Chapter 1615

"Feng, there is a British semiconductor company. My team says it's very good. I'm going to buy it."

Semiconductor company? British?

"Oh? What kind of company is it? What are its main products and what are their prices? " Feng Yu asked casually.

Obviously, brother Ji is hesitating and wants to ask his opinion. Feng Yu's opinion is generally that the company he has heard about in his previous life is a very good one, so he suggests brother Ji to buy it. If he has not heard about it in his previous life, then he will not buy it unless the price is very low.

"It's a company that designs electronic semiconductor microprocessors. Their company name is advanced reduced instruction set processor, or arm for short."

At first, Feng Yu seemed to be indifferent, but when he heard the abbreviation of arm, he suddenly sat up straight.

What, this company? Is this company British?

In short, 95% of the core of previous tablet and smartphone adopt arm architecture, as well as embedded control, multimedia digital and other aspects. They also have a dominant position.

They have designed a large number of high cost-effective, low-energy processors, owners of the most relevant patent technology, and even designed a lot of software for this purpose.

This is a company with high technology and potential. Feng Yu never thought of it.

But now there is no real tablet computer, and the sales volume of smart phones is far less than that of function machines. As for embedded control, multimedia digital and other aspects, there are also competition from other semiconductor companies. But even so, the number of mobile phone cores of their technology is very large.

But the most interesting thing about this company is that they don't produce processors at all. They only license technology to collect patent fees.

"The company's equity is very complex, many of the world's top semiconductor companies have shares, but their major shareholder is acorn computer company, whose position in the UK is equivalent to that of the fruit company in the United States."

"Fruit company, VLSI company, industrial technology company, Texas Instruments, Qualcomm, etc. all have shares in it, and none of them is the controlling party."

"The company is listed in London and Nasdaq, with a market value of about 2.6 billion pounds and an annual profit of less than 200 million pounds. My team contacted acorn and they agreed to sell it to us, but asked us to pay a 30% premium. "

"Texas Instruments and other companies are more demanding. They want us to pay a premium of 33%, and even fruit companies intend to buy, but the price given by fruit companies is almost parity, so they are directly rejected."

"Feng, do you think it's worth 30% premium? The profit is too low. It's only 200 million pounds a year. But my team told me that if you can make your own processor core and sell it for money, like Intel and Huawei, you will definitely make money. "

When Kirilenko saw that Feng Yu's acquisition of those semiconductor companies and so on, the premium was not low, and eventually it also brought rich profits to Feng Yu.

But when Feng Yu acquired those companies, most of them were unlisted companies. The market value of this listed company is obviously inflated.

Feng himself said that after two years, the share price of many listed companies will plunge again, and next year will be the peak market value of many companies. At this time, will you lose some money?

"Brother Ji, my suggestion is to become a major shareholder of this company, but not to expel all other companies, and to maintain cooperation to facilitate the company's technology licensing. I can get companies like Chaowei to buy some shares, which is enough to ensure that you can fully control the company. "

This is arm. It's not only the mobile phone processor that starts to explode, but also the set-top box, smart TV, tablet and other products in the future. Arm is the absolute leader.

The licensing of patent technology alone can ensure that they have a lot of profits. Just like Ericsson, it was also the top mobile phone manufacturer at the beginning, but now it's slowly getting out of production?

Ericsson is specialized in communication technology research and development in the future, and then relying on patent authorization, it can also have a lot of profits, but also more stable, with very low risk.

"Feng, why not be a controlling shareholder?" Kirilenko is dissatisfied. Even if it can't be wholly owned, it should be acquired to be a controlling shareholder, right?

The power of holding more than two-thirds of the shares is totally different from that of holding more than fifty percent of the shares.

"Brother Ji, you need to know that arm's business model is totally different from that of Intel and Huawei. He doesn't produce his own processor. He just does core design and makes money by patent licensing. "

"How can i delegate to more companies? It can't be boycotted by other companies, so arm needs more allies. "

"In this way, your patents can be authorized to more enterprises and adopted by more enterprises. The more companies buy arm's patent license, the higher their profits will be. "

"And the operating cost of this company will be very low. I guess the company has less than 2000 employees now, right? How many employees do you think there are in Intel? ""There is also a big advantage of a small number of people, that is, the ability to resist risks. No matter whether it is the rising price of materials or other risk factors, as long as people still use electronic products such as mobile phones, your patents will not worry about profits."

"And this kind of profit still shows a rising trend. The more patents you have, the more profits you can make. It's still a long flow, not a one-off business."

"My equity participation is to help you have the same say as the absolute holding right. If you are not satisfied, these shares can be transferred to you at par in two years."

Kirilenko immediately said, "Feng, what do you mean. Many good projects you found have been invested with me. How can I object if you want to invest in this company together? Since it's more reasonable for you to say that, then I'm sure I believe you. "

"In this way, I will negotiate with acorn computer first, and then we will acquire some shares of other companies together. In the end, we can also directly invest in companies such as Chaowei, which will expand our camp. "

"Feng, if the island country and other companies come to buy our patented technology, will they sell it?"

"Sell, why not!" Feng Yu immediately said, "anyway, we are authorized, not sold out at one time. In the future, they will follow our architecture standards to produce processors and other products. Whether they make money or not, we can make money. "

"And in this way, they will gradually rely on our product architecture, thus losing the ability of independent research and development, so that their lifeblood is in our hands."

"Brother Ji, the market value of this company may be multiplied several times in a few years. If you buy now, you will never lose!"

…… (to be continued. )