CHINA DAILY THURSDAY, JUNE 14, 2012 businesscompanies 15 Apple courts local developers in bid for larger market share

By TUO YANNAN and iPad models arrive on the market,” said total searches on mobile devices last year, fol- and GAO YUAN Yan Xiaojia, an analyst at Analysys Interna- lowed by Easou.com with 21 percent, and Ten- tional. cent Holdings Ltd’s Soso.com at 20 percent. Apple Inc is embracing Chinese developers Yan added that the market size for Apple Google only held 11.1 percent, according to in a bid to increase its market share in China. map applications is estimated to be more than Analysys International. AutoNavi’s navigation application showed 100 million customers. Th e possible deal between Baidu and Apple up on Apple’s latest operating system on Tues- Apple is also developing its own map appli- “was aimed more at gaining publicity than day, replacing the Google map application. cation, Yan said. boosting Baidu’s share in the mobile market, The change follows reports that Apple AutoNavi said its free mobile map applica- because iPhone users are a minority among will replace the Google search engine on its tion had 52 million users and more than 29 Chinese mobile phone users”, said Li Zhi, a iPhones with Baidu Inc’s. million monthly active users at the end of the senior analyst with the research company, in TECH “AutoNavi’s Apple map team was fi rst quarter, compared with a total of 40 mil- an earlier interview with China Daily. established two years ago. Th e team lion users and more than 20 million monthly AutoNavi was listed on the NASDAQ now has more than 100 employees,” Yang active users in the last fi scal year. Global Select Market in July 2010. In May, it Yongqi, vice-president of AutoNavi Holdings “AutoNavi’s mobile phone navigation ser- reported $26.9 million in gross profi t in the Ltd, said on his micro blog. vice was the top mobile phone-based naviga- fi rst quarter, a year-on-year increase of 49.6 After Apple’s new CEO Tim Cook took tion system in China, with nearly 39 percent percent. over, he made many moves to strengthen of the market in the first quarter,” said Yin Automotive navigation was AutoNavi’s Apple’s presence in China. He visited the Xinglong, also an analyst at Analysys Inter- most profi table sector. It generated more than country and met with high-level government national. $35 million in net revenue in the fi rst quarter. offi cials in March. His predecessor, Steve Jobs, In China, 284 million people use mobile But the company’s mobile and Internet loca- LIU YANRUI / FOR CHINA DAILY never visited the country. Internet maps to navigate. AutoNavi map and tion-based businesses delivered $9.9 million in An Apple Inc store in Beijing’s Xidan shopping district. The company will open two more Recent reports said that Apple will open technology applications lead the market with net revenue over the same period. stores in China, according to recent media reports. two more stores in China, leading analysts a 25.9 percent share, while Google’s share in “Th e increases were primarily because of to believe that the company will place greater the sector was only 16.7 percent in the fi rst the growth in revenues derived from the pre- CHINESE MOBILE MAP APPLICATIONS emphasis on the world’s biggest smartphone quarter, according to Analysys International. installation of the company’s navigation solu- 14.4% 16.7% market. According to recent Chinese media reports, tions on mobile phones,” AutoNavi said in its First-quarter market share Others Google AutoNavi 25.9% Map applications are one of the most popu- Google services will be replaced by Chinese fi nancial report. Careland 6.0% lar application categories in the App Store. search engine provider Baidu’s on Apple’s Tigerknows 6.0% “Based on Apple’s huge customer base, iPhones, which may further reduce Google’s Contact the writers at tuoyannan@chinadaily. Nokia 8.6% Source: Analysys International 6.6% Apple is very likely to become an important role in China’s search engine market. com.cn and [email protected] Mapbar map provider once the next generation iPhone Baidu accounted for about 35 percent of Chen Limin contributed to this story. LI YI / CHINA DAILY Baidu 9.5% Navidog 6.3% HK-Japanese consortium plans electric future for troubled Saab

By LI FANGFANG administrators confi rmed in an statement based Zhejiang Youngman Lotus Automobile tric car version of the vehicle. has no expertise in the electric vehicle sec- [email protected] that the carmaker had been sold. Co Ltd and Pang Da Automobile Trade Co. It had also talked about plans to produce a tor. Th e idea of making an electric Saab is a Filing for bankruptcy in December, Saab, Last October, Pang Da and Youngman Japanese small electric car model and devel- dream.” A consortium completed a deal on including Saab Powertrain and Saab tools, agreed to a joint $140 million takeover of op the next generation of its Saab 9-3 series, In his view, the electric vehicle sector still Wednesday to save the ailing Swedish auto- ran into debts of about 13 billion kronor. Saab, including the parts unit and its UK which was estimated to cost 2 billion kronor has at least 10 years until it becomes mass- maker Saab AB, which announced its bank- National Electric Vehicles Sweden AB — 51 dealer network, which would have given over the next 18 months. market, “so it’s risky to put such heavy invest- ruptcy in December. percent owned by Hong Kong-based National Youngman a 60 percent stake in the Swedish All the vehicles would be produced in the ment into electric development, based on a Th e consortium National Electric Modern Energy Holdings Ltd and 49 percent company and Pang Da the remaining share. future bearing the Saab badge. traditionally ailing Saab brand”. AUTO Vehicles Sweden AB will pay 1.5 controlled by Japanese venture-capital com- However, that bid was held back by Gen- Zhong Shi, an industry analyst in Beijing, Moreover, he added that “even targeting billion to 1.8 billion Swedish kro- pany Sun Investment LLC — was formed by eral Motors Co, which has both preferential said he was still worried about the future traditional combustion engine powered nor ($212 million) for the bankrupt Saab, the two parent companies for the acquisition. shares and technology ties with Saab. of Saab, especially its electric aspirations, vehicles, updating the Saab technology will excluding its separate Saab Automobile Parts Th e deal would appear to have fi nally closed Th e Sweden-based car company said that despite the deal announcement. require far more of a capital injection, and AB unit. the shutters on a possible bid being put togeth- it aims to develop a pure electric vehicle “Th ere should be no relationship between even then, making it profi table would be a Bloomberg also reported that Saab’s er during the past year by Chinese mainland- based on the Saab 9-3 and the ePower elec- Saab and electric vehicles,” Zhong said. “Saab huge challenge”.

winespecial Grape quality vital to Chinese wine’s global success

By WANG QIAN been introduced by many overseas winemak- Last year saw wine consumption in China yuan from its total sales, generating tax of and ZHAO RUIXUE in Jinan ers as a top option to color their wine. increase by 33.4 percent year on year to 156 3.4 billion yuan. Today, the company grows a wide assort- million 9-liter cases containing 12 bottles Th e company is listed at both A-share mar- Leading foreign winemakers have been ment of grapes in the Xinjiang Uygur and per case. ket and B-share market. Its A-share domi- coming in droves to China in recent years in Ningxia Hui autonomous regions, Shan- Th e report also indicates that consumption nated branch company had revenue of 6.03 an attempt to carve out a piece of one of the dong, Shaanxi, Liaoning provinces, and is set to grow by 54.25 percent between 2011 billion yuan last year, an increase of 20.96 world’s fastest-growing wine markets. around Beijing on a total of 20,000 hectares and 2015. However, the annual per capita percent over 2010. The branch company Meanwhile, domestic companies like of land, accounting for a quarter of China’s consumption of wine in China only stands has given a total of 4.5 billion yuan worth of Changyu Pioneer Wine Co Ltd, China’s old- grape-planting regions. at 1 liter, much lower compared with the 56 dividends since it is listed at A-share market est and largest wine producer, are grabbing “We use varied modern techniques for liters consumed by the French. in 2000. more global attention with unique oriental grapes from different vineyards. Grapes Such a huge potential of the wine market in “China’s high-end wine market is expand- fl avors. from diff erent regions have a diff erent fl a- China has attracted producers from Europe ing fast. We will spare no eff ort to look for “With 120 years of experience in vinicul- vor, so they’re used for various types of and the Americas. Statistics show there are more cooperation with overseas chateaus to ture and the wine business, Changyu has wine,” said Li Jiming, Changyu’s chief engi- more than 3,000 overseas wine brands at Chi- provide quality wine produced in 17 major grown into one of the nation’s top producers neer with a doctor degree in viniculture. nese market, further diversifying the market. grape growing areas all over the world,” said and can rival the world’s best in grape plant- Th e company also pays much attention to Although there are stiff challenges from Zhou. ing, processing technology and scale,” said the sugar content of the grape. It elaborately overseas brands, Chinese wine brands are Now, the company has established 10 Zhou Hongjiang, general manager of the selects the grape type and grows them in now showing confi dence as more and more high-end chateaus across the world and its company. proper regions to make grapes have more made-in-China wines frequently stand out high-end wine has developed into brands Based in Yantai, East China’s Shandong sugar content. among overseas brands on the global stage. competing with overseas wine. Th ey are fre- province, the company is committed to pro- “The average sugar content in grapes One major force among these Chinese quently served at international banquets and moting its competitive edge by maintaining from vineyards in Xinjiang and Ningxia wine brands is Changyu, with brand value also selected as a State gift to world renowned innovation and continuously supplying new can reach more than 23 percent, a fig- standing at $3.2 billion, up 77 percent over elites including former American President wine-making technologies. ure which is seldom seen even in Bor- 2010, according to the report. Bill Clinton, former Japanese Prime Minister With 120 years of experience deaux, France’s prominent wine produc- “The complicated wine market here Yasuo Fukuda and fi nancier Warren Buff ett. Quality grapes in viniculture and the wine ing region,” said Cheng Guoli, Changyu’s offers us both challenges and opportuni- “With all these eff orts, Changyu will be on Changyu’s eff ort to grow its own grapes business, Changyu has grown senior agronomist. ties. I believe we are capable of rivaling any track to play a vital role in the world’s high- for high-end wines began in 1892, when ‘‘ “Now, Changyu can control the sugar other wine as we have sound terroir condi- end wines market,” he said. founder Zhang Bishi, an overseas Chinese into one of the nation’s top content of grape between 18 percent with tions, quality grapes, and competitive sales from Indonesia, imported more than 120 producers and can rival the 23 percent, which ensures the diversity of network,” Zhou commented on the current Contact the writers at types of young vines from Europe. world’s best in grape planting, its products,” Cheng said. complicated wine market. [email protected] and However, the exotic vines did not take processing technology and “Growers tend to sell their best grapes Last year, Changyu gained 12.4 billion [email protected] to the local geographical conditions, and to us because our price is based on sugar most of them failed to survive. To solve this scale.” content. Th at means the price for grapes that problem, Zhang carried out numerous fi eld ZHOU HONGJIANG are rich in sugar is higher than the market trials and fi nally managed to cultivate a new GENERAL MANAGER OF CHANGYU PIONEER WINE CO standard,” Li said. variety of “cabernet gernischt” by graft ing LTD “Fine wine is 70 percent dependent on the imported vine with a kind of wild vine in good grapes and 30 percent on the wine- northeast China. making process. Top-class grapes are the With rich sugar content and high resis- fundamental element of a top-class wine tance to pests and diseases, this special type can be available in more than 3,000 super- company,” Li said, explaining why the com- of grape peculiar to Yantai has proven to be markets, shops, fi ve-star hotels in Europe, pany pays so much attention to planting a winner for the company and gotten widely and even the fi rst-class cabins of Luft hansa grapes. international recognition. German Airlines. “To meet growing demand, we will con- Changyu Jiebaina, a type of dry red wine It is only one of the high-quality grapes tinue to expand vineyards and aim to have made from this grape, was created by the Changyu has cultivated. In recent years, the world’s largest grape-growing area with company in the 1931 and rated as one of a total of 50 million yuan ($7.9 million) an annually production of 400,000 tons of the world’s top 30 wine brands in 2008 has been allocated to developing cabernet grape in fi ve years,” said Li. Salon International de l’Alimentation held gernischt growing areas and eight new vari- in France. eties have been cultivated. Global stage Since 2006, the Changyu Jiebaina has been In 1970s, Changyu developed two new China is currently the world’s fi ft h larg- exported to some 14 countries across the varieties of grape — “Yan 73” and “Yan 74”. est wine consumer aft er the United States, world, including Germany, Italy, and France. Th ey can be used to give the wine a natural Italy, France and Germany, according to the PHOTOS PROVIDED TO CHINA DAILY It is the fi rst China-made wine that has really red color because the color of their juice is 2012 China Wine Market Report released Laurenz Moser, Austrian famed vintner gives his approval of Changyu’s management of its entered the European mainstream life and six times that of the normal grape. Th ey have by International Wine and Spirit Research. grape planting areas.