Changhong's "Material + Alliance" service transformation further and achieve strategic cooperation with Haisi

On August 22, Changhong and Huawei's wholly-owned subsidiary, Shenzhen Haisi Semiconductor Co., Ltd. (referred to as Haisi), signed a strategic cooperation agreement in Mianyang, China Science and Technology City. This collaboration focuses on practical cooperation in the field of "Internet of Things" technology and products at the application level. According to the agreement, Changhong and Haisi will concentrate on narrow-band cellular Internet of Things and wireless communication products (such as NB-IoT, IoT, and Wi-Fi modules), multimedia products (TVs and peripherals), and digital TV and broadband access terminal products (including DVB digital TV set-top boxes, IPTV/OTT set-top boxes, PON series products, IoT terminal products, etc.). They aim to build long-term strategic partnerships. At the signing ceremony, Yang Dan, Chief Technology Officer (CTO) of Changhong, mentioned that Haisi leads the industry in various home appliance control main chips and IoT chip technologies and applications. By forming a strategic partnership, Changhong and Haisi will share resources, technologies, and talent in the "IoT" sector to boost the development of the IoT industry. Building a "chip-module-terminal product" industrial chain The "Internet of Things" connects sensors, controllers, machines, people, and objects in a novel way using local networks or the internet and other communication technologies. This creates connections between people and things and among things themselves, enabling information exchange, remote management, and intelligent networking. Authoritative forecasts predict that by 2020, the IoT will achieve tens of billions of connections and trillions of dollars in industry revenue. By 2018, the number of IoT devices will surpass the combined total of PCs, tablets, and smartphones, indicating strong growth potential for the IoT industry. In 2016, Changhong launched the first open IoT operational support platform (UP platform) in Mianyang, transitioning from operating products to operating users. Through the platform's big data, it can more accurately identify user needs, completing the cross-era transformation of the "Internet-based Internet of Things." Leveraging big data analysis, Changhong can proactively sense user needs through intelligent terminals, incubating emerging service projects like housekeeping, fresh food delivery, and property management. According to Li Jin, General Manager of Changhong Holdings, this substantial strategic cooperation with Haisi in IoT technology and product applications will drive Changhong's transformation from a traditional home appliance manufacturer to an IoT-era business model, enhancing the vitality of enterprise innovation and development. In the future, the two companies will deepen their collaboration with IC design companies and terminal and module product design companies. In the long term, Haisi's technological intervention will enhance Changhong's product performance, accelerate market response, and ensure supply arrangements. Both parties plan to establish a "chip-module-terminal product" industrial chain based on industry applications and the integration of their respective resources and technologies. This will include customized chip development and terminal promotion collaborations to strengthen their leadership in their respective fields. Haisi President Qiu Gang believes that joint development of IoT chip applications, technical and market channel cooperation, and industry exchanges will not only promote IoT industry development but also solidify their competitive positions in their respective domains. Previously, Changhong, Huawei, and Haisi had numerous cooperative foundations. As early as 2008, they collaborated in digital TV and broadband access terminals. In 2011, they jointly developed the Haisi Android module as a hardware platform and built the smart TV series system platform. Additionally, in 2016, Changhong signed a strategic cooperation agreement with Huawei Technologies Co., Ltd. in the smart city field. Their ongoing collaboration includes smart city roof design, industry solutions, and key technologies. Early this year, Changhong and Haisi jointly launched the world's first smart TV equipped with the A73 chip in the U.S., addressing the issues of slow response speed and poor color quality in smart TVs. Cultivating Professional Talents and Promoting IoT Industry Development In recent years, alongside the rapid rise of big data, cloud computing, and artificial intelligence technologies, home appliance companies like Changhong are moving towards intelligent transformation, exploring paths forward with independent technologies. As Yang Dan stated, in 2013, Changhong established a new three-dimensional intelligent strategy of "intelligence, networking, and collaboration." Based on core technologies, Changhong introduced the CHiQ series of home appliances, smart home service models within smart communities, and smart home application solutions. They also built big data, cloud computing centers, and specialized teams to lay the groundwork for emerging IoT services. Changhong understands that supporting large-scale personalized customization in the future market requires collaboration. Thus, Changhong's strategy involves gathering corporate leaders, actively seeking partnerships with outstanding companies like Haisi, establishing a sharing system, and vigorously cultivating professional talents. It is understood that Changhong and Haisi will jointly establish a laboratory focusing on IoT technology and product applications. Besides offering technical support, Haisi will collaborate with Changhong to cultivate IoT professionals, promoting the overall development of the IoT industry. This strategic cooperation between Changhong and Haisi is optimistic. Industrial economic observer Hong Shibin noted that Haisi holds a leading position in IC design and verification technology. Changhong's IoT chip application and new industry cultivation capabilities will significantly improve, strengthening its industry position in IoT technology and product applications. He also mentioned that Changhong and Haisi have extensive cooperation space in IoT and beyond. As IoT projects develop further, the strategic cooperation effects will expand, driving related industries such as home appliances and IoT modules. To reach 500 characters, additional content could include more details about specific IoT products or future plans for the collaboration.

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