The Book of electric paper: The "Swan Egg" of Han King

The Han Wang technology from Zhongguancun has chosen a "technology industry and Trade" route which is diametrically opposed to Lenovo. But 15 years later, it still lingers on the threshold of revenue 200 million or 300 million, with its original technology. Will e-readers be the last chance for it to roll over? Wen | "Entrepreneur" reporter Liaoyu "in the Han King's basket filled with eggs, the paper book is a swan egg at most." It is good to hatch a swan, if the bad guy can live by other eggs, and then wait for the next Swan Egg. The hot spot of the market every year, the Han King's number one project is also changing annually. This is actually luck mentality "how much can you do this year?" "We can do 200 million." "This is the first time that Singshen, the managing director of a famous foreign VC, has seen the dialogue at the top of Han Wang's science and technology. At this point, Amazon's Kindle reader is selling worldwide. Chiang excitedly found the earliest Chinese electronic reader to discuss cooperation opportunities.　　But it turned out to be a disappointment to Chiang. "Do 200 million?" Why not consider a different business model, maybe you can do 2 billion. You've done 200 million in the last 10 years, but it turns out your business model doesn't work, you do technical authorization, because no one pays you for piracy. Now that there is such a thing, and a successful case of the United States, China's demand is also very obvious, then why don't you make it bigger?　　"The negotiations have been aborted. As the "benchmark" of Beijing Zhongguancun "technology industry and trade" type Enterprise, Han Wang's "handwriting Transmission" and intelligent recognition technology, in the domestic handwritten Chinese character input market market share once more than 80%. All but Motorola's handset manufacturers almost all have become the Han Wang handwriting recognition technology authorized customer.　　The revenue from Hanwang's mobile licensing business is growing at a rate of more than 100% a year. However, Han Wang does not seem to have really grown up, according to its 2008 prospectus showed that the company 2005, 2006 and 2007 respectively to achieve operating income of 180 million yuan, 200 million yuan and 230 million yuan, to achieve net profit of 12.73 million yuan, 18.41 million yuan and 27.23 million yuan,　　If excluding company every year to enjoy the national software industry value-added tax rebate policy to obtain tens of thousands of tax rebate, you really hard to think of Han Wang as a growth of a good high-tech companies. Why didn't Han King, with its core technology, grow up to be a big money company? "Weather, geography, people and, indispensable."　　"The 56-Year-old founder, Liu, replied concisely and more, but did not want to talk about it." Now, he will focus on the electronic reader, looking forward to this little thing can change the small structure of the company's future.　　After all, Hanwang technology has been standing on the threshold of Shenzhen's SME, it needs to plan to raise 250 million yuan to find a best export.　　So, can the technology-born Han King do the big deal? "Technology industry and trade" ceiling if the Han King's employees use a word to evaluate their boss Liu, "scientists" will certainly be the most answers. Indeed, from the outside, the middle-aged man, with his glasses and grey hair, was gentle and popular.The image of the businessman is not consistent. Do not doubt the company's technical strength, it has won the "National Science and Technology Progress First Prize", "National Science and Technology Progress Second Prize" and "information industry, the major technological inventions Award" and many other domestic and foreign awards.　　So far, the king of the annual revenue of 10% into the research and development. In 1993, Liu, director of the text Recognition Center at the time of automation, responded to the call of the Chinese Academy of Sciences to "turn scientific research into products".　　Until 1998, the establishment of Hanwang technology, Liu has been adhering to the "technology for market", the profit model is also very simple, is the technical authorization. Help Liu find this way out is the "celebrity" company boss Shand hair. Liu still remembers the situation at that time. In 1992, the Academy attended a software exhibition in Hong Kong, the first time Liu to Hong Kong. But his handwriting-recognition technology has not aroused much interest. Only a young man with eyes turned for a day in his booth. Finally said: "This evening five o'clock at the end of the exhibition, you are waiting for me at the gate, I sent a car to meet you at the door, you remember, that car is a Rolls-Royce." "Shand wants to integrate handwriting recognition technology into the PDA, and Liu's patent is consistent with his requirements, the two people repeatedly discuss how to embed handwriting technology on the PDA," until four o'clock.　　After all the possibilities are considered, the two sides sign up for a 100,000 dollar amount. With this opportunity, Liu found the application of handwriting recognition technology breakthrough, and in the ensuing competition, successively will Motorola's "Hui Pen", Taiwan's "Mengtian" and even Microsoft's Windows defeated.　　This benefit has brought the most stable cash flow to Han King. However, Liu soon found the licensing model difficult. "Technical licensing Unlike other products, customers do not consider the brand, he only considers quality, price and your service." The same recognition technology, initially in a PDA on the king can receive 15 U.S. dollars in licensing fees, to the mobile era, the price of 1 dollars per department, although the market is big, but Han Wang has always been in the "periphery" of the industry, difficult to enter the "core."　　1998, Hanwang Technology set up a wholly-owned subsidiary of Han Wang Manufacturing, for the company to produce handwritten products and OCR products and other hardware products. The same is the Chinese Academy of Sciences, Liu used the "trade technology" ideas let Lenovo grow into a annual revenue of tens of billions of dollars of enterprises, Liu annoyed is the 2000 and Henderson Albert's business through the mobile phone cooperation, if he did not Wan refused to Zhang Zhengyu cooperation investment business, Han Wang may be able to earn several times more money. "I did not participate more deeply in it and missed a chance of a market explosion," he said.　　Inside the company, Liu more than once to review itself.　　Not a war? At the end of 2000, Liu in the German CeBIT electronic exhibition, and found a new opportunity: smart phone. To put it simply, it allows users to make calls, send text messages, check weather forecasts, read news, etc. on a landline. China Telecom has provided2 million yuan of start-up funds to support the Han Wang to do technology development.　　And Han Wang smashed into hundreds of billions of dollars and 6 years of time. Han Wang has spent nearly 100 million yuan to build a smart telephone production line alone. From the development of handwriting recognition software to build telephone factories, open molds, processing software, and then to market promotion, the determination is not insignificant. The product is very successful, Han Wang also almost monopolized the market. But until today consumers have not developed the habit of using fixed-line to write text messages, but in the upstream: the operation of fixed-line China Telecom and the operation of SMS network has not been able to achieve cooperation under the mediation of the Chinese king.　　The wrong judgment almost made the Han king into a hopeless situation. Wang Banjiang, vice president of Hanwang Technology, is the head of the paper project, and he also made a "smart phone" project. He thought, "the project finally unsuccessful, you can find a number of reasons, such as the operator's ability to integrate low, internal procrastination, mutual constraints, partners wait and see?" But the most important thing is that you need to be aware of yourself and whether you can master the initiative. "For this opportunity", it is rumored that the "tuition" of Han Wang is as high as 200 million yuan.　　In the 2006, Hanwang finally decided to end the smart phone, fingerprint attendance machine, urban road intelligence monitoring and other non-core business, the sale of related assets and liabilities to another company in the soft times, the price is only 460,000 yuan. This is not the only breakthrough in the history of Han Wang.　　At the end of 2006, in the Han Wang mansion in Zhongguancun Science Park, Liu, a handheld tablet computer, was excited to show a powerful handwriting function for reporters. At this point, "Microsoft Godfather" Gates is the world's advocate of tablets (in the Han Wang, tablet computer is called handwriting computer), that this is the future "human-computer interaction" trend, and Han Wang's accession is also reasonable, just can be in the field of handwriting recognition and intelligent interaction. Liu also announced a high-profile announcement will be received from the Beijing bank's 200 million yuan loan credit to all into the handwriting computer.　　Soon, Han Wang's handwriting computer entered the top three in the country, but this is a market that has not grown up, consumers are not buying the expensive tablets, they accept a simple, but inexpensive netbook. Since then, for new project decisions, Liu set Five principles: the first is to see whether the long-term investment, product life cycle, the second is to see the relevance of the existing technology accumulation, whether it is in line with the main business; the third is to consider if you can do the top two;　　Or whether the focus is on expertise. The chance of a comeback as the entire Zhongguancun technology strength of one of the strongest enterprises, Hanwang technology is still not lack of capital of all ages. 2005, the Han Wang technology restructured into a joint-stock company. The famous venture capital company of China has invested 30 million RMB and gained 25% equity.　　and chairman Liu and his wife Xuhanqing total 48% of the company's stake. The entrance of the VCs means that the king must accelerate his growth. Listed as chairman Liu personally charge workFor。　　But after three years, can not find the breakthrough of the Han King but only to maintain the normal growth of about 10% per year, the profit also performance flat. At the end of 2007, E-commerce giant Amazon and consumer electronics giant Sony has launched an E-reader.　　This made Han King see the dawn again. At the initial internal meeting, the proposal was opposed by 70% of the entire company. "After all the setbacks, we will be more cautious and try to make every step clearer." But the Kindle's global sales have given us a lot of confidence, but it's not too late. At home we still have the first advantage.　　"The 36-year-old Wang Banjiang said. August 2008, the first generation of Han Wang science and Technology "electric paper book" N510, N516 officially published. In the domestic E-book reader Portal "All the way scholarly", there is a player who evaluates the difference between a Kindle and a Hanwang product: "The Kindle emphasizes the feeling of full copying, so the design of the interface is exactly the same as that of a small 32-open book, both in format, in line and in Font, You can turn the page like a book, and you can even look at the corners of the pages you read. The Han Wang Technology's ' paper book ' is the full copy of the format of the Web page, reading the feeling is that you read a novel on a screen, but this screen from the LCD screen into the electronic ink technology screen. "Han Wang also has regrets, the first revamping paper book does not cover any of the core technology of Han Wang technology, even handwriting function is not." Han Wang finished just one assembly work. Liu this as a time reason, "has been late 10 months, can not be late, must first occupy a position, carry the banner of the domestic electronic reader, and then in the next generation of products to add handwriting, wireless internet access." "But strong market demand has accepted this immature product to a considerable extent." Under the frenzied advertising bombing (the total budget is as high as 100 million yuan), Han Wang quickly became the first brand in the domestic market. The first 5 months of this year, Han Wang's sales of paper books has exceeded 200 million yuan, sales reached a hundred thousand of, of which domestic sales accounted for 90%.　　Now the monthly sales are stabilized at around 30,000 units, and the target for the year will be 500,000 units.　　Everything？ With a Kindle from abroad and a "paper book" of Han Wang in the hand, Mr. Chiang, a veteran investor, was dissatisfied with the Chinese. "I have orders on Amazon to wait for the Kindle to deliver." But I called Han Wang's customer service staff, they actually let me go to Xujiahui computer city to find their own! "It's not just the Han King's channel management that makes Mr. Chiang shake his head," The Kindle is automatically updated with Wi-Fi and downloads the latest electronic magazines, newspapers and bestsellers. And Han Wang only preset in the machine inside some classic classics.　　Again want to update, must also connect the computer, manual operation, conversion format, very cumbersome. "With Sony's understanding of the consumer electronics industry, its products are ebook to rival the Kindle, and Han Wang's short plate is more pronounced." Channel and copyright twoAn insurmountable hurdle.　　"Chenghong, a senior industry analyst, said. To this end, the Han Wang himself launched an electronic bookstore, today has nearly 10,000 books on the shelves. At present, with the Han Wang cooperation is the Chinese online and its network novel web site 17K. The mode of cooperation is to direct the electronic version of the entity book or the net novel to the Han Wang platform, and Han Wang buys the copyright of these books at once. Chinese online resources have reached more than 6,000 copies a one-time.　　Han Wang has spent more than 10 million yuan on book copyright. It is clear that if the operation continues in this way, Han King will face enormous financial pressure. Wang Banjiang offers publishers two choices. "The first is that the whole book is on our platform to sell, the entity book sells 10 Yuan, the E-book sells much cheaper, even only sells to 1 yuan, another kind is the Han Wang Bookstore and the electronic terminal whole regards as a media, by this way to do the promotion, puts the partial free section, to the entity book sales will have the promotion function. "But we are very clear that if our own quantity does not reach a certain level, such negotiations are difficult to break through, so our focus is still on product sales, as long as the user group is big, regardless of which business model will show value." Either we or the publishers are going to be in the trend. What's the big trend? We have to create this potential together.　　"Wang Banjiang said.　　The challenge before the Han King is still grim, people do not doubt the technical ability of Han Wang technology, but its grasp of the entire industry chain still makes people worried, after all, before the king of the Kings of the field is mostly small areas, from a technology company to become brand company is not simple. If Han Wang really want to be a brand like Lenovo, manufacturing outsourcing is obviously the trend, "Han Wang's hardware equipment are produced by the Han King, its earnings show 2007-year profit of only 770,000 yuan, rollout Han Wang really do a transformation of the brand company ready?"　　Chenghong expressed doubt. Another senior analyst in the industry has laughed off the bet for Han Wang.　　In 2008, the disclosure of the report of the Han Wang, the expected collection of funds nearly 250 million yuan, plans to invest in 5 projects, of which the paper Book Project estimated investment of about 63.17 million yuan, and as of July 2009, the total number of employees of the paper Book Division is only 88 people, accounting for only about 1/7 of the total "Han Wang's devotion is not small, but it is hard to see how big a determination it is." In the king's basket filled with eggs, the paper book is at most a swan egg. It is good to hatch a swan, if it is a bad guy, lean on other eggs, and then wait for the next Swan Egg. The hot spot of the market every year, the Han King's number one project is also changing annually. This is actually luck mentality.　　The person said in half jokingly. "The Han kings of the past ten years seem to be concentrating, but not necessarily." Handwriting computer, drawing board, electric paper book, is the related product? It does have a connection, it's all used to identify technology, but this association is only a link between the research and development of Hanwang, which is in the consumer market, and the target users of these products may be completely different., handwriting computer and drawing board overlap is not very high, your channel is every time to rebuild?　　The person said with a sharp comment. If Amazon's threat is still a bit distant, brand companies with more marketing capabilities and shanzhai firms are already sharpening.　　Founder, Huawei These local big brothers are ready to send, even Shenzhen's Cottage factory has been ready to, 1500 yuan of the Shanzhai version of the book has been placed on the North Huaqiang counter. If Han Wang is a technology company, will its technology be indispensable in the paper books? If Han Wang is a brand company, 100 million yuan smashed out of the "electric paper book" Brand has an unshakable position?