{"id":342340,"date":"2017-05-31T12:17:40","date_gmt":"2017-05-31T04:17:40","guid":{"rendered":"http:\/\/techcrunch.com\/?p=1497446"},"modified":"2017-05-31T12:17:40","modified_gmt":"2017-05-31T04:17:40","slug":"essentials-road-to-mainstream-success-is-a-ten-year-play","status":"publish","type":"post","link":"https:\/\/people.utm.my\/asmawisham\/essentials-road-to-mainstream-success-is-a-ten-year-play\/","title":{"rendered":"Essential\u2019s road to mainstream success is a ten-year play"},"content":{"rendered":"<p><img decoding=\"async\" src=\"https:\/\/tctechcrunch2011.files.wordpress.com\/2017\/05\/screen-shot-2017-05-30-at-9-48-44-pm.png?w=738\" class=\"\"\/><\/p>\n<p id=\"speakable-summary\">When Andy Rubin returns to smartphones after a few years in the wilderness, the tech press is going to take notice. Sites will speculate endlessly about teasers and report breathlessly about each small nuance ahead of launch. All of that comes with the territory when you\u2019re the driving force that brought Android into the world.<\/p>\n<p>For the phone-buying public, however, Rubin is not yet a household name. For mainstream consumers, his connection to a project isn\u2019t enough to make a device stand out on store shelves alongside countless other Android devices. Following <a target=\"_blank\" href=\"https:\/\/www.recode.net\/2017\/5\/30\/15710048\/watch-andy-rubin-creator-google-android-live-today\" rel=\"noopener\">Rubin\u2019s interview at the Code Conference<\/a>, and a mere month away from <a target=\"_blank\" href=\"https:\/\/techcrunch.com\/2017\/05\/30\/android-creator-andy-rubins-essential-phone\/\" rel=\"noopener\">the Essential Phone\u2019s<\/a> ship date, the product and <a target=\"_blank\" href=\"https:\/\/www.essential.com\/\" rel=\"noopener\">the company\u2019s website<\/a> like a collection of good \u2013 or at the very least, compelling \u2013 ideas without a central thesis. Aside from offering something different, what does a phone like this have to offer consumers who are already awash with different smartphone choices?<\/p>\n<p>During the conversation, Rubin touched on some of the motivating factors that drove him to launch both Essential and its <a target=\"_blank\" href=\"https:\/\/techcrunch.com\/2017\/05\/06\/playground-hardware\/\" rel=\"noopener\">investor\/incubator Playground<\/a>, rather than simply embracing a much-deserved retirement. \u201cI\u2019m somewhat responsible for creating this problem,\u201d the Essential CEO told Walt Mossberg on stage. \u201cAnd this problem is over-complication of technology.\u201d<\/p>\n<p><span class=\"embed-youtube\"><iframe loading=\"lazy\" class=\"youtube-player\" type=\"text\/html\" width=\"640\" height=\"390\" src=\"https:\/\/www.youtube.com\/embed\/HCjjnVNXDLI?version=3&amp;rel=1&amp;fs=1&amp;autohide=2&amp;showsearch=0&amp;showinfo=1&amp;iv_load_policy=1&amp;wmode=transparent\" allowfullscreen=\"true\">[embedded content]<\/iframe><\/span><\/p>\n<p>Essential, then, is an attempt to fight fire with fire \u2013 to address the problem of overcomplicated technology (that is due, in part, to the Android monster he helped create) by launching yet another phone and smart home hub. And certainly the company seems to be tempering its own expectations and the expectations of the press in the process.<\/p>\n<p>In an interview that ran earlier today, Jason Keats, the company\u2019s head of product architecture <a target=\"_blank\" href=\"https:\/\/www.wired.com\/2017\/05\/essential-andy-rubin\/\" rel=\"noopener\">told <em>Wired<\/em><\/a>, \u201cwe\u2019ve gone after technologies and methods of manufacturing that aren\u2019t designed to support 50 million devices,\u201d he says. He wants Essential to think like a high-end watchmaker, not a commodity gadget builder.\u201d<\/p>\n<p>And Rubin seems fairly confident that the company has a healthy support structure in place to help it grow at a decent pace. \u201cIt\u2019s a typical venture-backed company,\u201d he told Mossberg. \u201cPlayground is one of the investors. We\u2019ve raised a substantial hundreds of millions of dollars. The margin structures on these things are confidential, but our investors are confident that we can get to a very interesting business very quickly.\u201d<\/p>\n<p>Of course, \u201cinteresting\u201d and truly successful aren\u2019t always the same thing.<\/p>\n<p>In an interview following the big unveil, Essential President and COO Niccolo de Masi told TechCrunch that the company\u2019s immediate goal is building a trusted brand. And that, naturally is a slow burn, particularly when so many consumers have already chosen sides in the smartphone battle.<\/p>\n<p>\u201cThis is a long-term play. This is a pro-consumer long-term play,\u201d he explained. \u201cWe\u2019re focused on innovation first and solving consumer pay points. We\u2019ll delay maximizing profitability until the company is more mature because we\u2019re building a brand here. My passion is about building a new consumer love brand and the reality is that takes time and you need to show innovation repeatedly.\u201d<\/p>\n<p>The company\u2019s focus, de Masi added, is closer to a ten-year play \u2013 an ample period of time to really build up consumer loyalty by consistently releasing quality products. And over that time, the company will begin to build more scale, in order to address a (hopefully) expanding consumer base. And scale, he adds, is a relative thing, pointing to the Google Pixel\u2019s reported 2.5 million sales \u2013 a bomb by Apple and Samsung standards, but a success story if you\u2019re some smartphone startup.<\/p>\n<p>Wishful thinking, perhaps, but de Masi likened Essential\u2019s growth potential to the original iPhone, sales that were hampered in part by Apple\u2019s inability to manufacturer enough phones to meet demand. \u201cWe will effectively run a similar growth trajectory probably to what you saw with Apple\u2019s approach to the iPhone,\u201d he explained. \u201cThey sold a million in the first year. Not because there wasn\u2019t demand for more, but because they could build more than that when it came to capacitive touch-resistant screens.\u201d<\/p>\n<p>For Essential, those roadblocks are things like the titanium shell that encompasses the device, a departure from the standard aluminum that graces most handsets. And when you cut through the abstraction and somewhat scattered messaging of the material issued around launch, that\u2019s precisely what the company sees as its selling point for consumers: premium build at a reasonable pricing.<\/p>\n<p>The future-proofing modularity and the coming ecosystem play that brings the Essential Home hub into the fray are all parts of the long-term play. The company believes that those consumers who pick their maiden device off a store shelf rather than any of the competition will do so because it stands apart from the countless me-too devices that have flooded the market in recent years.<\/p>\n<p>And de Masi admitted that the company hasn\u2019t gone out of its way to offer a succinct unified front on device messaging. \u201cWe want our device and brands to speak for themselves,\u201d he told TechCrunch. \u201cWe will not be spending a lot of money doing traditional, above-the-line advertising. We\u2019re putting our energy, money and all of our opportunity cost into the product quality. And we think consumers will see and learn about our brand through the products and what they can do.\u201d<\/p>\n<p>It\u2019s a long-term play, and an embrace of patience that really isn\u2019t a part of an industry so devoted to fawning over the next incremental update. But with a healthy dose of funding and tempered expectations with regard to steady, organic success, perhaps Essential can build something meaningful on its own timetable.<\/p>\n","protected":false},"excerpt":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" width=\"680\" height=\"395\" src=\"https:\/\/tctechcrunch2011.files.wordpress.com\/2017\/05\/screen-shot-2017-05-30-at-9-48-44-pm.png?w=680\" class=\"attachment-large size-large wp-post-image\" alt=\"\" srcset=\"https:\/\/tctechcrunch2011.files.wordpress.com\/2017\/05\/screen-shot-2017-05-30-at-9-48-44-pm.png?w=680 680w, https:\/\/tctechcrunch2011.files.wordpress.com\/2017\/05\/screen-shot-2017-05-30-at-9-48-44-pm.png?w=150 150w, https:\/\/tctechcrunch2011.files.wordpress.com\/2017\/05\/screen-shot-2017-05-30-at-9-48-44-pm.png?w=300 300w, https:\/\/tctechcrunch2011.files.wordpress.com\/2017\/05\/screen-shot-2017-05-30-at-9-48-44-pm.png?w=768 768w, https:\/\/tctechcrunch2011.files.wordpress.com\/2017\/05\/screen-shot-2017-05-30-at-9-48-44-pm.png 1353w\" sizes=\"(max-width: 680px) 100vw, 680px\" \/>&nbsp;When Andy Rubin returns to smartphones after a few years in the wilderness, the tech press is going to take notice. Sites will speculate endlessly about teasers and report breathlessly about each small nuance ahead of launch. All of that comes with the territory when you&#8217;re the driving force that brought Android into the world.<br \/>\nFor the phone-buying public, however, Rubin is not yet a&#8230; <a href=\"https:\/\/techcrunch.com\/2017\/05\/30\/essentials-road-to-mainstream-success-is-a-ten-year-play\/?ncid=rss\">Read More<\/a><\/p>\n<div class=\"feedflare\">\n<a href=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?a=-t-2ZiyIPOg:yG0Mn-Ef27k:2mJPEYqXBVI\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?d=2mJPEYqXBVI\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?a=-t-2ZiyIPOg:yG0Mn-Ef27k:7Q72WNTAKBA\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?d=7Q72WNTAKBA\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?a=-t-2ZiyIPOg:yG0Mn-Ef27k:yIl2AUoC8zA\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?d=yIl2AUoC8zA\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?a=-t-2ZiyIPOg:yG0Mn-Ef27k:-BTjWOF_DHI\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?i=-t-2ZiyIPOg:yG0Mn-Ef27k:-BTjWOF_DHI\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?a=-t-2ZiyIPOg:yG0Mn-Ef27k:D7DqB2pKExk\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?i=-t-2ZiyIPOg:yG0Mn-Ef27k:D7DqB2pKExk\" border=\"0\"><\/img><\/a> <a href=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?a=-t-2ZiyIPOg:yG0Mn-Ef27k:qj6IDK7rITs\"><img decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~ff\/Techcrunch?d=qj6IDK7rITs\" border=\"0\"><\/img><\/a>\n<\/div>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/feeds.feedburner.com\/~r\/Techcrunch\/~4\/-t-2ZiyIPOg\" height=\"1\" width=\"1\" alt=\"\"\/> <\/p>\n","protected":false},"author":5817,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[25],"tags":[59,66,26],"class_list":["post-342340","post","type-post","status-publish","format-standard","hentry","category-technology","tag-media","tag-techcrunch","tag-technology"],"_links":{"self":[{"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/posts\/342340","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/users\/5817"}],"replies":[{"embeddable":true,"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/comments?post=342340"}],"version-history":[{"count":0,"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/posts\/342340\/revisions"}],"wp:attachment":[{"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/media?parent=342340"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/categories?post=342340"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/people.utm.my\/asmawisham\/wp-json\/wp\/v2\/tags?post=342340"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}