Reborn in 2011, 985 missing from two copies

Chapter 454 HTC’s conditions, focus on PC CPU!

"Can't stand the CPU monopoly by Intel and AMD?" Wang Hong was startled, then laughed:

"Director Wang is very courageous. To be honest, I have been unhappy with the two of them for a long time, especially Intel!"

Wang Yi’s words touched Wang Hong’s heart.

The enemy of an enemy is a friend.

HTC, or VIA's CPU chip business, was originally very powerful and promising, able to compete with Intel, but was later killed by Intel using various means.

This hatred is irreconcilable!

Wang Hong dreams of killing the other person, but unfortunately she doesn't have the strength to do so.

Now that Wang Yi wants to acquire X86, make CPUs, and compete with Intel and AMD, Wang Hong is naturally happy to hear this.

What’s more, Xingyi Technology is very powerful. Once it enters the PC chip market, I’m afraid even Intel will have a headache!
So he said, "Of course you can, but you have to give me a satisfactory price."

Wang Hong is a businessman, so he certainly won't sell VIA at a low price just to vent his anger!

Wang Yi fell into deep thought. In his previous life, around 2020, Zhaoxin acquired VIA.

Including X86 chipset technology and data, patents, licenses, etc., the package was sold for 2.58 million US dollars.

Of course, that was the price eight years later, after prices had skyrocketed.

Of course it can’t be sold at this price nowadays.

In fact, the price in 2012 is about half of what it will be in 2020.

For example, this year's Apple flagship iPhone 5 starts at 5288. But the 2020 Apple flagship iPhone 12 pro max starts at 9299.

As for the iPhone 12, it is an entry-level low-end model, equivalent to next year's iPhone 5C, and is not a flagship at all.

To put it bluntly, the iPhone 12 is next year's entry-level iPhone 5C, and the iPhone 12pro max is the iPhone 5s.

It's just a change of name.

Similarly, the Xiaomi 2 these days starts at 1999, but the Xiaomi 2020 in 10 costs 3999, and the Xiaomi 10pro is 4999, which is comparable to the current iPhone.

In a few years, as the currency depreciates, products such as mobile phones will double in price.

Similarly, the price of related technology and business licenses is twice the current price.

The acquisition of VIA in 2020 would cost 2.58 million US dollars, but now 1.3 million is about the same.

In response, Wang Yi said directly: "1 million US dollars, full acquisition."

"One hundred million US dollars..." Wang Hong frowned slightly. It was a little different from what she expected.

Her ideal price was 1.5 million US dollars, but she also understood that with nearly 10 billion RMB, it would not be able to be sold at this price.

Even if the two sides argued for a while, the final transaction price would only be 1.2-1.3 million US dollars, that's all.

An extra twenty or thirty million US dollars is not a big difference.

Instead of this, it is better to change to other more favorable conditions.

Wang Hong came up with a plan: "Mr. Wang, 1 million US dollars is indeed a low price, but I can consider it. But there is an additional condition."

"What conditions?" Wang Yi knew that this matter could be negotiated.

It is even more clear that as the daughter of the richest man in Taiwan and a business elite, Wang Hong is best at maximizing profits.

This was the case when purchasing the CDMA license last time. Wang Hong accepted the low price, on the condition that Meiyu from Taiwan be added as the general agent!
The result was very successful. Although HTC phones are not selling well now, the company is making a lot of money by being the agent for Mayu and Zhenyou.

To the extent that Wang Hong converted many HTC flagship stores with sluggish sales into Mayu and Zhenyou flagship stores and specialty stores.

There is no other way. Being a clothing agent is more profitable, and HTC cannot starve to death.

This time, it’s the same old thing again. It seems like they’ve set their sights on something new.

"It's very simple, Mr. Wang, I want to purchase a batch of Kunpeng 702 SOCs!"

Wang Hong's true intentions were exposed. This was the best condition she could think of in a short period of time.

Kunpeng 702 SOC is so powerful that it is even stronger than Qualcomm APQ 8064 and even beats Nvidia Tegra 3.

If HTC can purchase a batch, it will definitely sell well!

More importantly, the Kunpeng 702 SOC integrates the baseband, which has lower costs and is much cheaper than Qualcomm solutions.

Lower price, higher performance, it's simply irresistible!

HTC now needs to turn around as soon as possible, and the most powerful chip available is the Kunpeng 702 SOC.

As for the next generation Snapdragon 800, it has not been released yet. The first supply will have to wait until April next year, and it will not be available on the market until June or July next year.

The most important thing is that HTC is no longer what it used to be. It is no longer a top giant and cannot get the first launch of Snapdragon 800.

Then we can only wait for Snapdragon 800 to go into mass production, which will be in the third quarter.

Xingyi Technology develops and produces all its chips by itself. Once they are offline, they will be given priority supply, so the delivery time is naturally fast.

But Qualcomm chips are different. After mass production, the initial production capacity is limited and can only be given to the first launch manufacturers.

Only after two or three months when the yield rate is improved and large-scale mass production is carried out can it be supplied to other manufacturers on a large scale.

This is why major manufacturers are competing to be the first to launch the product.

For example, the Snapdragon 800 was released in January, but it went into formal mass production in April or May, and the first model was not available on the market until July.

HTC cannot get the first launch and can only wait until July when Snapdragon 800 goes into mass production.

It will take at least September or October for HTC phones equipped with Snapdragon 800 to be available on the market.

The previous Xiaomi 3 was launched in October.

This is too slow.

As for Nvidia's Tegra 4 next door, it may be even slower and will not be available until the fourth quarter of next year.

Samsung's new flagship is similar, and HTC doesn't dare to buy it.

After all, HTC’s first generation of flagship phones was aborted due to Samsung’s cut-off of screen supply, and Wang Hong would never dare to buy Samsung’s processors again.

Before Snapdragon 800 and Tegra 4, Kunpeng 702 SOC was the most powerful chip, no doubt about it.

More importantly, the Kunpeng 702 SOC has been mass-produced and commercialized, so there is no need to wait.

As long as HTC gets the Kunpeng 702 SOC, it will be far ahead and will be invincible until October next year when mobile phones equipped with Snapdragon 800 are launched on the market on a large scale!

At least seven or eight months of lead time is enough for HTC to make a comeback.

Wang Yi understood Wang Hong’s plan in an instant, and then fell into hesitation.

If you don’t sell it, this guy has figured out Wang Yi, so forget about getting the X86 license.

If it is sold, HTC's Kunpeng 702 SOC will have some impact on the xphone 2 Kunpeng version, although the impact is small.

After some hesitation, Wang Yi decided to sell it!
But it will not be supplied now, but in two months!

There is no other reason. The X86 architecture belongs to Intel. Apart from that, only AMD and VIA have licenses.

But it is clear that Intel will no longer license it to others.

It is even less likely that AMD will sell its license to Wang Yi. By then, AMD will not be able to make CPUs, which is unrealistic.

The only way out is to acquire Wang Hong’s VIA!
Wang Yi had no choice.

I can only accept it.

And the chips will be available in two months, which means in February next year.

Considering the production time, transportation and distribution time of the mobile phone, it will be March or April before the new HTC phone is launched.

At that time, Kunpeng 902 SOC was about to be mass-produced, and the xphone 902pro equipped with Kunpeng 2 SOC was about to be launched on the market.

Then the Kunpeng 702 SOC equipped in HTC's new flagship has become a sub-flagship chip, so there is no need to worry.

By then, Kunpeng 702 SOC will become the sub-flagship, and Wang Yi originally planned to sell it to the public.

Wang Yi replied, "I didn't plan to sell the Kunpeng 702 SOC, but since you asked, it's not impossible. But the current production capacity is tight, and we don't even have enough for ourselves. The earliest we can deliver is February!"

"February?" Wang Hong nodded. "Sure. It will take time for us to optimize and adapt the new chip. You need to give us some Kunpeng 702 SOCs first so that we can develop new phones."

Wang Hong decided not to develop from scratch anymore, but to directly use two months to replace HTC's next generation new phone with Kunpeng 702 SOC!

"That's no problem." Wang Yi agreed readily.

"What about the price..." Wang Hong couldn't help but ask.

"How much do you want?"

Wang Hong thought for a moment and said, "Five million, maybe!"

This scale is just right.

Wang Hong had a clear plan. In early December, HTC received the Kunpeng 12 sample and started research and development and adaptation.

Kunpeng 2 SOC will be supplied in February, and then mass-produced and distributed, and will be officially launched in late March or early April!
It will take a full six months until October when Snapdragon 800-powered phones are launched on a large scale, and it will be no problem to sell out 500 million new Kunpeng 702 SOC flagships.

This time, Wang Hong's order volume is relatively conservative.

After all, HTC has fallen from heaven to earth this year.

From competing with Nokia, Samsung and Apple last year to competing with others this year.

Wang Hong didn't even dare to open her mouth even though it was ten million.

Wang Yi nodded: "500 million, sure. The current Qualcomm APQ 8064+ baseband costs 250 yuan per set, and it does not support full network access. The Kunpeng 702 SOC has stronger performance, supports full network access, and is also sold at 250 yuan. For the sake of our friendship, I'll give you a discounted price of 240 yuan per set!"

"240 yuan..." Wang Hong frowned slightly. A set is 10 yuan cheaper, and 500 million sets are 5000 million yuan cheaper.

Although it is a lot, it still does not meet expectations.

"Mr. Wang, we will purchase 500 million sets at one time. How about 230 yuan?"

"240 yuan is already a great deal," Wang Yi said with difficulty.

"Then we'll order 600 million sets at 235 yuan." Wang Hong took a step back.

“Okay.” Wang Yi said reluctantly.

In the end, the deal was sold at 235 yuan per set, with an order for 600 million sets.

In fact, Wang Yi’s psychological price is 235 yuan.

Kunpeng 702 SOC integrates the baseband. The 40-nanometer process has low cost. It is self-developed and produced, with high output and a yield rate of 95%. Therefore, the cost of each Kunpeng 702 SOC has dropped from 30 yuan to 25 yuan.

Qualcomm APQ 8064 is produced using a 28nm process, which is more expensive than a 40nm process. Since it is manufactured by a third party, TSMC also has to make a profit. The cost of an APQ 8064 chip is 45 yuan.

You also need an external baseband.

The 40-nanometer Wing Loong 3000 chip costs only 15 yuan to produce by Xingyi Semiconductor, but it costs 20 yuan per chip to manufacture it by TSMC.

Qualcomm's external 28nm baseband is more expensive, at least 30 yuan per piece!
Therefore, the total cost of a set of Qualcomm APQ 8064 chip + baseband is 75 yuan, while the cost of Kunpeng 702 SOC is only 25 yuan.

Even if Wang Yi sells for 15 yuan less than Qualcomm, he can still make an extra 35 yuan.

More importantly, once it is sold at 250, many customers may still choose Qualcomm.

On the contrary, the price of 235 can attract a lot of customers.

Moreover, this price is 15 yuan cheaper than Qualcomm, and Qualcomm does not dare to lower the price any further. If it really drops to 235, Qualcomm will also be in trouble.

In addition, Qualcomm was also worried that once they dropped to 235, Wang Yi would continue to drop to 220!

Then there will be trouble.

After all, the cost of Kunpeng 702 is 8064 yuan lower than Qualcomm APQ 50, so it is more confident to engage in a price war.

At this point, the negotiations were successfully concluded.

Wang Yi acquired VIA in full, as well as all of its CPU divisions, technologies, patents, licenses, etc., for a total price of US$1 million, or RMB 6.5 million.

HTC has purchased 600 million Kunpeng 702 SOCs from Xingyi Semiconductor, and the delivery will be completed in three months starting from February next year, with 2 million units delivered per month.

The unit price is 235 yuan, the total price is 14.1 billion yuan, and the gross profit exceeds 12.5 billion!
I can only say that semiconductors really make money!
As for taxes?
For semiconductor companies, under various preferential policies, the tax rates in previous years have basically been exempted.

Even after deducting the 6.5 million yuan used to acquire VIA, Wang Yi can still make 6 million yuan.

Wang Yi was very satisfied with this cooperation.

It was like acquiring the entire VIA without spending a penny, acquiring X86 and VIA's chip technology and patents, as well as a group of talents, and making 6 million. It was really great.

Afterwards, Wang Yi approached Williams and said, "William, we have the X86 architecture, so go ahead and develop it."

"???" Williams was confused: "Chairman, is this true? Intel won't authorize it, right?"

Wang Yi smiled slightly: "Intel will not authorize, but don't forget that VIA has the X86 license."

"Yes, VIA acquired Cyrix, and Cyrix has a permanent license for X86!"

Williams suddenly realized and understood everything in an instant.

"Then I will fly to Taiwan right now and take over VIA's business and technology!" Williams was delighted.

Now, X86 is stable.

Wang Yi waved his hand and said, "You don't have to go. You can stay at the Xingyi Technology headquarters. Then, you can select a top recruit from among your recruits to go to VIA in Taiwan. Bring VIA's technology, authorizations, and talents who are willing to come to the capital. As for those who are unwilling to come, they can stay in Taiwan."

"In the future, our CPU department will be divided into two R&D centers, with the headquarters in the capital, and VIA will continue to stay in Taiwan as a branch."

"Those from VIA who want to come to the capital can come. Those who don't want to come can stay on Taiwan Island."

"From now on, you will be in charge of the Imperial Capital. Another expert will go to Taiwan Island and serve as the head of the Taiwan Island R&D Center."

Wang Yi was also worried that something might happen to Williams if he went to Taiwan.

Williams is no longer the same person as he was before.

Since the Kunpeng 702 SOC became a hit, Williams has also become a top player in the semiconductor industry.

Once you go there, something unexpected might happen.

Wang Yi can't take any risks.

"Okay!" Williams understood Wang Yi's concerns and continued:
"Let Nie Zheng go. He was originally the director of the PC business at Texas Instruments, but later when Texas Instruments marginalized the PC business, he had to leave. He later went to Intel, but the development was not smooth."

Wang Yi understood: "Okay, let him go!"

This dual-center model allows the development of two CPUs per year.

The strong ones do high-end products, and the weak ones do mid- and low-end products.

For example, Intel has four levels: i3, i5, i7, and in the future there will be i9.

Xingyi Technology's CPUs are divided into at least two levels: high-end and mid-range.

As for who is better between Williams and Nie Zheng, it depends on their abilities.

Afterwards, Williams called Nie Zheng and explained everything to him.

Nie Zheng was delighted: "Thank you for the trust from the chairman. I will definitely live up to your trust and come up with our own CPU next year!"

"Very good!" Wang Yi nodded with satisfaction. "I will arrange for a group of people to follow you to VIA. When you get there, if you need anything, just let me know. Director William and I will fully support you."

"Thank you." Nie Zheng was in a good mood. He never thought such a good thing would happen.

He just joined Xingyi Technology two months ago, and now he can work independently and take on major responsibilities.

Simply unbelievable.

All I can say is that Wang Yi trusted him too much.

Of course, this does not mean that Wang Yi has no backup plan at all. On the contrary, Wang Yi has made comprehensive preparations.

After all, the team sent out are all from the headquarters.

The financial director, human resources director, etc. are also Wang Yi's confidants.

As the head of the headquarters, Williams always pays attention to and controls Nie Zheng's research and development progress.

If there is any problem, Wang Yi will be able to discover it at the first time.

"You don't have to go to work this afternoon. Go back and pack your things. You and the team will fly to Taiwan tomorrow."

"Thank you, Chairman!" Nie Zheng was delighted.

Afterwards, Wang Yi approached Jian Ziyan and said, "Please arrange the acquisition of VIA. Also, the team going to VIA should be ready. We will fly over together tomorrow."

"Don't worry, Chairman." Jian Ziyan has already become proficient at it.

Every time a new company was acquired, Jian Ziyan would arrange people to negotiate the contract, take over, handle the aftermath, and carry out subsequent work, etc.

These matters involve multiple departments such as finance, personnel, etc., and it is difficult for others to handle them.

But Jian Ziyan was adept at it.

Jian Ziyan is Wang Yi's first secretary and the chief steward of Xingyi Technology. No one dares to object to who she arranges to go.

After all, everything Jian Ziyan had to do was told by Wang Yi, unless she didn't want to get involved anymore.

On the contrary, every time Jian Ziyan issued a task, all departments cooperated very well, and those who wanted to develop and move up were even more active.

Everyone knows that there are many talented people in the headquarters, and it is very difficult to make a name for yourself if you stay in the headquarters.

Even George and Zhang Chao were only the second and third in command of the chip R&D department at the headquarters. Nie Zheng was even less likely to be ranked.

But if you are stationed abroad, your opportunities will increase greatly.

Like Nie Zheng, who went directly to Taiwan to take office and became the new president of VIA!

As the second CPU R&D center, VIA will be retained for a long time and actively developed.

In the future, all semiconductor talents who are willing to come to the capital will come to the capital.

Those who do not want to come to the capital, such as foreign experts, can go to VIA.

The follow-up matters were left to Jian Ziyan to handle, and Wang Yi went straight back to Lin Shu's house.

As expected, Lin Shu hasn't come back yet.

Since starting his own business, Lin Shu has become busy.

Bawang Cha Ji was just established in October, and now in just two months, it has launched many new products.

And opened seven branches in the imperial capital.

Such efficiency is really fast.

The price was that Lin Shu became very busy, busy from morning to night.

Basically, apart from attending classes, Lin Shu is busy with the development of the company.

Wang Yi was speechless: "As expected, it only takes one person in the family who is ambitious. If both of them are ambitious, the family will not be able to cope with it."

With no other options, Wang Yi could only go into the kitchen and start cooking after a long absence.

In the past, Lin Shu cooked for him every day. Today, it was his turn to take care of the rich woman.

At seven o'clock, Lin Shu dragged his tired body back home and was immediately shocked:

"Hey, brother, you're here!"

Lin Shu was a little surprised, then her brows lit up with joy. She threw her bag on the sofa, ran towards Wang Yi, and hung on him like a koala.

Her fair cheeks rubbed against Wang Yi's neck like a clingy cat.

Wang Yi laughed dumbly and carried Lin Shu to the sofa:

"Thank you for your hard work, baby. You've been very busy lately, right?"

"Fortunately, we opened another store today, making it the eighth one!"

Lin Shu smiled and said, "Besides, the first seven businesses are doing very well, and the daily income exceeds expectations. If this continues, we will be able to make back our investment soon!"

"That's great. You're worthy of being my baby." Wang Yi said lovingly.

"Hehe." Lin Shu smiled happily, then quickly stood up: "Brother, wait a moment, I'll go cook!"

"No need, I'm done." Wang Yi picked up Lin Shu and ran straight to the restaurant next door.

Only then did Lin Shu realize that Wang Yi had already prepared a table of food.

Three dishes and one soup, all delicious and delicious.

"Brother, you are so nice." Lin Shu was a little touched.

Wang Yi was speechless: "What's the big deal? You always prepared meals and waited for me to come back."

"Hehe." Lin Shu raised the corner of his mouth, revealing a beautiful arc: "But brother, I am really a little hungry."

"Eat when you're hungry!" Wang Yi was just about to take the dish to heat it up.

But Lin Shu stood up and smiled sweetly: "Okay."

Then she hugged Wang Yi and offered her red lips...

Wang Yi sneered: "So it's this hunger..."

"Just in time, I'm hungry too."

She picked up Lin Shu like a princess and ran straight to the bedroom next door...

More than an hour later, the two began to eat:
"Baby, you can't be so busy when starting a business. You need to find a few trustworthy and reliable people to help you share the burden."

"If possible, it would be nice to hire a professional manager."

"And you just need to grasp the general direction and make a good overall plan."

"Don't tire yourself out."

Wang Yi began to impart his experience of being a hands-off boss, and he was really worried that Lin Shu would get too exhausted.

Lin Shu couldn't bear the daily hassle of getting up early and coming back late.

"Okay, brother, I'll look for it right away."

Lin Shu had an idea. He had opened a chain of Internet cafes before, and those senior sisters were all pretty good and reliable. They had been working together for more than two years, so he could reuse one or two of them.

However, if you want a professional manager, you have to find a professional one.

Look among the outstanding senior students who graduated from Renmin University, maybe you can find a suitable one.

The biggest advantage of this kind of alumni is that they all go to the same school, belong to the same circle, know each other well, and have their dignity taken care of.

Once something happens, the entire NPC system will know about it, and it will be difficult to get by in the future.

If the other party had cheated them, without Lin Shu saying anything, the professors and lawyers at Renmin University’s law school would step in and use all their connections to clean up the mess.

There is no other way, we have to maintain the school’s reputation!
After dinner, Wang Yi and Lin Shu snuggled together on the sofa to watch TV series.

What I was watching was "Spicy Female Soldiers", which was exclusively broadcast on Xingyi Video.

When this low-budget drama was first released in late November, many people were not optimistic about it and thought it would not be a hit.

But after just a few days of airing, the ratings exploded and it was called the female version of "Soldier Assault".

By December, it became a dark horse, ranking first in ratings!

"Brother, your platform is really good at selecting dramas. A low-cost drama like "Hot Female Soldiers" has become the dark horse of the year!"

Lin Shu was full of praise, and suddenly found a big problem: "Not only that, it seems that all the hit dramas this year are broadcast by Xingyi Video!"

"Yes, that's right. Other platforms, at most, have a small hit, that's all."

Wang Yi has a complicated expression, isn’t it?

Wang Yi has already secured almost all of this year's hit dramas, so naturally they are big hits every month.

As a result, within a year, Xingyi Video became the number one platform in terms of the number of members, number of on-demand services, and number of users.

Neither iQiyi nor Youku are its rivals.

There’s no way around it, the hit drama decides everything!
Xingyi Video has many hit dramas, so it has more paying members, makes more money, and has more capital to buy more dramas.

Other competitors are in a bad situation. They are suffering heavy losses, their income is not enough to cover their expenses, and they have no money to buy high-quality dramas. Without enough high-quality dramas, they cannot retain users. Membership income has plummeted, and they have even less money...

The result is that things get worse every year, a vicious cycle.

Just like Sohu Video and LeTV, they ended up in such a cold state many years later.

The next day, Nie Zheng brought his team to VIA, signed a contract with Wang Hong, and officially acquired VIA!
(End of this chapter)