Chapter 520: Live‑Streaming Jianghu

March 15, 2011, Shenzhen Wanxiang Dasha conference room.

Twelve people sat around the long conference table. Li Yaozong took the head seat, with Zhou Ye on his left, Wang Bo on his right, followed by several core technical staff, and the newly formed Live Streaming Project Team leader Zhang Yuan.

A video played on the projection screen: a young girl singing into her phone at home, with comments and gift effects continually popping up at the bottom of the image.

Zhou Ye pressed the pause button.

"This is currently China's largest live‑streaming platform, called YY. Last year's revenue was 200 million, and this year it's projected to double."

He switched to the next slide.

"There's a similar service abroad called Twitch, which Amazon acquired. It mainly does game live‑streaming, with over 20 million monthly active users."

Li Yaozong looked at those figures without speaking.

Wang Bo spoke up beside him.

"Boss Li, our Fenghuang Chat now has 300 million daily active users. Adding live‑streaming could push that number even higher."

Li Yaozong nodded.

"Zhang Yuan, you talk."

Zhang Yuan stood up and walked to the whiteboard.

He was headhunted from Tencent, where he spent five years as a product manager for QQ Space, gaining experience in social and live‑streaming.

"Boss Li, everyone, the live‑streaming track is still a blue ocean."

He drew a phone on the whiteboard and labeled a few arrows next to it.

"What needs does live‑streaming meet on the client side? First, companionship: someone bored at home finds a stream to chat in. Second, curiosity: watching what others are doing, what they eat, what they play. Third, learning: people teach cooking, makeup, programming. Fourth, shopping: you watch and then want to buy."

He then drew a server connected to those phones.

"On the technical side, live‑streaming is much harder than video‑on‑demand. Capture, encoding, push, distribution, decoding, playback—each step has its barriers."

He looked at Li Yaozong.

"Boss Li, if we want to do live‑streaming, we first need to master these technologies."

Li Yaozong gestured for him to continue.

Zhang Yuan flipped to the next PPT slide.

"First block: capture."

He pointed to the keywords above.

"Android uses Camera2, iOS uses AVFoundation. Our Fenghuang Phone has its own low‑level optimizations, giving us an edge here over other manufacturers."

Zhou Ye interjected from the side.

"During capture we also need preprocessing—beautifying, filters, smoothing, stickers. Fenghuang Cut already has ready‑made tech for these, which we can just take over."

Li Yaozong nodded.

"Continue."

Zhang Yuan turned to the next page.

"Second block: encoding."

He drew a flowchart.

"Raw video is too large to send directly; it must be compressed. The mainstream is H. 264, which offers good quality and strong compatibility. H. 265 can halve the bandwidth, making it suitable for 4K live‑streaming."

He looked at the people present.

"There are two encoding methods: software encoding, which runs on the CPU, high power consumption but good quality; and hardware encoding, which runs on the chip, low power consumption but slightly lower quality."

Chen Feng stood up from the side.

"On the chip side, our Fenghuang Chip Three already supports H. 264 hardware encoding. H. 265 is still in the works and should be ready next year."

Li Yaozong looked at Chen Feng.

"Next year is too late. Can we move it up?"

Chen Feng thought for a moment.

"I'll go back and compress the schedule."

Zhang Yuan turned to the third page.

"Third block: push (streaming)."

He pointed to the several protocols above.

"RTMP is the most common, a TCP protocol with latency of one to three seconds. SRT is a UDP protocol that performs well on poor networks, with latency reducible to under 300 ms. WebRTC offers ultra‑low latency, ideal for interactive mic‑linking."

He paused.

"For our live‑streaming, we can't rely on just one protocol; we must automatically select the optimal one according to the scenario."

Li Yaozong looked at him.

"Can it be done automatically?"

Zhang Yuan nodded.

"Yes, but it requires writing a strategy: use RTMP when the network is good, switch to SRT when it's poor, and switch to WebRTC for interaction."

Li Yaozong looked toward Zhou Ye.

"Can the video side cooperate?"

Zhou Ye nodded.

"Yes."

Zhang Yuan turned to the fourth page.

"Fourth block: distribution."

He drew a world map on the whiteboard with dozens of dots marked on it.

"Live‑streaming fears stutter most—just one stutter and you lose fans. So we need a CDN, a content delivery network. By placing nodes worldwide, users pull the stream from the nearest node."

He looked at Li Yaozong.

"Li Zong, this will cost money. Building nodes, renting bandwidth, buying servers—at least a hundred million a year."

Li Yaozong thought for a moment.

"Do it. First set up thirty nodes domestically. Overseas can be discussed later."

Zhang Yuan nodded and continued.

"The fifth part: decode and play."

He pointed to the mobile side.

"Users watch live streams and need decoding. Prefer hardware decoding to save power and bandwidth. In our Fenghuang Phone system, the player can be deeply optimized."

Zhao Ming spoke from beside.

"On the system side I can cooperate. Both ExoPlayer and ijkPlayer can be tuned to ensure smooth playback."

Zhang Yuan nodded.

"The last part, also the most important—business backend."

He drew a complex diagram showing room management, user authentication, bullet comments, gifts, chat…

"Live streaming is not just video streams. There's interaction. How to display bullet comments in real time? How to send gifts? How to scroll comments? These all need separate services."

He looked at Li Yaozong.

"Li Zong, this part has the biggest workload."

Li Yaozong listened and was silent for a few seconds.

He looked at the diagram and went through it from start to finish.

"Collect, encode, push stream, distribute, decode, play, business backend."

"Seven parts."

"Each part needs people, money, and time."

He looked at Wang Bo.

"What do you think?"

Wang Bo thought for a moment.

"Li Zong, technology is one thing, ecosystem is another. We have Fenghuang Chat, three hundred million daily active users, a creator revenue‑sharing system. Those are things others don't have."

He paused.

"But live streaming isn't only technology. We also need hosts, content, operations. We can't do everything ourselves."

Li Yaozong looked at him.

"What do you mean?"

Wang Bo pointed at the diagram.

"We build a platform. We set up the technology, let hosts broadcast, users watch, merchants sell goods. We take a cut."

He paused.

"Just like the creator revenue share in Fenghuang Chat. Let those who can stream earn money, and they will naturally come."

Li Yaozong stood up and walked to the window.

Outside, Shenzhen's spring sunshine was bright, and traffic on Shen Nan Avenue was as dense as usual.

He stood for a long time.

Then he turned around.

"We need to do live streaming, but not only live streaming."

Everyone looked at him.

"Live streaming can sell products. In the future, users can buy things directly in the live room. Fenghuang Chat, Wanshang Pay, Wanshang Logistics can all be used."

He paused.

"Live streaming can record life. Some will share, some will watch. Fenghuang Clip's edited videos can be played directly in the live room."

"Live streaming can share technology. Teach programming, cooking, car repair. Wanshang Auto's intelligent driving can also be live streamed for others to see."

He walked back to his seat.

"But there is one condition."

He looked at the people seated.

"We can't do everything. We handle the technology, we build the platform, but let others provide the content."

He paused.

"Leaving a way to live for others is leaving a way to live for ourselves."

Zhang Yuan raised his hand.

"Li Zong, what shall we call our live‑streaming software?"

Li Yaozong thought for a moment.

"Fenghuang Broadcast."

He looked at Wang Bo.

"Integrate with Fenghuang Chat. Use the same account, the same payment, the same creator system."

Wang Bo nodded.

"Understood."

Li Yaozong looked again at Zhou Ye.

"On the video side—encoding, pushing, playback for live streaming—you take the lead. Zhang Yuan handles the product. Wang Bo handles the ecosystem."

He looked at the three of them.

"In three months, I want to see a usable version."

After the meeting adjourned, Zhou Ye didn't leave immediately.

He walked up to Li Yaozong.

"Mr. Li, there's something I'd like to discuss with you privately."

Li Yaozong gestured for him to sit.

Zhou Ye sat down opposite him.

"Mr. Li, regarding live streaming, I'm confident about the technology. But my concern isn't the tech."

Li Yaozong looked at him.

"What are you worried about?"

Zhou Ye thought for a moment.

"I'm worried about money. Selling goods, gifting, revenue sharing—all generate cash flow. How is the money divided? How is it regulated? How to prevent fraud?"

He looked at Li Yaozong.

"Can the Phoenix Pay system handle such a large transaction volume?"

Li Yaozong was silent for a few seconds.

He picked up the Telephone and dialed a number.

"Lin Jiawen, come over."

Five minutes later, Lin Jiawen pushed the door open and entered.

Li Yaozong gave a brief rundown of the live‑streaming matter.

Lin Jiawen nodded after listening.

"The payment system can handle it. Wanshang Bank's current daily transaction peak is 30 billion, so the live‑streaming volume is negligible."

He looked at Zhou Ye.

"But there are a few points to watch."

Zhou Ye took out his phone to take notes.

Lin Jiawen said.

"First, the host's revenue share must be under real‑name registration. Money can only be transferred to the individual's account, not through intermediaries."

"Second, transaction records must be kept for five years. If a dispute arises, they can be clearly examined."

"Third, protection of minors. When minors tip, it must be refundable along the original path."

Zhou Ye wrote them down one by one.

Li Yaozong listened nearby without speaking.

After Lin Jiawen finished, he finally spoke.

"Jiawen, you take the lead on the payment side. Coordinate with Zhou Ye, Zhang Yuan, and the others."

Lin Jiawen nodded.

At three p. m., Wang Bo knocked and entered.

He held a printed report in his hand.

"Mr. Li, I had someone compile an overview of the current domestic live‑streaming platforms."

He placed the report on the table.

"YY, Six Rooms, and 9158 are the three that do showroom live streams. Hosts sing and chat, users send gifts."

"Huya and Douyu focus on game live streams. They're just starting, but user stickiness is high."

"Taobao is also experimenting with live commerce. During last year's Singles' Day, a live room sold five million."

Li Yaozong flipped through the report.

"If we do it, what's the difference from them?"

Wang Bo thought for a moment.

"We have Phoenix Chat. Three hundred million daily active users can direct traffic directly."

"We have Phoenix Pay. Transactions are closed‑loop, no redirects needed."

"We have Phoenix Clip. After users edit a video, they can start a live stream instantly."

"We have Wanshang Auto. Smart‑driving live streams, which others don't have."

He looked at Li Yaozong.

"Mr. Li, combined, these are our advantages."

Li Yaozong closed the report.

"You just said Taobao's live commerce sold five million?"

Wang Bo nodded.

"Last year's Singles' Day, a live room selling cosmetics."

Li Yaozong was silent for a few seconds.

"We can focus on this direction."

He stood up and walked to the window.

"In the future, you won't need to go to a mall to shop. Open a live stream, someone will try on clothes for you, someone will test products for you, someone will explain them. Watch, click, and it's bought."

He turned around.

"The courier delivers to your home. If you're unsatisfied, a single click returns the goods."

He looked at Wang Bo.

"This is the shopping method of the future."

At seven p. m., Li Yaozong was the last to leave the office.

He stopped when he reached the elevator lobby.

He glanced back toward the conference room.

In that conference room, the afternoon discussion covered live broadcast collection, encoding, streaming, distribution, decoding, playback, payment, and revenue sharing…

Seven technical modules, three business directions, countless details.

In three months, Fenghuang Broadcast will go live.

He didn't know what it would become.

But he knew this path had to be taken.

The March night breeze was pleasant, carrying the scent of an approaching spring.

In the distance, the lights of the Nanshan R&D Center glowed in a sea of illumination.

In three months, Fenghuang Broadcast will appear on the phones of hundreds of millions of people.