The Central Bank of my country announced the launch of its own legal digital currency DC/EP on May 8, 2020, and it is conducting trials in many cities across the country. The European Central Bank (ECB) is expected to accelerate research on the digital euro in the next few months and launch the digital euro as soon as possible.

The EU takes the first step in the “digital euro”

The European Union has always been more cautious about digital currencies. This is due to the protection of the stability of the euro and European financial considerations. However, as some countries have successively launched the process of launching sovereign digital currencies, including some well-known companies have also launched digital currencies, the EU cannot turn a blind eye.

While cautious, the EU is also preparing for the advent of the digital currency era. In 2018, the European Union promulgated the “Fifth Edition of the Anti-Money Laundering Order”. In this decree, the EU classifies cryptocurrency business and banking, payment processing, gaming and other services into the same legal category, which in fact provides protection for cryptocurrency business.

According to the previous agreement reached by the EU finance ministers, when the risk of digital currency has not been completely eradicated, or the relevant legal and supervisory framework has not been established, the EU will eliminate the use of private digital currencies, and member states shall not include the introduction of encrypted currencies. Its laws and regulations. Although Europe is not as active as the United States and China in the era of digital economy, as a highly developed capital-intensive region, Europeans’ consumption, savings, and investment behaviors are becoming more and more digital, and the euro’s trust in the member states is also based on this. Starting point, the European Central Bank has drawn a rough blueprint for the future “digital euro”.

In October 2020, the European Central Bank officially issued a document introducing the European Union’s plan to develop digital currencies. The European Central Bank believes that no matter which technology the “digital euro” uses, it must be strictly distinguished from encrypted currencies. The EU’s vision for the “digital euro” is to be safe, efficient, convenient, and legally compliant, while at the same time building a high degree of trust among EU citizens.

The digital euro may suck up 8% of deposits in eurozone banks

According to previous news, the European Central Bank (ECB) will speed up the study of the digital euro in the next few months. Although there are still a few years before the final launch, it has not neglected the impact of the launch of the digital euro.

Whether the introduction of a digital sovereign currency will eat into the funds in the current commercial bank accounts is something that more than 90% of the world’s central banks that are studying digital currencies need to consider. For the European Union, the member states cannot be ignored.

Morgan Stanley analysts estimate that all euro zone citizens over 15 years old will transfer 3,000 euros ($3,637) to a “digital wallet” controlled by the European Central Bank. This estimate is based on a “bear market” scenario.

The digital euro may suck up 8% of customer deposits in euro zone banks, especially for small countries such as Estonia, Slovakia, Latvia, and Lithuania, which will be more than 8%. In theory, this could reduce total deposits in the Eurozone by 873 billion Euros (close to 8%).

Digital euro can provide better privacy protection

Although the European Central Bank has a lot of concerns about all kinds of digital currencies, in terms of protecting privacy, Fabio Panetta, a member of the ECB’s executive board, believes that the digital euro will play a positive role and can also protect the euro zone from the “threat” of cryptocurrencies. Officials of the European Central Bank believe that if the European Central Bank participates in digital payments, it will pay more attention to privacy protection than private companies. Compared with private companies that collect large amounts of data from users to satisfy their business interests, the European Central Bank will not store, manage, and user data. Involving commercial interests. It is reported that the European Central Bank has conducted a small offline payment experiment before. Transfers of tens of euros or even hundreds of euros can be completed through Bluetooth between devices. There will be no payment except in the wallets of the payer and the payee. data record. There is no doubt that payment privacy is one of the main concerns when people use digital currencies, and the European Central Bank is trying to show everyone that it has the ability to separate identity information from payment information. If everything goes smoothly, it is expected that the digital euro will circulate on a large scale in the euro area around 2025

As of June 18th, a group of professionals led by NASA Administrator Nielsen began to make a big splash on June 18th, emphasizing that the United States must always “watch China”. Therefore, the Biden administration needs to allocate more funds to NASA. The Western world has also set off a wave of “China challenging the U.S. space dominance.”

For a time, from Beijing to Washington were passively involved in a space race. Few people thought that outside of China and the United States, there would be a third challenger in low-Earth orbit. It was when it confirmed the China-Russia joint moon landing plan, and at the same time announced that it would launch the “National Orbital Space Station” project in Russia in 2025. The space game between China, the United States and Russia has thus entered an accelerated phase.

Also on June 11th, Rogozin, President of the Russian Aerospace Corporation, clearly talked about the future plan of ROSS in an interview with the country’s largest-circulation tabloid “Komsomolskaya Pravda”.

Rogozin pointed out in a straightforward manner that although Russia will still launch the “Science” capsule for the International Space Station (ISS) as planned on July 15th, to ensure that the ISS can still operate as planned until its retirement in 2030. But Russia will also end its cooperative relationship with ISS after 2026 and begin to build its “replaceable parts” space station, and launch its first core module in 2025. RIA Novosti also pointed out in a report on the 11th that Russia plans to build a “modular” low-orbit, multi-functional space station.

In fact, the Russian Aerospace Corporation’s space station plan will have some clues in February 2021. After Rogozin reported his work plan to Russian President Putin on February 11, Putin emphasized on the same day that Russia should continue to advance the manned space project in a rhythmic manner. Since this instruction was issued almost at the same time as the memorandum on the Sino-Russian lunar research station project approved by Russian Prime Minister Mishustin on February 12, the outside world once thought that the limited-funded Russian manned space project might become the future Sino-Russian project. Part of the joint moon landing project.

However, as Russia announced its withdrawal from the International Space Station on April 18, 2021, and began to display its “Diamond 2” core cabin and other equipment preserved before the disintegration of the Soviet Union, the outside world discovered that Russia, which has an independent technical foundation, did not originally Satisfied with OEM space station facilities for the United States and assisting in the transportation of astronauts, Russian astronauts and decision-makers who still have memories of the Soviet era are brewing big moves.

The ISS project, launched in 1998, has become a symbol of humiliation in the Russian aerospace industry. Because one of the cores of the ISS, the “Star” functional module was originally the core of the “Peace 2” space station during the Soviet era. After the construction of the project was completed in 1985, after the disintegration of the Soviet Union, it was revised to the “Peace 1.5” program, which was used as a plan to extend the service life of the “Mir” space station. It was later modified in 1992 to include 5 space capsules. Peace 2″ plan.

However, as the United States abandoned its “Freedom” space program after 1990 and switched to purchasing and receiving Russian space supplies, after the disintegration, the Russian authorities quickly abandoned the “Peace 2” plan due to the economic situation. Russia originally planned The design for the “Peace 2” was finally integrated into the ISS.

At present, in the face of the fact that the United States owns 11 of the 15 module capsules of the ISS, Russia only owns 4 of them. After years of debate, Russia finally chose not to continue to contribute more to the US-led ISS. power. As Russia gradually determined a simple plan including core cabins, dedicated production cabins, logistics and logistics cabins, platform cabins, and commercial cabins after October 2020, the Russian Aerospace Corporation restarted the “Peaceful” program, including the “Diamond 2”. After the space capsule equipment based on the No. 2 program, the development and operation of the ROSS station became possible.

In a sense, the operation of the ROSS station may also be an important occasion for Russia to declare its space capabilities to China, the United States and European parties. When Rogozin announced at the recent space summit that Russia is discussing with France to transform the Guyana Space Center so that it can be used for manned space missions, Russia’s actions against the European Union also showed a reality, that is, low Earth orbit in the 21st century. Not only can it accommodate China and the United States, it may also accommodate Russia.

Hanoi Plastics focuses on investing in developing the mold field. The key to helping Hanoi Plastics “accelerate” “Independent and proactive in technology is a big dream of many businesses. And in order to realize that dream, it is necessary to research and develop (R&D), invest in facilities and people, especially a team with good expertise, understanding background knowledge. Gathering this team, creating conditions for them to rub and resonate is a priority in the field of supporting industries today,” said Mr. Bui Minh Hai, Chairman of Hanoi Plastics Joint Stock Company. When focusing on this field, An Phat Holdings Group has researched and given clear orientations and strategies to carefully build infrastructure, invest in equipment, and apply technology for manufacturing. get important details and components for big companies. In particular, the Group has invested and turned Hanoi Plastics into an enterprise capable of designing and manufacturing all kinds of molds from super-precision to large-sized molds serving the automotive industry, but few enterprises which can be done in the country. Instead of having to cooperate with one or more third and fourth parties to design, manufacture and test molds, which increases costs and production time, the end-to-end finishing of products within the company. The company will improve quality and reduce costs. With two factories in Hanoi and Hai Duong, especially possessing a modern mold system, Hanoi Plastics is now competitive enough to strongly develop this segment. In particular, the company attaches great importance to the development of core human resources. When working with FDI customers, Hanoi Plastics completes the basic criteria required by partners, then coordinates with consultants to come up with products that exactly meet partners’ requirements. Every year, the company organizes training and retraining of key human resources, sending to participate in training courses, training with research experts and offering effective solutions in production labor. “We believe that, in order to create components with high complexity and high intelligence, the human resource strategy is an extremely important strategy,” added Mr. Hai. In addition, Hanoi Plastics plays an important role in supporting industry development programs organized by the Ministry of Industry and Trade, in order to expand, connect trade, and share experiences with many businesses and ministries. , departments, branches in the same field. The company has been actively participating in production improvement cooperation programs of the Ministry of Industry and Trade in combination with FDI enterprises. Members of Hanoi Plastics An Trung Industries Limited and Vietnam Precision Mechanics and Mold Manufacturing Company Limited (VMC) are also evaluated by FDI enterprises as excellent enterprises in their improvement and growth programs. steps in improving production capacity and quality control. Revenue plan of VND 1,900 billion in 2021 The factory is supported by foreign experts to design and install according to strict standards. In 2021, Hanoi Plastics focuses on researching and developing new products, promoting its strengths in manufacturing plastic molds and industrial products, targeting Japanese customers and FDI companies. At the same time, the company maintains and develops existing customers in the field of plastic components for automobiles – motorcycles, electrical – electronics such as Toyota, Honda, Panasonic, LG, Piaggio, Samsung, Brother, Foxconn… Especially, this is also the year the member companies of Hanoi Plastics run at full capacity, deeply participating in the value chain of supporting industries. In particular, VMC with a capacity of 230 plastic injection molds/year will meet diverse needs from customers of cars and motorbikes, to customers of printers and computers to electronic devices such as televisions and phones. An Trung Industries Co., Ltd. expands its electronic product portfolio, targeting FDI companies manufacturing mobile phones. At the end of 2020, An Trung Industries was also selected by Foxconn as a supplier. This is a new factor, opening more growth opportunities for Hanoi Plastics in 2021. To realize this strategic goal, the entire factory, infrastructure, human resources, and production equipment are synchronized according to the strict standards of customers, supported by foreign experts directly. design and installation assistance. With those steps, Hanoi Plastics sets its business plan in 2021 as revenue of VND 1,900 billion, up 78.5% compared to 2020, profit after tax of VND 150 billion, going deeper into the global value chain. .

Xiao Chen’s uncle was a betel nut lover, but died of pharyngeal cancer a few years ago because of a long-term addiction to betel nut consumption. Before his death, Uncle Xiao Chen repeatedly said to his relatives: “You must not eat betel nuts, otherwise the ending will be the same as me.”

As we all know, there are many people in the south who love to eat betel nuts. However, because long-term consumption of betel nuts will increase the risk of cancer, many areas in the south have adopted certain control measures on the sales of betel nuts. However, it seems that the effect of restricting the sales of betel nuts is currently It’s not obvious, and the Blue Whale Financial reporter noticed that betel nut has become a good business in the northern market, and some consumers eat two or three packs a day.

Recently, by visiting the market, Blue Whale Finance reporters discovered that many betel nut companies have already spotted the northern market and spared no effort to lure betel nuts to dealers with high profits. Betel nut has also become one of the most popular categories in Chengdu Sugar and Wine Fair this month. Every betel nut company’s booth was surrounded by people.

It is worth noting that the seemingly unpopular food, with the expansion of the consumer group, has been eaten by many betel nut companies with a scale of tens of billions by betel nut lovers. According to distributors, Hunan Huangye Foods’ annual sales volume has exceeded RMB 10 billion after acquiring the time-honored brand Zhang Xinfa. The scale of the top brand taste king exceeds 20 billion yuan. In terms of the overall industry, some insiders claim that the size of the betel nut industry exceeds 100 billion yuan.

Behind such a large scale, betel nut has gradually spread from the original southern markets such as Hunan and Guangdong to northern provinces and cities such as Henan, Shaanxi, Hebei, and Beijing.

From the perspective of industry insiders, due to population mobility and the sparing efforts of merchants to promote and channel penetration, betel nut products are accelerating their penetration into the northern market, and the market scale continues to expand. The deeper reason behind it is the high profits brought about by the high price of betel nut, which has caused dealers to flock to it. At the same time, the addictive nature of betel nut products has brought a stable consumer base, which in turn allows businesses to have a stable source of income.

However, as a food that is listed as a carcinogen by the World Health Organization along with tobacco, the carcinogenic risk of betel nut has been recognized and issued warnings by more and more authoritative experts or institutions, but it has accelerated development in China. With the trend, more and more people become betel nut enthusiasts, but there is very little control over betel nut products in China. In this case, it is obviously not enough to rely on the reminders of some experts, scholars or organizations. It is urgent for relevant government agencies to intervene to formulate national mandatory standards and laws and regulations to regulate the development of this special industry of 100 billion yuan.

Some people eat two packs a day, and the betel nut business spreads across the country

“At first I ate betel nut for two days, and then one packet a day. Now I eat two or three bags a day. It is very refreshing and feels good. It didn’t take long for me to become addicted. I first ate betel nut for 1.5 yuan each. Later, when the fat brother counted a pack of betel nuts in the factory, he now eats betel nuts worth more than 300 yuan per catty from Zhang Xinfa. The more expensive he eats, the more he eats,” said a betel nut lover.

Originally, betel nut was only popular in my country’s Hunan, Hainan, Fujian, Taiwan and other regions. However, the Blue Whale financial reporter found that in northern regions such as Beijing, Hebei, and Henan, betel nut has become a standard for many retail stores.

In a small store in Chaoyang District, Beijing, there are a variety of mainstream betel nut brands, including Xiangtanpu wolfberry betel nut, Binzhilang probiotic betel nut, Weiwang and Chengtianxia products. The owner told the Blue Whale Financial reporter that there are many consumers who buy betel nuts, and they cannot tell whether they are southerners or northerners. “Many stores in Beijing are selling betel nuts, and they are selling well. It turns out that there are very few products at 5 yuan, 10 yuan and 15 yuan per pack, and they are not enough to eat. Customers all buy 20 yuan and 30 yuan per pack. Some consumers A person can eat two packs of 50 yuan a pack a day, one pack in the morning and one pack in the afternoon.”

In addition to individual shops selling betel nuts, large commercial enterprises are also selling betel nuts. According to many points of Wumart’s shopping platform, many convenience stores of Wumart also sell betel nuts of brands such as Zhang Xinfa.

Not only in Beijing, but also in Zhengzhou, Henan, almost every retail store sells betel nuts, and they are all prominently placed near the checkout counter. In Hebei, some consumers also told Blue Whale Finance reporters that many consumers in their twenties eat betel nuts. This consumer likes to chew on a betel nut with cracked beads after drinking. “It’s very exciting after eating.”

At present, the top companies in the betel nut field, Taste King, Huangye Food’s Zhang Xinfa, and Yellow Crane Tower have all set up distributors in Henan and Hebei, and have opened up investment invitations at some food exhibitions.

At the just-concluded Chengdu Sugar and Wine Fair, the booths of betel nut enterprises also attracted much attention, and there was an endless stream of people negotiating business. A reporter from Blue Whale Finance noticed that the ground of Zhangxin Development Station, a time-honored Hunan company, was covered by packaging of betel nuts. Most of the visitors who came to visit would grab a handful of samples and put them in their bags, and at the same time, open a package and put them in their mouths to try new Taste.

As dealers tried to eat and took samples away, a large blank area even appeared in part of the booth of another company’s Yellow Crane Tower.

Marketing expert Lu Shengzhen observed: “Most people who like to chew betel nuts are truck drivers. The main purpose is to refresh themselves and prevent sleepiness when driving. People who eat betel nuts are mostly overtime workers or groups who seek excitement. These people love betel nuts. The negative effects of stimulus are not well understood or valued. Most stimulus seekers are people in the reverse phase.”

The giant’s annual sales volume is 20 to 30 billion yuan, and the market scale exceeds 100 billion yuan

In fact, many leading companies have already deployed nationwide, and with the expansion of coverage, corporate income and industrial scale have also continued to expand.

Weihua Gong, Marketing Director of Taste King Group, once stated that in 2018, the Hecheng Tianxia betel nut under Taste King continued to sell well in Hunan, Guangdong, Hubei and other provinces, with cumulative sales exceeding 400 million packs. The products cover 415 cities in many provinces including Hunan, Hubei, and Guangdong, as well as Jiangxi, Hainan, Guizhou, etc. The coverage area has doubled from 2017. At the beginning of 2018, Zhang Xinfa also issued the “Zhang Xinfa National Brand Strategy”: Starting from 2018, it will fully enter the national market, and after three years, its stores and products will fully cover the country.

With the increase in the scope of sales, the scale of the betel nut industry is also expanding. Xiangtan City, Hunan Province once proposed to “build a famous cultural city of betel nut in China, expand and strengthen the betel nut industry, and ensure that the sales revenue of the betel nut industry will reach 30 billion yuan in three years and the goal of 50 billion yuan in five years.”

According to Zhu Danpeng, an analyst in the Chinese food industry, with the spread of betel nut sales from Hunan, Hainan, and Guangdong to Henan, Hebei, Shaanxi and other places in the north, the scale of the betel nut industry in China should have exceeded 1,000. 100 million yuan, and it is constantly expanding. The sales scale of the company has repeatedly set new highs, and the annual sales scale of Taste King has exceeded 20 billion yuan. A distributor of Zhang Xinfa also told Blue Whale Finance reporter that Zhang Xinfa’s annual sales volume exceeds 10 billion yuan.

The scale of enterprises tens of billions and the scale of markets of hundreds of billions are already extremely high goals for many food companies. The sales of the three squirrels, the snack food giant, only exceeded 10 billion yuan in 2019, and in 2020 it will fall back to below 10 billion yuan. The scale of China Resources C’estbon, which has a national layout and is supported by central enterprises, is only over 10 billion yuan. Dali Foods has dozens of factories throughout the country, and its annual revenue is only more than 20 billion yuan.

Companies such as Taste King and Zhang Xinfa rely on betel nuts to achieve a scale of more than 10 billion yuan, which is really surprising.

It is worth noting that the data shows that the sales volume of betel nut is still growing at an average annual rate of more than 20%, and the future scale will be very large.

People flow from north to south, product prices are high and profitable, and the industry develops too fast

The rapid development of the betel nut industry is mainly due to the flow of personnel, the high unit price of betel nut and the high profitability, the large investment of enterprises, and its addictive characteristics.

“The rapid development of the betel nut industry in recent years is mainly due to population migration. First, the population of Guangdong, Hunan and other provinces has flowed to the whole country. On the other hand, many people in the north are working in the south and they have accepted the eating habits of the south. Surrounding consumers. Henan people have many workers in many southern provinces, and for a long time, they also chewed betel nuts under the influence of locals. Therefore, Henan has become the first bridgehead for betel nuts to go north.” Zhu Danpeng told reporters.

Another reason is that the high unit price of betel nut products has a large profit margin, which attracts a large number of enterprises and distributors to enter, and promotes the continuous expansion of the market. A consumer in Hunan told a reporter from Blue Whale Finance that in the past few years, the price band of betel nut products was around 5 yuan, but now it has reached more than 20.

It is understood that betel nut has a variety of categories such as medium seeds, upper seeds, grain seeds, research brains, and supreme research brains. At present, the unit price of low-end products is about 15 yuan per package, and high-end products have reached 100 yuan. In October 2020, Taste King launched Hecheng Tianxia high-end betel nut with a single package price of 100 yuan. Prior to this, Taste King also released a single package of 30 yuan and 50 yuan products.

The high price also leaves plenty of room for dealers.

A price list of the Yellow Crane Tower investment policy obtained by a reporter from Blue Whale Finance shows that if a dealer makes a payment of 39,800 yuan, he can purchase a product with a retail price of 10 yuan at a price of 5.3 yuan, which means that the dealer 47% of the profit margin is operating; you can purchase it at a price of 4.3 yuan with a payment of 99,800 yuan, and the profit margin is greater. And the higher the price of a single package, the greater the profit margin. The official franchise information of another brand, Zhang Xinfa, shows that a total investment of about 220,000 yuan in an 80-square-meter specialty store in a fourth-tier city can make a profit of 261,600 yuan in one year.

Regarding this policy, a food distributor told a reporter from Blue Whale Finance: “As long as you dare to do it, the effort is strong enough and you will definitely make money.”

The confidence of the dealer’s words stems from the addictive nature of betel nuts. According to industry insiders, betel nut is a fast-moving product in the fast-moving field. The annual sales of dealers are generally between 50 million and 100 million yuan. The prospect is very broad, and it is developing rapidly, with high profits and large return on investment.

Because of this, the layout of betel nut is getting faster and faster. Some consumers on the Internet said that when they were going to school in Changsha in 2006, they could only buy one or two brands of betel nuts. In 2010, the surrounding betel nuts of the graduate school were already dazzling. When I went to Shanghai on business in 2013, I went to Nanjing on business in 2015, and when I went to Beijing on business in 2017, betel nuts can be bought in big cities.

Lu Shengzhen told the Blue Whale Financial reporter that the manufacturer only talks about the benefits of betel nut, and avoids the harm to it. It is difficult for consumers to know exactly how harmful are areca nuts.

National standards are missing, and industry development urgently needs to be regulated

What is not commensurate with the 100 billion betel nut market is the construction of product standards. At present, the enterprises of Taste King and Zhang Xinfa adopt the local standard of Hunan: DB43/132-2004. Although the standard clearly stipulates specific physical and chemical indicators and other items, it is difficult for local standards to be implemented nationwide.

Due to the lack of standards, there have been fights in various places, and enterprises have suffered. In 2018, in the field of spicy tiao food, there were situations in Henan and Hubei due to the inconsistent local standards for spicy tiao, and Weilong was the most affected.

A person in the food legal profession told the Blue Whale Financial reporter that betel nut is addictive. According to relevant documents, betel nut is also a first-class carcinogen. With the rapid development of betel nut throughout the country, relevant standards and even relevant standards need to be formulated. The laws governing its development.

Many friends around the reporter reported that some relatives and friends regretted the cancer caused by long-term consumption of betel nut.

Nutrition expert Lu Shaofeng believes that betel nut needs a comprehensive understanding. First of all, betel nut is a kind of medicinal material that can refresh the mind. At the same time, betel nut is also a kind of spice, but the usual amount is very small. However, if chewed as a snack for a long time, it is harmful to the body and can lead to addiction. Addiction is mainly due to the alkaloids contained in it, which causes people’s dependence. In addition, chewing betel nut for a long time will also lead to mental dependence. “It feels comfortable to chew in the mouth, and it becomes a habit.”

As far as carcinogenesis is concerned, as early as 2003, the International Center for Cancer Research (IARC), a subsidiary of the World Health Organization (WHO), recognized betel nut as a first-degree carcinogen, that is, a substance that is determined to be carcinogenic to the human body. In the list of carcinogens published by the State Food and Drug Administration in 2017, there are three carcinogens related to betel nut, namely betel nut, tobacco-containing betel nut chew and tobacco-free betel nut chew. Xiangya Hospital of Central South University also conducted a survey in Xiangtan, and found that 66% of betel nut chewers had oral mucosal lesions, while the figure for those who did not chew betel nut was only 1.5%.

In fact, some places have already issued relevant regulations to restrict the development of the betel nut industry. In 1996, Xiamen issued a ban: Those who produce and sell betel nuts in Xiamen shall be ordered by the municipal administrative departments for industry and commerce to stop illegal activities and be fined between 1,000 yuan and 10,000 yuan. Anyone who eats betel nut in violation of the regulations shall be fined from 100 yuan to 1,000 yuan by the municipal administrative departments of health at all levels.

At that time, Xiamen became the only city that banned the production, sale and consumption of betel nuts. However, currently on the Meituan APP, there will be a link to sell the flavor king betel nut in Xiamen.

In 2019, the Hunan Betel Nut Food Industry Association also stopped all betel nut production enterprises in Hunan from all domestic advertising. In 2021, the advertising placement of Xiangtan Shop still appeared in the “Tucao Conference” program.

Some people in the legal profession even believe that betel nut sales should be stopped directly due to the addictive and carcinogenic potential. Lu Shengzhen believes that there is a market for betel nut as long as it cannot be restrained or there are no obvious restrictions. It has a long history of eating, and it has become a folk custom in the South. However, if there are definite side effects, they should be restricted through food supervision as soon as possible to reduce their harmfulness.

Zhu Danpeng believes that from the current point of view, reducing the harmfulness of betel nuts may lead to a change in its taste and loss of the market. Businesses do not have much motivation to do this. However, consumers are still advised to try their best to buy large-brand, high-quality products, which are relatively less harmful.

Bao Yikang President and CEO of Ericsson

[ 研究显示，智慧工厂每季度可以降低25%的能源消耗。 ]

The epidemic has delayed the speed of 5G deployment in 2020, but 5G deployment is still a priority task in various regions, and its deployment speed depends on the quality of existing 4G and fixed broadband in different countries.

As the world looks forward to reviving the economy after the epidemic, the governments of many countries, including the United States, have announced significant investments in digital infrastructure. Ericsson President and CEO Börje Ekholm said in an exclusive interview with a reporter from China Business News during the Boao Forum for Asia 2021 annual meeting that the pandemic has accelerated the ongoing digital transformation. “In fact, we are beginning to digitize enterprises in a new way.”

However, on a global scale, 5G has not yet officially landed globally, and governments of various countries are still relatively cautious in the supervision of 5G spectrum auctions and supplier selection. There are still policy risks in the commercialization of 5G technology.

In this regard, Bao Yikang said frankly, “Usually, unforeseen risks are often the worst. Like business risks and technical risks, although these risks may occur, you are at least prepared. The hardest things are not. Foreseeable things, this is where I think major problems are most likely to occur. We don’t expect these problems to happen, but this situation may exist.”

The epidemic accelerates digital transformation

China Business News: How has the epidemic changed or affected the deployment of global 5G technology?

Bao Yikang: The pandemic has accelerated the already ongoing trend to some extent. For me, the pandemic has indeed accelerated the ongoing digital transformation. In fact, we are beginning to digitize enterprises in a new way.

One thing that is obvious (not so obvious in China) is that in some other places, not everyone can be connected, and when you disconnect in the digital world, it is a disaster.

Therefore, it can be said that what 5G can do and has not really done is to bridge the connectivity gap. We now see some countries, such as rural Europe or rural America, where there is no connectivity. There, investment will go into infrastructure to bridge this connectivity gap. I hope this is something 5G can do-like providing fiber-like functions in the air.

China Business News: How do you evaluate the Biden government’s plans and prospects for digital infrastructure construction?

Bao Yikang: It is difficult to say exactly how it turned out. But I think it is very clear that American politicians are at least aware of the need to provide connectivity to the people, including students, so that they can truly study and work remotely from home. At the same time, we can also see that 5G technology will promote innovation in new scenarios and use cases. I think that recognizing the importance of connectivity is part of a comprehensive understanding. This is nothing new in China, because it has been part of the plan in China for a long time.

China Business News: What do you think are the policy risks of deploying 5G networks? On a global scale, 5G has not yet been fully deployed, and some governments have changed their ideas about 5G. In this field, what is your biggest concern?

Bao Yikang: Under normal circumstances, unforeseen risks are often the worst. Like business risks and technical risks, although these risks may occur, you are at least ready. The hardest thing is the unpredictable. This is where I think the most likely big problems will occur. We do not expect these problems to occur, but this situation may exist.

Looking for 5G killer apps

China Business News: In your opinion, what are the most promising 5G application scenarios (whether for consumers or for industrial use)?

Bao Yikang: What we see in enterprises is that by transforming the factory into a completely wireless network (the work scenario), all cables can be saved first. Nowadays, in any factory, there are a lot of cables, which you can save.

Second, it can have great flexibility: if the factory does not have fixed wiring, it is much easier to reconfigure the factory. Therefore, with the help of wireless connection, you can move the configuration around.

Finally, the wireless network allows you to connect all the equipment in the factory, so you can really create a digital copy of the factory very easily through wireless connection.

This brings huge benefits, allowing for more flexible manufacturing. I do believe that production will become more personalized, and when everything can be configured via the wireless infrastructure, it will become easier, adjustments can be made when production changes and everything will move together.

I think the entire smart factory and Industry 4.0 itself will be a big use case. But you can have multiple use cases within this scope. This is why the concept of a killer application is much harder.

A smart factory allows you to connect everything without wiring to create a “digital twin”, which can have more flexible production methods, such as drone monitoring of machines, or production monitoring for inspection. All of these appear together in the smart factory.

From a broader perspective, we can talk about the two interesting industries of automobiles and airports. Now everyone is looking for the so-called “killer apps.” In fact, after the infrastructure is complete, this kind of application will naturally appear. This may be beyond the scope of our discussion today.

In Paris, we are helping Air France and our partners provide services for the professional ecosystem of more than 120,000 people in these three major airports in Paris, involving approximately 1,000 companies of different sizes and in different industries. The private mobile network deployed by Ericsson provides a safe, fast and reliable private network solution for the airport. It is suitable for all indoor and outdoor spaces.

We just announced that we will cooperate with Orange Spain to empower the dedicated network of automotive design, testing, engineering and official certification companies (Applus+IDIADA). The private network will include 5G coverage to help develop and certify next-generation automotive applications and services. Orange Spain’s 5G private network will cover the entire site, helping to achieve proof-of-concept testing, development and technical certification. Autonomous driving technology, automated services, vehicle performance, telematics, and in-vehicle infotainment are the key points.

If you turn to the consumer side, I believe AR and VR will be dramatic. For example, you can wear AR glasses, and whether it is a game application or other immersive entertainment activities, it provides a lot of flexibility for creating new use cases.

In South Korea, 5G is providing rich content for games, ultra-high-definition video, and augmented and virtual reality-based applications.

Service providers in markets such as South Korea, China, and Japan are developing AR and VR-based services and tying headsets with 5G tariffs. By 2030, AR alone may bring half of the immersive media revenue for service providers.

Another important focus is gaming, including signing contracts and agreements with international gaming companies and providing innovative gaming services to 5G users. According to statistics from SK Telecom, as of the end of last year, 5G users used gaming applications 2.7 times more frequently than 4G users.

The key to improving 5G services is to build the network well. South Korea has proved this, users can migrate all of their business, and this will also encourage users to increase consumption.

Therefore, my confirmation is that 5G will be more dramatic than 4G.

Causes of 5G backwardness in Europe

China Business News: Some analysts believe that Europe is slightly behind in 5G construction. One view is that the rate of return on investment is not proportional to capital investment as the cause of this problem. In addition, there are also views that this is related to the aging of the population. The population aging in Europe is faster than that in China and the United States. What do you think is the reason why Europe is lagging behind in 5G construction?

Bao Yikang: China is actively building 5G networks, South Korea and the United States will also achieve 5G coverage as soon as possible, and Europe will lag behind in this process. This fact is very clear, unless something changes.

There may be several reasons for the backward 5G construction in Europe: first, 5G spectrum allocation and auction methods; second, 5G website access rights; third, whether to legislate to provide compensation to operators, communication operators pay a lot when building 5G networks Additional cost. I also want to say that the European communications market is relatively fragmented. There are three communication operators in China and 200 in Europe. Europe is an extremely fragmented market, so it is difficult for communication operators to obtain scale effects, and only by forming scale effects can a large-scale communication market be established.

CBN: You once said that the development of 5G can reduce global carbon emissions by 15%. How is this achieved?

Bao Yikang: The communication technology industry has applied smarter algorithms and better asset planning. For example, communication technology can turn off building heating or night air conditioning at night. Through the above practices, we can reduce global energy and carbon emissions, all of which rely on digital infrastructure.

For example, we built a smart factory in the United States. Compared with the old factory that installed a lot of cables, the new factory has realized wireless connection. We installed a lot of monitoring equipment to measure the differences in carbon emissions between the old and new factories. Research shows that smart factories can reduce energy consumption by 25% every quarter.

Therefore, we believe that industrial digital transformation can make a huge contribution to reducing emissions. This is the case in the oil and gas industry, and in the shipping industry, things similar to what we do in the United States can also be used to reduce carbon emissions.

If you believe that sustainable development can solve the climate crisis, I think telecommunications infrastructure and digital infrastructure will be one of the key components. I am excited about this. I think investment is expected to enter the field of green economy, which will also contribute to the development of our industry and the world.

China pushes up chip production for technology autonomy In addition to “Made in China 2025”, China also has a “dual circulation” strategy, with the ambition to introduce new technology standards different from the West. Fast but unstable With this new strategy, China moves towards a self-sufficiency policy, reducing dependence on foreign countries. Specifically, with semiconductor technology, China will mobilize its own human resources to develop a new-generation chip research, design and production network to disrupt the isolation created by the US. The trade war with Western countries is seen as a reminder to the Chinese leadership that the country cannot depend on imports but must develop domestic core technology and pursue leaps and bounds. technology, especially in essential industries like semiconductors. China has set out many goals to realize its ambition such as: fostering a contingent of domestic technology talent, building high-tech companies with global influence to expand the model of “sovereignty network “in order to strictly control the Internet. In addition, there is securing secure information infrastructure, enhancing state censorship and surveillance in the digital space, and building a managed and enhanced digital economy. network security capabilities. Beijing has also stepped up building a “digital China” towards fulfilling its future technological ambitions of the world in the fields of quantum computing, 5G, semiconductors, and blockchain technology. (blockchain), big data, artificial intelligence (AI), cloud computing and robotics. With the aim of accelerating the technology autonomy plan, China Development Bank prepared more than $ 60 billion in loans for more than 1,000 key businesses in its strategic innovation plan, and raised $ 30 billion for a new government-backed microchip fund. From March this year, news that Eastern Communications, a subsidiary of China Putian Information Industry Group (Potevio), will restructure and merge with China Electronic Technology Corporation (CETC) to make surplus. attention comment. The reason is that Potevio and CETC are both state-owned enterprises, run by the China State Assets Supervision and Administration Commission (SASAC). Potevio is an enterprise specializing in manufacturing telecommunications equipment, such as components for 5G infrastructure, server systems, memory, automatic teller machines. Potevio’s strengths relate to wireless communication and security. Meanwhile, CETC is the main supplier for the Beihou satellite system and is known to be a software and service provider for the Chinese military. The company also participates in the development of a Chinese version of the Windows operating system and develops many other areas such as the manufacture of semiconductors and antennas for 5G networks, and equipment for technology. self-propelled vehicle. The merger is intended to enhance the CETC’s resilience from US sanctions against the group’s companies, including Hikvision, the world’s top security camera maker. However, although China is actively promoting domestic technology development, it is difficult for observers to reach its goal of technological autonomy. In the past, Beijing had planned to spend 2.5% of its GDP on research and development, but actual spending has yet to reach that target. One area that has struggled with China is microchips, where most electronic products depend on it. In the past, Chinese companies were confused by the extremely complicated chip manufacturing process, so they decided instead of researching, they imported most of the necessary semiconductors. Over the years, although the government has supported the Chinese manufacturers to develop some chip manufacturing capabilities, the results have not been as expected. According to the Semiconductor Industry Association, Chinese chipmakers have received government subsidies of up to $ 50 billion over the past 20 years. Domestic companies also benefit from tax exemptions, free land, concessional loans, and priority purchases. Despite progress in chip design, China’s problem lies in its ability to produce high-end chips. China is currently only able to make mid-range chips because making semiconductor chips requires high precision. Many doubts The gradual technological autonomy has led China to a bolder plan: to export technology abroad. The dominant Chinese products in the world market are drones, laser equipment, equipment used in space technology, 3D printing, telecommunications equipment … China has taken advantage of Belt and Road Initiative (BRI) to implement this plan. Through the BRI, in Africa, China provides loans, exports technology and builds infrastructure to countries such as Guinea and Kenya, while exploiting the natural resources of the leading country. private. China has organized a number of technology fairs, digital economy with many countries participating in BRI such as: Digital technology fair with 17 countries in Central and Eastern Europe belonging to Group 17 + 1; Digital technology forum with 5 countries in Central Asia including: Kazakhstan, Uzbekistan, Tajikistan, Kyrgyzstan, Turkmenistan. These fairs aim to launch 1,334 digital and information technology projects along the “Digital Silk Road” corridor with 3 continents of Asia – Europe – Africa, of which, the focus is on regions. : Southeast Asia, Central Asia, Central Europe, Eastern Europe and East Africa. At the same time, to deploy new types of technology such as Internet connecting things, big data, digital infrastructure and project “Smart Africa” ​​with 26 countries in Africa. Major Chinese technology companies such as Huawei and ZTE expand their “Digital Silk Road” plan through Chinese-built fiber-optic networks, as well as equip local authorities with monitoring tools. Internet monitoring and censorship. There are no official technology export statistics for 2020, but the most recent report said that in 2019, China’s technology exports reached a trade value of 32.1 billion USD, equivalent to import value. This is a miraculous development, because 6 years ago, the proportion of export – import was 1 – 2. However, the technology “made in China” still caused many doubts. Observers say that Chinese companies are exporting “next generation surveillance systems” in several regions of the world, including Latin America. Venezuela alone, with the help of Chinese telecommunications conglomerate ZTE, has built up a database that can track citizens’ behavior through citizenship. The use of big data for security purposes is acceptable to the general public in South America, but after being widely used, those systems can be misused for espionage purposes. Moreover, according to observers, the Chinese technology industry, although developing rapidly, is not stable. This country has not mastered the technology of new generation chip production that the US, Japan, and South Korea are very proficient in. China’s domestic chip production will only meet 15.9% of the country’s demand in 2020, said IC Insights, a semiconductor research company in the US, compared with 15.1%. in 2014.