"TV Eco Inside Project" Alibaba Digital Entertainment Smart TV Industry Chain

Traditional television is now experiencing an intelligent iteration cycle. Ereli's analysis shows that the penetration rate of smart TV in China may exceed 85% in 2016, and smart TV will be further popularized in the next 3-5 years. At the same time, when consumers choose smart TVs, they focus on the brand of content services in addition to the hardware brands.

In fact, you may not know that the "smartness" of smart TV in your home is not the one handed by TV manufacturers, but is empowered by partners in the industry chain.

On October 12th, the smart TV field received a great news: The Future Smart TV Cooperation Alliance initiated by Alibaba Group's Digital Entertainment Division (Alibaba Digital Entertainment) was established. In order to realize the future strategy of the Smart TV Cooperation Alliance, Alibaba Digital Entertainment has launched the "TV Eco Inside Project." The plan hopes to achieve the following goal: "Let the world do not have a difficult to do smart TV."




Let the world have no hard-to-do smart TV

Haier, Konka, Changhong, Hisense, Skyworth, Sharp, Philips, Little Whale, etc., these familiar television brands, are currently joining the Ali TV entertainment "TV Eco Inside Project." Several new smart TV products jointly developed by Alibaba Entertainment and Haier, Konka, Changhong, Sharp, Philips, and Microwhales will also be listed on Tmall's Double Eleven Carnival this year. In addition to cooperation with TV manufacturers, Alibaba Digital Entertainment has established long-term and stable cooperation with world-renowned main chip providers such as mst, aml, haisi, board partners, CVTE, audio and video, and Bluetooth software technology partners. They are the technical forces that Ali can not ignore in its strategy for the future Smart TV Alliance.

So, how to interpret the slogan "Let the world do not have a hard time to do smart TV?"

According to Jia Wei, general manager of TV Alliance of Alibaba Group's Digital Entertainment Division, the traditional TV-based TV industry chain has undergone a qualitative change and evolved into today's hardware + software + interaction + content + applications. The main smart TV eco-industry chain is not only becoming longer but also becoming more three-dimensional. Under such a general trend, no one company can complete the entire industry chain independently, and it is inevitable that different companies will use their own advantages to complete the work together.

“Alibaba Digital Entertainment hopes to play a role in helping the smart TV industry re-create its core competencies. In terms of user value, from a single passive video-based upgrade to games, payments, social networking and other multi-scenario content promotion and interaction, to meet multiple levels of users Demand for value; content and content to meet and match personalized home users with massive, multi-dimensional content; from big data, relying on Ali data resources and deep learning cloud computing capabilities, empower partners to make big data more accurate Serve people." Jia Wei said.

Also noticed a set of data: At this year's Alibaba TV Developer Conference, Fan Heling, Alibaba TV game and application store manager, introduced that currently there are more than 14 million users each month using Alibaba Digital Entertainment Application Center, with an average person starting 1.87 applications. According to statistics, in July 2016, the monthly distribution volume of the Application Center officially exceeded 40 million, and the total distribution volume from January to July reached 197 million, which exceeded the total number of distributions for the entire year of 2015. In addition, as of the end of June 2016, Alibaba's OTT terminal and CIBN Universal Film and Television (Youku and CIBN jointly created) had more than 25 million active daily users.

This means that the number of smart TVs that are enabled by Alibaba’s entertainment has become very high. This also confirms that Alibaba Entertainment has helped the smart TV industry to re-create its core competitiveness from the above three aspects and played a good hand.




Three levels to upgrade smart TV industry chain

Jia Wei said that in the future, Alibaba Entertainment will focus on three aspects of content, smart upgrade, and integrated marketing, give full play to Ali's expertise and advantages, and play a greater role in the continuous improvement and upgrading of the smart TV industry chain.

1, content. Through close cooperation with Wada, CIBN, and Youku and other high-quality content providers, we will continue to expand the layout of the content around the core of film and television giants, and provide multi-dimensional subdivision of content while providing mass content. Children, information, VR, self-made dramas and variety shows, and so on, to meet the user's increasingly personalized and diverse content needs.

2, smart upgrades. Relying on the unique advantages of Alibaba's big data and cloud computing, the leading software and hardware technology partner has continuously invested in the functions of hardware and software, such as “Viewing Edge X”, “Thousand People”, “Voice Intelligent System”, etc. The purpose of innovation and landing is to allow users to enjoy the personalized big-screen entertainment services we provide more quickly and easily, so that every user feels that this is the TV that best understands him.

3, integration services. For Alibaba family entertainment content eco partners, Alibaba entertainment will more closely integrate channel marketing advantages such as Tmall, Taobao, rural Taobao and other e-commerce platforms, as well as media matrixes such as UC, Ali Pictures, and Taobao ticketing. Spread the advantages, integrate more effectively, and help partners realize the maximization of brand value, market space and the value of cooperative business.

Talking about integrated marketing, Jia Wei specifically mentioned that Ali Digital Entertainment’s “content free” event is about to be launched in partnership with Tmall Electric City. That is, during the double 11′s period, content in the Tmall Electric City will be used to purchase Alibaba Digital’s entertainment intelligence for free. You can take one year of Youku Big Screen Members for free on TV. In today's mainstream of smart TV, content and hardware are inextricably linked. This new sales model will change the bad user experience of “buy TV and then buy video members” and promote “TV hardware + video content” as a new ecology in the TV industry. .

This model is a double upgrade for users in terms of purchase and use experience. For Alibaba Digital Entertainment's TV hardware partners, it is able to leverage the rich channel resources provided by Alibaba Digital entertainment and Tmall platform, but also through Alibaba.com The spread of the media matrix will make the products more market competitive.




Building the "First Ecology of Family Entertainment Content in Chinese Mandarin Chinese Region"

On the same day, the vision of Alibaba's family entertainment strategy was also put forward - to construct "the first ecology of family entertainment content in the Chinese-Chinese area."

There is no doubt that this is another strategic upgrade aimed at the living room economy after Alibaba’s entertainment digital smart TV industry.

According to Yang Weidong, president of Harmony Group (Youku Tudou) and CEO of Alibaba Music, the core of the living room economy is content consumption, and the core of the content is video. In the past 3 years, Youku and Ali Digital have explored each other in the home entertainment field and achieved certain results respectively. Achievements. "After the establishment of the Alibaba Group, we will continue to increase our investment in the living room, using big data to build a multi-screen interactive and entertaining ecosystem. This entertainment ecosystem is centered on Youku, and it will achieve multi-terminal, cross-border and Open up and down."

Up to now, Alibaba has more than 20 million active users on home entertainment days, with an average daily video playback of 240 million users and an average daily online time of nearly 3.9 hours. Through the use of behavior tracking by users, combined with big data analysis, Alibaba achieved a recommendation for refined services and personalized content for large-screen users. At the same time, it also built a closed-loop marketing campaign based on Ali.




















The construction of a large-screen ecology cannot be separated from the participation and support of partners. In the family entertainment strategy, Alibaba's role is to leverage its own strengths in Internet technology, big data, and cloud computing, and to work interactively and content through close cooperation with HUAQI and CIBN on content. In order to empower the whole big screen ecosystem, it will eventually bring together all partners to bring more innovative, personalized and richer big screen entertainment experiences to millions of families around the world.

Xiao Bian believes that with the gradual introduction of Internet TV policies, the industry is becoming increasingly standard, the trend of brand concentration is becoming increasingly evident, indicating that the OTT industry will bid farewell to the unprecedented rapid development of the original brand. At the same time, with the concentration of brands and the whitewash of aggregated software, the commercial value of platform users has become increasingly prominent. The improvement of hardware quality and user experience will further increase user stickiness and create greater possibilities for user payment. Under this background, the construction of "the first ecology of family entertainment content in the Chinese-speaking Chinese-speaking region" is achievable.


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