for the co-operation of the licensees, Shen refused to say, "Nine has been working with a licence maker, but the specific one is not convenient to disclose." ”

Like the acquisition of Shenhua, Zhu this time with the box to kill into the living room market caused concern. Perhaps this market, like the football field, needs not only courage and enthusiasm, but also strategy.