Chapter 625 Comprehensive Cooperation Continued
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The negotiation went very smoothly. In other words, Mr. Thomas, the representative of Philips, was completely confused by the "powerful" strength of Fengyu Company and made a lot of concessions.
In terms of brand, Philips is indeed stronger. In the professional field, Philips is also stronger than Fengyu Company, stronger than Fengyu Electronics and Fengyu Electric combined.
But Feng Yu made it very clear that by cooperating with Fengyu Company, we can jointly develop so many products that change the world, whether it is the current VCD, super VCD, or future DVD and computer drives, or even sweeping robots, light wave microwave ovens, etc. All kinds of products can bring huge profits to Philips.
It was these profits that made Thomas and Philips agree to Feng Yu's conditions. Comprehensive cooperation, jointly formulate industry standards, promote the popularization of VCD and DVD, and promote the popularization of other new home appliances.
Fengyu Electronics and Fengyu Electric disclosed these technologies to Philips for free, and Philips also released their optical disc technology, TV technology, liquid crystal display technology, and optical communication technology to Fengyu Electronics and Fengyu Electric for free. The two sides do technology exchange.
Which company originally held the patent will continue to be held by that company, but the other party can use it for free. And the new patents of related technologies will also continue to be held by the company.
Feng Yu's exchange of VCD's patented technology to Philips was also deliberate. Feng Yu has been thinking why the development of VCD in this life is not as fast as in the previous life. There is only one reason, that is, there are only two brands of Fengyu VCD and Aihua VCD in the market, and they are all his.
Whether it is sales channels or publicity channels, it is far from being able to compare with so many companies in the previous life to jointly develop the market. In the previous life, most companies in the island country jointly owned the patented technology of VCD. They were the first to discover that Wan Yan had not registered a patent. And the first to register the patent.
As a result, all Huaxia VCD brands have to pay patent fees to them. And they also rely on the money to continue to develop better technologies to lead the industry.
The patent in this life is in Feng Yu's hands. Island companies simply cannot get their hands on it. And the development speed of VCD is far from as fast as in the previous life. However, the history is still the same as in the previous life. All interested companies have set their sights on DVD and want to replace it.
DVD can indeed replace VCD. Both in terms of technology and user experience, it is far superior to VCD, but it is a pity that although they have accelerated the speed, the latest technology of DVD was first researched by Fengyu Electronics.
But Feng Yu also knows,
If Sony and other companies are ruthless and increase their investment in research, with the strength of Fengyu Electronics and AIWA, they will definitely not be able to maintain their leadership.
Just like the game industry. Nintendo got rid of Sony, but after Sony became ruthless, it took two years to develop the PS game console, and finally took away most of the profits in the market!
Although AIWA has suppressed Sony in the field of Walkmans, it is because Sony's current focus is on the film company, which is their largest investment in the 1990s, and it is still an overseas investment, which cannot be missed.
Once studios start making money, they can spare their time and energy. Continue to suppress AIWA. However, Feng Yu is not particularly worried about this point. After Columbia Pictures starts to make a profit, the Walkman should also withdraw from the stage of history. If Sony wanted to grab it at that time. Just leave it to him.
But now, Sony has joined forces with Dongzhi to formulate DVD industry standards. They found that this DVD is better than VCD and will eventually replace traditional cassette recorders. And this is what their film company needs. With this, their film rights, they can be burned into discs and sold again.
Columbia has a large number of film copyrights. If it can launch very useful CDs and CD recorders, it will also become a new profit growth point for Columbia Pictures and save the film company in disguise.
So Sony's investment in DVD will definitely be very large. Feng Yu knows that if he really has to die, he will not be unable to bear it. He can continue to invest in AIWA and Fengyu Electronics, but it is very uneconomical.
After cooperating with Philips, there are many benefits. Especially in this agreement, there is another point, which allows the other party to manufacture a batch of products.
AIWA only has a factory in London in Europe, and it mainly produces Walkmans. That factory will radiate the entire Western European market, and it cannot produce VCDs at all. AIWA brand VCDs and Aihua brand VCDs are all produced in Huaxia factories, including wind and rain. The same is true for VCDs. When they are sold in Europe and America, the price will be higher.
The manufacturers of VCRs have lowered the price of VCRs, so they have come to fight against VCDs. In particular, those manufacturers have united to make the promotion of VCD in Europe and America very affected.
Feng Yu had to admit that the influence of those big companies was too great, making the overseas promotion of VCD difficult. Although the profit is not bad, it is still far from the feeling of sweeping the world that Feng Yu imagined.
How prosperous the VCD market was in the previous life. The annual output value of the industry was astronomical. Now this industry is monopolized by Feng Yu, and the output value has been unable to increase. How can Feng Yu not be in a hurry.
But it's better now, with Philip's joining, Philip's home appliance sales channels in Europe and America will definitely make the VCD industry improve faster. And Thomas has the same idea as Feng Yu, that is to directly launch super VCD instead of old-fashioned VCD, which can further widen the gap between VCD and traditional video recorders, and it will be easier to crush them!
Moreover, Feng Yu only licensed it to Philips. With the new technology, can the VCD technology be licensed to more companies? Everyone cooperates to develop this market, but the largest share is still Fengyu Electronics.
But the benefits of industry standards are in the future, and the benefits of producing super VCDs will be effective immediately. On behalf of Philips, Thomas also accepted Feng Yu's OEM request, so that the wind and rain VCD, Aihua VCD and AIWA brand can be effectively reduced. The cost of VCD reduces the time for launching new products and better caters to the market.
Feng Yu mainly promotes Fengyu VCD and Aihua VCD in China, and mainly promotes Fengyu VCD and AIWA VCD abroad. Aihua is only for the Southeast Asian market, or only for the Chinese market.
Of course, Philips will not suffer, not to mention the current super VCD technology, the future profits of DVD and other electrical appliances can bring great changes to Philips.
With more profits, they can even increase research and development in medical supplies, allowing Philips to overshadow Siemens!
When I learned that Feng Yu also had an Aihua brand pager, Philip felt that in the field of communication, we can also cooperate deeply, such as joint development of mobile phones. Mobile phones will replace pagers in the future. This is a fact that everyone recognizes .
It’s just that Philip thinks that this time will take more than ten years, but Feng Yu believes that within three years, pagers will become a sunset industry, and then decline rapidly. Within five years, mobile phones will replace pagers and become the overlord of the mobile communication market!
Feng Yu's argument made Thomas feel a little radical. For this reason, he made a bet with Feng Yu. If it really took three years, the pager would start to decline. In five years, he would be able to see that the mobile phone replaced the pager. trend, then I am willing to agree to Feng Yu on one condition!
After the signing of the agreement, Thomas quickly returned to the Netherlands. Now the time is very tight, and the competition for the DVD label will start soon!
【Thank you for your support all the time. I hope you can support me in the Hall of Glory of Writers and the General Election of Works in the Qi-Dian 515 Fan Festival this time. In addition, there are some red envelopes for the Fan Festival, so get one and keep subscribing! 】(To be continued.)
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