Rebirth in 1989: Creating the Chinese Technology Empire

Chapter 16 The courage of Huasheng Electronics: spending money to build its own lithography machine

Luo Xiangyu took Xu Huasheng to a small building inside the compound. The environment of the entire compound was very good, and of course the security was also tight.

The two people got out of the car and the driver was waiting outside.

The lights were still on in the small building, and Luo Xiangyu knocked on the door.

The person who opened the door was an old lady with white hair. Although she was very old, she looked energetic and had wisdom in her eyes.

"Little Luo is here, come in quickly..."

The old lady smiled quickly after seeing Luo Xiangyu.

"Aunt Feng, are you feeling well during this time?"

Luo Xiangyu said with a smile.

"Okay..."

The old lady said with a smile, looking at Xu Huasheng.

"Hello, Grandma Feng, my name is Xu Huasheng..."

Xu Huasheng said quickly with a smile.

"Hey, whose child is this? He is so handsome. Ronaldinho, is this a junior in your family?"

The old lady's face instantly filled with a smile as she said "grandma".

"Well, this is my junior. I came to talk to Minister Pan today about something..."

Luo Xiangyu said with a smile.

"Then come in quickly, old man, old man, Ronaldinho is here..."

The old lady invited the two people into the house and shouted loudly, and soon an old man with glasses and casual clothes came out of a room.

"Come on, come on, let's talk in the study..."

The old man said with a smile. Luo Xiangyu nodded and took Xu Huasheng directly into the old man's study.

The study room is not big and is filled with all kinds of books.

"Mr. Pan, I'm disturbing you late at night. It's really an urgent matter. I won't delay..."

Luo Xiangyu said directly.

Pan Yunqing is currently the boss of the Ministry of Foreign Economic Relations and Trade.

In a few years, this department will be renamed the Chinese Ministry of Commerce.

"It's like this..."

Luo Xiangyu talked about Huasheng Electronics seriously. When he heard that Huasheng Electronics had received orders worth 1.8 million US dollars from Wal-Mart and Best Buy, Mr. Pan looked at Xu Huasheng in surprise.

With an order worth 1.8 million U.S. dollars, the net profit exceeds [-] million U.S. dollars. This is definitely a huge order in China’s export history in recent years.The most critical thing is technological products, not mineral resources and cheap products.

"Mr. Pan, not only that, today Xiao Xu also brought an important product. Xiao Xu, please tell Mr. Pan..."

Luo Xiangyu looked at Xu Huasheng, who nodded.

"Mr. Pan, this is the next product our company is preparing..."

With that said, Xu Huasheng took out the vcd. Looking at the vcd, Pan Yunqing's face was full of curiosity.

When Xu Huasheng explained the functions of vcd to Pan Yunqing, Pan Yunqing instantly understood what was going on.

"The market for this kind of miniaturized video disc projector is very broad. Whether it is domestic or foreign, with the improvement of people's living standards, people's spiritual needs will definitely increase. What is the current selling price of such a product abroad?"

Pan Yunqing couldn't help asking. Hearing this, Xu Huasheng and Luo Xiangyu laughed.

"Mr. Pan, there is currently no such product abroad. This VCD is exclusively developed by Huasheng Electronics, and the patent has been registered worldwide. It is the only one in the world..."

Luo Xiangyu said with a smile, and Pan Yunqing's eyes widened immediately after hearing this.

"Ronaldo, you didn't lie to me?"

Pan Yunqing looked at Luo Xiangyu with a serious face.As the boss of the Trade Department, he knew the weight of Luo Xiangyu's words.

If it is the only one in the world, then the business will be huge.

"Mr. Pan, who dares to talk nonsense about this? That's why I'm so anxious to bring Xiao Xu to you. I think if this product is well run, it will not only allow us to earn a lot of foreign exchange, but also It will drive the development of related domestic industrial chains, because the beneficiaries of this product are countless, and at the same time, this product can also serve as a business card for China in the field of science and technology."

Luo Xiangyu's words made Pan Yunqing swallow his saliva.Luo Xiangyu is right. If there is only one share in the world, then this terrifying market will be huge. The market size can even reach more than [-] billion US dollars. If China captures this market, it will also have a positive impact on China's economic development. to a great driving effect.

"You came to me, what do you want me to do?"

Pan Yunqing looked at Xu Huasheng and asked seriously.

"Mr. Pan, we have two things to do here. The first thing is to coordinate the production of our company's products. At present, our company is relatively small, but we have many orders. Therefore, our company wants to take advantage of our country's institutional advantages to cooperate with our brother units. Cooperate, produce the most products in the shortest time, and then put them on the market in the shortest time. In this way, you can take advantage of the market vacancy and earn the maximum profit in the shortest time. You can only rest assured when the money is in your own pocket..."

Xu Huasheng's words made both Pan Lao and Luo Xiangyu laugh. Yes, the money belongs to you only when it goes into your own pocket.

"There is no problem with this. We still have an advantage in coordinating production."

Pan Yunqing said with a smile, his face full of confidence.China's biggest advantage is that there are many state-owned enterprises, and the total number of these enterprises is a very terrifying number.

"Mr. Pan, the second thing is about the decoding chip, the core component of VCD. The decoding chip is the core component of VCD, and a photolithography machine is required to produce this chip. If we cannot produce the decoding chip ourselves, If so, it must be produced by foreign foundries. In this case, the price of a chip may be more than 100 US dollars. Not only that, it is also easy to be choked by foreign companies. Once an order is made, they deliberately block our production or delay delivery, and the market The vacancy period may be over. If we produce it ourselves, the price of a chip will not exceed 20 US dollars. If the quantity is large, it may be [-] US dollars or even lower."

Xu Huasheng said seriously that what Huaxia is best at is turning some high-end things into cabbages.Once China breaks through technology, large-scale production can directly reduce the price to cabbage, and the same is true for chips.

If China can really establish a complete industrial chain, the production cost of this decoding chip is estimated to be 20 RMB, let alone [-] US dollars.

Xu Huasheng's words made Pan Yunqing look serious.

Everyone knows how to calculate economic accounts.

There is such a big gap between the cost of a chip produced abroad and domestically. As a company, who doesn’t want low-cost production?

Moreover, Pan Yunqing also agrees with what Xu Huasheng said about bottlenecks and market vacancies. The market vacancies for a product are very important.Just like TV sets, when China didn't have them, foreign TV sets were not only expensive but also hard to get in China. Foreign brands took advantage of the vacancies in the Chinese market and made money.

Now, after a large number of TV production lines in China came online, the prices of foreign TVs immediately dropped, and profits also dropped significantly.

"Mr. Pan, that's why we are here this time. We just want to see if our country can complete the production of this chip. I know that our domestic semiconductor industry is currently very weak. But I think as long as there are money and people, our country will have so many smart people. People will definitely be able to make breakthroughs. We can even make atomic bombs and missiles, but can’t we make them with a photolithography machine?"

Xu Huasheng said directly, which made Luo Xiangyu and Pan Yunqing nod.

Yes, our country can even make atomic bombs and missiles, but why can’t we make a civilian photolithography machine?

"Mr. Pan, the semiconductor industry is a high-end manufacturing industry, and its production ratio is very high. Not only that, with the development of technology, I am afraid that chips will be needed in all aspects in the future. Although there is a gap between us and foreign developed countries, the gap is not too big. Exaggeration, the technology gap is only ten years at most. If we don’t invest now and only think about buying foreign chips, it is equivalent to using our money to help others support the industrial chain. I am afraid that the technology gap will become larger and larger in the future. How many years will it take? Ten years later, our economy developed, but then we found that chips were controlled by others. This not only caused our country to lose a lot of money every year, but was also directly related to national security..."

Xu Huasheng directly analyzed the future development direction of the semiconductor industry to Pan Yunqing.Although Xu Huasheng had stopped talking, Pan Yunqing and Luo Xiangyu were still shocked by Xu Huasheng's words.

In the room, the atmosphere became solemn.

"What Xiao Xu said is actually known to the country. But the country is short of money, and the gap between us and foreign countries is too big. Now the country focuses on economic construction. The most important thing at the moment is to solve the livelihood problems of the people across the country and make them rich. Get up. Xiao Xu, the semiconductor industry is very important, but the initial investment is also huge. Now, even the research on many weapons and equipment has been stopped. We are too poor..."

Mr. Pan sighed. It is difficult for a clever woman to make a meal without rice. There are too many things that China wants to do.China also knows the importance of the semiconductor industry and wants to pursue it, but it has no money.

"Mr. Pan, what if our company is willing to pay? If we pay, can the country give us some support in terms of talents?"

Xu Huasheng said directly, which shocked Luo Xiangyu and Pan Yunqing.

"Mr. Pan, our company's air fryer sales should be very good. If the production capacity can keep up, we can still make a lot of money in the future. I dare not say more, two or three billion US dollars should not be a problem. If the country We are willing to help us contact some universities and scientific research institutions. Our company is willing to spend money to develop lithography machines and lay out the semiconductor industry. The process required for VCD decoding chips is not high. As long as there are people, I think spending tens of millions of dollars should be enough. It can be solved. Instead of letting foreign foundries make money, it is better for us to spend money to build our own things, even if it is slower. If the problem of decoding chips is solved in one single step, then VCD will make another huge sum in the global market. Yes, when the time comes, the money earned will be invested in research and development, so that a virtuous cycle can be formed..."

Xu Huasheng stated his ultimate purpose of coming here.

The biggest purpose of Xu Huasheng's visit this time was this. He had technical information in his head, but he was short of people.

Even if you take out the technical information yourself, you still need someone to digest it and turn it into a product.Now the air fryer has enabled my company to earn its first capital. As long as the country is willing to help, the production of decoding chips will not be a problem.

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