Ai Qiyi Gong Yu: Two core competencies needed to distribute the platform

Blue Whale TMT Xie Yuanyuan

The entertainment industry is experiencing rapid growth. According to PricewaterhouseCoopers' 2017-2021 Global Entertainment and Media Industry Outlook, the average annual compound growth rate of China's entertainment and media industry will reach 8.3% in the next five years. In terms of Internet video, the Chinese market will witness a shift from free to pay-per-view in the next five years.

This is also the problem mentioned by Gong Yu at the 2017 Iqiyi World Congress.

Regarding content payment, Gong Yu said that the preferred content will enter the payment era. In addition to the successful online dramas, online movies and network variety, the head content in various fields, including animation, children, documentaries, etc., will enter the payment and accounting system. This means that high-quality content that is recognized by the audience will absorb more revenue, and content production will gain more room for development. The Matthew effect will completely activate content production and become the turning point of the network content.

As far as the whole industry is concerned, Gong Yu said that online video is an emerging industry, and this industry needs to rely on innovation to drive. This kind of innovation is not only technical, but also includes business models and content creation.

Gong Yu said that in the online video industry, having two large core capabilities will allow the world to continue its healthy development. The first core capability is content distribution capability. The same content has different playback volumes on different platforms. The larger the playback volume, the stronger the content distribution capability of the platform. The second capability is the ability to monetize. For a company's entertainment ecosystem, the distribution capacity is strong, but also generate more income, which may come from advertising, traditional paper media publishing, IP derivative, user payment, etc. . Every company has more income to support this entertainment world, making the entertainment world grow faster and better, and then bring higher returns to users.

Speaking of technical issues, Gong Yu said that the important content creation of the online video industry is changing due to the innovation of communication methods. Gong Yu thinks that this is mainly because the user group has changed, maybe the same user group, but with different viewing methods, the user's ideological realm has changed, and the demand has changed. These changes require changes in content creation, and changes in these communication technologies have also created new forms of work.

Gong Yu said that in the entertainment industry, cloud computing technology and artificial intelligence technology solve production efficiency problems, including the efficiency of users watching video. "The original need to plug in a computer to watch the video on the big screen, now a mobile phone, 3G, 4G, WIFI, can watch 1080P or even 4K, even small mobile screen cast on the big screen is not The problem." He believes that only the video playback platform can no longer meet the development of the industry, but to be a technology innovation-driven entertainment company.

(Editor: HN666)