Becoming the richest man starts with making complaints

So Yao Kun is a genius, and Cao Shen's slightly confused expression made it clear to him.

After making the call, he quickly put his arm around Cao Shen's shoulder and explained:

"Brother, this Mr. Liu is not the same Mr. Liu, his name is Liu Jun.

He also makes video decoding chips, but his team background is not that strong.

I graduated from the Department of Electronics in Beijing Qing Dynasty and later went to the National Academy of Sciences to study for a doctorate.

Then I went to work for an electronics company under the Chinese Academy of Sciences, and later started the current company Bianhe Semiconductor with a group of classmates and colleagues.

I have also seen this company and have a good relationship with it.

They raised US$3 million at the end of 2008, but it was only one round in total.

This time I want to raise 4 million U.S. dollars, and the valuation is cheaper than Xinyuan. The asking price is 25 million U.S. dollars. If you want to invest, you can probably get more.

In fact, I am interested in both of these two companies, but I cannot put all my eggs in one basket. It is enough to invest in one of the same type. Puli Investment is not a specialized semiconductor investment fund.

As a family, the team is luxurious. As for one family, the asking price is cheap. "

Yao Kun patted Cao Shen on the arm: "Brother, you happen to be here today, helping me to check things out?"

Bianhe Semiconductor has already shipped its chips and its technology has been verified by customers, so due diligence is less troublesome.

Moreover, the financing amount was small and the rebate money was not much, so Yao Kun did not recommend it to Wang Hua.

The key is that his first choice was Xinyuan, and Bianhe was just a spare tire.

Now that Xinyuan is in trouble, he has begun to think about Bianhe. It's not that he is optimistic about Bianhe, but that the Spring Festival is coming soon. He has only invested in one project this year, and the performance is a bit unsatisfactory.

Although investment institutions do not have an indicator of how much money they spend in a year, investing in only one investment a year seems like they are not working.

At present, I only have the reserve project Bianhe, and I can still get some results. If it doesn't work, I can issue an investment letter of intent before the Spring Festival. This is also the achievement within the company this year.

After the Spring Festival comes back, if the project is really not good, just don’t invest.

Cao Shen showed convincing professionalism today, and Yao Kun is also eager for his advice.

Whether to do it or not, Yao Jinzhu needs Cao Shen to push him and give him a reason to make a decision.

Cao Shen thought about it, Xinyuan Semiconductor wanted 5 million US dollars, and the reward was 89 days of life and 1.05 million yuan.

Bianhe costs 4 million U.S. dollars. According to the ratio, if he messes up, he will lose 71 days of health and 840,000 yuan.

If the system doesn't suddenly change the ratio, it's worth the loss!

If you don’t mess up, it’s a good deal to get rewards for complaining!

It’s time to test whether we can do this!

If you can exploit the loopholes in the system, you must exploit them!

When he was looking up information to prepare for Xinyuan's complaint, Bianhe Semiconductor Cao Shen took a few glances and was impressed!

And when Yao Jinzhu talks about Bianhe, he doesn't have that kind of passion at all.

It shouldn’t be that difficult to masturbate!

Cao Shen touched his chin:

"Mr. Yao, you said no, Bianhe's team background is not as good as Xinyuan's.

This investment means investing in people, and background is very important.

What's more, everyone knows that the United States is the birthplace of semiconductors, and there is indeed a gap in our country.

Therefore, Bianhe probably doesn't have that deep grasp of advanced technology. "

Yao Kun clapped his hands:

"Mr. Cao, you are right! Investing means investing in people, and past experience is very important.

This is also the reason why I haven’t made the move yet. You see, we will worry about this, and so will other investors. The next round of investment will have this shortcoming, and it will not be particularly easy to get money.

And, you hit the key point.

Their technology is indeed not that strong, and they only make low-end products.

The competition for low-end decoding chips is fierce. There are two relatively large ones in Nanfang Zhaidu, and now their gross profit margin cannot even maintain 30% and is still falling.

However, Bianhe chose the MIPS architecture license, and the licensing fee is much lower. It can make the chip cheaper and has a cost advantage. This is still a bit impressive to me. "

Cao Shen nodded and smiled:

"MIPS architecture licensing is very cheap, and capable companies can also use the MIPS instruction set to develop their own CPUs, and the instruction set can be expanded without restrictions."

Yao Kun felt that Cao Shen and himself coincided:

"Yes, yes, I think so too!

If Bianhe uses MIPS to make it, even if they can't compete with chips in the future, they can still make their own MIPS-based CPU IP and sell it. Others are digging for gold, and they sell jeans. This is also a way.

The CPU IP can also be customized and developed according to customer needs, and a customization fee can be charged.

You also said that the consumer electronics market is very fragmented. Having different customized chips for different scenarios can both improve efficiency and reduce costs. "

After saying that, Yao Kun looked at Cao Shen eagerly, hoping for further recognition so that he could make a decision.

However, Cao Shen shook his head:

“Mr. Yao, I don’t think customized chip development is a development path.

If you think about it, the bulk of a chip's expenditure is R\u0026D and tapeout.

However, there is a characteristic of diminishing marginal costs. The larger the shipment volume, the lower the cost of a single chip will be evenly amortized.

Customization is a small market, and the shipment volume is not large.

And if you customize it, you can’t reuse it, and the research and development costs will never be diluted.

In addition, MIPS architecture authorization will cause a problem. It seems that anyone can develop and expand the instruction set according to their own needs. Hundreds of flowers are blooming, there are many developers, and the ecosystem is flourishing.

But this also leads to mutual incompatibility. The same software can run on one MIP****U, but cannot run on another.

Over time, software developers will stop working, and this fragmentation will prevent the birth of large software manufacturers.

You can't help your downstream partners develop and make money. People are very realistic.

You asked why mobile phone manufacturers use ARM architecture chips, it is because their instruction sets are strictly managed by the official and have good compatibility.

As long as it is an ARM-based mobile phone chip, no matter which chip it is, the Anpei operating system can run.

But if you want to switch to MIPS, different companies have different chips, and each company's operating system is different. The software application developers have to change even more, and the classes are exhausted.

On your current smartphone, for example, the WeChat application can be installed on any Android phone you choose.

But if it is a mobile phone with a MIPS architecture chip, you will have to find different versions of WeChat for different mobile phones.

You said that if WeChat wants to expand its users, it may be necessary to develop a hundred versions of WeChat for one hundred mobile phone models. Is he in a hurry? Rich WeChat companies can do this, but what about small entrepreneurial teams? Simply can't afford it.

The MIPS camp cannot produce a unified operating system like Anpei.

In this business, you must have the right to speak in business in your own hands. You must have complete control over the instruction set and operating system.

You see why Intel and Microsoft are so awesome and why they are called the Wintel Alliance. They are jointly developing instruction sets and operating systems.

Why is Peach Company so awesome? It controls the instruction set and operating system itself.

Why did ARM and Anpei come together for smartphones? Same reason.

Therefore, the current MIPS ecosystem seems prosperous, with many developers, but the overall market is not big. The prosperity is a false phenomenon caused by fragmentation.

And the prospects for such fragmentation in the future are not good at all. "

Yao Kun didn't understand the instruction set, but he got a key point:

"Are you saying that the MIPS architecture will decline in the future and that it will no longer be able to compete with ARM?"

Cao Shen nodded: "Mr. Yao, you are really amazing and transparent!"