ALL-OUT EFFORT FOR A BETTER FUTURE
On September 19, The First Global Laser Display Technology and Industry Development Forum, hosted by China Video Industry Association (CVIA) and organized by Laser television industry branch association, Changhong group and Hisense group, was held in Qingdao. Nearly 100 enterprises such as TI, NICHIA, Hisense, Changhong APPO, Suning and Gome from the upstream and downstream industry chain of laser display from all over the world gather in the forum and seek common development.
During the forum, Zhou Houjian, Chairman of Hisense Group, delivered a keynote speech titled “All-Out Effort for A Better Future”.
Following is the full text of his speech.
All-Out Effort for A Better Future
Distinguished Mayor Xue, dear guests and friends from media:
The First Global Laser Display Technology and Industry Development Forum is held in Qingdao today, supported by the Ministry of Industry and Information Technology, China Video Industry Association (CVIA), Qingdao municipal government, Qingdao Municipal Bureau of Industry and Information Technology. On behalf of Hisense, I would like to thank all the departments mentioned above for their wonderful organization of this forum and great conditions they have created for the industry. As a local company in Qingdao, Hisense welcomes nearly 100 enterprises from the upstream and downstream industry chain of laser display from all over the world to gather in the beautiful city of Qingdao! Such a grand gathering is the first time in the history of laser display, and will certainly become a historical moment and a new starting point for the global laser display industry.
Thirty-eight years ago, I set foot in the television industry right after my graduation. I have witnessed the glory of the CRT TV as well as its tragic exit. I have also gone through the thrilling battle of life and death between plasma TV and LCD TV. I know that the update and replacement of display technology is inevitable, ruthless, simple and direct. It’s the choice of the market – consumers always want bigger, clearer, healthier displays.
What clearly known to us is: we are in a turbulent period when various technologies such as LCD, OLED, QLED, Micro LED, and Laser Display are under continuous development, alternations and replacements with one another. What is the right technology leading to a promising future? There are heated discussions in the industry. Nevertheless, we still believe that Laser Display gets the best potential. Because the Laser Display is more than a product of cutting-edge technology, what matters the most is that the Laser Display brings the practical benefits to the customers. This is the most essential reason why Hisense makes all-out efforts in the field of Laser TV. The judgement is mainly based on the following points:
Firstly, Laser TV is featured by its luminescence of reflection imaging, which has a positive effect on eye health and protection.
When looking at an active illuminator, our eyes will find it glaring. In comparison, the passive illuminating object will make our eyes more comfortable. Having the feature of passive illumination of reflective imaging, Laser TV can provide a more comfortable watching experience. In March 2016, the Institute of Visual Health and Protection, China National Institute of Standardization conducted an evaluation of Hisense Laser TV in terms of visual health and comfort. The evaluation results suggest, the visual comfort in watching Laser TV is not only better than LCD TV, but 20% better than that of paper reading; now, watching Laser TV even more relaxed physically than reading a book. In September 2018, the China Electronics Standardization Institute (CESI) and experts of Ophthalmology from Peking Union Medical College Hospital conducted a contrast test on Laser TV and LCD TV, and made a comparative analysis on 144 sets of data. The test result shows that in three-meter visual distance, watching Laser TV is more comfortable than watching LCD TV, so Laser TV is healthier to eyes. Thus it can be seen that Laser TV serves as a product with better visual comfort.
Secondly, Laser Display not only features an extremely high spectral purity and a function of accurate color reproduction, but also boasts the best performance in color expression.
The Laser Display ensures less distortion of the colors seen by naked eyes. Moreover, studies show that, in the condition of the same luminance value for the test, the more pure the color is, the higher the brightness is, which can greatly improve the color display of TV (H-K effect). In this regard, the Laser Display possesses a unsurpassable advantage.
Thirdly, Laser TV has the unique advantages of energy conservation and environmental protection.
The power consumption of Laser TV is slightly-higher than 1/3 of the LCD TV’s (100-inch three-color Laser TV: 300W, LCD TV: 800W or more, the former only costs 37% of the latter; 80-inch three-color Laser TV: 180W, LCD TV: 480W, Laser TV costs only 37% power of the latter). As the efficiency of semiconductor lasers keeps increasing, the power consumption will continue to decline.
Fourth, the era of large-screen consumption has arrived, and laser has many advantages on large screens.
With the development of technology, the resolution of video content images is getting higher and higher, so people’s demand for large-screen TV is getting stronger and stronger. This trend matches perfectly with advantages of laser TV – it is more eye-friendly, easier to move, and the bigger the screen is, the more energy-saving and cheaper the Laser TV is when compared with other kinds of TV.
Fifthly, neither LCD nor OLED is advanced enough to reduce their cost in the near future.
The LCD and OLED panel factory’s equipment and plants are invested with huge capital. For instance, the 8.5th generation LCD panel production line requires an investment of up to RMB 25 billion, the 11th generation LCD panel production line requires RMB 46 billion, involving a great energy consumption in production as well as a long industrial chain. These vast investments will eventually be passed on to the cost of TV production. Nevertheless, such a screen is not a necessity for Laser TV. The laser, optical path, lens and screens of Laser TV are not dedicated to the TV itself, involving far less investment than that of LCD and OLED and a comparably short industrial chain. That’s why Laser TV is endowed with fundamental advantages of low cost. In other words, as long as there is better growth of quantity, labor and other costs in the shorter industry chain will be significantly diluted, which bespeaks a bright future for Laser TV.
From “screen” to “screenless”, Laser TV has succeeded in reducing vast amounts of materialized labour before the assembling process, which could obviously serve as typical disruptive innovations according to innovation theories.
Hisense has been the trailblazer in the field of Laser TV since 2007, when there were neither national nor global standards, and no product to refer, with all the core technologies requiring our self-depended development. After 4 years of trials and errors, we discovered and identified the Laser TV technology route of “laser illumination source + ultra-short-focus lens + anti-light screen.” Over the past seven years, we kept persevering in this field regardless of how much we’ve gained; finally, Hisense achieved the “0 to 1” breakthrough of Laser TV. In 2014, we succeeded in launching the world’s first 100-inch Laser TV, ushering in China’s new era of ultra-large size TV and Laser TV.
For more than a decade, I’ve traveled between Japan and the United States for dozens of times, constantly looking for and promoting the optimal combination in the industry chain of Laser TV, from display chips, lasers, light-resisting screens, optical lenses to other key components. We even provided initial funding to supplier enterprises for R&D and production. After components has been produced, we didn’t make the supply exclusive to Hisense. The supplier enterprises could sell them to other manufacturers so that the whole industry can share the lower price brought by the scale effects. We always believe that one tree does not make a forest. What we need to do is to drive the overall development of the industry and set the consumption trend. Players from the entire upstream and downstream industrial chains of Laser TV are not simply in business or commercial competition relationship from the beginning, but in a community of shared future which carries our simple but sincere emotions and worthwhile for all our strives for the best!
Today, we are delighted to see that more than 20 global complete-machine companies have joined us, including LG, Changhong and Konka, and the number of companies from both upstream and downstream industrial chains has exceeded one hundred. In China, Laser TV has become a brand new TV category and has received recognition from consumers, especially those from the high-end market. What’s worth mentioning is that almost all the consumers of our Laser TV products enjoy good user experiences. In only five years, Laser TV has achieved rapid development from scratch and fully reflects Laser TV market’s vitality representing the future trend. The China Market Monitor Company’s data for the first half of 2019 shows that the sales of Laser TV in the Chinese 80-inch and above TV market occupied 58% of the total, which is a significant achievement in the continuously gloomy color-TV industry. The most noteworthy is that Appotronics and some other companies from Laser Display industry chain have also been listed on the Science and Technology Board and won the recognition of the capital market.
For more than ten years, from one product to one industry, from one company to one field, we have jointly promoted the formulation and development of Laser TV and Laser Display standards, the clarity of product definitions as well as industry development norms. We also promoted the establishment of a Laser TV industry branch in China, enabling member companies on technology, products, channels, services and much more multiple levels to unite, cooperate, and jointly promote the rapid popularization of the Laser TV market, thus striving to obtain achievements in the competition of the global display industry. The Chinese government also included the Laser Display as the first in the field of the new-generation information technology in the 13th Five-Year Plan, our national development strategy.
Today, we gather here and talk about the development and the future of our industry. In only five years, the resolution of Laser TV has advanced from 2K to 4K, the illumination source has been improved from monochrome to two-color to three-color, and the size of TV has developed from 100-inch to 300-inch and then to 75-inch, all of which represent the technological vitality of the development of Laser TV. At the IFA exhibition in Berlin, just closed last week, many audiences listened to the deep and rich sounds of a 100-inch screen-sounding Laser TV on the Hisense booth, and were shocked by the brilliant colors of the 75-inch full-color Laser TV. It can be foreseen that with the continuous improvement of the resolution, large-size TV will become more and more popular: 75-inch will become the mainstream size among the Laser TV and LCD TV competitions.
Currently, the LCD TVs of sizes below 75-inch have gained a significant advantage; moreover, whether these sizes can meet with a wider range of consumers and gain competitive advantage in the market will depend on the joint contribution of all the partners in this industry chain.
It is the persistent perseverance of our partners and competitors in the industry chain that provides a continuous source of technologies to the entire industry. These technologies have led to steady progress in the resolution of Laser TV products, rapid improvements in color and efficiency, and constant optimizations of image quality. Technology improvements shared among our partners have expanded the horizons of technology and industry, provided various possibilities for technology and enhanced confidence for the cooperation of the Laser Display industry through mutual communication with each other. It won’t be long before brand-new product models come into existence one after another, with higher display quality, lower power consumption, better easiness to be curled and concealed; smaller-sized all-in-one machines, much more scene-oriented applications for families, and even futuristic holographic will also be available on the market one following another. As the iterative and technological innovations of Laser Display products accelerating, the magnificent picture of the development of Laser Display is slowly unfolding in front of us.
A great career is not a lonely journey, he who pursues it will always have company. Today’s first global Laser Display technology and industry development forum is an excellent platform to promote cooperation. Here, we appeal all the partners to work together, to conduct in-depth conversations, to build the consensus of the Laser TV industry, to enhance confidence in the Laser TV industry, to release the driving forces for the development of Laser TV, to strengthen cooperation and open-minded communications, to share technological information, to discuss current problems in the industry, to seek solutions, and to promote the vigorous development of the Laser Display industry, making the Laser Display industry a global display one comparable to the LCD industry.
Thank you again for your joint efforts. I believe that today’s gathering will set a new goal for Laser Display industry.
I wish the Forum a great success.