Rebirth 99 to become a car giant.

Chapter 627: Extreme suppression, the United States officially takes action

Domestic chip companies must have a close relationship with international equipment giants and international chip giants.

Not to mention the interest relationship between each other, just the source of the employees must have overlap.

Some of these employees must be related to their old employer.

Even with a special purpose.

Nanshan Semiconductor suddenly announced that it has mastered 28-nanometer chip processing technology and has begun building factories.

The relevant equipment was not purchased from manufacturers such as ASML, but was done in China itself.

In this case, it is difficult even if you want to avoid attracting everyone's attention.

Therefore, after Nanshan Equipment received so many visiting customers, relevant information naturally spread quickly within the industry.

"Otellini, I have communicated with Asmai and they suggested that we take action as soon as possible."

"Otherwise, Nanshan Equipment has not only successfully mastered the 28-nanometer chip technology, but may further break through the 14-nanometer chip technology in the future."

"In the future, China's mobile phone, computer and other chip markets are likely to be seized by Nanshan Semiconductor."

"This is something we absolutely cannot tolerate."

"Especially for Honor mobile phones, there are rumors that laptops will be developed, and the chips will most likely use products produced by Nanshan Semiconductor."

Intel's CTO Pat looked solemnly and discussed with CEO Otellini how to deal with Nanshan Semiconductor and Nanshan Equipment.

As an international chip giant and the leader of the American chip industry, Intel will never accept Chinese companies surpassing itself in chip technology.

Although Nanshan Semiconductor's chip technology is far from surpassing Intel's, this trend makes Pat feel dangerous.

So they want to completely suppress this trend.

Chinese companies can just produce shirts, make shoes and socks, and assemble computers and mobile phones.

What kind of chip?

Wouldn’t it be enough if we unified production and centralized procurement?

"Is the news accurate?"

It wasn't that Otellini doubted what Pat said, but simply couldn't help but ask a question.

There was no way, even if it wasn't the first time he heard the relevant information, Otellini still felt a little unbelievable.

A young semiconductor company in China is actually going to catch up with Intel in just a few years.

This thing is absolutely intolerable!

Everyone knows that once a Chinese company masters a certain technology, the price of the product of this technology will plummet.

Intel has lived a comfortable life for so many years, so why is it willing to live a hard life?

"Precise!"

"We have confirmed the relevant situation through several different channels."

"It is really possible for Nanshan Semiconductor to produce 28nm chips by using chip equipment produced by Nanshan Equipment and other Chinese manufacturers."

"The only uncertainty is what the yield rate of these chips will be."

Pat's words strengthened Otellini's determination to take a step forward.

At this time, things like yield rate are no longer enough to be his replacement doctrine.

"If we had known that Nanshan Semiconductor was acquiring Nvidia, we should have taken action to stop them."

"Now we can only find companies such as TI and Micron to discuss together and persuade the Ministry of Commerce to issue some regulations to restrict Nanshan Semiconductor and Nanshan Equipment."

Otellini regretted his carelessness.

When Nanshan Semiconductor acquired Nvidia, it was when the impact of the financial crisis was most severe.

Based on the idea that even if Chinese companies acquire Nvidia, it is impossible to really make any big breakthroughs in domestic chip technology, Intel rarely gets in the way.

I really regret it now.

"Otellini, I think it's not too late to take action now."

"We can definitely use some special lobbying to make everyone understand that the acquisition of Nvidia by Chinese companies will endanger the national security of the United States."

"As long as this point of view is accepted by everyone, then Nanshan Semiconductor can be forced to sell Nvidia within a limited time."

"Maybe we can still get a bargain by then."

When Pat said this, Otellini couldn't help but his eyes lit up.

Are all those who work in technology today so thoughtful?

This matter seems to be coming to an end.

Even if you don't do anything else, you can make a lot of money by shorting Nvidia's stock on the stock market.

This must be done!

After thinking about this, Otellini cleared his throat and said righteously: "The chip industry is related to the core interests of the United States and the national security of the United States. As an industry leader, we have an obligation to supervise and urge the industry to move toward health. The direction of development is forward.”

"I will meet with a few congressmen to discuss this matter later and come up with a plan as soon as possible."

Following the chip giant Intel's smashing action, the United States soon took formal action.

……

"Jingle Bell!"

At around twelve o'clock in the night, Cao Yang's phone suddenly rang.

Although the executives of Nanshan Group knew about this call, no one would be so ignorant as to call at this time.

Once the phone rings in the middle of the night, something is wrong.

Fang Sisi knew this very well, so even if she was woken up, she didn't complain at all.

"Hurry up and pick it up and see what's going on."

As my belly gets bigger, the quality of my sleep at night is actually not high.

You may even feel uncomfortable no matter how you lie down.

From time to time, the little guy in your belly will kick you so hard that you want to pee.

"Hey!"

Cao Yang took a glance and saw that it was Zhang Jing who was calling.

"Mr. Cao, when the United States just held a press conference, it suddenly announced that it would launch an investigation into Nanshan Semiconductor's acquisition of Nvidia, believing that this acquisition would threaten the national security of the United States."

"In addition, all American companies selling materials and equipment to Nanshan Semiconductor need to obtain their permission, otherwise the sales will not be allowed."

"These actions are obviously directed at us."

"After announcing this content, they further stated that they would launch relevant investigations into Nanshan equipment."

"And just when the United States announced this news, ASML also issued an official declaration."

"They stated that any company that uses photolithography machines produced by Nanshan Equipment will no longer be responsible for related after-sales work in the future."

"That is to say, they are no longer responsible for the after-sales service of the photolithography machines purchased from ASML."

"Obviously, this is to scare various chip companies so that they will not buy lithography machines from Nanshan Equipment."

Zhang Jing's report made Cao Yang's expression become solemn.

What was supposed to come finally came.

Although it is not yet time to use the most violent measures, people have now put Nanshan Semiconductor and Nanshan Equipment on a special list.

In the future, whatever Nanshan Semiconductor and Nanshan Equipment do will be studied with a magnifying glass.

For example, you sold a large five-axis CNC machine tool to Polar Bear, you sold a set of carbon fiber processing equipment to Persia, and you sold a batch of chips to North Korea.

To put it bluntly, people don’t want you to develop further.

The best thing is to just close down!

"In the future, executives of Nanshan Semiconductor and Nanshan Equipment will try not to travel overseas. Regarding the investigation of Nvidia's acquisition case, please communicate with the management."

"For employees who have already entered the Shanghai branch, let's see who is willing to join Nanshan Semiconductor directly. We can discuss any conditions."

"Then let the group's legal department also take action. Since people want to take legal action on this matter, then we will use legal means to fight back at the same time."

"We must not let them think that we are easy to handle, otherwise there will be more troubles in the future."

Cao Yang knew that unless the Nanshan Group would no longer have technological updates and development, the United States would never let him go.

In this case, compromise makes no sense.

Why not just take this opportunity to make the matter bigger, which can also bring Nanshan Group's reputation to a higher level, and see if we can make up for the related losses in other businesses.

"No problem, I will arrange the relevant matters overnight."

"But I'm worried that some people at Nvidia may also have some ideas."

"After all, not everyone wants to see Nvidia acquired by us."

"In particular, NVIDIA's stock price has now reached more than 10 billion US dollars, which is several times lower than when we acquired it."

Zhang Jing naturally would not compromise easily, but he also knew that in the end, his arms would not be able to twist his thighs.

"The United States is not monolithic, and there should be many companies interested in NVIDIA."

"The worst-case scenario is that we sell part of Nvidia's shares to some companies."

"Nanshan Semiconductor cannot hold shares. We can register some other companies overseas."

"Also see if giants like General Motors and Ford are interested."

"In the past two years, we have basically learned what we want to learn."

“NVIDIA’s significance to us is no longer as great as everyone imagines.”

"The worst-case scenario is to sell it and we won't lose money."

Cao Yang also felt Zhang Jing's anxiety, so he comforted him appropriately.

Although Nvidia's market value will reach trillions of dollars in later generations, that is later generations.

Now with Nanshan Semiconductor, it’s hard to say whether Nvidia’s future is still so bright.

Especially if the United States wants to force Nanshan Semiconductor to give up Nvidia, then Nanshan Semiconductor will definitely be involved in Nvidia's business.

Then let’s all compete together.

It is not that easy to scare Nanshan Semiconductor through this.

"Mr. Cao, I understand!"

"I will try my best to recruit Nvidia technical personnel to Nanshan Semiconductor."

"Or setting up a completely new semiconductor company to house people who are willing to jump ship."

Hearing that Cao Yang could accept the outcome of being forced to sell Nvidia, Zhang Jing felt much less pressure. The next step is to take up legal weapons and fight a lawsuit with the United States that is full of advertising effects.

On the other hand, they are trying their best to hollow out Nvidia.

As a chip design company, talent is Nvidia’s core resource.

As long as most of the people are poached, then the Nvidia brand can be sold.

This method of escaping the golden cicada can greatly reduce the impact of Nanshan Semiconductor.

However, America's behavior still caused great shock in the industry the next day.

This kind of thing was not something we encountered very often in 2010.

At least for China, it is unusual.

It's not like in later generations, it happens every now and then, and everyone doesn't care anymore.

"Mr. Xu, Nanshan Semiconductor has just broken through the 28nm chip technology."

"It seems that our company will also need to have relevant plans in the future."

Lian Zhitian came to Xu Jun's office early in the morning.

With a longer-term perspective, he has already felt the crisis from the United States' actions against Nanshan Equipment and Nanshan Semiconductor.

Warwick HiSilicon's chip design capabilities are getting better year by year, and sooner or later it will attract the attention of American companies.

Now there is only Nanshan Semiconductor standing in the way, and everyone has not fully felt the pressure.

"There is definitely a need to consider this possibility and I will raise the topic at the board meeting."

"The company is currently fully developing 4G technology and is also conducting preparatory research on 5G technology."

"The market in this area will definitely undergo huge changes by then. Those European and American giants will not be able to compete overseas, and they will probably also restrict us."

Xu Jun was naturally aware of the seriousness of what Lian Zhitian said.

Warwick is also a company that firmly pursues independent technological innovation, and the company has a very high proportion of R&D personnel.

And in recent years, Warwick's overseas business and domestic business have basically been on par.

These developed markets were all taken from rivals such as Motorola.

In the eyes of Americans, electronic communications-related technologies must be similar to chips and cannot be surpassed by Chinese companies.

At least the related equipment sales in this world cannot be in the hands of Chinese companies.

So as the current situation develops, Xu Jun can basically predict what situation the company will face in the future.

"It seems that we are now handing over all-round chip foundry business to Nanshan Semiconductor for production, which can be considered a precautionary measure."

"I hope Nanshan Semiconductor can build new factories normally after this."

"Otherwise it would be more troublesome."

Lian Zhitian is a little worried about whether Nanshan Semiconductor can survive this wave of impact.

Although we are competitors to a certain extent, we are more often partners.

He definitely doesn’t want Nanshan Semiconductor to fall.

"I'll contact Mr. Cao to see if there is anything Warwick Haisi can do for me."

"Previously, they wanted us to arrange personnel support. Next, we can take greater action in this regard."

Originally, Xu Jun still didn't particularly want to arrange too many people to support Nanshan Semiconductor, but now it's different.

Helping Nanshan Semiconductor is, to a certain extent, helping Huawei HiSilicon itself.

Otherwise it will be Warwick HiSilicon's turn to be dealt with by then.

……

"Mr. Wang, something happened to Nanshan Semiconductor and Nanshan Equipment. Should we still consider purchasing equipment from Nanshan Equipment?"

With such a big thing happening in the industry, Yang Bingning was naturally the first to know about it.

Not long after his group returned from Nanshan Equipment, something like this happened, and Yang Bingning was in a very special mood.

"It seems that everyone already knows that Nanshan Semiconductor has really mastered the 28nm chip technology, otherwise it would not move so fast."

Wang Anguo's mood is very complicated now.

Although when I visited Nanshan equipment, I was basically sure that Nanshan Semiconductor had really surpassed SMIC and became the first domestic manufacturer to master 28nm chip technology.

However, after all, Nanshan Semiconductor's new factory has just begun construction. Whether the theoretical things can be successfully mass-produced by then is still full of uncertainties.

But what America is doing now makes him realize that the strength of Nanshan Semiconductor has really reached the point where it can threaten the international chip giant, and it is time for the other party to use special tricks.

He also wants SMIC to have this kind of treatment.

"It is basically certain that Nanshan Semiconductor and Nanshan Equipment have really made a major technological breakthrough."

"Otherwise, the United States and Asmai would not have done something like that."

"Especially Asmai, he's just throwing a tantrum and using all these low-level tricks."

"They don't perform maintenance on the equipment, which is completely a violation of the contract."

"Aren't Westerners the most particular about the spirit of contracts?"

"Why did you change at this time?"

Yang Bingning couldn't help but complain.

Asmai's statement really disgusted him.

SMIC's lithography machines are all purchased from ASML. Not only are they expensive, but the most advanced models are still unavailable.

Even if an order is placed, the lead time is very long.

Yang Bingning was also full of resentment towards Asmai.

Now it is not easy for a manufacturer to break this situation. SMIC is preparing to use other people's equipment, but ASML appears like this.

Although in the end, if the contract is breached, you can definitely go to court.

But does SMIC want to litigate?

If the factory stops production and the lawsuit goes on for several years with no results, isn't everything over?

ASML is determined to win over companies like SMIC.

In fact, companies like SMIC are ASML's most worried customers.

Shareholders such as TSMC and Samsung will definitely not easily go to Nanshan Equipment to buy lithography machines.

Even the United States will not allow them to do this.

SMIC is different.

We are all Chinese companies, and the price and service of Nanshan equipment must have great advantages.

If ASML does nothing, losing orders in the future is inevitable.

"The so-called spirit of contract is to only make a contract with you when someone needs it, and just give up when it is not needed."

"However, Nanshan Equipment's photolithography machines have not yet been mass-produced in the factory, so we definitely don't dare to take risks now."

"If it is proven next year that there is no problem with the lithography machine of Nanshan Equipment, then we will definitely not continue to let Asmak have our necks."

Wang Anguo soon had an idea in his mind.

However, although the words sounded nice, they finally gave up on purchasing lithography machines from Nanshan Equipment for the time being.

I have to say that this is also a regrettable thing for Nanshan Equipment.

……

Some cry, some laugh.

Some are sad, some are happy.

Some people are worried, and some people are happy.

When something happened to Nanshan Semiconductor, people at Samsung were very happy.

"Mr. Park, if something happens to Nanshan Semiconductor this time, I think we can arrange for someone to keep an eye on it to see which companies are violating regulations and cooperating with Nanshan Semiconductor."

"If you report it in time, Nanshan Semiconductor will be completely tied up with a rope."

Li Zailin is definitely more active than anyone else in dealing with Nanshan Semiconductor.

Samsung has great expectations for China's semiconductor market and mobile phone market.

However, these two markets are in direct competition with Nanshan Semiconductor and Honor Mobile.

The key is that Samsung is not yet confident that it can compete with others.

Now with outside help, Li Zailin definitely hopes to seize the opportunity.

"It is true that people can be arranged to keep an eye on it, not only at Nanshan Semiconductor, but also at Nanshan Equipment."

"Without the support of Nanshan equipment, there would be no technological breakthroughs of Nanshan Semiconductor. They are complementary to each other."

"In addition, we ourselves also need to consider launching new mobile phones in China as soon as possible, otherwise Honor mobile phones will be unable to suppress it."

Although Park Geun-hee was relieved, he was still a little worried about the performance of Samsung mobile phones.

In this market, the best ones right now are Honor phones and Apple phones.

Nokia has begun to experience a decline in sales, making everyone realize that the smartphone era has really arrived.

"Mr. Park, although this time it has a relatively large impact on Nanshan Equipment and Nanshan Semiconductor, I think it is not enough."

"Nanshan Group has been promoting the comprehensive localization of all products over the years. While this goal has not yet been achieved, our various tricks can achieve better results."

"Otherwise, by the time people really achieve localization, even if we impose restrictions, we may not be able to bring much of a blow to them."

Li Zailin wished that Nanshan Group would go bankrupt tomorrow.

In this way, Samsung will have no pressure to develop in China.

But it is obviously impossible to do this.

As long as he finds the right opportunity, he thinks this is entirely possible.

Park Geun-hee naturally fully supports this.

(End of this chapter)