Chinese enterprise SaaS has been around for 8 years this year.
Capital, business model, technological revolution, and network effect are the four common levers that change the industrial structure.
Let's take a look at the impact of these four levers on the SaaS industry of Chinese companies.
(1) Capital
Tier 1 investment:
New regulations on asset management
It is difficult to withdraw from the listed companies that are bid for, and it is difficult to withdraw from the mergers and acquisitions
U.S. stocks: Decoupling of financial capital between China and the U.S. (Chinese concept stocks delisted)
HK Stocks: Poor Liquidity
Middle thigh:
Science and Technology Innovation Board
NEEQ and Beijing Stock Exchange
Registration-based listing, normalized delisting
Mergers and acquisitions:
Internet Receiver: Preventing the disorderly expansion of Internet capital
Large central state-owned enterprises: strengthen the management of the goodwill of central enterprises
(2) Business model
Up to now, China has listed 5 native SaaS companies on China Stock Exchange, Hong Kong Stock Exchange, and US Stock Exchange: Jiguang, Ronglian, Weimob, Youzan, and Guangyun.
Jiguang is a mobile information push PaaS. The business model is not a software selling software model, but a fee based on the number of pushes.
Growth of -24% last year, revenue of 357 million, current market value of 125 million US dollars. US stock market listing
Ronglian is a cloud call center PaaS. The business model is not to make software and sell software, but to charge by call seat/call duration/call quality.
It grew 18% last year, with revenue of 768 million and a current market value of $176 million. US stock market listing
Weimeng is a pan-CRM SaaS business. The business model is not a software sales model, but an agency of digital advertising business services + SaaS.
It grew by 36% last year, with revenue of 2.686 billion and a current market value of HK$12.9 billion. Hong Kong stock market listing
Youzan is a pan-retail SaaS business. The business model is not a software selling software model, but a transaction payment business service + SaaS.
Growth last year -13%, revenue 1.57 billion, current market value 4.5 billion Hong Kong dollars, listed on Hong Kong stock market
Guangyun is engaged in e-commerce management SaaS. The business model is not a software selling software model, but smart hardware + SaaS.
It grew by 6% last year, with a revenue of 546 million yuan and a current market value of 3.5 billion yuan. IPO
(3) Technological revolution
Cloud Computing Services:
China's public cloud growth slows down. China's private cloud market is growing rapidly.
At the beginning of the year, Alibaba Cloud and Tencent Cloud gave up the strategy of "hardware resale" and "collection and subcontracting" to increase revenue with false prosperity, announcing healthy growth. Clouds of China's three major operators grow rapidly
5G：
5G network technology will issue a license in 2019, and three years have passed.
Big Data:
Domestic relational database technology is still immature.
Distributed relational database technology is still immature.
Data lake technology, the technology is still immature.
NOSQL is used in a narrow range in China's SaaS industry
Big data computing engine technologies such as Spark/Flink are used in a narrow range in China's SaaS industry
Blockchain:
Blockchain technology has been slow to develop in China. Web3 investment is hot in the United States
artificial intelligence:
Chinese visual perception computing manufacturers, the market value has plummeted, and the revenue is mainly based on hardware integration and project delivery.
Chinese voice-aware computing vendors are embedding AI into consumer smart hardware for revenue growth, and normalized growth in enterprise voice AI
Chinese language processing cognitive computing manufacturers, there is no dark horse yet
(4) Network effects
In 2018, the traditional retailer RT-Mart was sold to Ali. Huang Mingrui, the founder of RT-Mart, said: I defeated all my opponents, but lost to the times. Times waved their hands, not even saying goodbye.
In 2021, the Chinese government will strictly prevent the disorderly expansion of Internet capital and impose huge fines on Internet companies.
In 2021, Tencent will divest from the Internet companies it invested in the past one after another.
