You must have heard about the smart phone heat in Chinese tech companies. It’s still on, though Analysys International once reported that “Some Chinese phone vendors’ profit margin could only get as low as 10%.” Surprisingly, there is someone who sees this differently from others. On 18th July, president of Tencent’s Mobile Internet Group, Liu Chengmin said at Tencent Marketing Effectiveness Conference that the company will not make smart phones. (Editor, actually Tencent has tried once with Huawei, the phone is named HiQQ.) Liu has his own philosophy of mobile internet and smart phones.

Smart Phones ≠Access to Mobile Internet

Data said that by the end of 2011, Chinese mobile web users had hit 359 million, which sounds to be an inspiring number to most. Then we see Xiaomi Technologies drew the attention with its cheap and powerful Xiaomi phone, and then Alibaba, Shanda, Baidu and Qihoo360 all came up with their own smart phones.

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Charlie Sheng

动点科技驻湾区记者. Charlie is an entrepreneur based in San Francisco and Hong Kong who calls herself the undefeated caffeine champion. You can reach her at charlie.sheng (at) technode.com