The music network, which has doubled its share price this year, is looking for a different path to development.

Absrtact: Unlike the Youku potatoes, this year's share price growth doubled the music network is looking for a different path of development. Not long ago, le saw a 60-inch and 39-inch two smart TV set at a price below the market's average price, intended to strengthen the layout of the mobile industry,

Unlike Youku potatoes, the music network, which has doubled its share price this year, is looking for a different path to development. Not long ago, le view at the price below the market average of 60-inch and 39-inch two smart TV, intended to strengthen the layout of the mobile industry, to create a "cloud + multi-screen terminal" film Vertical industry chain.

Le Vision Network Chairman Jia Yue Pavilion to "the first financial daily" said, and Youku potato horizontal development is different, le Vision is a longitudinal industrial chain layout ideas.

In this vertical industrial chain layout, including film and television investment, video network, wine dealers, mobile terminals, communications equipment. In addition to the Singapore-listed communications equipment company Xbell, as well as 2010 in the A-share listing of the music network, other industrial chain links involved in the company are owned by Jia Yue Pavilion individuals.

In the layout of the Jia Yue Pavilion, Smart TV brings him the hope that he sees smart TV as another "big screen" for film and television distribution.

Different ways of Music vision

August 2010, Lok Vision Network in the Shenzhen stock market gem listed, become a a-share of the first network video concept company, opening up to 49.44 yuan, more than 29.2 of the issue price of nearly 70%. In the early days, the market of Le Video network was questioned by insiders. Why is a video site ranked tenth in a domestic market share listed?

As the questioning continues to intensify, the company's share price began to shrink after a year of listing and fell to 13.91 yuan per share in December 2012. But then, the shares began to climb.

Jia Yue Pavilion that, with the video industry, the large amount of burning money and the merger after the wealth, the music network share price rose warmer, is the investor to the music of the model gradually understand, see the result.

In the market before the listing only two rounds of financing, the total financing of only about more than 52 million yuan. Could not compare with the total financing limit of nearly 180 million dollars before Youku's listing and the total amount of money before the potato listing about $50 million trillion. This makes the network does not burn money and the size of the qualification.

Jia Yue Pavilion to choose the development path is the first to make money the site, with a profit, through the listing of the recognition of the capital market, and then slowly layout.

In the sight of UGC can achieve short-term profits, the first video network through the copyright distribution, as well as paid membership strategy, before the listing to achieve the first profit of the domestic web site. But with the domestic video industry, copyright prices have repeatedly climbed, le video network copyright distribution strategy is unsustainable. Le Vision Network has to consider the promotion of advertising revenue structure adjustment mode. Jia Yue Pavilion to the advertising to promote the hope of the promotion in the "multiple screen."

Jia Yue Pavilion believes that the "multi-screen" strategy is consistent with the existing resources of music. What are the requirements for "multiple screens"? One is the copyrighted video content Library, the second is the resources and technology of the Communication Service, and the third is the multi-screen terminal. These three conditions, the first two music vision are available.

According to the offer book, Jia Yue Pavilion Personal control of the company up to 17. Apart from the music network, including the Singapore-listed communications equipment company Xbell, by the Jia Yue Pavilion Holdings, as well as the Jia Yue Pavilion shareholding 96% of the entertainment, and entertainment, including Music Entertainment Investment Co., Ltd. and music video Perfect film Investment Co., Ltd., mainly engaged in film and television drama investment, production and distribution.

Jia Yue Pavilion, said that the entire ecosystem from the platform, content, to the terminal and applications, the platform includes two parts, one is the cloud video open platform, the second is its own electric business platform. The business model includes: Terminal hardware sales, copyright distribution, content advertising and value-added services, as well as in the Ecological software application download.

"Multi-screen" dream

Upstream control content, downstream layout terminal. The terminal strategy includes two parts: one is the "box" strategy for the intelligent TV users, and the other is the large screen intelligent TV which is launched after the young users enter the new family.

The promotion strategies of the two strategies are also different. As "box" more is a temporary product at the present stage, therefore, music only for the users have smart TV "high-end" positioning, not excessive pursuit of sales, but care is the product premium, and the Millet box to form a differentiated competition.

and Smart TV, because it is the future of the end of the market, Lok hope to use a lower price, to obtain a larger market size. In the recently released two smart TV, 60-inch price of 6999 yuan, 39-inch price of 1999 yuan. And the current market 60-inch mainstream price for more than million, even in the face of the previous price of the lowest 60-inch sharp, Lok View the price is also low 1000~2000 yuan.

With low gross margin of the terminal to change the size of the market, which is based on the content of music sales revenue. Regarding the video content advertisement revenue which produces by the music vision Intelligent Television, also has the considerable proportion accountant to the listed company Music Vision Network under.

According to the Austrian data, 60-inch TV market share accounted for 1.5% to 2%, should be around 600,000 to 800,000 units, while in 2013 60 inches and above the large screen size of the ratio will be 4% to 5%.

Le Vision is integrated research and development, chip by Qualcomm Research and development, the screen is provided by Sharp, Foxconn to take charge of the entire production.

As for the cost of intelligent television, Zhang, a new vice-president, said that the production and manufacturing of music and video integration is the manufacturing of Foxconn, does not require the maintenance of hardware equipment, there is no depreciation of hardware equipment. In addition, the after-sales service is mainly completed by Foxconn. And in the channel, according to their own electric platform, as well as video content such as music network to build a three-dimensional retail channel model, directly face-to-face with consumers, no 20% of the deduction point. And the adoption of "pre-sale" mode, but also for the music to reduce pressure on the liquidity.