Chapter 284: Sensational
Soon, Li Zetian entered the negotiation process with the Hong Kong Telephone Company.
The whole of Hong Kong is closely watching the matter.
For Li Zetian, the acquisition of the Hong Kong Telephone Company will control the future of Hong Kong's Internet and make it easier to get the root domain name server from the United States!!
The New Year's atmosphere in Hong Kong is very strong, with new couplets posted on every house, and red lanterns are hung at the doors of those who are able to do so. The temple street is very lively, and there are various performances such as lion dance, dancing, and singing. While negotiating with the Hong Kong telephone company, Li Zetian took Yu Jingqiu and his children to play in Hong Kong.
Before I knew it, 10 days had passed, and the acquisition had not yet been completely negotiated, and the Hong Kong Telephone Company asked Li Zetian to bid $5 billion for a wholly-owned acquisition, but Li Zetian was only willing to pay $4 billion. Negotiations reached an impasse. Hong Kong is a small land, if the Internet develops, $5 billion is not a problem. However, at present, the main business of the Hong Kong telephone company is to monopolize the Hong Kong fixed telephone, although it is also very profitable, but in Li Zetian's view, with the development of wireless communications, the profit of the fixed line will be declining.
$1 billion is not a small amount, and although Li Zetian is very rich, he will not give in easily.
At the same time, Li Zetian is also keeping an eye on the construction of Intel's "wafer factory", which has now been completed, and a large number of workers from Shenzhen and Hong Kong are being trained.
One afternoon, Li Zetian came to the company again.
He asked Zhang Zhongmou: "When will the Intel wafer foundry officially start?"
Zhang Zhongmou thought for a while and replied, "It's probably April." ”
"Start in April, then you can do publicity from March!"
Zhang Zhongmou nodded, "Yes." ”
"Well, then you contact Andy Grove later. There has never been a wafer foundry company before, each company designs its own chips and produces them by itself, and we want to turn these companies into our customers, and we must let them know that the chips are handed over to us to produce, which can reduce the cost of their products, so when publicizing, we must highlight this feature!"
Zhang Zhongmou smiled and nodded.
Li Zetian then took his leave.
On the same day, Zhang Zhongmou conveyed Li Zetian's meaning.
Three days later, Intel held a press conference.
The press conference was attended by a lot of media reporters and industry insiders, and CEO Andy Grove looked at the crowd with a smile on his face, and his heart was quite excited.
"Hello everyone, and welcome to Intel's press conference. This conference is very significant, and I am here to announce a major event that will affect the entire semiconductor industry!"
Andy Grove said this, and everyone couldn't help but be intrigued.
"What's going on? What's going on that affects the entire semiconductor industry?"
"Intel only released a 32-bit processor in January, so it won't make any big moves, right?"
"Just get used to it, it's a Chronos· Li's company, I'm not surprised if anything happens, I'm looking forward to what Grove is going to announce next."
“……”
Everyone looked at each other one by one and talked about it.
Andy Grove smiled slightly, raised his hand to signal everyone to be quiet, and then said loudly: "This matter can be said to be a pioneer in the semiconductor industry, and it is also a Chronos· Li proposed!"
When everyone heard this, they were even more excited. Li is linked, and it is certainly not ordinary!
"Mr. Grove, tell me quickly, stop selling off!"
In the audience, many people were anxious.
"Okay," Andy Grove smiled, "Chronos· For the first time, Li proposed the business model of foundry, that is, semiconductor companies only need to design their own chips, and the production is handed over to Intel, in short, the chip production is handed over to Intel for foundry!
As soon as the words fell, everyone was in an uproar.
"The wafer foundry model? It seems that there has been no before, semiconductor companies have their own factories, Intel's move is afraid that it will not work? Li also makes mistakes!"
Andy Grove laughed at everyone in his heart, and Chronos· Li's great wisdom, what do you know?
At this time, he picked up the microphone, deliberately "coughed" twice, signaled everyone to be quiet, and then said: "That's right, at present, most semiconductor companies have their own factories, but we know that the investment in building a wafer factory is very large, and with the upgrading of technology, it takes hundreds of millions of dollars, even billions of dollars, tens of billions of dollars to build a wafer factory. I think the vast majority of semiconductor companies can't afford it! In the future, wafer foundry will be the development trend of the future. Chip design companies focus on design, and there is no financial pressure to build factories, so they can design better products, while wafer foundries can get a large number of orders, expand scale, and reduce costs, which is actually beneficial to both parties!"
When everyone heard this, they immediately fell silent and thought about it.
Especially in the industry, they immediately understood the meaning, and some people couldn't help but turn slightly red because they were too excited.
At this point, Andy Grove continued: "Intel already has a lot of fabs, and we have recently built a large fab in Hong Kong, which can be said to be a wafer fab built specifically for foundry. Having said all this, you must want to know, if the product is handed over to Intel's wafer factory to produce, what is the price? The specific price is actually determined according to the number of chip orders, but I can clearly tell you that the cost is definitely at least 20% lower than that of your chip production!!"
Intel's wafer fab uses a lot of advanced equipment, such as Precision5000, traditional technology, a single mistake can make all 48 wafers scrapped, but Precision5000 allows wafers to complete different processes on the same machine, the advantage of applying this product is that if an error occurs during the production process, only one wafer is lost.
This gap is not ordinarily large, and Precision5000 greatly reduces the cost of chip production!
Andy Grove is definitely a liar to say at least 20% and Intel will intercept most of the profits!!
For others, however, it was a surprise.
"Andy Grove: Realistically, if your words are true, if my company's chips are produced by Inlet, can it really be 20% cheaper?" someone in the audience couldn't help but shout loudly.
Andy Grove smiled: "Of course, if your company has more orders, Intel can give more discounts! Even if you don't believe me, at least you should believe Chronos· If your company wants to cooperate with Intel, you can come to Intel after this conference and we will talk in detail. ”
The man was startled, then overjoyed, "Okay, Mr. Grove, I'll definitely go!"
Intel's press conference was tantamount to dropping an atomic bomb on the semiconductor industry, which caused a great sensation and soon spread to Hong Kong, where the Hong Kong people knew that Intel had actually established a large-scale wafer foundry.
"I heard that the wafer factory is a high-tech factory, and the production of chips is so awesome that many countries can't build it!"
You know how thin a hair is, and the fab has a high-tech product called a lithography machine, which can carve thousands of times thinner lines on the chip than a hair, tens of thousands of times!"
When people heard this, their mouths couldn't help but open wide, and they felt incredible!!