Take Qualcomm as a mirror to see what Microsoft has done

With regard to Qualcomm in the domestic monopoly, the basic facts have been formed. By comparing Qualcomm and Microsoft, we found some similarities between these companies:

1, single-handedly grabbing huge profits, China's partners have only been meager

Data show that throughout 2013, China's mobile phone companies have less than 0.5% profit. In stark contrast, only a Qualcomm's patent license fee is up to 5% of the price of the product. And the industry's consensus on patent licensing fees is that the sum of all patent licensing fees should not exceed 10% of the price.

For this reason, 2013, Qualcomm chip and licensing fees revenue of 24.3 billion U.S. dollars, of which nearly half of the revenue from China, licensed business income accounted for 30%, but the profit ratio reached 70%. The corresponding, is China's Lenovo, cool pie and other mobile phones, although it claims that there should be a large number of patents, but these terminal manufacturers have very low profit margins.

Microsoft has a similar situation. Microsoft has a near-monopoly market dominance over its PC operating system, which has led its partners, such as Lenovo, Acer, to have a very low profit margin, but Microsoft has made huge profits by authorizing it. One Microsoft employee, in private, never paid any attention to the profits of PC makers because they were too low.

Microsoft's fiscal year 2014, for example, has a total revenue of about 15.79 billion dollars (excluding taxes), operating at a profit of 6.48 billion dollars. Windows and Office are Microsoft's biggest sources of profit. and PC manufacturers, even if the world's first association of shipments, its quarterly net profit is only 200 million U.S. dollars.

2, the implementation of discriminatory practices between China and foreign countries, suspected of discrimination against the Chinese market

Qualcomm's licensing fees for companies such as Samsung and Nokia are much lower than those of Chinese handset makers, according to the Securities Times, a practice that is discriminatory.

Microsoft has a similar approach. Microsoft, for example, has forcibly stopped its service support for XP in China to launch its products such as Windows 8. However, in some countries such as the Netherlands, Microsoft is also in some form of cooperation to provide XP support.

3, abusing the dominant position of the market and setting the market price

Smart-Phone industry chain Personage pointed out, Qualcomm has been implementing rely on tying the patent to make money. Terminal manufacturers want to produce high-end mobile phones, only to Qualcomm procurement of chips, downstream manufacturers in order to buy Qualcomm chips, have to agree to Qualcomm's patent fee requirements.

In this process, the intelligent terminal manufacturers do not have any right to speak. Because in the high-end chip field only this one, no branch.

Microsoft is similar. In 2013, Microsoft made a massive price increase on Windows products. PC manufacturers ' licensing fees have also increased dramatically, as the media have made extensive disclosures and reports, but this has not changed Microsoft's approach.

A PC maker said in a sharp observation session that when negotiating with Microsoft, PC makers did not have any voice. Microsoft is only the next notice, want to increase prices on the price. In addition, Microsoft is still using the stick principle, for does not sell pre-installed genuine Windows The channel Merchant carries on the fishing type law enforcement. These practices are forcing PC manufacturers to increase the number of preinstalled windows.

Now there is a new common ground for the two companies: surveys of multinationals have started, and have been conducted from branch inspections.

The NDRC raided the Qualcomm Beijing and Shanghai companies in 2013.

July 28, 2014, China's Industrial and commercial administration raided the company's four branches in China, and asked for inquiries.

After a raid on Qualcomm, the NDRC dispatched more than 80 staff to conduct follow-up investigations and recently identified the fact of a Qualcomm monopoly. It is believed that Qualcomm will then conduct a series of corrective actions.

And for Microsoft, what will happen in the future? At present, it is not known, however, analysts generally believe that this is a signal that Microsoft's follow-up will face a big test.