Reinventing the Millennium

Fang Zhuo wanted to visit Zhang Rujing, so he naturally needed to know more about this person and the development history of SMIC.

I had only a vague impression of both of them before, but after a little more in-depth understanding, I realized that they were indeed remarkable.

He joined the famous Texas Instruments in 1977 and worked in research and development for eight years. He was then responsible for presiding over the construction of the company's semiconductor factories around the world and was known as a "factory construction expert."

In 1997, Zhang Rujing briefly came to work in the mainland after retiring early from Texas Instruments. However, due to administrative pressure from Baodao, he returned to World Semiconductor as the general manager. This was Baodao's third wafer fab after TSMC and UMC. .

Around 2000, TSMC aggressively acquired other manufacturers in Baodao. The major shareholder of Shida Semiconductor sold the company to TSMC for US$5 billion.

At that time, Zhang Rujing proposed that TSMC build a factory in mainland China. This suggestion was rejected by TSMC President Zhang Zhongmou, who also threatened that "if you want to go to mainland China, you can't take TSMC stocks."

However, Zhang Rujing was determined to go to the mainland, gave up valuable stocks, sold his house in the United States, and came to Shanghai to establish SMIC with his subordinates who were willing to follow him.

In just 13 months, SMIC built its first factory, advancing the manufacturing process to the nanometer level. In the following three years, it established four 8-inch production lines and one 12-inch production line at an unprecedented speed globally.

That is to say, by this year, in 2003, SMIC has become the fourth largest semiconductor foundry in the world and was named "Best Semiconductor Factory of the Year" by the semiconductor magazine "Semiconductor International".

Therefore, Fang Zhuo heard the news from unknown sources - "The gap between SMIC and TSMC is only one or two years, and he can even catch up with him in nine months."

This is Zhang Rujing's judgment based on reality, not arrogance.

This year, Zhang Rujing is 55 years old, but still has the ambition to catch up with the international first-class level.

It is said that SMIC is now planning to go public and will be able to raise more funds for development.

Fang Zhuo only looked at the development of SMIC in the past three years. He was very excited when he saw Zhang Rujing's determination to build a factory in mainland China. At the same time, he also gained a better understanding of the expensiveness of semiconductor wafer factories.

When Zhang Rujing founded SMIC, he found a way to raise US$1.48 billion in funds from all parties, and there will be a series of subsequent investments. But to this day, SMIC has not announced a profit, which makes people hesitate.

Of course, this is normal for semiconductors, but for Fang Zhuo, the financial pressure visible to the naked eye is indeed too much.

The visit to Zhang Rujing went smoothly. The other party may have heard of the recent title of "the richest man in Shanghai", and he even seemed a little enthusiastic on the phone.

Fang Zhuo did not bring many people, only Vice President Su Wei and two assistants, one of whom was Liang Mu, who was an assistant to the President's Office.

Including the driver, a group of five people went to SMIC on June 24.

Fang Zhuo was still reading SMIC's information on the way. He read slowly and thought about it from time to time.

As a biographer of the best business figures in the country, Liang Mu has a strong ability to observe people's emotions. Seeing Mr. Fang's expression, he asked, "Why is Mr. Fang always frowning? Is it because of financial considerations?"

Fang Zhuo closed the document, was lost in thought for a few seconds, shook his head, and said, "No, I feel like there is a problem with SMIC, um..."

Su Wei heard this and looked over.

However, Fang Zhuo had no intention of continuing. He just opened the information and glanced at it before thinking again.

Since meeting the three guests on the 21st, Liang Mu and Su Wei often saw their boss deep in thought, so they suppressed their curiosity and did not disturb this state.

At ten o'clock in the morning, the group arrived at SMIC in Zhangjiang, known as the "Chinese Silicon Valley" and a key development area in Pudong New Area.

Fang Zhuo met Zhang Rujing. He was wearing a white shirt and black trousers. He was short and wearing glasses. He could not tell that he was the head of a large semiconductor company.

Judging from the resume information alone, the impression in Fang Zhuo's mind was "deep eyes and firm expression", but this person's eyes were very kind and had a joking smile.

"Mr. Fang, I've admired your name for a long time, why didn't you come in your Ferrari?"

This is what Zhang Rujing said when he came up.

Fang Zhuo was stunned for two seconds, smiled and shook hands with this person, and said his troubles: "Ferrari is too popular. I am afraid that Mr. Zhang will think I am frivolous. I have been growing a beard for three days for this trip to SMIC."

Zhang Rujing laughed and shook the hand of the richest man in Shanghai. Indeed, Ferrari was too popular and Mr. Fang was too young. He must have received many surprised looks in this regard.

He let go of his hand and said, "Mr. Fang, let me show you around our factory."

Fang Zhuo was delighted because he wanted to see how expensive this fab was.

The founder of SMIC traveled hand-in-hand with the richest man in Shanghai. The former's enthusiasm not only surprised Fang Zhuo, but also surprised both Su Wei and Liang Mu.

However, the reason for this enthusiasm soon became apparent.

After visiting the very expensive, very expensive factory, Fang Zhuo was like Zhu Bajie tasting ginseng fruit, and followed him to the office without tasting anything.

After complimenting and greeting him for a few words, he said his purpose: "Mr. Zhang, I want to build a wafer foundry. Do you think now is a good time?"

Zhang Rujing laughed loudly when he heard this question, feeling that the richest man in Shanghai was joking with him.

However, he laughed for a while, and when he saw that Fang Zhuo was still serious, he stopped laughing and stared at the young man's expression.

Fang Zhuo was embarrassed by this semiconductor boss.

"Mr. Fang, are you kidding?" Zhang Rujing was surprised.

"Yes, I am willing to do my little bit for semiconductors." Fang Zhuo nodded.

Zhang Rujing continued to be surprised: "I heard that Mr. Fang seems to have no experience in semiconductors. The fab has invested a lot. The key is not money. Mr. Fang, do you have anyone? Do you have engineers?"

Fang Zhuo shook his head and thought, he just saw many engineers in the SMIC factory.

Zhang Rujing smiled again: "So, since Mr. Fang wants to contribute to semiconductors, he might as well invest in our SMIC."

Well, no wonder you are so enthusiastic.

Fang Zhuo found the reason.

Also, what else can the other party see in him besides money?

He pondered for a moment and then slowly said: "Mr. Zhang, to be honest, I have had such thoughts, but..."

Zhang Rujing concentrated: "Mr. Fang, it doesn't matter if you say it."

"I heard that SMIC introduced many shareholders when it was established, and the equity was very dispersed?" Fang Zhuo asked.

Zhang Rujing nodded and admitted frankly: "Yes, on the one hand, there is indeed a shortage of funds, and on the other hand, we need to introduce foreign capital to avoid the risks of purchasing equipment."

This is where Fang Zhuo's doubts lie. After studying SMIC in the past few days, he found that SMIC's shareholding is not generally dispersed. It is initially estimated that there are more than ten shareholders, and there is no absolute major shareholder.

Does this situation need to be more familiar?

Fang Zhuo said: "Mr. Zhang, this is the reason why I have a lot of worries about investing."

Zhang Rujing smiled and said: "Why would Mr. Fang consider this? Although our shares at SMIC are dispersed, we are all determined to make semiconductors good. Let's put it this way, I have smooth communication with each shareholder."

At this time, a vice president of SMIC next to him turned his head and whispered to the president about the struggle for control of the listed company Sina.

Zhang Rujing:? ? ?

No wonder!

I see!

This is a criminal record!

He was dumbfounded. He had heard before that the richest man in Shanghai was involved in the "Hanxin" thing, but he didn't expect that there would be another "unusual guest" ahead of him? This person used equity diversification to win Sina, so he didn't dare to invest in Zhongxin?

Zhang Rujing looked at Fang Zhuo for two seconds and said thoughtfully: "Mr. Fang is amazing. I usually focus on SMIC, and only then did I know the reputation of Mr. Fang's capital operation."

Fang Zhuo replied calmly: "They are all just false claims."

"SMIC's equity is dispersed, but I am confident in controlling SMIC." Zhang Rujing explained seriously, "Mr. Fang may not know much about the semiconductor industry. I founded SMIC, but how can I sustain it alone?" How about starting a career like this?"

He continued: "I came to Shanghai to establish SMIC, and I was accompanied by colleagues from Texas Instruments and Shida Semiconductor. There are more than 300 engineers in total. They are all confident in the future."

Zhang Rujing paused and said meaningfully: "You also have confidence in me."

Fang Zhuo understood what he was saying. He started a rebellion alone and was followed by more than 300 old troops.

"Also, I have called on overseas talents to return to China, and there are more than a hundred engineers." Zhang Rujing said confidently, "If Mr. Fang is worried about my control because of the equity, there is no need for it."

Fang Zhuo nodded slightly and climbed up to appeal, and the world followed.

He thought with some regret, then, where is the problem?

Zhang Rujing added another message: "I don't know if Mr. Fang has heard the news about our plan to go public. I can say that even if we cannot successfully go public next year, I am confident that SMIC will start making profits."

"SMIC is improving across the board. After going public, raising more funds will surely lead to great development."

Zhang Rujing said categorically: "Mr. Fang, why do you have to go into semiconductors alone? If we work together, we can be as powerful as gold!"

Fang Zhuo was almost convinced.

However, after repeated confirmations, he also guessed the problems that SMIC might encounter.

SMIC is now known as the fourth largest semiconductor foundry in the world and is developing rapidly. So, are the three in front just sitting back and doing nothing?

Especially the Taiwan Semiconductor Manufacturing Company in Baodao.

Fang Zhuo didn't know what the specific method would be, but if it were him, he would do it.

Back then, Japanese semiconductors dominated the world. How did South Korea's Samsung take advantage of the opportunity to develop?

It took advantage of the United States' suppression of Japanese semiconductors, offered inducements, lures, and poached people and equipment. At that time, in order to get closer to Toshiba, it even built a glass sculpture symbolizing the good relationship between the two companies to please it.

Later, Japan's bubble economy collapsed, and Samsung offered three times the salary to poach people from major Japanese companies. By the end of the 1990s, South Korea alone surpassed Japan in the field of memory semiconductors.

Fang Zhuo believes that the development of SMIC will inevitably require poaching people from TSMC. After all, Zhang Rujing himself is from Baodao, and there may be areas for attack in the acquisition of information in business competition.

Otherwise, there is no way to see that SMIC, which is currently enjoying great momentum, will become wasted.

There is no problem with Zhang Rujing's self-confidence. His personal reputation alone can suppress various shareholders and firmly control SMIC. However, what if he is no longer at SMIC?

Fang Zhuo's expression looked particularly solemn due to his thinking.

"Mr. Fang, let's chat while we eat and take a walk." Zhang Rujing didn't wait for Fang Zhuo's answer and was not disappointed. Investment matters can't be decided in a moment. It's good to be able to attract the richest man in Shanghai this time, but he can't. Just treat it as an opportunity to gossip.

The lunch host didn't go anywhere else, just in the cafeteria, but he opened a small stove alone.

Zhang Rujing curiously asked Fang Zhuo about Hanxin during the dinner, and was able to learn the full story of this controversial matter. He was also surprised that the chip logo was actually polished with sandpaper.

Fang Zhuo asked about the semiconductor giant's return to the mainland to build a factory. He really admired his perseverance.

"Back then, I was still at Texas Instruments. At that time, I was already quite famous, building factories all over the world." Zhang Rujing recalled, "My father was a well-known steelmaking expert in the industry before the founding of the People's Republic of China. One day, he flew to the United States to ask questions in person. Gave me a question."

"He asked, when will you go to the mainland to build a factory?"

Zhang Rujing smiled and said: "I don't have any other skills. I just build factories and engage in semiconductors. This industry in our country is not good. As Mr. Fang said before, my heart is the same. I will do my best if I can." Power."

"If you don't do it, I don't do it, he doesn't do it, then who will do it? You can't just sit and wait for a wafer fab to fall from the sky."

"Mr. Fang, come on, let's do it together, you pay and I'll do the work."

Zhang Rujing once again extended a sincere invitation.

Fang Zhuo looked at the man in his fifties, holding a wine glass, and didn't know what to say.

He clinked the glasses silently and saw that Zhang Rujing had begun to raise his neck and took a long breath: "Mr. Zhang, I will think about it, and I will definitely think about it seriously."

"Mr. Fang is young and promising. From now on, this industry and society will still look to you young people." Zhang Rujing said with a smile.

Fang Zhuo changed the cup and changed the topic. For example, the lawsuits and breakthroughs that Yike encountered abroad were not seen in the domestic media, but they were more interesting.

Different from his usual nonsense with Liang Mu, now facing Zhang Rujing, he talked about his uneasy mood at that time with great sincerity, which aroused Zhang Rujing's similar mood in certain situations.

The lunch atmosphere was good, but Zhang Rujing drank a little too much and needed a break at noon.

Fang Zhuo did not leave immediately. He walked around the production line again under the leadership of SMIC Vice President Qiu Ciyun. This time, he heard a much more detailed explanation and learned that many machines were obtained with difficulty.

At 3:30 in the afternoon, Fang Zhuo was about to end his trip to SMIC.

"Mr. Fang, in order to buy equipment, Mr. Zhang went to see people from the U.S. Department of Defense and promised not to use these for military purposes." Qiu Ciyun sighed, "Everything is difficult at the beginning, but things get much better for those who come after."

Fang Zhuo's heart moved, he tasted some different flavors, and said with a smile: "Yes, everything is difficult at the beginning. Mr. Qiu, please leave your phone number and keep in touch. I am in Shanghai."

Qiu Ciyun nodded: "Keep in touch, Mr. Fang."

Fang Zhuo shook hands with the vice president of SMIC, turned around, got in the car, and left the most promising semiconductor manufacturing company in the country.