At this time, Chen Dong, who was in charge of the management of the mobile phone factory, also agreed and said:
"I agree to give up high-end mobile phones and then enter the low-end mobile phone field first. After all, the accessories we can currently purchase for mid-range mobile phones do not exceed 35 million a year at most.
This 35 million is far from our annual production capacity of 60 million mobile phones, which leaves a vacancy of up to 25 million mobile phones. We cannot let this 25 million production capacity remain vacant.
If the production capacity of these 25 million mobile phones is left vacant, we will incur huge losses in terms of personnel wages, food expenses, water and electricity, machine depreciation and other expenses. "
In this regard, Ni Guangnan, who had been silent, also spoke:
“It is true that we cannot leave production capacity vacant. After all, aren’t we planning to borrow 30 billion yuan to build a new chip factory?
If large losses occur due to vacant production capacity, I am afraid that banks will have different views on Sugon Technology after seeing this.
By then, let alone 30 billion in loans, even 10 billion in loans will be a problem. After all, we are already burdened with 11.8 billion in loans.
According to our current income situation from chip foundry and mobile phone sales, it is safest to enter the low-end mobile phone field first to maintain production capacity. "
In terms of mobile phone business, Sugon Technology currently earns US$1.47 billion a year with 30 million mobile phones.
At this time, by purchasing a number of mid- to high-end spare parts, it can barely increase its production capacity to 35 million mid-range mobile phones, which will probably earn about US$1.7 billion a year.
As for the chip foundry business, Sugon Chip Factory has currently received orders totaling US$1.124 billion in the next year.
Among them, Sugon Technology's foundry profits are 5% higher than others. Finally, coupled with the ultra-high yield rate of 99.99%, Sugon Technology can actually earn considerable profits.
Among the US$1.124 billion in chip foundry orders, Sugon Technology can actually earn about US$400 million, with a net profit margin of about 35%.
This 1.124 billion US dollars can only earn a mere 400 million US dollars, which may seem a bit small, but in fact, this is not a small amount.
Because the net profit margin of TSMC Store in 2011 was only 33.1%, it could only earn US$4.57 billion out of US$14.54 billion in revenue.
If Sugon Technology's OEM price was not 5% more expensive than others, the net profit margin might only be 30%. After all, Sugon Technology cannot OEM the more profitable 90-nanometer process technology.
Therefore, Sugon Technology's net profit margin can reach 35%, and it can earn US$400 million from US$1.124 billion, which is really due to the fact that the chip OEM price is 5% higher.
Therefore, Sugon Technology's maximum revenue for the next full year will only be US$2.1 billion, or 17.36 billion yuan, if Sugon Technology does not enter the low-end mobile phone field.
It is just a fantasy to build a new chip factory under the current situation of being burdened with 11.8 billion loans!
At this time, Li Qianqiang, who was in charge of mobile phone sales, slowly said:
"I also suggest entering the low-end mobile phone field, but I think we cannot use Sugon Technology's brand, but should use a brand new brand. This can avoid the damage to our Sugon Technology's brand image."
At this point, almost everyone at Sugon Technology has suggested entering the low-end mobile phone field.
But it was Lin Chen who really made the decision, so they all focused their attention on Lin Chen, waiting for Lin Chen's answer.
Seeing this, Lin Chen also pondered for a moment, and then slowly said his answer:
"We will definitely enter the low-end mobile phone field, but our focus at Sugon Technology must still be on high-end mobile phones."
Speaking of this, Lin Chen's eyes inspired a passionate fighting spirit, a fighting spirit that would never admit defeat!
“Don’t they think that restricting the large-scale supply of Sugon Technology’s mid-range spare parts will bring us to a standstill?
Then tell them with facts that we can do it!
I want to tell them with facts what it means to shoot themselves in the foot and make the four major mobile phone giants and those mobile phone parts manufacturers completely regret their decisions! "
"As expected!"
After hearing Lin Chen's words, these words came to the minds of the senior executives who were very familiar with Lin Chen's character, and they had already expected Lin Chen's decision.
After all, throughout the history of Sugon Technology since its establishment, Sugon Technology has encountered many difficulties in its rise.
At this time, the enemy's method of restricting large-scale procurement of mid-to-high-end spare parts was indeed very cruel. It was like beating a snake to the ground, which directly prevented Sugon Technology from rising again.
But this does not mean that Sugon Technology is willing to accept this fate of never being able to rise!
"In that case, let's fight. It looks like Lao Ni and I are going to fight again!"
Ni Guangnan spoke his words.
If Sugon Technology wants to solve the problem of supplying high-end mobile phone spare parts, then Sugon Technology can naturally only develop its own technology.
After all, it is impossible for others to license the patented technology of high-end mobile phone spare parts to Sugon Technology, so Sugon Technology can only develop its own high-end mobile phone spare parts.
As the head of Sugon's R&D center, Ni Guangnan naturally knows that he has a heavy responsibility, although he may not personally develop mid-to-high-end mobile phone parts.
But he needs to do a good job of assisting the person in charge of the R&D center, and he needs to use his old connections with many years of experience to recruit corresponding talents for Sugon Technology.
"Hahaha, let's fight together!"
Rebus, who heard Ni Guangnan's words, also smiled and said with a passionate fighting spirit in his eyes. Among them, his responsibility is the most important and the busiest.
After all, if Shuguang Technology wants to produce mid-to-high-end mobile phone spare parts, it must build its own mobile phone spare parts factory or directly acquire a mobile phone spare parts factory, so it needs to plan well and its work is quite busy.
At this time, Chen Dong, who was in charge of mobile phone production management, also knew about his master Lin Chen’s unwillingness to admit defeat, so he was well prepared and slowly said:
“Our biggest problem at the moment is actually not the screen problem, the biggest problem is the mobile phone lens problem, because we still have a Jingdongfang in Daxia in terms of screens.
In January this year, they spent US$380 million to acquire the TFT-LCD liquid crystal color screen business of "Hynix Semiconductor", a subsidiary of Hanguo Hyundai Group.
Officially owns many TFT-LCD patents and a 3.5-generation TFT-LCD liquid crystal panel production line.
Therefore, in terms of patent reserves, they are already second only to the four major mobile phone LCD screen suppliers, Sharp, Hikasa, Sanxing, and LG, and their patent reserves rank fifth in the world.
During these eight months, Jingdongfang spent eight months absorbing Hynix Semiconductor's TFT-LCD liquid crystal panel technology. It is said that it will spend 11 billion yuan to build the fifth-generation TFT-LCD liquid crystal panel production line.
Therefore, Daxia’s Jingdongfang actually has the qualifications and strength to produce mid-to-high-end mobile phone screens, although they do not have rich experience or patents in high-end mobile phone screens.
But maybe we can work together to develop and manufacture powerful color LCD screens for mobile phones. "
When Chen Dong talked about strong cooperation, he directly focused his attention on Lin Chen.
(End of chapter)
