Chapter 109: Breaking with Ricoh

The technical personnel training system of the new venture electronics company comes from Yu Youcheng's computer training class. Pen | fun | pavilion www. biquge。 infoAfter Dr. Yu joined the new start-up electronics company, the first batch of students in the original training course had graduated, and the temporary school was ready to be dissolved.

However, Lin Qi felt that this training school was very useful, so he kept it and initially trained internal employees in vocational skills. Later, the company began to provide training to outsiders for a fee.

Because the qualifications of the teachers who teach new entrepreneurship training are relatively high, many of them are even professors from Ivy League universities in the United States. Therefore, the class time is also relatively expensive, 100 Hong Kong dollars per class, and after the completion of the class, the examination will be taken seriously, and a graduation or completion certificate will be issued according to the test results.

After all, start-up electronics companies don't make money from school enrollment, so they won't have any sympathy for the tragic situation of studying a bunch of classes but not getting a diploma. Because, the training school never advertises, starting from scratch, teaching and packing. If you can learn it, you must be considered a talent, and even if it is a new start-up electronics company, you will consider hiring. It is normal to not be able to learn, after all, the class time is originally screening, and if you have no talent and are unwilling to work hard, it is naturally impossible to get a graduation certificate.

The training system for new entrepreneurship is to directly tell most trainers that you can't do it, you have no talent!

Unlike ordinary schools, they know that most people do not have talents, but in order to take care of students' emotions, they cover up, and they don't dare to work hard to see their talents.

With the signing of agreements with more than a dozen of the first third-party game development companies, each company is eligible to send three technicians to receive free training.

This is a benefit given to the first third-party companies by the new start-up electronics company, and in the future, if you want to receive training, you will need to pay for the class hours yourself.

……

The biggest problem of the 1st generation of Zhangyu is not the problem of marketing, but the explosion of product sales limited by production capacity.

Even Lishan Semiconductor Co., Ltd., with the help of a deposit of 100 million yuan in advance for Xinchuang Electronics, has rapidly expanded its chip production capacity. But it still can't satisfy the hunger and thirst of the first generation of Zhangyu for the X8 chip.

Yes, not satisfied!

Even the unlimited sales in one area of Hong Kong cannot be satisfied with the current production capacity. What's more, "Palm Entertainment 1st Generation" is going to be released globally.

After the inventory emergency, Xinchuang Electronics had no other way than to urgently send orders to component manufacturers to urge them to increase production capacity.

Even if Lishan Semiconductor increases its monthly production capacity to more than 1 million, it is far from feeding Xinchuang Electronics.

For many semiconductor manufacturers, this is a rare business opportunity.

Japan's Ricoh is the first semiconductor manufacturer to rush to negotiate the chip foundry business. After all, the previous 6502 chip foundry agreement benefited Ricoh a lot.

At the beginning, the price of Ricoh's OEM 6502 was lowered to $7 a piece, and it was just to make the production line not lose money and earn back the depreciation of the equipment.

However, with the large-scale stable mass production, the cost of its chip engineering has dropped rapidly, and now it has been reduced to less than $5 per 6502 chip, and the monthly supply of 400,000 chips to Xinchuang Electronics can make a profit of 800,000 US dollars, not to mention, Ricoh has further expanded its production capacity, increasing the monthly production capacity to 650,000, and the additional 250,000 chips are sold to other manufacturers at a high price, making the monthly profit of its production line increase to nearly 2 million US dollars.

The loss-making chip foundry business has suddenly become the main business of Ricoh to contribute profits. Naturally, Ricoh is very greedy for the foundry business of X8 chips.

"Foundry X8 chips, but $4 per chip, monthly supply of not less than 500,000 pieces. Lin Qi said to Ricoh.

"Impossible?" the representative of Japan's Ricoh Company couldn't help protesting, "4 dollars a chip, even if the production process is mature 6502 chips, it is not profitable, let alone the production of X8 chips, after all, changing the production line and training of workers requires a lot of cost investment." Considering the cooperation and friendship between our two companies, high-volume OEM, $6 a piece, right?"

"That's a pity. Lin Qi refused and said, "Suppliers in Chinese mainland can supply for $4 a piece, why can't you?"

"......" said the representative of Ricoh, isn't this knowingly asking?

The X8 chip process level requirements are very low, and the 8-micron process can be manufactured, so the investment in production line equipment is also very cheap, and a new set of production line is estimated to cost less than 20 million US dollars.

So much so that even China can do it, and almost all semiconductor equipment is localized. Since the equipment is so cheap, the main cost of processing is reflected in the labor and operating costs of the factory.

Therefore, the technical level of Japan's semiconductor industry cannot be translated into a cost advantage. On the contrary, labor costs have become a crucial factor for the X8 chip.

The labor salary in the semiconductor industry is definitely much more expensive than that of ordinary manufacturing.

In addition to the cost of machine depreciation, technology licensing fees, etc., labor costs are definitely the largest in this industry.

The same level of production line, 500 workers. The Japanese semiconductor factory conservatively estimates the annual salary cost of 20 million US dollars, but the labor salary cost on the Chinese side does not add up to 200,000 US dollars.

In this manufacturing industry, where the level of technology is only equivalent to the level of semiconductor technology in the United States eight years ago, the comparison of competitive advantages is mainly reflected in the cost advantage.

The labor cost of the United States is twice as expensive as that of Japan, so the competition of many low-end products in semiconductors in the United States in this era has been defeated by Japan.

However, if China can master the core technology, the products produced independently will be much cheaper than Japanese products. Of course, during the Cold War, China was blocked by both camps at the same time, and both the Warsaw Pact and NATO countries could exchange new technologies in their respective camps, so each country was not upgrading its industrial system alone. Therefore, at this stage, China does not master a lot of advanced technology, and many products cannot be made at all, so it will naturally not be able to give full play to the cost-effective advantages of low labor and resource costs.

Gradually reduce cooperation with Japanese suppliers, because, for Lin Qi, the biggest threat is still Japanese manufacturers, and in terms of advantageous industries, the direct competitors in the 80s, Nintendo, Sega, and Sony, are all Japanese manufacturers.

If the production orders of the core parts are handed over to Japanese manufacturers, it may save time and effort. But what if the Japanese competitors cut off the supply of parts in the future?

This kind of thing was done more than once in Japan later. Many Chinese manufacturers rely on cooperation with Japanese manufacturers, and they can seize a large part of the market by assembling ready-made parts. Then, Japanese manufacturers began to make moves, cutting off the supply of parts, making domestic manufacturers mourn.

It is precisely because of this that Japanese parts suppliers are unreliable, and later, domestic manufacturers began to gradually increase cooperation with suppliers in Taiwan, South Korea and other places. But in fact, the suppliers of Japan, South Korea and Taiwan are unreliable, and they have all done that kind of dirty thing, what you lack, I will not sell to you, or, maliciously hoarding and selling at a higher price.

As for Atari, the current industry hegemon of the American game manufacturer, who died on his own, even Nolan Bushnell (the father of video games), the founder of Atari who really understood Atari, was driven out by Atari's parent company, Warner, and replaced with a group of professional managers who are eager for quick success, so we can know that Atari is not a threat in the future.

In addition, there is an American computer company, Commodore, whose positioning is a bit unclear, and wants to make both game consoles and cheap home computers.

As a result, neither end of the world has made a profit, and its home computer costs as much as $500, which is not at all competitive with cheap game consoles. At the same time, after IBM got the PC, it meant that Commodore would either be a PC compatible machine or die.

Commodore prides itself on being the predecessor of the PC, before IBM made the PC, the products it made were already very close to the PC, of course, it was unwilling to give IBM a low and small, self-lowering the price to make a compatible machine, naturally it was gradually going to perish.

The market route chosen by Lin Qi will not be at odds with the PC camp for a long time. So, for the time being, American companies are not seen as major competitors. But the Japanese manufacturer is no less than Lin Qi for the game company. The future is a brutal battle of life and death, and naturally it cannot be controlled by Japanese suppliers.