Chapter 021 Acquisition of ICQ
As Cang Yaozu said, after Ge Liqin called Mirabilis, several young men who had just developed the first version of icq were entangled. The three lads were Wiesger, Eric Wadee and Goldfinger. A few months ago, Eric Wadi received $75,000 from his father to register the company, and then several people worked day and night to develop the world's first instant messaging software, ICQ 1.0.
This 1.0 version of ICQ is very rudimentary, and the current server domain name is ICQ., which is very difficult to remember and is not good for promotion, but when they wanted to register, they found that this domain name had been registered last month. It's a shame that they're only 1 month away. What's even more frustrating is that the other party offered $5 million, which they couldn't afford. They can't afford even $50,000, so they still go to their parents to borrow money for turnover.
At the same time, the three of them were excited that the other party was willing to give them the domain name for $3 million and invest them $3 million. This is a very happy place, and they are unhappy that the other party is asking them to give 90% of the shares, which is simply too much, it is tantamount to taking away their children.
The three of them discussed and discussed, unable to make a decision. It was Eric Wadi who asked his father, Josiwadi, who was also the majority shareholder of the company. According to Yosiwadi, the software is still rudimentary and still needs a lot of development work. And the promotion of software also requires a lot of money, and it is inevitable to accept venture capital, but the number of shares to be transferred is negotiable. For example, it is possible to request to retain 20%-30% of the founder's shares.
After several rounds of negotiations, Israel's Mirabilis and Mountainside Technology reached a cooperation intention, icq software became the first Internet project incubated by Mountainside Technology, Mountainside Technology needs to invest 3 million US dollars in Mirabilis and transfer the domain name to Mirabilis, and at the same time provide financial, legal and other related incubation services for the company. Mirabilis transferred 75% of its shares to Mountainside Technology, and the three founders were not allowed to leave Mirabilis for five years. If needed, the company would need to relocate to Citigroup's Silicon Valley, and of course Tel Aviv would be one of the important R&D centers.
When this cooperation agreement was given to Cang Yaozu, Cang Yaozu added an additional clause. That is, ICQ needs to develop a synchronous Chinese version to be operated by Mountainside Technology, the ownership of the Chinese version of ICQ belongs to Mountainwaist Technology, and Mountainwaist Technology has the right to set up a special company to operate this software, and can use the name of ICQ Chinese version or change to other names, can also modify and redevelop the program, and use an independent server. The parties are not allowed to launch instant messaging software in each other's language, with a 10-year limitation limit and a default amount of $600 million.
Through this additional clause, Mountainside Technology and ICQ have divided their spheres of influence, that is, language as a restriction for both parties. Within 10 years, ICQ cannot launch a Chinese version of instant messaging software without Mountainside Technology, and Mountainside Technology cannot launch an English version of instant messaging software.
ICQ is actually only available in English, after all, this is the first version, which can only be said to be crude and crude, and it is far from being finalized, and the development of versions in other languages has not yet been put on the agenda.
But Cang Yaozu had some different thoughts. The reason for this additional clause is that Cang Yaozu has two ideas, one is to use the influence of ICQ to establish his hegemony in the Chinese instant messaging market. The second is to prepare for the sale of ICQ, because Cang Yaozu is too short of money. The construction of the information industry park is in full swing, his CQ fashion is also waiting to be fed, and his triangular plot cannot even be demolished now. The lack of money is really too ruthless, and Cang Yaozu is now living entirely on Ge Liqin's investment and the bank's revolving loan.
Cang Yaozu has now borrowed almost all the banks where Yandu has business, but fortunately, he has collateral, and the recent housing prices are also very stable, especially the courtyard house because of Cang Yaozu's bulk acquisition, the price has risen significantly.
In addition to the aspect of money, Cang Yaozu also considered a problem, that is, the instant messaging field is too sensitive, and without the strong support of Citigroup Capital, the instant messaging software with Mountainside Technology as the major shareholder cannot bypass the clamping and obstruction of Western countries.
At the same time, several founders of ICQ also tend to find buyers after ICQ develops, after all, they do not foresee how much value ICQ can have, if it can be sold for hundreds of millions of dollars, I believe they will be very satisfied.
Under such circumstances and considerations, Cang Yaozu and Mirabilis discussed the addition of the above additional terms.
After the cooperation was reached, Cang Yaozu gave ICQ a few suggestions, explained some of its future functions to several founders in detail, and reminded them to develop language versions of various countries simultaneously, at least, larger languages should be taken care of, and at the same time, the application of various patents will be carried out quickly with the assistance of Ge Liqin's team.
With the guidance of Cang Yaozu, the three founders of ICQ, Weisge, Wadi and Goldfinger, all said that they have gained a lot, and this cooperation will definitely make ICQ's development momentum even more rapid.
Cang Yaozu is also happy that if icq can get more dazzling data, then AOL will have to pay more dollars. Being able to help ICQ conquer the world, Cang Yaozu is also very pleased.
You must know that in that life, the development of ICQ was actually a pity, although Mirabilis gave birth to ICQ, they obviously did not have the ability to run ICQ well, and finally they chose to cash out and sell ICQ to AOL for 400 million US dollars.
It is precisely because ICQ has sold so much money that countless companies have stepped into this industry, and relied on a sentence that ICQ sold 400 million US dollars to raise round after round.
Cang Yaozu's idea is to take Mirabilis when he is at his weakest, and then through a huge amount of money and a free policy, he will soar forward, and then whether he sells it or goes to the NASDAQ to be listed, it is a proper cash cow. After all, the current Internet does not need a profit model, as long as it can tell a good story, as long as there are users, it is no problem to make money.
Cang Yaozu lacks high-quality assets in his hands, lacks high-quality assets that can be exchanged for a lot of cash, as long as there is a thing like ICQ, Cang Yaozu believes that he can tell this story well, then the funds will inevitably roll in. Telling a story with one hand and gambling with the other, as a reborn, is enough to exchange for a huge amount of funds, and these funds can put Cang Yaozu's career into the fast lane.
As for the profit model, although Cang Yaozu has a variety of ways and means, but he doesn't plan to take it out now, or try not to change the development pattern of the Internet industry too much, it is no problem to acquire a few companies, if the perfect profit model comes out, it is not good, before 2000, Cang Yaozu's plan is to acquire or create as many companies as possible to operate and list to make money, as much as possible to sell stocks, yes, sell stocks instead of equity, anyway, you can engage in a two-tier equity structure of AB shares, and engage in different rights of the same shares。 The purpose is to reserve enough money to survive the Internet winter from 2000 to 2002.
After such a reshuffle operation, a large number of shareholders and institutions will definitely be washed away, and Cang Yaozu will be able to grasp more shares, and then throw out those profit models to make more money, isn't it fragrant?
In order to raise funds, many founders of Internet companies have made their own stocks pitiful, what a sad urge, and those who have been swept away by the board of directors or investors, Cang Yaozu does not want to repeat these mistakes, as a reborn, if he can't control his company, then he will live in vain for those years.