Tcl to join Cisco to spend 80 million dollars to build cloud platform

Tcl Group (000100.SZ, hereinafter referred to as "TCL") last night (9th) announced that the first three quarters of this year, net profit growth 72%~77% to 3 billion ~30.8 billion, while continuing to promote the Internet transformation strategy Landing, TCL and Cisco spend 80 million U.S. dollars to build cloud services platform. However, TCL related people to the "First financial daily" reporter denied the acquisition of HTC Rumors.

Earlier this year, TCL released the transition to the Internet "double + strategy", cloud services is one of the key projects, by Tcl Communications (02618.HK) is responsible for the promotion.

October 9, TCL and Cisco signed the investment agreement, the two sides jointly invest in building a "public commercial cloud service platform Project", and in the cloud computing, next generation video communications and interactive technology and other areas of in-depth cooperation.

The project company's initial investment of 80 million U.S. dollars, of which TCL's "Yongfu investment" capital of 64 million U.S. dollars, accounted for 80% of the shares; Cisco's wholly-owned subsidiary, Cisco Switzerland, contributed 16 million dollars, accounting for 20% of the shares.

The new company board consists of 5 directors, of whom Yongfu invests 4 directors and Cisco appoints 1 directors. And Yong-Fu investment will appoint a new company's core management team, including the general manager and financial Controller.

Tcl said that the new company intends to build a data center in China, the introduction of the cloud based video communications and collaborative Office system, to the Chinese region of SMEs and industry users with a high-quality interactive experience of the multi-party video conferencing, real-time data delivery, remote collaboration and other commercial cloud services and related terminal products. On this basis, the new company will build a public-owned commercial cloud service platform for the open market for Chinese enterprises and industries to provide "product + Services" one-stop cloud services solution.

Yongfu investment by Tcl's "TCL Industry" shareholding 53%, by TCL Communications Holdings 25%. In fact, TCL Communication will be the main force to promote the development of the "Public commercial cloud service platform". Tcl's chief operating officer, Wang, said in February this year that TCL's cloud strategy includes personal cloud systems, home cloud systems and corporate cloud systems. Tcl and Cisco build a cloud platform, is undoubtedly TCL in the enterprise cloud system in the field of a breakthrough.

Tcl last night announced that TCL Communications in January-September this year, mobile phones and other product sales totaled 48.61 million units, an increase of 34.9%. Among them, the smartphone January-September sales reached 25.932 million units, the year-on-year increase of 162.1%. Tcl smartphones sold up to 4.097 million units in September, accounting for 60.4% of TCL's mobile phone and other product sales.

Despite the successful transition from a functional machine to an intelligent machine, Tcl phones have yet to improve their share of high-end and domestic markets. Recently, TCL chairman Li A microblog, sparking speculation about TCL's acquisition of HTC handsets.

"Although Wang has returned to HTC for a year, it hasn't revived the brand like Steve Jobs," Li said in a microblog. HTC has been insisting on the direction of smartphone development since the Dopod era, and he and Apple have been involved in the industry. HTC is the company I admire very much, the same as Chinese mobile phone manufacturers, I hope HTC can occupy its position in the mobile terminal market, Chinese companies across the Taiwan Strait to join hands with Apple and South Korea competition. ”

Tcl's speculation about the acquisition of HTC was denied yesterday. The person told the reporter that Li's comments are due to peer concern, Li that Tcl and HTC face the same challenges, smart phones are difficult to do, especially in building their own brands.

Yanhui, Secretary General of the China Federation of Mobile phones, said Li's comments will not be groundless, there are two possibilities, one is Tcl want to buy HTC, the other is TCL to find HTC Foundry high-end mobile phones. Less likely to buy, cheap words HTC does not sell, expensive words Tcl can't afford. The possibility of work cooperation is greater, HTC has previously abandoned the foundry business, and now again to do the foundry, because the iphone launched a large screen, forming pressure at the high-end, even Samsung's profits are falling; in the low-end market, domestic mobile phones and the formation of catch-up, HTC clip in the middle is very uncomfortable. and TCL mobile phone with "Alcatel" brand and foreign operators to cooperate well, but more for low-end products, to find HTC OEM high-end mobile phones will be a good choice.

(Responsible editor: Lvguang)