Rebirth 99 to become a car giant.

Chapter 686: Be No. in the world and drive the development of the industrial chain

If the chips used in cars rarely attract everyone's attention, then the chips used in mobile phones are different.

Similar to computers, many mobile phones will focus on promoting their chip technology.

Especially in the era of smartphones, this situation has become even more obvious.

Objectively speaking, the quality of mobile phone chips is indeed closely related to the performance of mobile phones.

Now Nokia has collapsed, Sony Ericsson has also failed, and Motorola has sold off its mobile phone business.

In this case, it means the full arrival of the smartphone era.

The importance of mobile phone chips is naturally getting higher and higher.

"Mr. Cao, our latest Yangcheng factory will be put into production this month, and all production capacity will be released next year."

"At that time, all the chips used in our mobile phones can be produced in our own factories."

"At the same time, the chips we produce for various copycat mobile phone manufacturers in Huaqiangbei are also increasing."

"Next year we will become China's largest semiconductor company."

Zhang Jing has been very busy in the past year.

The construction pace of Nanshan Semiconductor's new factory has not stopped for a quarter of an hour.

Since Nanshan Group's own automobile industry and mobile phone industry can consume a large number of chips, there is no need to worry that the new factory's production capacity cannot be utilized.

This is actually a very important matter for a new chip company.

After all, in the beginning, your chip production costs will definitely not be comparable to those of the established chip giants.

Although the price of a chip is not necessarily high, the difference is not necessarily huge.

But for buyers, if there are mature, stable and cheap products, why should they use your new stuff?

However, the application within the group is different.

Whether it is Nanshan Auto Parts or Honor mobile phones, they have the ability to absorb the price differences of some chips.

Besides, many chips on the market are not sold directly by semiconductor companies, but are sold through trading companies or agents after layer upon layer.

In this case, the chips purchased by Nanshan Group are not necessarily lower than the cost price of Nanshan Semiconductor.

"The development of mobile phone chips has been very rapid in recent years, and dual-core chips have also begun to be used."

"As a first-tier mobile phone brand, the performance of the chips used in our Honor mobile phones must not be worse than those of Apple and Samsung."

"Nanshan Semiconductor must pay full attention to this aspect and report to me in time if there are any difficulties."

According to Cao Yang, Samsung and Apple will be the biggest competitors of Honor mobile phones in the world.

However, both of them have very strong chip design capabilities and can easily surpass Honor phones.

This is unacceptable to Cao Yang.

Honor phones cannot win simply by relying on their appearance. That is definitely not enough.

After all, everyone’s appearance is actually quite good now.

Only when other aspects are also done well can the advantages of appearance be fully exerted.

"We at Nanshan Semiconductor have now formed three levels of existence: high, middle and low."

"The low-end products are mainly supplied to the copycat manufacturers in Huaqiangbei, and the high-end products are mainly used by ourselves."

"The current sales of mid-range products are not very good. We are going to focus on communicating with some domestic mobile phone brands to see if they are willing to use it."

"Although our price advantage is not particularly obvious now, as the production capacity of each factory is fully utilized, our costs will drop quickly."

"After all, most of our production equipment is purchased domestically."

"The amortization cost in this area is much lower than that of other manufacturers."

Zhang Jing knows that Cao Yang attaches great importance to the development of the chip industry, and he himself hopes to build Nanshan Semiconductor into the world's top chip company in the future.

This is of great significance to him personally and to the company.

"I still say the same thing. I will not set a profit target for Nanshan Semiconductor before 2015."

"What you need to do is to improve your technology, train your talent team, and expand your production capacity."

"After 2015, I hope that Nanshan Semiconductor will be competitive enough in the world. The products will not only be sold to our group's own customers, but also sold to all over the world."

"When the time comes, I hope you can compete with Samsung and have outstanding performance not only in the chip foundry business, but also in the entire industry chain."

Cao Yang's words once again gave Zhang Jing reassurance.

Nanshan Semiconductor has burned a lot of money in recent years, but it has never brought profits to Nanshan Group.

To say that he was not stressed at all would be a lie.

Looking at the way people in other business departments look at Nanshan Semiconductor, he can also think of many things.

After all, the treatment of Nanshan Semiconductor employees is among the best in the entire Nanshan Group.

In terms of profitability, it is at the bottom.

After finishing his report with Cao Yang, Zhang Jing quickly made relevant arrangements internally.

As if it was a coincidence, but actually it was inevitable, Zhang Jing soon heard good news.

"Are you saying that DIGMA Mobile at Polar Bear is planning to purchase a large amount of our mobile phone chips?"

Facing the dusty Hu Yingang, Zhang Jing was quite surprised.

In the polar bear market, Honor mobile phones are also developing, and the situation is considered good.

But I didn't expect Yingang Trading to make a breakthrough in this market.

In Zhang Jing's understanding, the other party has always been responsible for Huaqiangbei's copycat customers.

Now such a surprise suddenly comes, which is really a bit unexpected.

Although DIGMA is only a local brand of Polar Bear, its sales volume will definitely not be particularly high.

But for Nanshan Semiconductor, it still has a different meaning.

After all, this is the first overseas mobile phone manufacturer to use Nanshan Semiconductor's chips on a large scale.

"Yes, DIGMA originally originated in England. It entered the polar bear market in 2005 and is now a local polar bear brand."

"Although they are not well-known internationally, few people in China have heard of this name."

“But ask the international students who went to Polar Bear, and they all know this brand.”

"Their mobile phone sales in Polar Bear can reach several million units a year."

"Although this data cannot be compared with ours, and it is not ranked at all internationally, it is already a very good performance for polar bears."

"After all, it is not easy for international mobile phone giants to still sell millions of DIGMA products when Polar Bear occupies a relatively high market share."

Hu Yingang knew that Zhang Jing definitely didn't know much about DIGMA.

So I explained it on the side.

This is the most important gain from his polar bear trip, and it can also be regarded as the first stop for Yingang Trade to open up the international market.

As long as it does well, it is entirely possible for Yingang Trading to become Nanshan Semiconductor's most important agent in overseas markets in the future.

After all, as a semiconductor company, whether it is Nanshan Semiconductor or giants such as Infineon, STMicroelectronics, and NXP, they generally find agents to help them expand the market.

Otherwise, there will be too many customers to deal with, which will waste a lot of energy from semiconductor manufacturers.

This is one of the reasons why the ordering cycle for semiconductor parts is often very long.

"If DIGMA can have a certain market with polar bears, can it also expand its business in Central Asia?"

Only when the sales volume of your customers increases, can your business follow suit.

So while he was happy, Zhang Jing's thinking began to diverge.

In Central Asia, it is relatively difficult to expand and inspect Honor mobile phones.

On the contrary, polar bear companies have their own unique advantages.

"I think so too. We can have a good communication with the other party then."

"This time we successfully let DIGMA use our mobile phone chips. In the next step, we may also purchase parts such as memory and cameras for mobile phones from Nanshan Group."

"And we, Yingang Trading, will make full use of this opportunity to recommend our products to other local mobile phone brands in Polar Bear."

"We will also try the same method in Southeast Asia and South America."

Hu Yingang is now full of energy.

The business has expanded, which means that the scale of Yingang's trade has become larger, and the money he earns has also increased.

The most important thing is that this kind of business can better reflect the significance of the existence of Yingang Trading.

Otherwise, they are simply reselling products in Huaqiangbei, which is too fungible.

……

The good news about Yingang Trade seems to be a good start.

A few days later, Zhu Zhaohai, who returned from Africa, also brought good news to Nanshan Group.

"Our monthly sales in Africa have exceeded 200 million units, and it is estimated that next year we can exceed the monthly sales mark of 300 million mobile phones."

"Although the overall income level in Africa is not high, the demand for smartphones has always been there."

"The $150 smartphone we launched this time has been welcomed by many people."

Zhu Zhaohai was in a very good mood at this time. Transsion's strategy of focusing on the African market was off to a good start.

Although there is still a long way to go, with a smooth start, many things will be easier to handle.

"Small profits but quick turnover is also a way. With such a low selling price, it is difficult for other companies to compete."

"I think it is possible to reach 200 million units a month in the future, let alone 1000 million units."

"After all, the population of the entire African continent is still very large."

Cao Yang was not surprised at all by Chuanyin's performance.

Zhu Zhaohai was able to successfully make Transsion bigger and stronger in his previous life, but now with the help of Nanshan Group, there is no reason why he could do worse.

"Indeed, the market prospects there are worth looking forward to. The key is that if there are many countries, many brands find it troublesome to enter this market and are not willing to spend their energy developing some models specifically for this market."

"We at Transsion are the first to take advantage of this. The development speed in the next few years is worth looking forward to."

"Now our mobile phones use 100% domestic parts, and most of the high-value parts are produced by Nanshan Group."

"If we can really achieve monthly sales of 1000 million units, then the parts industry that can be driven every year is worth looking forward to."

Zhu Zhaohai knew what Cao Yang was most concerned about.

So when he reports, he will focus on these places.

Be it chips or cameras, these are the parts that Nanshan Group is focusing on developing.

That is to say, Nanshan Group does not produce a few parts such as screens.

<divclass="contentadv">But qualified suppliers can also be found in China.

This is an important reason why Transsion’s mobile phones can keep the price very low.

Competition in the domestic market is extremely fierce. Transsion avoids this market and focuses on Africa, an area that many people look down on. The final harvest is likely to surprise everyone.

……

The booming development of the smartphone industry has a huge driving effect on the entire industry chain.

As the OEM of Honor mobile phones and Warwick mobile phones, BYD's number of employees is also growing rapidly.

In recent years, domestic labor costs have been rising, especially in first-tier cities.

So BYD will naturally have other ideas.

"Mr. Cao, we are planning to build a large-scale mobile phone production factory in Hunan Province to prepare for the next production capacity demand."

"At the same time, it can also alleviate the rising labor costs and avoid the impact of price increases on Honor mobile phones."

Regarding the change in the production location of Honor mobile phones, Wang Fu personally called Cao Yang to communicate.

Now the OEM business of Honor mobile phones is second only to automobiles within BYD.

Although the money earned is not necessarily a lot, the advantage is that the scale is large and the profits are relatively stable.

This is obviously very meaningful to Wang Fu, who is determined to make BYD enter the world's top 500 companies.

When many people look at a company, they often look at its size and then other things.

Just like Wal-Mart, if you insist on letting it compare its technological level and other things with others, isn't that embarrassing?

But relying on its turnover, it can firmly sit at the top of the world's top 500 companies.

"The business environment is different in different regions. Have you all communicated and considered it?"

Cao Yang doesn't particularly care where Honor phones are produced, as long as the quality and quantity are maintained.

The labor cost in Shencheng is indeed higher than that in Hunan Province. If BYD wants to change places, it is acceptable to him.

"We have already communicated with them. A large number of workers in the original factory came from Hunan Province."

"This year the leaders of Hunan Province came here specifically to attract investment. It just so happened that we also had the idea of ​​further expanding our production capacity."

"So I went over to investigate. At present, all aspects of the issue have been communicated."

"This foundry will solve the employment problem for a large number of people, and the overall output value will be relatively high."

"It can be said that this is a relatively important project in Hunan Province. There is no need to worry about the business environment."

Wang Fu told the truth and had nothing to hide.

For small and medium-sized enterprises, the business environment in different places varies greatly.

But for very large enterprises, the business environment is very good everywhere.

After all, people have the confidence to ignore the harassment of those little fish and shrimps.

Many people are self-aware and know that these companies are not something they can mess with.

"Since BYD has already considered it, we naturally support it."

"Next year our monthly sales will have the opportunity to cross the 1000 million mark, and it is indeed necessary to prepare relevant production capacity in advance."

Nokia fell, and smartphones are now in full swing.

Honor mobile phones are destined to be the biggest piece of cake.

Overseas markets are now also beginning to develop. Although they are still not as good as the domestic market, the growth rate is also worth looking forward to.

Coupled with the launch of HONORPAD and the notebook computers and other products under development, the OEM business of Honor mobile phones will be very large-scale.

"Thank you, Mr. Cao, for your understanding. We will also dispatch a group of skilled workers from Shencheng to develop the new factory together."

"There will definitely be no quality issues with Honor mobile products."

Wang Fu naturally knew what Cao Yang cared about.

So even if Cao Yang didn't point it out, he still had to take the initiative to make some promises.

Otherwise it would be a bit uninteresting.

And just when Wang Fu and Cao Yang were communicating about the foundry in Hunan Province, Xia Qingqing also received a special contact.

Foxconn found her through connections and wanted to help Honor mobile phone OEM products.

Looking at this issue from Xia Qingqing's perspective, as long as Foxconn can meet the cost and quality requirements, it is not impossible to let them OEM some products.

Even this way, BYD can be restrained to prevent BYD from drifting away one day and having a bad impact on Honor mobile phones.

However, such a relatively important matter will definitely need to be discussed with Cao Yang in the end.

"Mr. Cao, Foxconn currently manufactures mobile phones for companies such as Xiaomi and Apple, and they also want to cooperate with us."

Xia Qingqing went directly to Cao Yang's office and reported the latest news.

"There is no need to consider Foxconn, they have too many traces of Apple."

"If we work with them, I'm worried that they will turn around and sell us to Apple."

Cao Yang naturally understood why Xia Qingqing was a little moved.

From the perspective of supply chain stability, normally it is necessary to hand over part of the OEM business to manufacturers other than BYD for production.

But many things are not absolute.

The overall cooperation between BYD and Nanshan Group is relatively smooth, and they will not destroy the Great Wall easily.

On the contrary, Foxconn's development and growth are inseparable from Apple.

Whether it is Apple computers or iPods and other products, Foxconn helps manufacture them.

Many computer brands in the world also use Foxconn for OEM production.

On the contrary, some domestic companies have relatively little cooperation with Foxconn.

If you have to choose between Honor phones and Apple, Cao Yang thinks Foxconn will definitely choose Apple.

This is an unacceptable result.

"Foxconn's partnership with Apple is indeed relatively close, but if our business becomes larger, we may be able to allow them to produce the two companies' products in different factories."

"Or we can hand over part of the business of older products such as HONOR 3G to Foxconn for production."

"In this way, production costs may be reduced."

Xia Qingqing felt that there was still a way to solve the problem that Cao Yang was worried about.

So I was thinking about trying to persuade me.

However, this time Cao Yang's attitude was very determined.

"As long as there are no problems with BYD's cooperation, there is no need to consider Foxconn."

"But if Foxconn wants to do OEM business for us, you can find a way to reveal it to BYD."

"You can even do some preliminary contacts and inspections."

"In the end, just find any reason or excuse to get rid of it."

When Cao Yang said this, Xia Qingqing finally understood his attitude.

So I didn’t really explain too much.

……

After listening to Xia Qingqing's report, Cao Yang went to attend an event held by the Chip Industry Alliance in Zengcheng Industrial Park without stopping.

The new etching machine factory of China Microelectronics Semiconductor was officially put into production today.

As one of the few domestic manufacturers of relatively good chip production equipment, China Micro Semiconductor has developed very rapidly in the past year.

Since the etching machines they produce have been widely used in Nanshan Semiconductor factories, their current performance in all aspects is very good.

Nanshan Semiconductor's chips have been used on a large scale in the automotive industry and smartphones, which has given other semiconductor companies great confidence in the technical level of AMEC.

To put it mildly, Nanshan Semiconductor has helped everyone verify whether Zhongwei Semiconductor is good or bad.

The current results are very good. Naturally, everyone does not want to continue to spend high prices to import etching machines from overseas.

The equipment parameters are better, the price is cheaper, and the quality is no problem.

As a result, AMEC's ​​orders increased rapidly.

Whether it is SMIC or other semiconductor companies, they have begun to actively use China Microelectronics etching machines.

In this way, the second phase of China Microelectronics Semiconductor's factory was officially born.

"Mr. Yin, congratulations. China Micro Semiconductor's current etching machines are in short supply."

When Cao Yang saw Yin Zhiqiang, he naturally wanted to give his blessing first.

He is not the protagonist today. He must have been sitting quietly aside during the production ceremony.

But before the ceremony started, it was natural to have a brief chat with Yin Zhiqiang.

“It’s all thanks to Nanshan Semiconductor that AMEC is what it is today.”

"If you hadn't given us so many opportunities to use it, other manufacturers would not have dared to buy our etching machines, and we would not have the funds to continuously invest in technology research and development."

"Now the situation has entered a state of healthy development. Our new generation of etching machines is also under development and will be mass-produced next year."

Yin Zhiqiang was in a very good mood.

When he returned to China from the United States to start his own business, he was prepared for a protracted war.

I didn't expect it to be a success so quickly.

This kind of sense of accomplishment cannot be brought by serving as a senior executive in other companies.

"The main reason is that the technical team led by you, Mr. Yin, is powerful enough, otherwise we wouldn't be able to use it even if we wanted to."

At this time, there will definitely be a wave of business exchanges.

There are also many people from other chip industry alliances attending the event today.

Their development is closely related to the development of Nanshan Semiconductor. Invisibly, everyone revolves around Cao Yang.

He didn't want to overwhelm the guest, but it seemed like he didn't have the final say.

Fortunately, the production launch ceremony of China Microelectronics Semiconductor will officially begin soon.

The protagonist of the scene returned to Yin Zhiqiang, which made Cao Yang relieved.