Chapter 631: Pull One Dozen
The development history of the Eastern Group in the past ten years has been recognized as a great miracle by the entire IT industry.
Hong Kong people's perception of the Oriental Group is undoubtedly the most concrete, and in the rendering of the whole Hong Kong media again and again, its founder Li Xuan has long been crowned with a series of amazing titles such as "God of Wealth", "Shadow Governor of Hong Kong", "Hong Kong Underground Tsar".
Today, the Oriental Group has developed into a comprehensive consortium spanning many industries such as electronics, finance, entertainment and media, and commerce and trade. But outside of Hong Kong, the main perception of it is that it is a leading company in the global IT industry.
Among them, there is also a big difference between the impression of industry insiders and the public on the Oriental Group. Those who have studied the history of the Eastern Bloc almost unanimously agree that there are two subsidiaries that occupy a very special place in the entire Eastern Bloc.
One is an Oriental game company that provided huge financial support for the early diversified expansion of Oriental Group. Oriental Games is naturally a household name among game fans around the world, but it has very little influence outside the gaming industry.
As for the most envious and jealous asset of the Eastern Bloc, it is by no means the Oriental Research Institute! To use the commentary of the American "Time Magazine" to describe: This is the last great R&D institution in the 20 th century that is capable of changing the whole world!
If the Oriental Game Company represents the glorious past of the Oriental Group, the Oriental Research Institute is enough to support the bright future of the Oriental Group! From the chip technology represented by ERM at the beginning, to the liquid crystal technology, Internet technology, and the latest digital mobile communication technology, the Oriental Research Institute will have an increasingly profound impact and change the whole world!
Whether it is the City of London or Wall Street in New York, they are all salivating over the most core assets of the Oriental Group, such as the Oriental Game Company and the Oriental Research Institute. But the richest man Li, who is not short of money, does not have the urge to securitize these core enterprises now.
As far as the public is concerned, the combined popularity of Oriental Games and Oriental Research Institute may not be as famous as Aikang! Among all the subsidiaries of Oriental Group, Aikang Company is definitely an outlier!
Although with the continuous expansion of Aikang's market value, Li Xuan's shareholding ratio has been diluted to only about 40 percent, and he has lost absolute control! However, in addition to Li Xuan, the largest shareholder, the nine institutional shareholders who rank 2 to 10 in terms of shareholding share have a total equity of less than 25 percent, and it is difficult to challenge his control.
There is no doubt that Aikang Company is a company under Li Xuan's name, but the British media, led by Fleet Street in London, have long been intentionally or unintentionally distinguishing Aikang from the entire Oriental system and reporting it separately!
So much so that now many users who don't know the development history of Aikang don't know that the Aikang computer they bought is actually the same as the Oriental software and Oriental games on the computer, which belong to the same group's products!
Li Xuan naturally fully agrees with the British media's practice of slapping a swollen face and becoming fat! It can even be said that this change in the propaganda caliber of the British media is secretly due to the deliberate guidance of the Eastern Bloc! After all, after obtaining the status of a British enterprise, Aikang Company can put on the tiger skin of Downing Street as its backstage in its global expansion.
As the second largest in the world, the British Empire can provide political and business protection for Aiken is naturally not comparable to that of Hong Kong, a small colony! But Aikang's British corporate identity sometimes attracts some trouble!
For example, in the current mobile communication technology, it has begun to transform from analog to digital. The CDMA standard that the Eastern Group is preparing to implement is bound to start a fierce market battle with the GSM standard developed by the European Telecommunications Standards Institute (ETSI)!
ETSI was established in 1988 by the European Commission for Telecommunication Standardization as a non-profit telecommunication standardization organization. The standards developed are adopted and implemented by the entire European Community as technical standards for the European market.
In other words, the whole of Europe is the natural garden of GSM! As one of the core members of the European Community, the United Kingdom is naturally no exception! This makes the situation of Aiken quite embarrassing, because as a subsidiary of the Eastern Bloc, it should be a natural supporter of the CDMA standard!
However, once Akoncheng becomes the pioneer of CDMA's entry into the European market, it is likely to be labeled as a "traitor" by competitors and rejected by the whole of Europe!
You must know that ETSI is nominally a non-profit organization approved by the European Community, but the real promoters behind it are actually European telecommunications service providers represented by Ericsson, Nokia, Siemens, etc.!
It is by pushing for the development of GSM standards that they directly exclude competitors like the Eastern Bloc. This is actually a naked market monopoly, but it is covered with a legal coat!
As a person who has come over, Li Xuan has never considered competing with GSM in the European market! Even in order to compete with Vodafone in the local market in the UK, Aikang also said that he will not take the initiative to reject the GSM standard!
To this end, Aikang also took the opportunity to conduct a round of self-promotion through the media, showing that it is a public company with an independent will, and will not sacrifice the overall interests of the company in order to succumb to the interests of major shareholders!
But in markets outside of Europe, Li Xuan is not ready to give GSM a chance to rise!
Compared with the GSM engaged in by Europeans, the CDMA in Li Xuan's hand has two incomparable innate advantages! The first is that the technical performance of CDMA is more superior, and the second is that its commercialization speed is faster!
In another time and space, GSM in the 2G era and GPRS in 2.5G almost occupy more than 80% of the global mobile communication market. But in the 3G era, Qualcomm still relies on CDMA to soar and become an IT giant with a market value of more than 100 billion US dollars!
CDMA represents a brighter future for mobile communication technology, which is an objective law that GSM cannot change no matter how much it tosses! The biggest reason why Qualcomm in another time and space did not start well is that CDMA technology started later than GSM!
What's more, Qualcomm at that time was just a small business. In terms of R&D investment, it is simply not comparable to GSM, which has the support of the entire European telecom manufacturers behind it. Therefore, CDMA at that time had theoretical technical superiority, but it was full of loopholes in the actual commercial operation, which was far less mature and stable than GSM!
Li Xuan, who has a "golden finger", will naturally not make the same mistake again! The current commercialization speed of CDMA is unrivaled in the second generation of digital mobile communication standards. As early as three or four years ago, the communication network based on the CDMA technical standard began to provide users with digital mobile phone communication services in Hong Kong!
This is also Li Xuan's preparation to promote CDMA standards around the world, the biggest confidence!
Taking the US market as an example, if the 2G standard developed by the Americans themselves has already taken root, no matter how close Li Xuan's relationship with the White House is, Bush Sr. will absolutely not dare to stand up and speak out for the CDMA! If he dares to do so, local enterprises will only need a little guidance from public opinion to turn him, the president, into a "traitor" who eats inside and out!
But now the local companies in the United States are not competitive, whether it is Motorola's D-AMPS or AT&T's iDEN, they are still just the prototype in the laboratory, which makes Li Xuan have room for hype again!
As a market-oriented country, consumers in the United States have the right to enjoy the most advanced technology, and they cannot be deprived of it because of the incompetence of local enterprises!
Now, the only thing Li Xuan needs to settle is the part of the US companies that believe that CDMA will harm their own interests! This is also the fundamental reason why CDMA was blocked by the FCC before.
And the solution prepared by Li Xuan is naturally to adopt the wisdom of our ancestors - vertical and horizontal!
The two biggest obstacles in front of CDMA are undoubtedly Motorola and AT&T. With Li Xuan and the Eastern Bloc laying the groundwork for powerful political and business in the United States, even just by pulling one dozen between the two, the effect of 2 to 1 can be achieved, and CDMA has successfully become the established standard of mobile communication technology in the United States.
Who should be wooed between AT&T and Motorola? This is the key to whether CDMA can successfully occupy the US market!
The reason why Motorola strongly opposes CDMA is that it has begun to develop the D-AMPS standard itself, but more importantly, it is now the absolute leader in the analog mobile communication market in the United States!
As a 2G digital technology, CDMA was originally the life of analog cellular technology! And Big Brother can be said to be the most representative star product of the entire Motorola company! If the CDMA standard is popularized in the United States, it means that Big Brother has been swept into the garbage heap of history, so it has irreconcilable contradictions with CDMA.
In comparison, AT&T's reasons for opposing it are much simpler! The main reason why it wants to make trouble for CDMA is that the core patents of CDMA are in the hands of the Eastern Group, and it cannot share in the fruits of victory!
As long as Li Xuan can make concessions that satisfy AT&T, he can turn the gun around at any time and join the CDMA camp!
As the largest telecom operator in the United States, AT&T naturally has the confidence to open the mouth of the lion! Li Xuan can only obtain the right to fair dialogue if he has enough hole cards in his hands!
Therefore, Li Xuan first exaggerated the Internet subversion theory to shake the market's confidence in the profitability of AT&T's core business, the long-distance telephone market. In order to calm the panic of the impact of the capital market on the Internet, AT&T had to commit to investing more in this emerging field.
In the field of the Internet, Li Xuan and the Oriental Group are naturally stronger than AT&T, which has the bargaining chips to exchange with each other!
As for Ai Kang's participation in the deliberate bid for NCR, it was Li Xuan showing his fangs to the other party! Either cooperate or war? This is equivalent to sealing AT&T's retreat and forcing it to take the initiative to sit at the negotiating table!
With these foreshadowings, Li Xuan will transfer some benefits, such as for a series of patents involving CDMA standards, AT&T can obtain the most extensive authorization at the most favorable price, and the two sides will cooperate in the development of basic communication equipment based on CDMA standards, and share the CDMA mobile communication market!
Although the Eastern Group may lose some of its profits, AT&T's participation in the CDMA camp has an incomparable role in its promotion in the global market!
Lucent Company, which was spun off from AT&T in the past 100 years, has accumulated a business foundation in the fierce global competition in the past 100 years, which is far from being comparable to an upstart like the Eastern Group!
Nowhere is this more evident than in an industry as free competition as telecommunications!