Reinventing the Millennium.

Chapter 563 Sincerity (Two in One)

Integrated circuits are divided into two categories: digital and analog, and storage and logic chips are important circuits for digital circuits.

Naturally, the fierce competition in the storage industry is also due to its extremely high value.

According to the statistics of the world semiconductor trade, memory chips account for about one-quarter to one-third of the semiconductor market, which is basically consistent with the size of the global semiconductor market as a whole.

Therefore, there are always new players emerging on this track.

And Fang Zhuo's statement about the cycle is not without basis. Not only memory chips, but the entire semiconductor market has obvious cycle ups and downs, which is a cycle of about four years.

High price→increased production capacity→exceeded production capacity→low price→boiled→unable to endure...

Those who can't bear it may report to the group to keep warm, or close down and liquidate.

In such a cycle, some manufacturers like to play the counter-cyclical game, that is, the lower the price, the higher the production capacity, and then when the price is high, they will have the competitiveness to crowd out other competitors.

How to formulate development strategies and directions in such a law is a test of experience and wisdom, and is also affected by various factors.

Like SMIC's entry into the memory chip, it obtains technology transfer through an OEM contract.

Even if it's not a very good time, is it possible not to have the technology in front of you?
Even if Fang Zhuo was at this critical juncture, he would definitely make a decision.

But from the standpoint of Ice Core, we can only watch the changes in this market in the short term, and concentrate on doing a good job in the foundry business first.

"Mr. Fang, are you still afraid that our SMIC will not be able to survive this cycle?" Wu Jingang, as a technical expert, speaks relatively straightforwardly, so he asked Mr. Fang for his opinion.

"That's not true." Fang Zhuo said, "SMIC is going to do storage and DRAM, and this is the first step for our domestic DRAM. We will support you in every way. I'm not afraid that you won't make it through, but I'm afraid of your customers. Can't make it through."

SMIC obtained the DRAM stacking technology from Elpida.

What is Elpida?
It was the howling of three defeated dogs.

NEC, Hitachi, and Mitsubishi, the difficulties of these three DRAM companies have external and internal causes. Can they eliminate these factors by combining them?
Fang Zhuo made a routine judgment, the answer is no.

As for what kind of chain changes such an answer will bring, and whether there will be a situation that is beneficial to the ice core in the middle, it still needs to be patiently observed.

Wu Jingang heard what Mr. Fang said, and said with a smile: "Mr. Fang, as long as the technology is in hand, what is there to be afraid of? Even if we don't make OEMs for Elpida, we can still do OEMs for other companies. It's really not possible, the big deal We have our own brand."

He joked: "At that time, I will invite Mr. Fang to operate. Our SMIC technology and Mr. Fang's ability are a match made in heaven, and we will definitely get a share of the storage industry."

Fang Zhuo still hasn't spoken.

Qiu Ciyun, who was listening all the time, frowned. He glanced at Mr. Fang. According to the relationship with Bingxin after coming to Bingxin, he always felt that there was something unfinished. His mind turned to the recent situation of Zhongxin, and pondered: "Tai Ji You have to guard against it."

As soon as these words came out, the atmosphere became lower.

No matter what direction SMIC breaks through, it will get the help of various factors, but it will also lead to interception.

Purely in terms of process technology, it is far behind the world's first-class one generation enough to be regarded as a thorn in the side of Tai Kee.

Wu Jingang said in a concentrated voice: "After this lawsuit is settled, Tai Ji should not have the power to interfere with us."

"This is called hitting the first bird with a gun." Fang Zhuo smiled slightly, "So, if another first bird emerges, our ice core can also help Zhongxin share the pressure."

"Understood, let's work all night tonight." Wu Jingang nodded again and again, "Try to let Bingxin block bullets for our center core."

The group laughed again.

Yu Zhengxiang, who asked a question next to him and led to this discussion, also laughed unconsciously. Both the atmosphere here and the content they talked about were quite unexpected.

Dinner time ended, and the lively canteen quickly became deserted.

Fang Zhuo sent Yu Zhengxiang away, and the assistant carried the gift into the car first.

The two walked around the factory area of ​​Bingxin.

"President Fang." Yu Zhengxiang groaned again and again, and then said, "Thank you for trusting Yu Hong. She is quite straightforward sometimes. If there is something wrong, please take care of President Fang."

Fang Zhuo smiled: "I do trust Yu Hong a lot, but, Uncle Yu, our trust is mutual. When she came out of HKUST and joined the company together, her trust also touched me very much. It's just a matter of trust."

"The company has grown from small to large, and its business has grown from small to large. Her ability and willingness to pursue progress are the biggest reasons why she became the president of Yi Keyu."

"I communicated more with Yu Hong, and I also believe that her achievements are more than that."

Yu Zhengxiang nodded silently.

Mr. Fang's appreciation for his daughter is beyond words.

If... if this party is always forty or fifty, then there is no need to worry about it strangely.

However, Yu Zhengxiang had a similar experience about the chemical reaction between two young people who admired each other, but in the end they still ended up separating.

Yu Zhengxiang walked to the gate of the factory, hesitated again and again, but still didn't speak, but only used force when shaking hands with Mr. Fang.

Fang Zhuo also hesitated for a moment, but instead said, "If Uncle Yu needs help, you can call me."

He knew that this trip to Luzhou was to attend a cadre study meeting, and there might be a job change.

As for whether this change needs to be operated, whether this person wants to operate from himself, it is up to him to judge and decide.

Yu Zhengxiang smiled, didn't answer the question, and said goodbye: "If you ever have a chance to come to our county in the future, you must come and taste the specialties."

Fang Zhuo nodded, waved goodbye, and retracted his hands into his sleeves after seeing the car started.

He looked up at the sky, and suddenly found that the snow that hadn't fallen during the Chinese New Year seemed to be falling now.

"Auspicious snow heralds a prosperous year, and auspicious snow heralds wafers."

Fang Zhuo took a breath of the cold air, hoping that this year would be a good year for ice cores.

Beep, beep, beep.

Yu Zhengxiang sat in the car and called his daughter, but the phone was not answered.

He lowered the window and looked back.

This area of ​​Luzhou is quite barren, only the straight road of Yuhu Road is brightly lit.

The ice core factory in the distance stands alone under the night, as if accumulating strength to move forward in the dark.

……

Big Year.

It snowed in Luzhou at night, but it wasn't too heavy. During the day it was just a thin layer of snow.

Wei Boyun, the marketing director of Morningstar Semiconductor, came to Bingxin again as if clocking in at work. He found that Fang was always a good talker, so he wanted to take advantage of the rare opportunity to accumulate eye contact.

Fang Zhuo laughed when he saw the director.

"Mr. Wei, Mr. Wei, are you working so hard to run orders? Where's the vice president of the headquarters? Didn't you say you're coming?"

Wei Boyun said with a "hehe" smile: "I have to run for sales. My mission in Luzhou is to visit Mr. Fang, and it's boring to go back to the hotel. If I can chat with Mr. Fang here and relieve Mr. Fang's boredom, then Not too bad."

"It's cold today, let's go to the office." Fang Zhuo shook his head.

Wei Boyun said courteously: "No hurry, no hurry, Mr. Fang, you go to the office, I will sweep this piece of snow, I don't think they have swept this far, don't turn around and slip."

Fang Zhuo: "..."

He really entered the office, and watched the marketing director from Baodao sweep away a large piece of snow through the window.

This energy.

Gee.

Wei Boyun took off his coat as soon as he entered the office. He was in his forties, and he was covered in sweat after a sudden movement of his muscles and bones.

"Mr. Wei, drink some tea." Fang Zhuo poured a second cup of tea and said with a smile, "Looking at Mr. Wei's spirit of running the market, I really believe your 'nanny' rhetoric."

Wei Boyun lifted his spirits and assured him: "We want to fulfill the needs of our customers as quickly as possible. Mr. Fang, Morningstar Semiconductor's chip design is definitely not bad, but it lacks opportunities for product performance."

"Don't look at Genie's current market share is very high, but in fact they are quite stiff and dull."

He thinks of a better rhetoric: "It's like Sony's walkman is slow to mp3 players. They are big and stiff, and we are small and beautiful."

"It's interesting." Fang Zhuo really understood the situation better because of this description, nodded slightly and said, "In this way, your competitors are chip solution providers like Philips that have their own products?"

Wei Boyun seriously replied: "Comparatively speaking, Philips' solutions in LCD products are indeed more competitive than Genie, but although they have their own brand verification, after all, they have a certain competitive relationship with Changhong and Skyworth. TV Large-scale adoption by enterprises is still difficult.”

"We are different. Our IC design can combine the hardware requirements of different manufacturers to provide optimization solutions. This time can be guaranteed within 3 months."

"Our technical team is very experienced in the industry."

Fang Zhuo had an interested expression on his face.

Wei Boyun intensified his eloquence: "The vice president who is going to be here today has worked as a supervisor in Genili. Although Morningstar Semiconductor has not been established for a long time, he is very responsible from top to bottom."

Fang Zhuo nodded in praise: "Indeed, Mr. Wei's spirit is very touching."

Wei Boyun was very happy.

Fang Zhuo asked again: "From what you said, a small and beautiful design company is pretty good. Does your company sell it?"

Wei Boyun had just taken a sip of tea to soothe his throat, and he almost choked up when he heard such an interesting question from the richest man in the mainland. He co-authored and didn't sell the product, is this going to sell the company?
He coughed several times, and said in a daze, "Well, well, Mr. Fang, this is not within my scope of responsibility."

"Where's the vice president who came today? Can he talk about this?" Fang Zhuo folded his left and right hands into his sleeves, and asked about the vegetables sold at the stall like an old farmer.

Wei Boyun looked at Fang Zhuo's expression, and suddenly realized that he couldn't ignore his huge energy just because he chatted with Mr. Fang at the door for two days: "Mr. Fang, this should not be within his scope, er, just I personally feel that the company has no plans to raise funds for the time being.”

Fang Zhuo shrugged and did not insist on asking.

It is small and beautiful, but the price of a company that builds a technical team and a market system will never be cheap.

If it's just small, anyone can do it, but if you want to be beautiful, you have to pay a high price.

It is also inconvenient to turn over funds in the near future, otherwise we can talk about it again.

Fang Zhuo had his own considerations.

Regardless of whether Bingxin or E-buy are big money eaters, they will inevitably need funds in the future, and most of the funds for actions such as buying a team come from the pledge of their own shares in Yike, including some Sina shares. .

The funds pledged by shares have a time limit and interest, and need to be repaid.

In terms of the use of funds, Fang Zhuo believes that the money has played a value far beyond its own value, but... still has to be paid back.

If it is simple to deal with, it is good to cash out the unpledged shares directly.

However, considering the holdings of Goldman Sachs, IDG and other institutions, Fang Zhuo is a little worried that his actions will cause a chain reaction. Last year, Yike’s annual report has not yet been released. Because of the rapid development of the overall market, he believes that this will satisfy institutions and shareholders. .

It may also continue to drive up the company's stock price.

So, how about selling a little less of your own shares, and then looking for help from close comrades in arms?

Anyway, wait until the funds are abundant, and then buy it back from the stock market.

Considering the raising and use of funds, Fang Zhuo is very cautious about making big moves in the short term.

And he asked Wei Boyun, on the one hand, he spoke very contagiously and introduced the company well, on the other hand, it was also because the IC design company can give more play to the basic value of ice cores.

Ice Core's current business is wafer foundry. In the final analysis, it is a factory.

It's just that this factory needs a lot of money and technology.

How can we maximize the foundry value created by spending so much money and technology?
Or, how to add value to it?
Cases in this area can undoubtedly learn from Samsung.

The vertical integration of Samsung's IDM is a good way to learn from.

IC design, IC manufacturing, and IC packaging, IC design is the easiest here. For example, Hu Zhengda, who came out of Taiji, chose to start a business in the field of chip design, and Huawei’s HiSilicon is also in this direction.

Fang Zhuo thinks that it is not appropriate to expand other ice cores until the production capacity is mature, but if there are cheap and affordable options, it is not impossible. It is still possible to bite the bullet and squeeze some money.

Wei Boyun didn't introduce the company any more, and instead talked about product chips and industry news, which were also topics that he and Fang always had in common, so as not to accidentally sell their company.

At noon, just as the vice president of Morningstar Semiconductor was about to arrive, Ni Runfeng from Changhong called.

"Mr. Fang, I will go to Luzhou at night to see the progress of the ice core."

"Come here so early?" Fang Zhuo was a little surprised, "That's just right, the people from Morningstar are in my office now, and a vice president of the company will arrive later, so you can talk about their chips at night."

When Wei Boyun heard Mr. Fang's words, his eyes showed excitement.

"I want to find Boss Fang to drink and arrange work for me." Ni Runfeng was a little helpless.

"The main reason is that Mr. Wei is quite sincere, and he also said that he would put a research and development team in Luzhou. Anyway, let's talk about it." Fang Zhuo gave a blunt suggestion.

"Okay, see you tonight." Ni Runfeng agreed.

Fang Zhuo hung up the phone, smiled and said to Wei Boyun: "Mr. Wei, in order to prevent you from continuing to clock in and report tomorrow, I gave the opportunity. Your words are really nice, but in the end it all depends on the product. "

Wei Boyun took a deep breath before Mr. Fang hung up the phone, and said in a deep voice, "Mr. Fang, I won't let you down."

(End of this chapter)