LeTV curve application license

Zhang from each reporter by reporters from Beijing

LeTV (300104, SZ), which had been affected by the ban on SARFT, plunged nearly 7.5% in the afternoon yesterday (July 23). It is understood that the company's stock price rise or good news with its midday release - LeTV strategic stake in Chongqing Cable Holdings Limited Chongqing Cable Network Co., Ltd. (hereinafter referred to as Chongqing Cable).

LeTV said in the announcement that after the company cooperated with SVA, it will apply jointly to the SARFT for an integrated broadcast control service license for Internet TV or an Internet TV content license. In response, some analysts pointed out that this move will further speed up the issue of license plate music to solve. In addition, this also marks the video site into the living room TV and mobile phone side, fully into the "network and Taiwan" linkage and cooperation in the new phase, the future competition in this area will become even more intense.

Strive to apply for a "license" as soon as possible

LeTV released a major announcement shows that the company and Chongqing Broadcasting and Television Group, Chongqing Cable yesterday signed a "strategic cooperation agreement", LeTV will be strategic stake in Chongqing Radio and Television Holdings, Chongqing Cable, and Music Watch and Chongqing Cable jointly funded the establishment of New subsidiary to carry out Internet TV business.

The announcement also shows that Chongqing Cable is a large high-tech enterprise and is the only cable network operator in Chongqing that has the qualification of cable radio and television transmission issued by the State Administration of Radio, Film and Television. LeTV and Chongqing Radio and Television will, with the Internet and radio and television network core, multi-level cooperation. Chongqing Broadcasting and Television will mobilize all resources, and strive to SARFT as soon as possible to apply for Internet TV integrated broadcast control service license or Internet TV content license. Upon obtaining the license, Chongqing SVA will promise that during the cooperation period, the new company established jointly by Music Watch and Chongqing Cable will be entitled to exclusive and exclusive use.

LeTV also said the two sides will cooperate in the production of TV dramas and variety shows. Based on the traditional radio and television broadcasting platform and transmission network, as well as a large user base, the Company will integrate LeTV's advantageous market resources and advanced technologies in the Internet field and rapidly increase the coverage of the Company's end users through a wide range of channels including capital and industrial cooperation , In order to further expand the Internet television business to provide strong support.

Prior to this, the SARFT issued a "box" on the Internet TV ban, many market participants fear that the development of music Watch will therefore be affected. There are brokerage analysts said that now Watch Network found a suitable candidate to join forces to find licenses, music Watch network so fast that its alliance with Chongqing Radio and Television's meaning is very clear.

As for the cooperation between LeTV and Chongqing Radio and Television, and the current progress, LeTV network stakeholders told the Daily Economic News that it is temporarily inconvenient to disclose that all the contents of the announcement should prevail.

"Network linkage" into a trend

It is worth noting that since last year, some strong local TV stations have started to engage in the downstream and made video websites. For example, Hunan Taiwan launched the "mango-only broadcasting strategy" this year. Variety show no longer sells Internet copyrights overseas, It is its mainstream video site for "a counterattack."

In the meantime, some weaker local television stations are forced to "play two stars" (meaning that a drama can only be broadcasted simultaneously on two satellite channels at the same time, and the policy will start on January 1, 2015 Implementation) pressure, can not be the same as the Hunan station to fight against the video site.

In this context, "network linkage" has become a video site and local television to find a way out. For example, in 2013, IQIYI and Henan Satellite TV conducted the "network-station linkage" to build "Chinese Heroes." At the end of 2013, Potato Married Shenzhen Satellite TV to conduct "network interaction". In 2014, LeTV cooperated with Dragon TV to produce "Together, we "program.

In this regard, LeTV website operations group CEO Fei said in an interview with the "Daily Economic News" reporter said that in the network trend of the linkage, the company is entirely possible with the future of Hunan, Jiangsu, Zhejiang and other television stations.

In addition, Goofy also pointed out that the contents of the video site in the future nothing less than two situations: First, outsourcing; the other is self-made. In absolute terms, it is still based on outsourcing, but this is a structural comparison. In the future, the company will gradually tilt its budget toward self-made content.