A little anxiety that I felt when I saw the smartphone "BALMUDA Phone" made by Balmuda

■ Serialization / Smartphone conference of Takayuki Horin, Atsushi Ishikawa, Junya Ishino, Asako Fusano

"Smartphone talk" that you can understand the back side of the industry by four people who are interviewing at the forefront of the smartphone industry. This time, we will discuss "BALMUDA Phone", which is Balmuda's first entry into the smartphone market.

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Is the strategy of Balmuda's first smartphone "BALMUDA Phone" correct?

Mr. Fusano: Balmuda has entered the smartphone market for the first time and announced the "BALMUDA Phone" as the first model. What kind of image do you have?

Mr. Fusano

Mr. Ishikawa: To be honest, we've been looking at various smartphones too much, and I think we're becoming more strict with Challengers, or we're getting harder. However, after looking at this industry for the past 20 years, there are many cases of failure, and I feel that the way Balmuda is attacking this time is "I want to support it, but it is dangerous."

However, I think it's a difficult place because new or interesting things cannot be created just by learning from those who have failed so far. I think the Japanese market is quite difficult, so it's annoying.

Mr. Ishikawa

Mr. Ishino: To briefly explain "BALMUDA Phone", I was particular about the basic application developed by myself and the rounded design as a whole with a "small smartphone". Since it is manufactured by Kyocera, there is a sense of security, and if you purchase it from Softbank, it will cost 40,000 yen (laugh)

Mr. Ishino

Mr. Ishikawa: The unique app is one of the differentiating factors, and Balmuda President Gen Terao says that people are overusing smartphones and are tied up. He said he was particular about the UI that can be used crisply in order to shorten the time to use the smartphone.

Mr. Gen Terao, President and CEO of Balmuda Co., Ltd.

Mr. Ishino: It's a story about whether you can pay 140,000 yen there. If you buy it from a manufacturer, it costs a little over 100,000 yen, but nowadays, there are many smartphones that you can get a good experience if you pay 100,000 yen.

Mr. Ishikawa: You can also buy a model equipped with "Snapdragon 888".

Mr. Ishino: That's right. A model equipped with a camera that can use a "UI like the α series" will be the same price as the carrier model. On the contrary, if "BALMUDA Phone" was to be released as a feature phone for about 50,000 yen, it might have had an impact (laughs).

Ishikawa: No, that's not true (laughs)

Mr. Ishino: I don't call it a feature phone, but I thought it would have been okay to make it a custom Android and shake it off so that it wouldn't even use the app store.

Mr. Ishikawa: I think it's new to create an "app that doesn't use apps very often". Manufacturers who receive orders from carriers are basically particular about how to use the app for a long time and generate communication, and high-end chipsets use it more quickly. It was created with the idea that the larger the screen, the more videos you can watch, and Sony has embodied it. I think it's interesting that the product doesn't fit into the logic of the career because it has a different approach.

Actually, it is better to sell only the SIM-free model from the manufacturer, but considering the risk management that sells to some extent, the involvement with the carrier is important. Isn't it a smartphone that is interesting but feels awkward?

Mr. Horin: I don't think Balmuda's idea itself is wrong, regardless of whether or not to buy the "BALMUDA Phone" for 100,000 yen. However, if you take a look at Ishikawa-kun's story, today's carriers should not think of developing terminals to generate communications. Rather, as a user experience, I'm too caught up in the idea that "the screen should be big because you watch videos", so I think it's good to make a terminal that fits in your hand and can be used quickly.

There is a part that I can sympathize with President Terao's way of thinking, but as Mr. Ishikawa said, looking back on the manufacturers that have failed so far, I am worried whether they can really continue.

Mr. Horin

Mr. Ishikawa: As I mentioned in the question and answer session, the investment amount is 3 billion yen, so if you simply divide it by the selling price of 100,000 yen, the sales target will be 30,000 units, but it will be delivered to Softbank. Sometimes the amount will drop a little more, so I think it's a little less.

Mr. Horin: Given that, it's not a big business, but Balmuda has a certain number of Balmuda fans, so considering that there are people who buy it in addition to those people, it has become a solid business to some extent. There is. But is it okay to run out of stock? I also think.

At the recital, we talked about "summer fans, winter humidifiers", but since these are seasonal, it doesn't matter if they are out of stock during the opposite season. Smartphones are no longer "annual", so I think it's tough to think that this number will last for a year.

The good thing about the presentation is not to "touch the device", but to write a sentence or watch a movie, so it's important to make it as short a step as possible. Theme. The recently officially released "Windows 11" is also prominent, and is designed to work as directly as possible.

Balmuda thinks it's an interesting direction to implement the basic app almost on the home screen. However, I think it's difficult to keep up with Android 12 or 13.

Windows 11

Ishikawa: That's right. Android 12 is quite different from Android 11.

Android 12

Mr. Horin: The people involved in Balmuda are not only those who do not know the mobile phone industry, but also those who have transferred from other terminal makers, and considering that Kyocera will be in charge of manufacturing, there. I don't think it's going to be bad. However, there are many issues when considering growing as a business, and although Balmuda is known to the world for toasters and electric fans, I am a little worried.

Mr. Ishino: Also, it's different from the so-called "winning pattern" when selling toasters and electric fans. At that time, there was no manufacturer that was so particular about the design of toasters, and when it comes to baking cool and delicious bread, I understand that it sells even if it is a little expensive, but smartphones are originally multifunctional, and the surroundings Looking around, I don't think there are almost any “bad” smartphones. I know it's rounded and fits in my hand, but I think it's a differentiator for differentiation.

Mr. Horin: Certainly, when you actually get the "BALMUDA Phone", there are moments when you feel that it is different from other smartphones. However, smartphones are something that you touch for a surprisingly long time in your daily life, so I think you'll get used to it. I wonder if there is a problem that it becomes less interesting once you get used to it.

Mr. Ishino: I wish the price was 50,000 yen. If the price of a product with the same specifications from a manufacturer such as Huawei or OPPO is about 10,000 yen, you may have bought it thinking "It's a little expensive but it's cool", but 140,000 yen. I think it's a little ... Of course, there is also the influence of Softbank's "new profitable support", but for smartphones over 100,000 yen, I wanted some more added value. The main camera is also single.

Mr. Ishikawa: For example, "Baking delicious bread with a toaster" or "The wind of a fan feels good" is not a spec, but a feeling and experience, so I think there are people who can pay for it. Smartphones aren't that good, or they're a world of performance, so a single lens with a Snapdragon 765 and a battery capacity of 2500mAh would be too weak compared to other companies.

Mr. Horin: Of course, it's not just a matter of comparing specs side by side.

Ishikawa: That's right. However, Balmuda's strength was not the specs, but the experience, but he jumped into the world of competing specs. It may be the idea of ​​increasing the experience value with an original application, but it is strict.

Looking back on the past, various manufacturers such as Sony and Sharp were doing differentiating in applications, but only Samsung and Chinese manufacturers are still continuing. It is difficult to exhaust your physical strength here, and even from the perspective of Android users, it is difficult to switch because the UI changes. I'm worried if I can update the OS, apps, and security patches in a stable manner.

Mr. Horin: It seems that Kyocera will take care of updating the security patch, so it's safe to some extent. Personally, I'm scared of support and guarantees.

Mr. Ishino: Another thing I was interested in was that "I developed my own clock app and calendar app because the default app is difficult to use," but the comparison targets are all iPhones. I wonder if the original apps of manufacturers that use Android OS such as Samsung, OPPO, and Xiaomi are usually easy to use, so they are differentiating.

Mr. Horin: Overall, I feel that something is missing. Even though I made an application, I can buy "OPPO Reno5 A" which is waterproof and dustproof with the same CPU for about 30,000 to 40,000 yen, but why 100,000 yen, 140,000 yen from Softbank Will it become?

OPPO Reno 5

Mr. Ishino: It's about three times as much. It's a little hard to come by.

Mr. Ishikawa: The problem is that SoftBank's pricing is based on the premise that it will be purchased two years later with "new profitable support."

Mr. Ishino: The ratio of adding money is high, isn't it? For example, if you add about 30,000 yen to a terminal that originally costs 200,000 yen or more like "Galaxy Z Fold3 5G", you can understand it, but if you add 40,000 yen to a terminal that originally costs 100,000 yen, it will be about 33%. It will be like "SoftBank tax".

Galaxy Z Fold3 5G

Mr. Fusano: "New profitable support" is contracted in four-year installments, and the device can be returned in two years, so the price is actually half.

Mr. Ishino: That's right. So if you trade in it, you can use it for about 70,000 yen for 2 years.

Mr. Ishikawa: I wondered if Softbank would buy that device for 70,000 yen two years later.

Mr. Horin: Android smartphones are affected by the rarity of the model and the height of the original specifications. Older models of the Galaxy's S-series and Note-series are still sold for a decent amount of money. When this becomes a model like the AQUOS sense, which is originally cheap, the story changes completely. That's why SoftBank has set a higher selling price, isn't it?

Mr. Ishino: It is said that Balmuda products are expensive, but toasters are still around 24,000 yen. Of course, it is expensive for a toaster, but considering the absolute amount, it is a bit tough for a smartphone price of about 40,000 to 50,000 yen to reach 140,000 yen.

Mr. Horin: For example, I understand that you can buy a fan for about 3,000 yen if it's cheap, but you brought a product for 30,000 yen and sold it, but the fan is a product that only sends wind and the price is also high. It's all down, so if you bring a product for 30,000 yen there, it's understandable that people who "want a better one" will bite. However, smartphones are not so, so I think that it is a little weak to motivate people who are not fans of Balmuda to buy "BALMUDA Phone".

Mr. Ishino: I think I brought the "wind" of a fan or the "deliciousness" of a toaster or coffee maker to an "original app", but after all, if you are not satisfied with the default app for smartphones, you can do it yourself. You can install whatever you like. I thought the strategy was like a feature phone.

Ishikawa: Didn't Google's default app come in?

Mr. Horin: It's compatible with Google Play, so you can put it in normally. The app can be inserted normally, but I feel that the SIM card specifications are more problematic, and the SIM card that can be used differs depending on the purchase route. Both are SIM-free terminals that are not SIM-locked, but the BALMUDA Phone purchased directly from Balmuda cannot communicate with SoftBank's normal SIM card, and the SIM card provided by SoftBank for SIM-free terminals. I have to prepare. However, since it is SIM-free, it is in a mysterious state that NTT DoCoMo, au, and Rakuten Mobile SIM cards work without doing anything.

The problem with Softbank's SIM card has been pointed out for quite some time, and I have stated that it will be fixed, but I haven't done it yet. Since it is a smartphone sold by Balmuda, people who are not very familiar with technology will touch it, so it is a pity that we have to be more careful, but we have not been able to handle it. It's a problem on the Softbank side, but ...

What "IoT" should look like from the smartphones of home appliance makers

Mr. Fusano: With the release of smartphones from Balmuda, cooperation with other home appliances was expected, but the president denied it.

Mr. Ishino: Well, I understand that, especially when I was able to control the toaster with a smartphone ... (laughs)

Mr. Horin: President Terao said that the home appliances side had to be changed so that they could connect to the Internet, but just because something was digitized does not mean that everything will change. For example, if you send the invoice as a PDF, the person who receives it will automatically send it to accounting, the accounting will automatically calculate it, and Ishikawa-kun's manuscript fee for this month will be transferred from the net. It can be said that it is digitized, but if the cash was finally delivered in an envelope, it is not digitized. If you want to do IoT, you have to improve the environment on the home appliances side, and since home appliances in the home are basically not integrated into one company's products, more things have to change.

Mr. Ishino: Especially since Balmuda's home appliances are toasters and electric fans, it is also a story that it needs to be connected to Wi-Fi and controlled from the outside.

Mr. Horin: When the bread is baked in the toaster oven, I know if the notification comes to the smartphone, but isn't it necessary? (Smile)

Mr. Ishino: After all, who is the one who sets the bread on the toaster and takes out the baked bread (laughs)

Mr. Horin: As soon as the name Balmuda comes out, it tends to be linked to the IoT, but it's not that easy. It was an impression that President Terao knew that well.

Mr. Ishino: Especially, Balmuda's home appliances and smartphones don't go well with each other.

Mr. Ishikawa: Even Samsung hasn't been able to make IoT properly, so it's not that easy.

Mr. Ishino: However, products like "smart remote controls" are convenient.

Mr. Horin: It's an infrared ray that is used instead of a remote control. I think the starting point is that strange.

Mr. Ishino: That is convenient because you can turn on the air conditioner from your smartphone before you get home.

Mr. Ishikawa: Considerable literacy is required to master IoT at home. Every time I set it, I think it's annoying (laughs)

Mr. Horin: I wonder why you have to make such elaborate settings (laughs).

Mr. Ishino: Since all of my homes use LED electricity, I connect it to a smart remote controller and operate it with "Google Home". It's convenient to be able to operate with just your voice. But in the end, Balmuda has to be filled with bread (laughs).

Mr. Fusano: Once you put the bread in, you just have to press the button (laughs).

Mr. Ishino: You just have to press a button on the electric fan. Even if you turn the fan so far, the wind won't reach you.

Mr. Ishikawa: You should reach out that much (laughs) After all, coffee makers have to put in coffee beans and water by themselves and wash the filters by themselves. I really want the machine to do that work automatically.

Mr. Ishino: Based on these things, when I return to the smartphone, I wonder what it is like Balmuda. I thought it was difficult.

Mr. Ishikawa: In the first place, the iPhone did not sell at all at first, and it finally got on track thanks to Softbank's distribution as a 0 yen terminal, so if Balmuda is serious about doing it, it will take more than 3 years to name it. Follow-up such as selling and updating the OS regularly will be necessary.

Mr. Ishino: President Terao has said that he will continue to make devices, and he also hinted at the appearance of tablet-like devices, so I would like to look forward to it. However, in the presentation, I said that "smartphones in recent years are uniform", but I wonder if they are so uniform.

Ishikawa: I think that's because I'm only looking at the iPhone. The iPhone certainly doesn't look good in the last few years, but Android smartphones are becoming more diverse.

……Continue!

Next time, we will have a meeting about Apple Pay's WAON support. Please stay tuned.

Takayuki Horin writes review articles for digital-related products such as smartphones, mobile phones, and personal computers, and commentary articles for beginners, focusing on Web media and magazines. He has written many books such as manuals. Opinion number of the mobile industry.

Atsushi Ishikawa After joining Nikkei Home Publishing Co., Ltd. (currently Nikkei BP), he became independent in 2003. He covers not only domestic carriers and manufacturers, but also Google and Apple. He appeared as a lecturer on NHK E-Tele "Hobby Doki! My First Smartphone". He is publishing an e-mail magazine "Smartphone Industry Newspaper (540 yen per month)".

Junya Ishino Joined Takarajimasha after graduating from Keio University. After becoming independent, he has been active in a wide range of media as a mobile journalist / writer. He has authored numerous books such as "Keitai Children" (Softbank new book) and "Easy to understand in one hour" (Mainichi Shimbun).

After being involved in editing mobile phone magazines at Asako Fusano Publishing, she became independent as a freelance writer from 2002. As one of the few female writers in the mobile industry, she writes in magazines and web media, focusing on introducing mobile devices from a female perspective.

Composition / Mikihiro Nakama / Fumihiko Sato