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Netease Interview Vice President of IGRS: It’s predicted that IGRS will become international standard

2008-07-10

Netease reported on July 10, Netease interviewed YANG Nan, vice president of IGRS today in Qingdao Electronics Show. The following is interview notes.

Host: Hello, everyone! This is Netease is delivering live broadcast in Qingdao Electronics Show for you. Today we invited president YANG of IGRS. Mr. YANG is an expert in IGRS. So he can explain the topic questions for netizens. How do you do, Mr. YANG! Please say hello to netizens!

Guest: Hello, netizens of Netease!


Guest: It is the 7th Consumption Electronic Show. There are one hundred and fifteen members of IGRS alliance. This time there are twenty four enterprises to enter the show. Maybe there are products of fifteen types, mainly including IGRS set-top box, TV, computer and cell phone, etc. 

Host: What’s the scale of IGRS?

Guest: We shall talk about the scale from several latitudes. The first is member enterprise. Just now I mention the number reached one hundred and fifteen. Market occupancy rate or market share of these enterprises accounts for 84.3% of TV, 44.3% of cell phone and 41% of computer, and 50% of major home appliances. Speaking of IGRS alliance developing speed, quality is paid much attention, not the number of member is focused on only. Therefore, from angle of market share, an important platform based on IGRS standard is formed.  

Host: How is IGRS PC industry convergence going?

Guest: In 2007, sales volume of IGRS reached five million. We should say popularization speed is very fast. Especially, enterprise, like Lenovo, Hisense, TCL, KONGKA, CHANGHONG, etc considers batch production of IGRS products as an important target of this year. 

Host: Recently, IGRS is giving an attack on international standard. I wonder how the situation is.

Guest: Up to July 10, voting for international standard has been over. However, there’s no result of the voting from officials. But we have predicted that the result may be optimistic, because there’s no veto in last round voting for IGRS standard. All are back for IGRS and willing to join 3C-convergecne together with China IGRS standard. 

Host: You mean IGRS will become an international standard?

Guest: It may be so.

Host: How is IGRS going in international cooperation?

Guest: We should say since establishment of alliance, IGRS viewed openness and compatibility as fixed strategic goal of international cooperation. Now, foreign enterprise or organization join IRGS, accounting for 15% or above of alliance members.  We should say the number is for industry alliance based on standard. Foreign enterprises participation is very strong. IGRS has formed strategic alliance with relevant organizations of Japan, Korea, America and European countries. Today, we can see in consumption electronic show IGRS allies with Panasonic PLC. We should say that the show is held jointly by them. They show the newest and cutting-edge technology in future digital home respectively. Cooperation with Panasonic started in 2004. In 2004, on behalf of China home appliance standard organization, IGRS, together with Japan, and Korea HNF jointly set up Asia Standard Committee, which is an entity organization. The task is to promote three countries’ alliance network. We should say the process goes well recently, and it’s a concrete strategy to cooperate with Panasonic PLC.      

Host: That’s good to mention cooperation with other foreign enterprises! I wonder who competitors are.

Guest: It’s not accurate to say competitors, because all mainstream enterprises pay attention to many similar technological standards. May we can call competitive partners. That’s because the technology filed is a broad opportunity, and covers broad scope of TV, computer, cell phone. So when these enterprises follows these standard organizations or alliance, they will choose one or two, when more alliances to join work of newest process. From view of IGRS, openness and compatibility are viewed as fixed goals. So for 15% foreign enterprise and organization mentioned just now in internal of IGRS alliance, they may not only notice, join or make their own technology standard, but also pay much attention to process of IGRS standard, and invest capital. The model is very obvious! IGRS is like this! It is not only a leader of IGRS alliance, but also joins other standard technology alliance.


Host: How IGRS spreads patents now?

Guest: Data of 2007 that there were one hundred and twenty nine patents on December 31, 2007, of which there were forty six international patents. We should say the patents accumulation if rare in domestic relevant technology standard alliance. However, for us, the number of patents for the standard is very limited, because IGRS covers so broad technology field, and the number of patents for technology patent, technology framework and technology system should be above four digits at least.

Host: How many core patents?

Guest: There may be more than twenty core patents, and actually core patents are in rolling situation.

Host: Industry wonders how IGRS operates capital now.

Guest: We should say capital operation is very good and positive. Firstly from the participation situation of these domestic enterprises, there are nearly 90% of TV enterprise, and 40% of computer enterprise join IGRS standard. In addition, every exhibition place has IGRS products. So these are enterprises’ spontaneous input. In the progress, we should say under input of we terminals enterprises, there‘s not capital problems. However, capital is also the problem, because like IGRS technology standard, to support such a market in future, more investment will be needed. Especially compared with relevant foreign standard organization, total investment by IGRS and all enterprise alliance is still limited. This is comparison between our alliance with relevant foreign industry one.  So IGRS has gained strong attention and support from our government and relevant sections. We have confidence that under support of relevant policy and fund from our country, plus enterprise spontaneous investment, IGRS industrialization will certainly success. 

Host: Rumors spread before that IGRS was considering to going public, and new strategic re-structure. What’s your opinion?

Guest: IGRS has two organizations. One is IGRS alliance, and the other is IGRS Engineering Center. As a promotion organization of IGRS standard industrialization, IGRS Engineering Center raises money and develops continuously. Pursuing company’s development is very common business action. In the process, form angle of IGRS, more industry fund will be attracted to support the development of overall IGRS industry. So this is very common business action. Moreover, only if connect our independent technology standard with overall investment environment, we believe IGRS will truly have good industrialization result.

Host: How do you plan IGRS development afterwards?

Guest: A Chinese proverb says: “It takes 10 years for this sword to be whetted”. It’s been five years since IGRS was established. On July 2003, policy was announced by Ministry of Information Industry. It was the first time these industries met, and then they had a meeting. This year is just five anniversaries.  It takes 10 years for this sword to be whetted. IGRS is still developing. We saw at least ten years were needed to form international technology standard. For us, firstly we should internationalize the standard, and make clear that it’s an international standard, and more splendid achievement follow afterwards. Let more enterprises and organizations know and adopt the standard and achieve IGRS standard application. This is the first point. The second point is from its market promotion and industrialization process, we should say through five years’ work of IGRS, suite of very mature promotion model has been formed. Under the healthy promotion model, try our best to enlarge IGRS industrialization base. Maybe citizens can see more IGRS products in the market in future, and bring good experience for consumers. 

Host: Thank you for accepting our interview, Mr. YANG! Netizens, that’s all!

Gust: Thank you!
Host: Thank you, Mr. YANG!

2008-07-10 14:25:03
Source: Netease reports

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