Global Monopoly of Technology

Entering November, Hua Wei and Cote d'Azur are more closely related, and the two parties are negotiating around the wafer foundry and the brand Hua Weihui.

Today, Xu Zhijun came to the science and technology complex building, and also brought another core executive of Hua Wei, Yu Chengdong. Because of the honor brand, Hua Wei internally decided to let Yu Chengdong, who is in charge of European business, come back to take over this task.

In addition, there is a lady named Liu Yixuan, who was born in 1981. Different from other girls, she has longed to become an engineer since she was a child. She has always worked very hard in her studies. She graduated with a master's degree at the age of 23, which is 2004. In 2009, when the Cote d'Azur company was just established, she joined the company as an engineer.

It has to be said that female engineers are relatively few in technology companies. Although Liu Yixuan is a woman, she is very capable. After joining the company, she entered the Cote d'Azur laboratory and started semiconductor-related research work. Together to this day, in the five years of work, her ability has been improved, and she has also been recognized by Luo Sheng.

She is still single at the age of 28 this year. As a woman, she is no longer young when she is about to turn 30, but she is definitely young as an executive of a large company.

This time, Cote d'Azur and Wah Wah want to jointly establish a new company focusing on the field of chip foundry. Luo Sheng and Wah Wah reached a consensus after discussing the results. This time, Cote d'Azur led the way, so the head of the company chose Luo Sheng to do it. .

And he valued Liu Yixuan.

"Let's call it 'Xiongxin Integrated Circuit Manufacturing Co., Ltd.', referred to as Xiongxin Electronics." Luo Sheng suggested that the two parties were discussing the second joint venture company.

Xu Zhijun and other representatives have no opinion. For those who do practical work, the name is of secondary importance. This name was also unexpectedly by Luo Sheng, and he said it by the way.

There was no objection from everyone, so the name was settled like this.

"I suggest setting the headquarters in Shencheng, because Huaxin International is in Shencheng." Yu Chengdong smiled, um, just like ordinary people opening a small shop for business, the taste of opening it diagonally opposite to the other side is self-evident. .

The main consensus has been reached before today's meeting, and the establishment of Xiongxin Electronics is of course very smooth.

The registered capital of this joint venture is 15 billion yuan, of which Côte d'Azur contributed 10.5 billion yuan, accounting for 70% of the equity, and Hua Wei contributed 4.5 billion yuan, accounting for 30% of the equity.

The operating period is from November 2009 to November 2059.

In the future, Xiongxin Electronics needs to inject research and development costs, and both parties have to invest in proportion to their shares. If one party is unwilling to inject more R\u0026D investment costs, the equity will be diluted in equal proportions.

This is the biggest difference from Lens Semiconductor. You must know that Lens Semiconductor's R\u0026D investment is all for one family, and Azure Coast permanently holds 34% of the shares.

Nowadays, the earning ability of the Côte d'Azur is better than that of Wah Wei. Naturally, Wah Wei would not be foolish to suffer when he saw this situation. Even a huge company needs to maintain profits, and the R\u0026D investment is really expensive. money.

Another difference is that Xiongxin Electronics is controlled and dominated by Cote d'Azur, and Hua is the representative of the board of directors, and the first head is Liu Yixuan.

Moreover, there is no such privileged department as Lens Semiconductor Mobile Processor Division under Xiongxin Electronics. You must know that Lens Semiconductor is led by Wah, but Luo Sheng has the final say in this department.

Xu Zhijun and Yu Chengdong stayed here for almost two hours. After reaching a specific consensus, they also left.

Mr. Yu, who was in charge of leading the European business of Huawei, was transferred back to take charge of the mobile terminal business group. The first CEO of Huawei was Yu Chengdong. This is a smartphone brand established by Huawei and its headquarters is in Pengcheng.

On the other hand, Xiongxin Electronics chose to land in Shencheng. Luo Sheng would not all get together in Sucheng. Although Sucheng would be very happy, it was not conducive to the development of the local economy.

To achieve such a big business, he must also consider the balanced development of the region, not too concentrated in the Yangtze River Delta economic belt, or the Pearl River Delta economic belt, let alone in a single city.

Anyway, as long as it is domestic, integrating the industrial chain will not be as troublesome as the multinational supply chain, and it can also promote economic flow in various regions and drive the overall economic development of the country.

Only considering the development of the enterprise itself, the scale is small enough to say, but if the scale of the 100 billion US dollar scale is not considered, the final result will definitely be backfired.

Now the land prices in Sioux City are going crazy, the biggest reason is that there are already several multinational groups with giants in size, which gave birth to the birth of the "Land King".

Today's Sioux City has been regarded as a quasi-first-tier city and a 1.5-tier city.

Bluestar Technology, Cote d'Azur, Lens Semiconductor, Shengfeng Capital. The existence of these large enterprises is madly absorbing resources and nutrients from all around.

As a result, the surrounding areas are "barren" and the development is becoming more and more uneven. The Xicheng next door is very miserable, because it is too close to Sucheng, and the two places are separated by a straight line distance of about 40 kilometers.

But the talents just went to Sioux City, it can be said that they are separated by a wall, and the world is different.

Hua Wei's people left, but Liu Yixuan was still there.

"Mr. Luo, you chose Xiongxin Electronics to land in Shanghai, do you want to prepare for the merger of Huaxin International in the future?" Liu Yixuan asked.

It is not unreasonable for her to guess. Today is November 3. Just the morning before, Huaxin International announced two major news.

First, the six-year litigation dispute with TSMC ended. The two parties reached an out-of-court settlement and acquired about 10% of the shares of Huaxin International. They have agreed to acquire these shares and abide by the restriction agreement. TSMC will not strive for entry. The board of directors of Huaxin International may interfere with its daily operations, and only exercise shareholders' voting rights on the proposal of Huaxin International.

Second, Huaxin International received a compensation of 200 million US dollars, which is much less than the previous speculation of 1 billion US dollars. At present, Huaxin International has about 450 million US dollars in cash on hand, and the cash flow this year is also positive. This compensation It will not create an existential crisis for the company.

Third, President Zhang, the head of Huaxin International, was forced to resign. From the loss of the lawsuit to the announcement of his resignation, Zhang Rujing signed the resignation document and at the same time, he also signed a non-compete agreement: starting from 2010, Within three years, he will no longer be allowed to work on chips, which seems to be the end of his career for a 61-year-old engineer.

Recently, there has been news that Mr. Zhang may be engaged in some charity or education work.

In almost a short day, Huaxin International, as the leader of the foundry industry in mainland China, encountered three unfortunate events in a row. In some ways, the company has lost its independence.

Luo Sheng tilted his head to look at Liu Yixuan and said with a smile: "Are you guessing that the recent turmoil in Huaxin International has my contribution?"

Liu Yixuan smiled, looked at her and asked, "No?"

Before Zhang Rujing came to talk about business, he showed his intention to acquire Huaxin International. Although nothing was reached in the end, it didn’t take long for Azure Coast to spend a huge sum of money at a premium of 70% to acquire a 7.2% stake in TSMC, and the front foot just sent a director to enter. With SMC, Huaxin International has encountered three unfortunate incidents one after another. It is not unreasonable for Liu Yixuan to think so.

Luo Sheng retracted his gaze and shook his head: "Of course not, if I could raise SMC, the Americans would be the first to disapprove. Cote d'Azur's investment in SMC also abides by the restriction agreement, and the dispatch of directors is only for SMC. The proposal to exercise voting rights does not interfere with its daily operations, and the lawsuit between TSMC and Huaxin International has no influence on it."

Having said that, Luo Sheng looked at Liu Yixuan again and added: "Actually, even if Huaxin International wants to sell me, I will not accept it. The equity here is quite complicated, and I don't know how many pits there are, so don't touch it. That's great. What I want is technology and talents. To arrange Xiongxin Electronics to land in Shencheng is to compete with Huaxin International for the few talents, and it is easier to attract talents from Huaxin International. It's the essence."

"Besides that, Huaxin International has nothing to look forward to. As for the lithography machine and other semiconductor manufacturing equipment? We can buy it ourselves, just ask A**L to buy the lithography machine, we now have a set The key semiconductor technology patents are in hand, and this is used as a bargaining chip to exchange, and it is not necessary to obtain the most advanced lithography equipment, but the 45-nanometer process lithography machine can be exchanged through negotiation."

Liu Yixuan, who was listening, nodded silently involuntarily. Once the 45-nanometer chip lithography machine equipment is in place, Xiongxin Electronics will become the first semiconductor company in the mainland to manufacture 45-nanometer technology, and it can become the industry leader in the mainland.

The competitiveness of Huaxin International will soon show a backward situation, because Xiongxin Electronics will also receive some technical support from LSMC, including some cooperation in talent circulation.

Although Xiongxin Electronics and LSMC should be competitors in name, LSMC will definitely not give out their housekeeping skills to the other party.

When a company grows to a scale of 100 billion US dollars, competition and cooperation exist at the same time. After all, in this world, in terms of wafer foundry, in addition to SMC, Samsung and Intel also have this ability.

Now that the cooperation with the Côte d'Azur is so close and the interests are complicated, there is no need to make the relationship between the two sides dead on some trivial details, not to mention that the current semiconductor industry market is too big.

It’s really very big. Today’s companies don’t even consider the problem of overcapacity. It’s true that as many chips you can produce, the market can quickly digest them, especially the soaring demand for chips in the Greater China market.

The overall size of the chip market has not yet reached a bottleneck. Everyone can eat thirteen cents full without grabbing customer orders.

However, it is not a good thing for Huaxin International. The competitive pressure brought by the birth of Xiongxin Electronics is definitely worse at this juncture.

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