"Sorry, because of NewPay, the usage scenarios of electronic payment software that can only be used on PDAs are too limited. We need to think about this investment again." Nokia's senior investment manager looked ashamed, and NewPay asked his immediate boss to decide Kill this investment directly.
Of course, the shameful look was just an act. A contract signed on paper could be breached, let alone a verbal promise.
The reason why he acted was because he was optimistic about Peter Thiel and believed that although they could not reach a cooperation on this project, there might be other opportunities for cooperation in the future.
Peter Thiel served as an executive at several Internet companies before founding Confinity and also served as a law professor at Stanford University.
Anyone who knows a little bit about Amerikan will have a vague idea of the Stanford University law professor, that is, this position is rich in social resources.
Even the head of Nokia's investment fund, Kleist Mahnivarty, didn't want to offend Peter Thiel, let alone a small investment manager.
"We will also expand to more areas. We will not be limited to PDA devices, we will also expand to computers. In our plan, we hope to take the same approach as NewPay."
"Peter, I understand that PDA is just your first step, and computers will have a broader market.
But do you have PC products now? Even a demo? "
"We are developing, we need manpower, we are already developing electronic payment products on the computer side, but it still takes time."
"Yes, you need time, but during this time, NewPay is expanding. I do not deny the potential of the electronic payment field. Newman's entry into this field and the acquisition of more than one million users in just one week has fully proved potential in electronic payments.
But unfortunately, NewPay is already ahead, and it will be difficult for you to gain an advantage on this track. "
“Compared to NewPay, we have a unique advantage in the security model. Even if we cannot gain market advantages, our advantages in the security field can attract NewPay to acquire us.
It’s only US$1.5 million, so this investment is definitely not a loss for you! "
The senior investment manager fell into thinking and then said: "I will conduct a deeper evaluation of the entire market and your products, and then report to you. I will let you know as soon as possible whether I want to invest."
Peter Thiel was lying on the sofa when he returned to the office. Every time he interacted with people from financial institutions, he felt like he had run a marathon, and he felt exhausted from both physical and mental aspects.
Max Levchin walked in: "Brother, how are you? What did Nokia say?"
"Nokia and the others need to go back and discuss it. Nokia is still very interested in our project. They believe that NewPay has a huge advantage in the number of users.
But we also have our advantages.
It's just that because of Deutsche Bank's divestment, they need to think about it again. "
Yes, Nokia Investment Fund is too important to the new Confinity. Deutsche Bank just talked to Peter Thiel yesterday and firmly stated that they will not invest in Confinity.
Clayson, the head of Deutsche Bank's VC department, personally talked to Peter Thiel.
Originally, Deutsche Bank and Nokia Investment Fund invested US$3.5 million in Confinity, of which Deutsche Bank invested US$2 million and Nokia invested US$1.5 million.
Clausen, who is personally responsible for the investment, believes that Confinity’s online payment system has great potential and may change the way payments are made in the future.
But things are different now. Online payment systems with greater potential have emerged and have changed the current payment methods to a certain extent.
When the number of NewPay users successfully exceeded one million, major game developers came to express their hope to sell their games through Riot Games.
This change has resulted in NewPay firmly dominating the video game payment scene.
Anyone who is even slightly sensitive to the market will realize that NewPay is already a company with users and users have stable demand for NewPay.
This kind of company means half the battle in Silicon Valley, the other half is going public.
"Okay, I hope Nokia can invest in us. They have been very keen on investing in emerging technology companies in the past two years. If Nokia rejects us, it will be difficult to find other investment funds willing to invest in us." Max said.
In 1999, not only was Nokia at its peak, the Nokia Investment Fund was very vocal throughout Silicon Valley. They not only invested in Confinity, the predecessor of PayPal, but also invested in a series of startups such as Redback Networks, NetScaler and Atrica.
At the same time, Nokia Investment Fund and several other venture capital companies jointly invested in a fund totaling US$215 million. This fund focuses on investing in emerging Internet companies.
In addition to Nokia Investment Fund, this US$215 million investment fund also includes San Francisco-based Alloy Ventures, Sweden's Investor AB, Deutsche Techno Venture Management, Switzerland's Rothschild Group and EDB Investments in the Lion City.
In other words, once rejected by Nokia, the above-mentioned investment institutions will close the door to Confinity.
Peter nodded: "I know, I know, I will convince them.
If the other party refuses, I will personally convince Kleist. "
Peter still has unfinished subtext, that is: even if it costs a lot.
The next day he received an email from Nokia's investment manager, which basically said: "Sorry, Nokia Investment Fund cannot invest in Confinity."
Peter immediately made a call: "Why?
Didn’t you say yesterday that you would conduct another round of in-depth investigation on us? Even twenty-four hours have not passed. Is your Nokia Investment Fund so efficient? "
Peter was a little impatient.
"Sorry, NewPay just let the news out. They will launch their first round of financing soon, and Confinity has no chance."
Peter quickly captured the crux of the matter.
Newman was as famous for his reluctance to accept outside financing as he was for product innovation.
Since the beginning of the business, the only investment received was from Bill Gates, and it was in the form of share transfer.
Disdainful of the current popular venture capital, the more so, the more investment institutions flock to Newman.
Peter heard about it from his friends in the financial circle, who contacted Newman through various methods and tried to invest in Riot Games.
NewPay announced that it will accept external financing. With the potential that NewPay has shown, they are bound to be able to obtain investment, and the amount of investment they receive is by no means a mere millions of dollars.
This will form a snowball effect, and the gap between Confinity and NewPay will become wider and wider.
"Okay, I understand." Peter's voice was low and his face was slumped.
