Reporter: We know that Jiangxi Holitech Technology Limited Liability Company has a complete and scientific quality management system, and is also recognized by the industry for its integrity, strength and quality, especially in touchscreen product manufacturing. What are the feature products of your company at present?
Jin Bo: Jiangxi Holitech Technology Co., Ltd. was founded in 2004. It has now become a well-known enterprise in LCD and touchscreen industry of China. It specializes in the production of small and medium-sized LCD displays and modules, both resistive and capacitive touchscreens, as well as seamless touch display integration modules.
Reporter: What is the main business of your company?
Jin Bo: The company is mainly engaged in R&D, production and management of the new-type flat panel display devices, touchscreens and their peripherals, realizing a perfect combination of touch displays and LCD. We have a complete industry chain with production capacity for most components from LCD to touch display. We can quickly respond to customer demand, provide the most cost-effective products and solutions and provide one-stop solution for small and medium-sized touch display systems.
Reporter: What did your company achieve in the touch display field in 2012?
Jin Bo:
1. The company successfully achieved mass production of seamless touch display integration modules in 2012, and we have solved the problems of fitting and function debugging for touch displays after fitting. The yield rate has reached an industry-leading level at present and the supply is below the demand.
2. The company is optimistic about OGS’ prospects. In 2012, we successfully solved the problems of OGS strength, cutting and debugging of control chips in terms of technology, and have made all preparations for mass production.
Reporter: What are the relevant business objectives for 2013?
Jin Bo: We will continue to enhance our advantages in seamless integration of touch display products, give full play to our advantages of one-stop services for the whole industry chain, continue to respond quickly to customer needs, and provide more cost-effective products and service.
Reporter: More and more manufacturers are producing touchscreens. What are the advantages of your products over similar products of your competitors?
Jin Bo: There are three advantages. Firstly, we entered the touchscreen industry relatively early. As early as 2006, we entered the resistive touchscreen field, and in 2009, we entered the capacitive touchscreen field. Through our development over the years, we have accumulated numerous long-term cooperating customers. Secondly, we have the scale advantage. We have several touchscreen production lines, and maintain the highest production capacity in the industry, to meet the needs of our large customer base. Thirdly, we have a complete industry chain, with several production lines including TN/STN/ FSTN-LCD, TFT, FPC, BL, CG, OGS, RTP, CTP, TLI, etc. So, we can provide one-stop services, respond quickly to customer needs, and provide the best cost-effective products. We have our own unique advantages in terms of quality and delivery time.
Reporter: How do you see your company growing in the coming years?
Jin Bo: Based on the growth of the smartphone and tablet PC market and along with our company’s development plan, we look pretty good for the coming three years, and expect a compound annual growth rate of over 50% for the next three years.
Reporter: The market is dominated by In-cell and OGS. Are they affecting the sales of your equipment? Is there any difference with the past?
Jin Bo: Judging from the current market, there has not been any difference.
Reporter: What is the new trend your company is following, and is there any advertising or exhibition promotion?
Jin Bo: We will continue to improve our advantages of complete industry chain, enhance production capacity of each production department and provide one-stop service for customers.
Reporter: How about current research and development and customer situation?
Jin Bo: We have undertaken a series of technological innovation mechanisms, including an explicit innovation direction, established a perfect incentives mechanism, effective and colorful training, and a stable intellectual property system to maintain our technology leadership. With us expanding our original business, our customers are also continuously optimizing. The company has maintained high-speed growth while achieving high-speed development of customers.
Reporter: Who will be your main customers or new customer groups in the future?
Jin Bo: We will continue to serve first-tier domestic brands and internationally renowned enterprises by providing seamless touch display integration modules and OGS products and leverage our advantages of vertical integration and complete industry chain.
Reporter: What is your opinion on the status of the touchscreen market?
Jin Bo: In today's fiercely competitive touchscreen industry, downstream firms are extending to upstream firms to reduce costs and ensure profit margin, while upstream firms are extending to downstream firms to capture end customers. The whole industry chain coverage is conducive to enhancing the resistance to industry fluctuations for both parties. Under the trend of integrating the industry chain, module manufacturers are extending to the upstream, and the gross profit rate is expected to remain stable, while sensor manufacturers are extending to modules and the gross profit rate will inevitably decline. Integrated manufacturers who make use of the first-mover advantage in the fitting process as well as have better customer and capital bases will break through the barriers to entry and have strong competitiveness in the industry. They are expected to win in the face of the high-pressure intensifying industry competition and falling product prices. The vertical integration and whole industry chain model of our internal production will become the industry trend, to maintain relatively high profitability and market competitiveness, with intensifying competition in the industry and continuously falling prices.
Reporter: What actions and developments have you undertaken with respect to new technologies such as OGS and In-cell?
Jin Bo: We are bullish on the prospects of OGS and have launched mass production. In-cell technology is currently being researched.
Reporter: OGS utilizes the large-panel method by implementing chemical-strengthening treatment before cutting a single panel, and the single-panel method by implementing chemical-strengthening treatment after cutting a single panel. Which method does your company adopt?
Jin Bo: At present, we adopt the single-panel method by implementing chemical-strengthening treatment after cutting a single panel, and we will move to the large-panel method in future.
Reporter: What measures have you undertaken for In-cell and On-cell?
Jin Bo: Both On-Cell and In-Cell technologies are being researched.
Reporter: Do you think smartphones and tablet PC can replace the PC in the future? Has your company captured business opportunities in the smartphone and tablet PC market?
Jin Bo: Smartphones and tablet PCs will not replace PCs in the future, but the differences among smartphones, tablet PCs and PCs will become increasingly blurred. From 2009 to 2013, projected capacitive touchscreen, TFT modules, seamless touch display integration modules, and OGS products were put into production successively. We seized the business opportunities in the smartphone and tablet market.
Reporter: Is your company focusing on the use of mobile products such as smartphone and tablet PC terminals?
Jin Bo: Our company’s projected capacitive touchscreens, OGS products and seamless touch display integration modules are mainly applied to mobile products such as smartphones and tablet PCs.
Reporter: What do you think are the prospects of touch display in the coming three years?
Jin Bo: The birth of In-cell and OGS will have the greatest impact on G+G structure as well as on G+F structure, but there will still be market demand. In the next three years, capacitive touchscreens with In-cell, OGS and G+F structures will be divided into three parts, with their respective growth space.
Reporter: Compared with touch panel manufacturers in Taiwan/Japan/South Korea, what do you think are the competitive advantages of domestic manufacturers?
Jin Bo: Japanese and South Korean enterprises are leading in technology, and the demand for high-end technology products (such as In-cell/On-cell) exceeds supply. Taiwan enterprises have advantages in scale and accumulation of OEM customers, focusing on the middle and high-end markets. The technology and scale of Chinese enterprises are relatively small. We are penetrating the market from low to mid- end, relying on the most mature mobile phone supply chain, and have obvious cost advantage.
Reporter: Do you think OLED will be representative of the next-generation display?
Jin Bo: It will also be a choice for the market, but not the only one.
Reporter: What new technologies and products will your company launch in 2013?
Jin Bo: We will launch new products in OGS, GIF and TLI.
Reporter: With the current problem of labor shortage in the market, have you made any new breakthroughs in research and development of equipment to replace labor, and solve the problem of cost reduction?
Jin Bo: We solved the problem of labor shortage in the market by purchasing automation equipment, optimizing technological processes, strengthening meticulous management, improving labor efficiency and reducing labor dependency.
Reporter: Finally, would you please tell us a bit about your company? Thank you.
Jin Bo: Founded in 2004, Jiangxi Holitech Technology Limited Liability Company specializes in the manufacture of TN/STN and FSTN displays, CSTN module, resistive touchscreens, projected capacitive touchscreens, TFT modules and seamless touch display integration modules. Adhering to the management philosophy of “Customer-centered, Quality-oriented, Innovation-motivated, and Talent-based”, we are one of the leading system solution suppliers for small and medium-sized touch displays in China, and are gradually becoming a well-known brand in the international touchscreen market. More than 1,000 products of our company are widely used in fields such as Instruments and Meters, Household Appliances, Communications, Health Care, Industrial Control Equipment, Automotive Electronics, Digital Clocks, Meters, etc., which has promoted the process of digitalization of products. We have established long-term and good cooperative relations with several well-known manufacturers both at home and abroad including SHARP, SONY, CANON, SANYO, HONEYWELL, TCL, SAMSUNG, ZTE, FOXCONN, HISENSE, HAIER and other well-known enterprises. The company's long-term strategic development goal is to maintain its leading position in LCD and touch-control industry through technological development and service innovation, maintain its competitiveness in quality, price, delivery and service, become a sustainable leader in China's LCD and touch-control industry, and continuously provide services and technical solutions to global customers.
