Reinventing the Millennium

Fang Zhuo's small taste has scared off many small and medium-sized institutions, and also extinguished many people in the industry who are eager to fight.

Yike's short squeeze has already proven Mr. Fang's ferocity and sinisterness, so why bother wading into troubled waters again?

However, the performance of Nasdaq on this day activated the ratings of many large institutions, most of which were neutral Hold, the most obvious ones being Goldman Sachs and Man Group.

Manga gave a Sell recommendation, while Goldman Sachs gave a better-than-expected Outperform.

The attitudes of these two companies are relatively easy to understand. The former suffered heavy losses from Yike and has recently expressed a lot of bearish views. It can be said that it complements Paulson. The latter has been responsible for Yike's stock buyback and has an ambiguous rating attitude. .

The market situation is unclear, and the overall trend is to wait and see.

Fang Zhuo had psychological expectations for this situation.

After all, I am afraid that the Yike incident will be mentioned repeatedly in the future and will be written into many textbooks. The losses of tens of billions of dollars in large and small institutions are also daunting. Even if Goldman Sachs' money comes from black money, it is still a green knife.

At the same time, large institutions had already peeled off the cocoons two weeks ago and carefully diagnosed the pulse of Yike's behind-the-scenes work.

They won't make the bet lightly this time.

Therefore, this requires signals from many aspects.

China has entered the May Day Golden Week, but everyone at Yike, including Fang Zhuo, is very busy.

In the United States, regardless of the SEC, Nasdaq, or major clients, Fang Zhuo has responded that he will go to the United States next week. However, nearly two weeks have passed and he has not made any move. The other side of the ocean has no more requests. .

Obviously, it is useless for Mr. Fang to mention it, and it is impossible to force him to get it, so let's wait until May.

On May 3, at 9 o'clock in the morning, all the middle and senior management within Yike received an email from the leader. The content quickly spread and almost turned into an open letter sent by Mr. Fang to the employees of Yike.

The new product launch conference just ended on the 23rd of last month. Liu Qiangdong, President of Yike Huaxia, made up for an offline press conference for the country on the 27th. In this case, the attitude conveyed in the open letter was very serious.

"Since the company entered the mobile phone field in 2007, it has gradually grown into a world-renowned mobile phone brand."

"As of May 2009, Yike has more than 20 million global users. This is a number that makes all Yike people proud. It is inseparable from the hard work of every Yike person."

"But we must also realize from today that competition in the mobile phone industry is becoming increasingly fierce, and the challenges faced by Yike are also extremely severe."

"There is no need to deny that in the middle of this month, Yike's U.S. market will usher in new changes. The future of the European market must also be prepared. The storm of Yike has already come."

"However, Yike has not been afraid of wind and rain since the day he was born, and has always been brave and good at facing difficulties."

"This year, Yike wants to climb a dangerous peak and see the infinite scenery further away."

The content of the open letter was relatively long and lyrical, and it also talked about the goals of two product series this year. However, after it spread from Yike internally to the social level, many people did not feel the encouragement of Mr. Fang, and instead speculated about the release of Yike Pre-sale status after the meeting.

On April 23, Yike gradually opened reservation channels in the United States and Europe. On April 27, pre-sales of Mars3 and Selfy also started in China.

But in the next 12 days, Yike did not disclose the pre-sale figures in any market, which is completely different from the usual publicity habits.

How did Yike become so high-profile two years ago?

I can’t wait to publish the big figures for each stage on the official website in a timely manner.

This year, competitor Samsung imitated this approach and went a step further, summarizing sales figures from major channels and markets and synchronizing them directly on the website, showing a gesture of going all out.

Does this mean that Yike’s pre-sales are not ideal enough? Not enough to face the coming turmoil?

There are many speculations from the outside world, and there are similar thoughts within the company.

On May 3, at three o'clock in the afternoon, Fang Zhuo was waiting for Su Wei downstairs to come up from a meeting. The intercom phone in the office rang, which was a request for an interview from Liu Yongsi, deputy director of R\u0026D.

Fang Zhuo happened to be free, so he soon met the deputy director who was about to start a business.

The resignation applications of Liu Yongsi and the other five people have been approved. They can go out and show off their talents after the work handover is completed and the internal investment and resource docking process is completed.

Fang Zhuo guessed that Liu Yongsi wanted to ask for advice on the positioning of Android entry-level phones. Unexpectedly, Deputy Director Liu surprised him again when he spoke.

"Mr. Fang, I won't resign." Liu Yongsi said his intention after a brief greeting.

Fang Zhuo laughed and said, "What's going on? Ambition wears away too quickly. You are Hu Shi, why don't you just play cards here?"

"The company has reached a difficult moment. It is facing a ban from ITC this month, and there are no major operators in the United States. I can't leave at this juncture." Liu Yongsi was determined.

"Hmm." Fang Zhuo looked at the serious expression of the deputy director and said after pondering for a few seconds, "The ban and the operator were all before you resigned. Why do you think of this?"

Liu Yongsi replied seriously: "I didn't expect it to be so serious before, Mr. Fang... I can't leave!"

He originally wanted to leave, but Mr. Fang wrote to him.

As an executive, leaving at this time will not only damage your morale, but also what will your colleagues think?

The worst case scenario is that I don't start a business anymore, and I just have to endure the hardship of holding on to 20 million.

"It's a bit severe, but it's mainly on the market side." Fang Zhuo thought, "At this time, I think the time you chose to start the project is very good. There may not be such a good time again. The development of the company must Of opportunity.”

Liu Yongsi's eyes were firm and he responded firmly: "If it's not that good, it's not that good. That's all for the future. Now I'm still an employee of Yike!"

Fang Zhuo didn't know how to talk to this special employee of his. The signal is not for you, so don't receive it randomly.

"I'm happy to see you start a business. Since you feel the severity of the company, part of the severity this time also comes from Samsung's challenge. Its Kitty is doing well, which is what we lack." Fang Zhuo From another perspective, "The company is optimistic about your project and is willing to invest. This is an indirect complement."

He said gently: "From my personal experience and perspective, a successful entry-level series can greatly help the popularity of our YMS."

Yike's YMS is like a box, similar to Google's Family Bucket, the larger the base, the better.

Liu Yongsi was a little shaken when he heard this. YMS has been emphasized many times within the company, and it is obvious that it has high hopes.

However, it goes without saying that Mr. Fang meant much to Yike. When he began to admit that Yike was serious... it was difficult not to move the internal employees.

With a gentle knock on the door, Su Wei, the president of E-commerce, entered the office and interrupted Liu Yongsi's thinking.

Fang Zhuo ended the conversation and encouraged him: "Liu Yongsi, the work has begun to be handed over. You have to think about the next step as an entrepreneur. If you change your mind, what will happen to others?" manage?"

"You will not only be responsible for yourself, but also for your company's partners."

"That's it, I look forward to your mobile phone joining YMS."

Fang Zhuo stood up and shook hands with the old employee.

Liu Yongsi took a long breath and held Mr. Fang's hand heavily.

Su Wei looked at this scene in surprise. She didn't understand the situation. There were tears in her eyes.

When Liu Yongsi left, she listened to Mr. Fang's simple retelling and couldn't help but said: "I don't know if the open letter can deceive outsiders. Let's deceive our own people first."

While making tea, Fang Zhuo said: "It's not a lie. The competition the company faces now is indeed fierce. I tried Samsung's Trump and Kitty. They are indeed good products. Objectively speaking, I think Mars 3 is better, but Trump is not." There is no strength to fight.”

Samsung has released two Android phones before, but the response was mediocre.

After adjustments and determination this time, Trump's results are good. As for Kitty, based on the evaluation standard of US$99, it is even better.

"In addition to Samsung models, Verizon, which Yike has taken over this time, should not be underestimated. It has already touched the basic market." Fang Zhuo also talked about these seriously, "In order to cope with this challenge, Pan Ben and Yu Hong They’re all on their way here.”

There are only those major carriers in the United States. Losing one is a direct loss. What's more, Verizon is still the second largest carrier.

Su Wei gave Mr. Fang a meaningful look and said, "I thought it was related to Kong Yu's emergency yesterday."

Yesterday, a new situation occurred for Kong Yu. He encountered a small car accident. Fortunately, he had strengthened security and no major problems occurred.

After receiving the news, Fang Zhuo immediately called the other two market leaders back to Shanghai to discuss the company's future development.

It stands to reason that if others are in Shencheng, ordinary employees will not have any problems, and if they are looking for someone, they will not be able to find senior executives, but... Yike's serious development requires brainstorming.

"It has something to do with it. It's mainly about the company, including YMS and Hummingbird Chip. They are all important matters, and they also allow the heads of the three major markets to exchange their experiences." Fang Zhuo's expression remained unchanged.

Immediately, he couldn't help but sigh: "It's not easy for Mr. Kong."

Kong Yu almost lost contact yesterday. After the incident, Lu Peining repeatedly stated that the problem would be solved.

Large organizations both try to peel off cocoons and seize people and force them to do so.

In response and as a signal, Mr. Summers of the New York Economic Exchange will formally surface through the Carlyle Group.

Big organizations are looking for the power behind it, so give Summers a weight.

Summers is now in charge of NEC and has strong connections and resources.

As early as the establishment of the New York Economic Institute, he made public his platform to Mr. Fang through a charity dinner. This line was captured by the Carlyle Group after the temporary press conference of Yike and can be used reasonably.

Summers came forward to play the game, and the only bargaining chip left for him was Geithner.

In addition, relatively peripheral friendship clubs are also exposed.

According to Lu Peining, if the old guy wants to get money, he has to work hard.

As for whether it is possible to hide the red seal regarding the current management of the ITC ruling, it is best to hide it so that you can eat the most. If you can't hide it, you will eat less.

The subjective initiative of Lu Peining and others has been carefully screened over and over again. It is necessary to ensure that this time the stability of the development environment of the high-tech industry can be maintained. It can be said that they have good intentions.

In principle, as long as the force behind it emerges, the Gasoline Man should be safe.

"Early this morning, Lu Peining asked me if Mr. Kong was reliable." Fang Zhuo said, "I think Lu Peining is red-eyed. Now anyone can make mistakes."

Su Wei added: "What about you?"

"In this state, they might have stabbed me with a knife first, and then they realized, oh, it's Mr. Fang, get up, get up." Fang Zhuo shook his head, "I told Lu Peining yesterday that Mr. Kong must be protected. What he is responsible for cannot be replaced by others.”

The fund handling this time is entirely arranged by Kong Yu.

Now that the MIGA fund has been put on the table, Kong Yu's actions are also being closely watched, including market changes on Nasdaq, which are being scrutinized by large institutions.

This situation was predicted before.

In response to the second short squeeze, Kong Yu diversified the size of his funds. Some were still buying stocks low and selling high, some were options with leverage, and a considerable part was transferred to over-the-counter exchanges and dark pools with weak supervision.

The first two are related to large institutions, and the last one is to maximize profits.

Fang Zhuo did not explain too much about the complicated financial methods to Xiao Su, but talked about the events on the 1st and the expected changes: "Now there is an unexpected factor. We found that the name of the King of Retail Investors is particularly easy to use. If With the entry of large institutions, the amplification effect of using emerging media platforms from bad to good... will be a surprise."

The impact of the Yike short squeeze, especially for retail investors, is too great.

The superficial attempt on Nasdaq on the 1st proved that the irrational foundation in the market still exists.

Fang Zhuo, the major shareholder, has a clear bargaining chip that is locked up by SEC rules just like the previous two major institutional shareholders. It is impossible to recreate that kind of run-like madness, but...

The combination of a major negative turn into a positive + the irrationality of retail investors + the recent widespread influence of the king of retail investors + the timely dissemination of emerging media platforms. Such interaction is likely to evolve into a forced short squeeze, with the result being a rise. The stock price forced institutions to liquidate their positions.

It’s hard for Mr. Fang to say what kind of specific effect it can achieve. I can only say that since Jason’s GLG fund shorted Jinrui Company and was forced to withdraw by fanatical retail investors, Wall Street has no longer mentioned “ordinary investors” in recent times. word.

They probably also realize the power of this group of ordinary investors and realize that they can cause extraordinary harm. It is best to let the influence of Yike's short squeeze slowly fade away.

Fang Zhuo didn't want to disappear.

He can't go to the United States, and patrolling purely online is boring. Since it's boring, then...

Then start the teaching of retail investors grouping together to siege institutions.