Reinventing the Millennium
Chapter 757 Negotiation (two in one)
Yike negotiated with Google and used the largest conference room in the R\u0026D center.
This is also a habit that Fang Zhuo has developed unknowingly. He always feels that sitting in a large conference room has a broad field of vision. Whether he is arguing loudly or the King of Qin is circling the pillars, it can make people use it freely.
The Google team includes founder Larry and CEO Schmidt, a total of seven people, all of whom are very high-level.
Today, Google's stock price has climbed from 85 when it was originally listed to 470 US dollars, with a market value approaching 150 billion US dollars. It has been rated as one of the best operating companies by many institutions.
Going forward, it is chasing traditional blue-chip stocks such as Wal-Mart, IBM, Coca-Cola and Hewlett-Packard, and it is already a veritable giant.
In comparison, although Yike's products are also very popular and have begun to gradually change the music industry, firstly, because its competitor Apple is more profitable, and secondly, the Eastern market in the blueprint has fallen into fierce competition, and it is difficult to solve the problem of music copyright. The hope is slim, too, with a market capitalization less than one-tenth of Google's.
The energy and resources of both parties are indeed very different.
Fang Zhuo also has seven people including co-founder Yu Hong, technical director Xu Keden, design director Edward and others.
Fang Zhuo walked into the conference room a little later because he had taken a call from China. What he saw was that the two parties were having a lively conversation, especially Andy Rubin, the founder of Android, who was sitting on the Google side.
"Hi, Mr. Fang, the team played well in the finals this year. You should celebrate with the team in Houston! This year's comeback is so great! Your 'You're done' was on "You're done" with the team. Sports Illustrated!" Rubin saw Fang Zhuo walking in and greeted him warmly.
He likes basketball. He had received an invitation from Fang Zhuo to watch the game live before, but he didn't come. He immediately explained: "I lost several games I went to watch this year. Considering the impact, I decided to I decided to support the Rockets without being there, and it turned out to be the right thing to do!”
Fang Zhuo laughed loudly, high-fived and celebrated with the "Father of Android", and then shook hands with Larry, Schmidt and others.
Basketball is not the most popular sport in the United States, but as the annual champion and coming back to defend the title, the Rockets have been on the pages of major media from yesterday to today, and even the team owner laughed when a Heat fan threw a drink at him. The photo "You're done" is also frequently cited.
The Big Three, coming back from injury, coming back to defend the title, refereeing factors, and the enthusiastic Eastern boss, there are many elements of this year's finals that the media likes.
Fang Zhuo has not paid attention to sports public opinion from last night to today, but he can probably guess what kind of reports there will be.
After he sat down, he chatted with Rubin and Larry about sports achievements, and then brought the topic to today's business.
I received a call from Larry at noon, and it was only then that Android was mentioned, which felt like a surprise attack.
However, Fang Zhuo was not surprised. The old Jazz was demanding a price from both sides, so he and Google would definitely have to talk, just in time to push forward the progress of the Android system.
"Larry, Schmidt, Rubin, Sony and I have reached an agreement. Stringer believes that Yike taking over his shares is a positive signal. Regarding the Android system, whether it is you or us manufacturers, , are all very confident about the future.”
Let’s start with Stringer. Even if Sony sells its shares in Android, it and Yike will still stand together, which at least represents the attitude of a mobile phone manufacturer with a strong market.
Fang Zhuo glanced at the three mentioned people in turn. Neither Larry nor Schmidt showed any unnecessary eyes or movements, while Rubin, who was previously active, seemed dead.
Judging from Rubin's performance, although Android currently maintains relative independence, he is definitely on the side of the menacing Google today.
Larry pondered and said nothing.
CEO Schmidt has no relationship with the head of Yike, and there is no private communication. He can speak more directly: "Mr. Fang, regarding the future of the Android system, fully consider the wishes of the market and potential partners. Google believes that such a commitment The open intelligent system for mobile phones should still remove the imprint of the terminal manufacturer."
He continued: "After our extensive contacts, other mobile phone brands on the market have doubts about a mobile phone system with the participation of competitors. Such doubts are deeply harmful to an emerging system. "
"If Google completely acquires the Android company, it will become a department under our umbrella, which can boost the confidence of many brands and is absolutely guaranteed to effectively support Yike's mobile phone strategy."
What does this mean?
That is to say, when Google contacted other manufacturers that did not have a stake in Android companies, such as Samsung, it said that the introduction of this system involves direct competitors in the mobile phone market. If it is developed by a directly competing company, that will be fine.
The logic sounds fine.
Fang Zhuo looked at Schmidt and nodded with deep approval: "It makes sense. This seems to be easy to cause adverse effects, but in this case, Schmidt, tell me which manufacturers Google has contacted. I will go and talk to them." Talk from family to family.”
He smiled and said: "Although I purchased the 17% held by Sony at a high price, for the benefit of the development of the Android system, I am willing to sell this 17% at a low price to peers who have objections. That's fine."
Schmidt was stunned, like this...
He hesitated and said: "Android needs to be available to as many brands as possible. You can't bring all potential partners into the company."
Fang Zhuo replied disapprovingly: "Why do you need to bring in all the manufacturers? Just bring in the big manufacturers, give them seats on the board of directors, and discuss things together whenever something comes up. In this way, there will be a harmonious and beautiful tomorrow."
Schmidt seems to have heard a little bit of irony. The interests of manufacturers are not consistent, and what comes out of the discussion will only be full of compromises.
Larry heard that the CEO's plan was disrupted and said with a smile: "Mr. Fang, it's not easy to do things that way. This time I came to talk about Android, it is actually that Google wants to give greater support to this system."
Fang Zhuo asked: "Am I going to prevent Google from supporting Android?"
"A subsidiary and a department within a company, I believe Mr. Fang also knows the importance of support." Larry presented the objective situation and said, "I know you acquired Sony's shares for 65 million, and now this 34% , we are willing to offer a more reasonable package price.”
If based on Sony's acquisition price, 34% is US$130 million.
It was CEO Schmidt who announced the price: “Google is willing to acquire 34% of Fang Zong’s shares at a price of 160 million. Moreover, Larry and I both believe that a dynamic company like Yike is still Google and Android. A willing partner.”
The 30 million that is more than 1.6 billion compared to 130 million is already the total of the initial acquisition of Android shares by Yike and Sony.
From 30 million to 130 million to 160 million, the acquisition valuation of Android companies has been rising in a short period of time.
Anyone who sees an income of 0.3-1.6 may be tempted.
Fang Zhuo was not moved.
Instead, he gave an example: "I heard that Google's acquisition of Facebook failed. You paid 1 billion in cash, but Zuckerberg believes that 1 billion users is more important than 1 billion in cash."
Larry and Schmidt looked at each other, and this was indeed an example of Google's recent failed acquisitions.
Fang Zhuo continued: "Larry, Schmidt, you seem to have made a mistake. Yi Ke and I are not short of money. I also think that the development of the Android system has more important meaning than money."
"This significance is the success or failure of Yike's mobile phone strategy."
"As I just said, if there are mobile phone manufacturers who have objections to the ownership of the Android company, I can personally talk to them to dispel their doubts. I don't agree with Schmidt's remarks that 'Yike will harm Android.'"
"On the contrary, unlike Samsung and Sony, which are mobile phone manufacturers that have their own calculations, Yike is the manufacturer that is 100% invested in the Android phone opportunity."
It was still Larry who spoke: "Mr. Fang, of course we will not question Yike's investment in mobile phones. The Android system itself is a free and free system. No matter where it is, it will never cause any harm to Yike. damage."
"But there are processes within the company. Google is responsible to the board of directors and shareholders. The investment in one department can undoubtedly maximize resources."
Fang Zhuo frowned, thinking about how to negotiate with Google next.
Schmidt took the opportunity to make an offer: "Mr. Fang, if you are not satisfied with the cash, Yike can exchange shares with Google. We can give you a better price. Moreover, as far as I know, your MIGA fund is also very promising. Google’s stock definitely still has high growth potential at today’s price.”
Fang Zhuo replied faintly: "The MIGA fund will start selling Google stocks this week and will not exchange them."
Schmidt: "?"
Do not believe!
Excuse!
"The development of the Android system will take some time. Not only the two of us, I think Rubin's ideas should also be respected. After all, he is the founder and also bears great development responsibilities." Larry introduced another bargaining chip at this time .
Rubin was called upon, cleared his throat, and prepared to speak.
Fang Zhuo took the new Nokia from his design director, slapped it on the table with a bang, looked at Rubin, and said loudly: "Okay, Rubin, tell me!"
Rubin opened his mouth, uh, this, this, he has been enjoying Quora recently. He watched the live broadcast of the Rockets' Game 7 championship at home yesterday, and today he was pulled to chat with Mr. Fang about Android shares...
I have to say that it is a bit difficult for a relatively pure developer to mix equity.
Rubin still spoke: "I respect the outcome of your negotiation."
Larry rubbed his forehead helplessly.
Fang Zhuo took the second Samsung mobile phone from his design director, placed it gently on the table, and nodded slightly: "Indeed, the issue of equity is under negotiation, and we cannot let this interfere with system development."
Rubin feels the same way, even though he has been fishing for fish lately.
Seeing that the cash and stock exchange proposals were rejected, Schmidt said angrily: "Mr. Fang, you are not willing to sell the equity. If Android Company wants to reset the voting structure, according to our A/B shares, Yike will maintain Financial investment can dispel the doubts of other mobile phone manufacturers to the greatest extent."
When Google went public, it adopted A/B shares with different rights for the same shares, which had a huge impact.
Fang Zhuo said simply: "I don't agree. I don't think it's necessary. You already have the majority of shares, so why are you doing A/B?"
This actually rejects Google's potential intention to have a veto power in Yi Ke's hands.
Larry said helplessly: "Mr. Fang, you can't do this or that. Google is bound to win the Android company. The company's framework is not the key to R\u0026D, Rubin's team is."
Fang Zhuo looked at Rubin, but the latter did not express his position aloud, as if he had acquiesced in his attitude.
Yike does hold part of the equity of the Android company, but if the development team of Rubin leaves the company and joins Google, the Android company in name only will be of little use.
It's just that this kind of treatment is really unseemly and unsightly.
Larry had discussed such a measure with Schmidt.
Under the premise of recognizing Yike's investment in mobile phones, the position of Sony, a company with one of the world's largest mobile phone market shares, and the potential of the Eastern market were all factors taken into consideration, so we decided to focus on negotiation as much as possible.
The words spoken now are more or less threats without any intention of taking action. However, if even voting rights cannot be compromised, this will definitely not be a measure that is all talk but no action.
Yu Hong, Xu Keden, Edward and other Yike executives understood what Larry meant, and their expressions changed.
Fang Zhuo motioned to Edward to continue handing over the friend's mobile phone, and said calmly: "So this is Google's corporate culture? Then Yike really needs to seriously consider whether to install the Android system."
Larry was not caught and shook his head: "The development of the Android system must be considered comprehensively."
Fang Zhuo planned to change the communication point and asked: "Google keeps talking about the progress and development of Android. What is your goal for this system?"
Neither Larry nor Schmidt answered easily, thinking about Mr. Fang's intention in asking the question.
Fang Zhuo didn't wait for them and said with a smile: "You really want to bring down Nokia, right? Hahaha."
Along with his laughter, someone at Google smiled.
It does seem a bit ridiculous and arrogant to compare an unfinished mobile phone system against Nokia Symbian, which dominates the global mobile phone market.
Fang Zhuo pointed out the answer to his question: "Google wants to build Android because it can't find a better positioning on Nokia's Symbian system. It just wants to compete with Microsoft in mobile strategy. Microsoft's factors may still be there." a bit more."
Schmidt looked at Mr. Fang in surprise.
Nokia is the leader in the mobile phone market, BlackBerry basically dominates the North American market, and Microsoft's Windows Mobile system is also the current mainstream smart device system.
Google internally discusses mobile strategy and the acquisition of Android. It does not intend to overthrow Nokia and BlackBerry. It wants to challenge Microsoft's mobile market, especially its position in mobile business office.
Because as Internet upstarts, Google and Microsoft have more and more business conflicts, especially in the key revenue area of advertising.
Now Mr. Fang bypasses multiple factors and directly talks about this point. As the CEO of Google, Schmidt feels that although the Oriental man in front of him is famous in North America for sports, he really has real abilities.
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