Chapter 11 The Crowd
The afterglow of the setting sun came to an end, and the dark night enveloped the deep city, and the bright moon hanging high in the sky shone brightly.
Longgang District, Shencheng.
Kunpeng company headquarters base.
Low-key commercial vehicles are driving into the parking lot one after another.
Kunpeng headquarters base consists of eleven parks, covering a total area of thousands of acres, of which the 26-story R&D building is its landmark building.
At this time, in the conference room of the office building, Mr. Ren, with thinning hair and a haggard face, was sitting in the main seat, surrounded by CEOs from Longguo mobile phone and semiconductor companies on both sides.
Seated on the right side are Rebus from Rice Company, Yang Zhi from Lianxiang Company, Sassafras from Meilan Company, as well as CEOs from Blue and Green Factory, LeTV, Iron Hammer and other manufacturers.
In addition to mobile phone companies with copycat mobile phone origins, all CEOs of serious mobile phone manufacturers in Longguo will ally themselves here.
Of the ten seats on the left, the first three are the bosses of the Magic City Square.
The Magic City Square does not refer to one company, but to a group of business representatives in Magic City, such as China Micro, Shanghai Silicon, Xia Chuang, etc., all of which are leaders in domestic semiconductor companies.
The fourth on the left is Huatian EDA, the fifth is Huaxin International, the sixth is Xiahong Company, and the seventh is……
All the famous companies in the entire Longguo semiconductor industry are here.
No one knows how many connections Mr. Ren has used and how much talk he has spent on this alliance, but what is certain is that this is an unprecedented boss-level meeting.
“Now that everyone is here, let’s get started, shall we?”
Mr. Ren looked to both sides and asked for his opinion.
Rebus was the first to respond, nodding and saying:”Mr. Ren, let’s start. Our domestic enterprises need a leader.”
“Yes, I have seen the sanctions imposed by Gaotong Company. If we sit down and talk about it earlier, we may be able to avoid the next blackmail.”
Huatian EDA CEO echoed.
He was the first to be sanctioned. The domestic EDA software ten years ago was not lagging behind and was among the top three in the world.
However!
Foreign EDA companies used only one trick to completely cripple Huatian EDA, that is, the software is free to use.
Imagine that in order to catch up with your competitors, you took out loans and spent money, recruited talented people, improved your technology, and broke through bottlenecks. Finally, you were able to catch up and charge for profits. However, they directly announced that you can use it for free. How would you respond?
The outcome is obviously easy to see, charging is not enough to do it for free. Huatian EDA has been in a slump since then, and has been slow for ten years, and it has not recovered yet.
However, the rival company was only free for one year, and the technology made another breakthrough and resumed the charging model, which did not affect their profits at all. In other words, this year of free time left Huatian EDA without the capital to catch up.
The companies sitting here have all been blackmailed by technology to a greater or lesser extent.
“Then I will get to the point.”
Seeing that all the bosses acquiesced, Mr. Ren continued:”Thank you very much for being a guest at Kunpeng this time and giving me this face. In order not to waste time, I will say it directly.”
He paused and continued:”More than four months ago, Gaotong Company once again acted rogue and carried out patent extortion. It not only wanted to increase the price of chips, but also shared technology patents. This is a very dangerous signal.”
“Although this time it only targets mobile phone manufacturers, it has set an example for other companies. I think everyone knows what Western companies are, that is, they are a group of greedy guys. If someone takes the lead, they may sign up for extortion and lose their security. The next time around will be EDA software, semiconductor materials, and chip foundries, etc.”
“So everyone!”
“Localization is imminent!”
Boss Ren stopped and glanced at the bosses on both sides. He wanted to hear who would be the first to stand up and respond.
A few seconds passed.
No boss spoke up to express his position.
Rebus hesitated to speak. He was the most junior here. The company was only established four years ago.
When no one responded, he took a deep breath and set an example:”I unconditionally support localization. This time they extorted 70%, and next time they will raise 50%. If you don’t resist, you will be like a lamb.” Be slaughtered at any time”
“that’s right!”
“This hole has been opened, and they will intensify their efforts in the future. Localization must be stepped up!”
“I already have inside information. Gaotong Company already wants to increase the price of 4G baseband chips in Longguo by 20%.%”
“What a bunch of bastards!”
Some people take the lead, some respond, and some remain silent.
loadAdv(7,3);
Mr. Ren had been observing the changes in the expressions of the bosses present. He turned his gaze to the Mr. Huaxin International who had been indifferent and asked,”Old Jing, what do you think?” After hearing the roll call, more than a dozen pairs of eyes immediately looked at Mr. Huaxin.
“I actually have no opinion, and I support the semiconductor industry to achieve domestic closed-loop production, but the question is, can it be done?”
“For example, Mr. Ren paid a lot of money to hire two academicians. The whole industry thought that you could quickly produce baseband chips. However, four months have passed and other companies have made a lot of money, but you still have no voice, so Where is the progress?”
This question is very sharp and very realistic.
Kunpeng Company’s mobile phone business has indeed shrunk by more than half in the past four months, and companies led by Pineapple Company have made a lot of money. This is an unavoidable fact.
Everyone hopes to Localization, but whether it can be achieved is another question.
Companies that have concerns are in one situation, that is, they are afraid that localization will not be completed, and they are involved.
Who will work hard for you if you are not a relative or a friend?
Mr. Ren is right This is a headache. He also has selfish motives for convening this meeting. He just wants to mobilize all the semiconductor companies in the Dragon Kingdom to produce 4G baseband chips to help Kunpeng Company get out of trouble.
Otherwise, according to the analysis of two academicians, they will not be able to do so until at least the spring of next year. Complete the baseband chip design.
Attention!
It is only possible, not absolute!
Talents in the field of baseband chip design are too scarce, and the CEO who has not yet arrived will have to show his face and convene this meeting.
The CEOs of other mobile phone manufacturers also have selfish motives. If we can work together If they develop a 4G baseband chip, they can also get rid of Gaotong’s patent extortion, so they will stand unswervingly on Mr. Ren’s side.
But the CEOs of the semiconductor companies on the left don’t think so. The baseband chip will not affect them. They play a role of pure giving, and there is no big enough profit motivation. Is it unrealistic to want them to pay in vain?
Everyone wants to maximize profits, and everyone has reservations. This is destined to be an unhappy ending. Meeting
……
In the past night alone, news of the failure of the Semiconductor Alliance spread throughout various circles.
After hearing the news, Xu Jinshui, the boss of Pineapple Company, laughed from ear to ear and posted a message on WeChat Moments
“mob”
Four words, extremely dazzling!
Rebus couldn’t help but deleted him as a friend on the spot.
However, Xu Jinshui didn’t care. He thought he was invincible after boarding the fast ship of Gaotong Company.
While other manufacturers are still waiting for the supply of chips in the second quarter, Pineapple Company has already received a supply of 500,000 4G baseband chips to prepare for the peak purchase peak during the summer vacation.
The survey report last quarter showed that the Pineapple mobile phone accounted for an astonishing 47% of the 4G mobile phone market, and more than 100,000 people rated it as a very cost-effective phone, making it successful in removing the hat of a no-name copycat phone.
In order to prepare for the peak purchase period during the summer vacation, Xu Jinshui took the initiative to raise the price by 40% from Gaotong Company, and also cut off chips from other manufacturers so that he could dominate the market.
As for why there are two dominant companies, it’s because there is also Apple.
After carefully calculating the accounts, Gaotong’s executives agreed to supply 4G baseband chips to other Longguo mobile phone manufacturers twenty days later.
Twenty days is neither long nor short, but it is enough for other mobile phone manufacturers to have no core available during the peak purchase period in June.
And June happens to be the end of the college entrance examination, a month when senior high school students transform into quasi-college students and unemployed young people. Sales of electronic products will soar this month!
As for what semiconductor alliance?
Xu Jinshui just wanted to laugh after hearing this.
Let alone not inviting him, even if he was invited, he would not go because all he cares about is whether he can make money.
Obviously, there is no way to make money by following the closed loop of localization.
Since he can’t make any money, what is he going to do?
Even if Gaotong Company continues to increase prices in the future, when he has made enough and can no longer make any more, he can just sell the company and cash out.
To put it another step back, he is no longer a Dragon Country nationality, but it has not been made public yet. Why should a foreigner worry about the localization of Dragon Country?
Thank you for the recommendation vote
(End of this chapter)
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