Although Lin Qi's business is not only Pangu Computer, it has to be said that the medium and long-term foundation of the new entrepreneurship department at this stage is definitely the business ecology of Pangu Computer.

In the long run, the Pangu computer ecology is based on the Internet, as long as the functions commonly used on the network are available to Pangu computers, then even if the PC camp is strong, Pangu can also occupy a place in the computer field.

At the same time, in global computer technology, even if the technical route is different, it still needs a large number of patents as support. At this stage, there are many computer technologies, and the PC camp has to use a large number of patents authorized by Xinchuang Electronics.

It is you who have me, and I have you. Unless the PC camp is ready to abandon the most advanced technology route and switch to some unpromising routes, it will be impossible to bypass the barriers set by the patent rogue of the new entrepreneurship department.

In the short term, the new entrepreneurship department has not yet relied on the game business on Pangu computer to create cash flow for the entire ecological chain.

The Internet and other ecosystems are still in the stage of burning money at a loss. At the same time, the new entrepreneurship department not only needs to lay out the Internet, but also help the domestic semiconductor manufacturing industry to upgrade its accuracy. Like lithography machines, it should be a national strategic project, but it has to be said that more than 90% of the capital investment in key areas such as domestic lithography machines is still provided by Xinchuang Electronics Group. If the new venture electronics group stops investing, the gap between the domestic semiconductor manufacturing industry and foreign countries will widen rapidly, which is not conducive to the future development of the new venture department.

Because there are too many projects that need to burn money, the new entrepreneurship department is by no means making money on the surface and making cramps, but the annual R&D budget has increased from 500 million US dollars five years ago to 3 billion US dollars now! Moreover, it is still an annual growth rate of more than 30% to maintain many core technology areas to continue to make breakthroughs.

The windfall profits earned now are basically saved, waiting to be spent in the next few years and ten years. It is precisely for this reason that money is never enough!

Once profit growth stagnates, it will have a huge negative effect on the future development of the entire group. For example, many scientific research projects and cash-burning projects have already been launched, and you can't tell the team that you can wait until we have enough profits for the next year before continuing to develop them. The cost of suspending the project may make the team abandoned, or it may be able to keep up with the pace of overseas counterparts, because after a period of pause, it will not be able to keep up with the development speed of counterparts in overseas developed countries.

"The gaming industry is one of the pillars of our group's profit at this stage. Lin Qi pondered, "Although, it seems that our Pangu platform has obvious advantages, accounting for half of the global game market. However, we still can't take it lightly, especially since a bunch of opponents such as Nintendo, Intel, Microsoft, IBM, Sony, and so on have actually formed alliances in the game industry! It is not terrible for a single company to come up with it, but it has to be taken seriously to form a strategic alliance!"

"Nintendo has been losing money in recent quarters. According to its publicly available financial information, the amount invested in R&D is as high as 350 million US dollars, which exceeds the normal software R&D expenditure and is also an unprecedented R&D investment since its establishment. Uejima took out a research report, "And after deducting R&D expenditures, Nintendo's other businesses are actually profitable! Last year, Nintendo only lost $37 million! In other words, if it does not invest in hardware project research and development, it may be able to achieve a profit of $300 million!"

Lin Qi was not surprised, Nintendo is like this, and it is still generating cash flow continuously, I have to say, underestimate Nintendo! Moreover, it also shows that the game industry is a very good industry, no wonder Nintendo is unswerving, and has to die in this industry! If Nintendo is a little less ambitious and becomes a manufacturer that develops software for Pangu computers, maybe the profit margin will increase a lot. However, if the target is so small, it is estimated that it will not be Nintendo!

Since its birth, the video game industry has attracted a lot of industrial capital with an astonishing gross profit margin. However, the competition in the game industry is very competitive. It is necessary to consider not only the cost-effectiveness of the game hardware platform, but also the experience.

At the beginning, Atari was because it treated players as fools, and sold consoles at a high price because of the unchanged hardware configuration. At the same time, the quality of the game is rubbish and players are angry, which is the result of a snap of a finger. Originally, the game software market on the Atari platform could exceed two or three billion dollars a year, and software publishers in the entire United States were selling Atari game cartridges at that time, and they were disdainful of PC and other computer software. Because, in the early years, PC software could sell hundreds of thousands of copies, but the most popular game cartridge on Atari could sell more than 8 million copies!

After the collapse of Atari, the classic CPU of 6502 is still picked up by some host manufacturers, after all, this CPU with the highest output in the world and obvious cost-effective advantages. With a little improvement, you can make a better but cheaper product than Atari's console.

At the beginning, Nintendo and other manufacturers used the 6502 chip as the host and launched a cheap red and white machine. Trying to make a difference.

However, Lin Qi regarded Nintendo as the most formidable opponent at the beginning, so the first generation of the Pangu console began to develop from a 16-bit console, and it could play CD games with a capacity of 650MB. Compared to the original Nintendo red and white machine, the pixel screen is simple, and there are only less than 3MB of cassette games, so I don't know how high it is. Moreover, in the era when PCs were sold for more than $1,500, Pangu 1 was much more powerful than PCs with 8086 and 8088 chips in the same period, but it only sold for less than $398. Therefore, at the beginning, almost all major platforms and players who had requirements for game quality were attracted to the Pangu camp.

Pangu 1 forced Nintendo to sell the red and white machine below $30.

Because the red and white machine has not been killed, therefore, the new venture electronics has launched a small overlord with a price of less than 20 US dollars, and Nintendo's red and white machine brutally competes for the low-end console market.

The console field was once supposed to drive Nintendo out, but Nintendo is still active in the game field, arcade, handheld and other markets, all have a good market share. Moreover, although the market for red and white machines is not good, Nintendo has not given up the stock of 10 million players, and still develops dozens of games every year, and can still make money by relying on the stock market.

To a certain extent, Nintendo is technically not good, but it is like a Xiaoqiang who can't be killed! If this thorn doesn't make any big moves, Lin Qi can ignore it.

But now Nintendo has made a comeback and united a number of software and hardware giants around the world to launch the Super Nintendo console. Although there is no prototype of Nintendo's new console, it is estimated that it should not be underestimated in terms of hardware when it hooks up with the PC camp! It is definitely more than 5 years more advanced than Nintendo's original hardware platform!

"Son, I've been focusing on Nintendo's dynamics recently, and I've sorted out all of Nintendo's recent movements. ”

"Yes!"

The cadre of the Japanese branch, Yatsuko Ueshima replied cleanly.