Intel and Haier: A Honeymoon in the Countryside
Posted on November 13, 2007
Filed Under China Business, China Distribution |
China Tech News reports:
Following the signing of an MOU on a full range of strategic cooperation, Haier and Intel have initiated a joint marketing program in Qingdao.
In the initial period, the two sides will carry out joint promotions in which they will make marketing goals, strategies and designs, which is expected to make their cooperation in the terminal market more flexible.
In for a penny, in for a pound. Intel and Haier have moved closer over the past couple of years and have reached the point where they are coordinating their marketing. Unlike many other PC manufacturers, Haier exclusively uses Intel processors.
The relationship’s benefits to either party are pretty clear: Intel builds a strategic relationship with an ambitious PC manufacturer and freezes out AMD in the process, Haier gets access the latest and greatest Intel chips and solutions and plenty of support to muscle into the PC market.
It’s interesting to see these companies target rural China. There are a lot of people out there, but selling PCs and servicing them across the Chinese countryside is tremendous challenge. They’ve been working on this for at least a year:
- November 2006: Intel and Haier found a joint R&D center to build simple PCs for the rural Chinese market
- September 2007: The Intel-Haier-Ministry of Information Industry partnership donates 6000 Haier-made, Intel-powered Farmer PCs in rural areas of Henan, Guangdong, Sichuan, Shandong and Heilongjaing
- September 2007: Haier forms a joint venture in Henan to assemble PCs (with assistance from Intel)
- November 2007: Intel and Haier launch the Farmer PC for rural China
I hope they have a long, happy marriage. They’ll need it to realize their ambitions in rural China.
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