Li Zaizhu summoned the heads of Samsung Electronics's China mobile phone business department.
On the camphor colored table, there are two mobile phones, which are newly launched by Kewang hi tech and Lianxin based on ess baseband chip technology.
Samsung's mobile phone application research center in Jianye made a detailed test and evaluation overnight. Each performance is quite mediocre, and there are no obvious defects. Even if the appearance can be regarded as an advantage, it is quite limited. Li Zaizhu asked everyone to take out their mobile phones and put them on the conference table. These two mobile phones are indeed very humble, but in the eyes of Li Zaizhu and everyone present, These two mobile phones have a very significant advantage that can not be ignored, that is, the manufacturing cost is low enough.
According to all kinds of information, the manufacturing cost of these two mobile phones is about $100. Compared with the market price of about $160-170, manufacturers and dealers have a considerable profit margin.
In addition to baseband chips, the baseband chipset substrate provided by Jinhu also integrates other main core components required by digital mobile phones. Jinhu also provides cheap small-size STN black-and-white screens, which is the key factor for the manufacturing cost of these two mobile phones to be controlled at about $100.
Li Zaizhu looked at the dazzling figure of "140 dollars" in the report and rubbed his temples. This is the manufacturing cost limit that Samsung Electronics can control in producing mobile phones of the same specification at this time. In addition to the fact that the manufacturing department of Samsung Electronics's mobile phone business mainly stays in Hg local areas and the cost of human resources is high, baseband chips and other core components also need to be provided by European and American manufacturers, These are the key reasons why the cost cannot be reduced.
For mobile phones produced by Samsung Electronics, CDMA baseband chips are mainly supplied by Qualcomm, and g * * baseband chips are mainly supplied by Infineon and Deyi. Not only the three chip factories, but also the world's major baseband chip suppliers focus on the medium and high-end chipsets with greater profit margin. Even if they are willing to provide a small number of low-end chipsets, they will not compress their profit margin so that downstream manufacturers can be more competitive.
"Even if Jinhu has attracted enough attention from Infineon and other major mobile phone chip manufacturers at this time, Deyi, who wears the same pants as Jinhu, will most of the energy of Infineon and other manufacturers in the competition of medium and high-end chipsets," Jin nanyong said, "The situation faced by Motorola and Nokia is somewhat similar to ours. Although Ericsson and Philips also master baseband chip technology, they can't even compare with us in terms of manufacturing cost control... Even if we adjust our low-end market response strategy now, it is a more optimistic estimate that we can adjust it in two years, and two new factories of SMIC will be built by then As a result, Jinhu can once again gain the cost advantage... "
"Alas..." Li Zaizhu sighed in his heart that Jinhu itself did not launch low-end mobile phones at the same time as Kewang hi tech and Lianxin as expected. On the one hand, Jinhu's production capacity may be limited. On the other hand, Jinhu temporarily gave up entering the low-end market when the door of the low-end market was open, which means that it has a more flexible strategy than its competitors. Samsung suddenly changed its development strategy of mobile phone business at this time , will only be more tired.
In addition to the core technology and increasingly perfect manufacturing system, Li Zaizhu can't close his eyes and say that he can't see the natural advantages of Jinhu in the local market.
When other mobile phone chain enterprises in China were just starting, Shengxin Telecom spent a huge sum of 500 million in 1997 to implement the "100 cities and 100 stores" scheme, relying on the backbone network already launched by Shengxin electric appliance, fully infiltrate the mobile phone direct network into the second and third tier cities; in September this year, Shengxin Telecom proposed the "1000 cities and 1000 stores" scheme to infiltrate the marketing network into county towns.
This time, Shengxin Telecom accepted the joining of mobile phone dealers in county towns. The actual funds used in the "thousand cities and thousands of stores" scheme are quite limited, but it can greatly increase the market coverage of Shengxin Telecom.
As a member enterprise of Jinhu system, Shengxin Telecom is undoubtedly. Jinhu's high penetration vertical system makes it highly competitive in the local market. Jinhu can even compress the profit space of all links and greatly reduce the actual market price of products to completely suppress competitors. Although Jinhu is still very restrained in this regard, the competition is cruel To a certain extent, who can guarantee that Jinhu will not use this killer mace?
Samsung Electronics also implements this high penetration industrial strategy in Hg, but the capacity of Hg local market can not be compared with China. Li zaixu really can't imagine that Samsung has any advantages in hand to hand combat with Jinhu in China's low-end mobile phone market.
In the low-end mobile phone market and Jinhu Roubo, there is not any chance of winning, and it will disrupt our market strategy, but how can we be reconciled to watching Jinhu swallow the whole low-end mobile phone market?
Although the absolute profit of each low-cost mobile phone is relatively limited, hundreds of millions of ordinary citizens in China constitute the consumption potential of the medium and low-end market, which is unimaginable.
On Ge Jiande's desk, there are also two new mobile phones launched by Lianxin and Kewang hi tech. his eyes are staring at him and his teeth are itching with hatred.
Xiao Ruimin's open confrontation is a thorn in Ge Jiande's heart. However, when Huaxia Electronics was officially assigned to the jurisdiction of the economic and Trade Commission, Lianxin successfully launched a new mobile phone based on ess baseband chip technology, which undoubtedly preliminarily shows that Xiao Ruimin's initial decision was not wrong.
The domestic mobile phone market has maintained rapid growth. However, due to the insufficient supply of upstream components, in addition to Aida and Kewang high tech, which can obtain sufficient chip supply and compete directly with foreign mobile phone manufacturers, the other 13 domestic mobile phone manufacturers are facing a serious shortage of production and can't make money.
In view of this situation, other mobile phone manufacturers have adopted the strategy of increasing one-time order quantity and increasing inventory. Only Lianxin has conducted in-depth cooperation with Jinhu under the leadership of Xiao Ruimin.
Among the three mobile phone enterprises subordinate to Huaxia electronics, Lianxin's performance has always been better than that of Dongxing and lianxun, but the advantage is not obvious.
Since the summer, in addition to cooperating with Jinhu to develop new mobile phones based on ess baseband chips, Lianxin has also obtained the supply of some scarce components from Jinhu. The performance of Lianxin in the third quarter has been separated from that of Dongxing and lianxun.
New mobile phones have also been developed. Compared with lianxun and Dongxing, they need to purchase mobile phone chipsets at a high price from overseas partners. Although the price of new mobile phones is low, the profit margin is fully doubled.
Even if Huaxia electronics leaves the Ministry of information industry, Xiao Ruimin can't get the direct support of the Ministry of information industry. Ge Jiande can't find an excuse to remove Xiao Ruimin's sting from his heart at this time. He even has to worry about Lianxin from Huaxia electronics.
Ge Jiande closed his eyes and only felt that his temples were swelling. It had nothing to do with the fight with Jinhu before. He never thought that Lianxin had become a nail pierced into his heart in Jinhu's hand. He felt more or less a sense of life and death crisis. He thought that the construction of Huaxia NEC new plant was also going to bite, and resources could no longer flow to Jinhu.
In late November, the eyes of the outside world were focused on the construction of two new plants of Zhongjing microchip, but Zhang Ke ran from Jinshan to Xinting and had to worry about other things.
Donghai United iron and Steel Group acquired Dongshan iron and Steel Co., Ltd. to jointly implement the plan of Dongshan port ten million ton iron and steel manufacturing base for one year, which was finally rejected by the planning and Development Commission, and the efforts of private capital to infiltrate into super large state-owned enterprises for the first time failed.
This result is not particularly surprising, and many schemes have been prepared before.
The scheme finally approved after adjustment is that the new company jointly funded and registered by Donghai United iron and Steel Group and Dongshan iron and steel is responsible for the construction and operation of 10 million ton steel manufacturing base in Dongshan port.
The shareholding ratio of Donghai liantie iron and steel and Dongshan iron and steel in the new company is 7:3. According to this ratio, it will also provide the new company with a total construction fund of US $2 billion in advance. The steel base construction project has been officially launched.
Jinhu commercial company holds 75% of the shares of Dongshan iron and steel, and should bear us $450 million of construction funds in advance in proportion, and Xinting local government will bear us $150 million of construction funds in advance.
When the Dongshan port construction project was started, almost every financial resource that Jiangnan province could squeeze out was invested in Dongshan. It was really less than $150 million. The pressure of this part of funds still fell on Jinhu - Jinhu had to spend a total of $600 million in advance to inject Dongshan iron and steel in the name of corporate bonds.
The foundation laying ceremony of Dongshan iron and steel base was very low-key and did not specially invite media reporters. In addition to the local media of the two provinces, some electronic professional media reporters came uninvited. These professional media are more concerned about the financial situation of Jinhu commercial, the major shareholder of Zhongjing microchip. It is hard to imagine that Jinhu commercial's financial resources can bear the investment obligations to be shared in the construction of two new plants of Zhongjing microchip after investing US $600 million in the steel base in advance.
In the new pavilion in the early winter season, standing on the beach, the sea breeze has faintly felt the wind cutting. On the vast construction site of the reclamation project, the filled beach has not been covered with vegetation. It is dry and rainy after autumn, and the soil is somewhat dusty. The wind blows, and the white fine sand flows. Standing in it, people feel like standing in the vast desert, with a blue lake in the distance.
Zhang Ke didn't specially attend the foundation laying ceremony of the iron and steel base. He stopped the car on the roadside, walked around the construction site, and ate the wind and sand for half a day. He didn't go to the parking place until he received a phone call and heard that the foundation laying ceremony was over and the team returned to Xinting city.
The whole team stopped at the roadside waiting for him. Zhang Ke saw the window of Tang Xueqian's car open, so he went straight to Tang Xueqian's car.
"Come on, take my car." Tang Xueqian helped Zhang Ke open the door.
Zhang Ke saw that Lu Wenfu was also in Tang Xueqian's car. Tang Xueqian's Secretary Xu Ruiping was not in the car. Instead, Meng Xueqing was sitting in the co driver's seat. He was probably talking about the topic of the new pavilion. He called Meng Xueqing to the car to learn more about the specific situation. I just don't know what other officials in Xinting city will think in the eyes of others.
Meng Xueqing is now the deputy head of Dongshan port area. Although he is more familiar with the construction of the port area, Xinting City, taking into account his particularity, let him be in charge of the investment attraction of the port area.
Zhang Ke saw that Meng Xueqing was going to get off and give himself a seat. He smiled and said, "I'll squeeze with Uncle Tang and governor Lu in the back... All three of us are thin."
Tang Xueqian let Zhang Ke sit in.
The car was driving on the Hong Kong highway, with busy construction sites on both sides. Zhang Ke smiled and said, "it seems that you can smell the smell of the great industrial age..."
Lu Wenfu smiled and said, "the central government asked governor Tang and Secretary Xu to come to Jiangnan. We can expect them to shoulder the heavy responsibility and turn the tide..."
Lu Wenfu specially attended the foundation laying ceremony on behalf of the Donghai provincial government. He smiled. The smell of big industry is also caused by the investment of huge construction funds. Even in the world, the operation of such big capital is extremely rare. Not to mention the large-scale port industrial development in the later stage, only the preliminary works of the port construction project on Dongshan Island have more than doubled the economic scale of Xinting and its surrounding areas. Therefore, the economy of Jiangnan Province, which was hit hard by the flood last year, has temporarily curbed the trend of recession, and even more than the national average this year.
The central government decisively enabled Xu Xueping and Tang Xueqian at the critical moment. This move is still very bold and insightful. Otherwise, it is really difficult to imagine when the economy of Jiangnan province can embark on the road of complete recovery.
Meng Xueqing sat in the front row, thinking that the total amount of capital that Jinhu commercial has invested and will invest in Xinting is close to $1.4 billion, which is seven times the total amount of foreign capital introduced by Xinting in 1997.
"..." Tang Xueqian sat in the back row and wanted to laugh, but he didn't laugh. Instead, he gently sighed and said, "the economic data can be improved temporarily, the beneficiary areas are still limited, and the adjustment of the industrial structure of the whole province can't be completed overnight..."
Zhang Ke scratched his head and knew what was pressing on the hearts of Xu Xueping, Tang Xueqian and others.
The total number of laid-off workers in Jiangnan province is likely to exceed 1.4 million next year. In fact, the number of new jobs that can be provided by the secondary industry is expected to be less than 100000. In addition, the employment flexibility of the urban unemployed is not comparable to that of the rural migrant workers, just like the huge construction site in the east of Xinting creates tens of thousands of jobs. At this time, the main labor force absorbed is the rural migrant workers.
This summer, Donghai province comprehensively raised the living relief standards of laid-off workers, and the provincial financial overall expenditure was more than 400 million, with little pressure, but Jiangnan province did not even resettle the people affected by last year's flood.
Lu Wenfu smiled and asked Zhang Ke: "there are too many fake actions of Zhongjing microchip. Don't say that the outside world is confused about this. There are some doubts in the province. It's not easy to catch your people. Instead, I have to ask you. When is it estimated that Jinshan factory can start?"
"It also depends on the progress of negotiations in Singapore," Zhang Ke said. "Anyway, Jinshan factory will be launched before the end of the year. Even if Singapore can't talk about it, we have to raise funds and bite the bullet..."
"Jinhu shouldn't just want to build a wafer factory into Jinshan?" Lu Wenfu asked.
"Governor Lu is really a pair of fiery eyes," Zhang Ke said with a smile. "We estimate that in two or three years, medium and low-end mobile phone chips will almost be dominated by 0.25 micron wafer technology..."
"..." Lu Wenfu turned his head and asked in surprise, "so Jinhu is going to build a factory in Jinshan?"
"For a period of time, IDA has maintained a certain degree of restraint even if it has the ability to control more markets," Zhang Ke said, touching his nose, "The business policy is not always fixed. Especially at this stage, we have completed some preparations for low-end mobile phones. Low-end mobile phones will not escape the situation of small profit competition. For things that cannot be reversed artificially, we can only take the initiative to cater to them. The next step is to expand the production scale and further dilute the cost..."
"Oh," Tang Xueqian asked with a smile, "I wonder when you will burst production capacity. At present, the assembly capacity of Aida mobile phone is only 2 million?"
"The assembly capacity is slightly weaker. It has just exceeded 2 million this year. The next step of the manufacturing department is to focus on the capacity expansion of core components," Zhang Ke said, "Now we will hand over some assembly and low-end products to Xinyuan electric appliance and other enterprises for OEM, which will further strengthen cooperation, but the next step of capacity expansion is very large, many problems need to be coordinated, and the progress will not be fast..."
"How big is the step?" Tang Xueqian asked with bright eyes.
"A mobile phone assembly base of 50 million mobile phones will be built in two years, and the production capacity will reach 100 million in four years..."
Tang Xueqian and Lu Wenfu took a deep breath at the same time. It is estimated that the total number of domestic mobile users may not be 50 million by 2001, the production capacity will exceed 50 million in 2001 and 100 million in 2003... Jinhu's goal seems too ambitious. You know, the new users of mobile communication this year have just exceeded 10 million.
"The new manufacturing base is in Jinshan?" Tang Xueqian asked, knowing what such a large-scale manufacturing enterprise would bring to Jinshan. Most of the construction funds used by the wafer factory are used for the import of high-end process equipment and super clean rooms, and the recruited employees are of high standard. In fact, it does not help to alleviate the employment pressure in Jinshan City, but the situation of component and assembly factories is very different, and most factories are With a few jobs, ordinary people can be competent with a little training, and the jobs are relatively sufficient, which can more solve the problem of urban unemployment.
"Almost so!" Zhang Ke said. "We are considering putting the production of low-end mobile phones entirely in Jinshan, not only the assembly line, chipset, STN crystal screen and other low-end production lines should be moved to Jinshan, while Haizhou and Jianye focus on the development and production of core technologies and medium and high-end industries..."
"In this way, don't you want to be king in the middle and low-end mobile phone market?" Lu Wenfu asked.
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