I Found A Planet

There is a famous Moore's Law in the CPU field, which reads:

When the price remains constant, the number of components that can be accommodated on an integrated circuit will double approximately every 18-24 months, and the performance will also double. In other words, the performance of a computer that can be bought per dollar will more than double every 18-24 months.

This law is also known as the "strong periodic law".

However, in the memory market, this law is not only inapplicable, but under human manipulation, a "counter-cyclical law" has emerged.

Sanxin Company is the best at using this law, and it can be called a patriarchal existence.

Sanxin made full use of the characteristics of the strong cycle of the memory industry, relying on blood transfusions from the government, when prices fell, overproduction, and other companies cut investment, they went against the trend and crazily expanded production, and further lowered product prices through mass production, thereby forcing competitors Withdrawing from the market or even going bankrupt directly is called the "counter-cyclical law" by the world.

In the field of memory, Sanxin has offered a total of three "counter-cyclical laws". The first two occurred in the mid-1980s and early 1990s, allowing Sanxin to start from scratch and achieve the position of the memory leader.

But Sanxin obviously felt that the game was not big enough, so before and after the financial crisis in 2008, it raised the "counter-cyclical" butcher knife for the third time.

At the beginning of 2007, Microsoft launched the Vista operating system that eats up memory. DRAM manufacturers judged that the demand for memory would increase greatly, so they increased production capacity one after another. As a result, the sales of Vista fell short of expectations, and the price of DRAM plummeted due to the oversupply. The pellet price has avalanche from $2.25 to $0.31. At this time, Sanxin made a jaw-dropping move: 118% of Sanxin Electronics’ total profit in 2007 was invested in DRAM business expansion, deliberately exacerbating industry losses, and adding the last straw to rivals struggling to survive .

The effect is remarkable. The price of DRAM has plummeted all the way. In the middle of 2008, it fell below the cash cost, and at the end of the year, it even fell below the material cost. At the beginning of 2009, Qimonda, the third German manufacturer, was the first to fail and declared bankruptcy, and memory players in continental Europe disappeared. At the beginning of 2012, Elpida, the fifth place, declared bankruptcy. Japan, which once occupied more than 50% of the DRAM market, also lost its last card.

On the night Elpida announced its bankruptcy, the headquarters of Sanxin in Gyeonggi Province was brightly lit all night, and the stock price rose sharply the next day. The whole world knew that Hanguo people had won again this time.

So far, there are only three players left in the DRAM field: Sanxin, Hynix and Micron.

but.

Since 20X8, there has been a brand new player in the memory market, Z Unigroup.

After Tsinghua Unigroup successfully produced DDR memory, Sanxin did not act rashly. Instead, it sometimes reduced production and sometimes increased production according to market demand, stabilizing the price within a certain range and ensuring its own profits.

In 20X9, Dajiang Storage's NAND storage was mass-produced, and the production capacity was astonishing, which threatened Sanxin's market share.

Even so, in terms of NAND storage, Sanxin only lowered the price moderately and did not move.

In 20X0, Tsinghua Unigroup achieved mass production of DDR3 and successfully developed DDR4, but Sanxin still did not take major actions.

The "fourth counter-cyclical law" has not been offered for a long time.

The reason is that the "counter-cyclical law" may be difficult to replicate in other countries, but in country Z, it will only be played more proficiently. For example, Sanxin and LG have successfully defeated the Japanese panel industry through counter-cyclical investment. The government of country Z has also followed suit. Through years of blood transfusions and subsidies, they used money to invest in Jingdongfang, and even seized a large number of Sanxin screens. market share.

Facing an opponent of country Z's size, the people of Han country have extreme fear in their hearts.

But now it is the year 20X1.

Looking at the rapid growth of Ziguang Storage, if you don't make a move, there will be no chance to make a move.

The relevant practitioners in country Z are all soberly aware that the reason why Sanxin has stood still in recent years is because they are preparing "ammunition".

Fight a frightening battle with ammo!

...

cold country.

Sanxin Company, at the internal mobilization meeting.

Li Jianrong clenched his fist and said:

"Everyone, it's time for the decisive battle of life and death!"

"For this day, we have prepared a cash reserve of more than $300 billion, and the government has committed to supporting it with all its strength."

"And this time, what we want to kill is a dragon, a super monster."

"Many shareholders have no confidence in defeating such a monster. Sanxin cannot be the opponent of the Z government. They have endless ammunition."

"I don't think so, I believe we will win!"

"Because our screen and memory technology are more advanced, yield rate, production efficiency are higher, and production cost is lower, we have inherent advantages!"

"Once the price war starts, they will lose more. For every $1 we lose, they will lose at least $2, $3 or even more."

"Just like the contest between a strong warrior and a dragon, every sword will release a lot of blood on the dragon, while the warrior consumes a certain amount of physical strength."

"Price cuts of 30% and 50% are just the beginning, because their products have insufficient performance, and they must cut prices by 60% and 70%, otherwise they cannot be sold."

"If the price drops a little bit more, the government of country Z must cover the bottom line and spend precious financial expenditures to continue this war."

"But we can lose 500 billion knives. Is the government of country Z willing to pay a greater price to protect those small companies? Their people agree that the government will take their pensions, take their people's fat and people's anointing, and invest in this meaningless Are you in the competition?"

"Okay! Assuming that the government of country Z has withstood the pressure of public opinion and persisted to the end, our HBM flash memory should be commercialized on a large scale, and all DDR technologies on the market have been eliminated. What's the point of their winning? Can their people win?" Accept the fact that the government spent hundreds of billions of dollars just to keep a few backward companies?"

"In any case, the victors of this war are us. In the face of warriors with superb sword skills, even the most terrifying dragon will fall under our sword."

"I call this war the 'Battle of Dragon Slaying', everyone, please join me in this war, create the glory of Sanxin, and write the glory of Han people!"

Listen to this passionate speech like a call to arms.

All the executives of Sanxin raised their arms and punched their fists, their faces full of fanaticism!

"Victory must belong to us, Smecta!"

"Slay the dragon! Slay the dragon!"

"We are about to defeat country Z! We are national heroes! We will be worshiped by all citizens."

"In this universe, no one is an opponent of our great cold nation!"

...

Xinghai Technology.

High-level conference room.

Looking at Zhao Guowei, chairman of Ziguang Group who came to Shanghai on purpose, Chen Jin asked a few questions that he was most concerned about.

"Mr. Zhao, the people of Han Country are coming aggressively, and they want to take your company's life. Can Ziguang block it?"

"Just in time!"

Zhao Guowei smiled disdainfully: "I still want to wrestle with them."

"Oh, why is Mr. Zhao so confident? Don't underestimate the enemy." Ling Jundong interjected, kindly reminding.

"The purple light is no longer the purple light it was a few months ago."

Zhao Guowei shook his head and said: "People in the cold country will never believe that we have increased the yield rate of DDR particles from more than 20% to 99.7% in just four months, and the production efficiency has improved. 250%, in terms of production cost, our 4GB DDR4 chip has dropped to about 3 yuan... This is definitely lower than that of people in the cold country!"

"The last thing we fear is a price war."

Nest grass!

99.7%.

Isn't the improvement in the yield rate of Ziguang memory amazing?

Chen Jin was very surprised, and this is the power and fear of the "virtual factory".

Zhao Guowei continued: "We are not afraid of price wars, but we are afraid of technological backwardness, so our DDR4 high-frequency version, DDR5, and DDR6 are all under parallel research and development. DDR5. The next generation of HBM memory is also being tackled by a team, but the results will not be available until next year... I hope this battle will last a little longer, as long as Sanxin does not let go of the last big move, we are sure to win."

"Will not."

Chen Jin nodded: "DDR memory is still the mainstream now, where are they going to use it as soon as it comes up? But you also have to do a good job of keeping it secret, showing your weakness to the enemy, and you must not reveal your details in advance."

"Yes, we take confidentiality very seriously."

...

Tsinghua Unigroup's awesome performance.

In addition, the country has the final backing.

Chen Jin wasn't particularly worried about the powerful challenge launched by Sanxin Company. A three-year-old boy challenged an adult giant, just seeking his own death.

However.

On July 7th.

A piece of news from Zhongxin International shocked Chen Jin again.

7nm chip manufacturing process, a major breakthrough!

It still doesn't work today, let's see if we can break out four more tomorrow... There are eight chances left, and we must succeed three times (hey, fatal procrastination)