The Industrial Giant Reborn

The battery industry can be said to be one of the most important industries in the world in the next few decades. It is no less important than chips. It is not only an economic issue, but also an environmental issue. In the 21st century before Chen Zhiwen traveled through time, Global warming is already exerting extraordinary effects.

As long as you are a mainlander born in the 1980s, you can actually feel it. For example, near the Yangtze River Basin, many rivers were walkable when I was a child, and winters were also very cold. But in the 21st century, there is basically not much ice in winter. Even with sub-zero temperatures, a winter may last only a few days, and it's still early in the morning. As for summer, it is getting hotter and hotter, especially in 2022.

To solve environmental problems, many problems need to be solved, but battery technology is definitely an important part of it. Even if nuclear fusion comes out one day, batteries will not be eliminated.

In terms of technical difficulty, battery technology is much lower than that of chips. In later generations, BYD, a small factory with only a few dozen people when it started its business, was able to reach the top in the world, let alone King Ning.

Of course, we are still far away from the era of lithium batteries or electric vehicles, but the next market that is about to explode is the upcoming laptops and mobile phones. There is also a huge market for non-lithium batteries, such as various portable electronic products, which all require high-end products. Battery life is also the market foundation for the rapid development of batteries.

In fact, the development of technology also depends on the market. Only by relying on mobile phones to drive the battery market, and then iteratively upgrading, will there be the possibility of electric vehicles. Otherwise, battery technology will never develop.

As a large group, Midea must make long-term considerations. It is the best development strategy to focus on conquering a market that does not yet have a giant but will be worth hundreds of billions of dollars in the future.

After all, today, when the computer market has not yet exploded, the software market has also not developed. Midea's only advantage currently is games, and games are very profitable. Part of this money will be used for some hugely profitable investments, and the other part will be used for huge profits. It must invest in research and development and enter the high-tech field. Only in this way can it truly gain a foothold in the future, just like Samsung, which has almost a monopoly on chips and LCDs.

In the battery industry, Western countries are unlikely to implement technical bans, because they do not have the technology themselves, and the zz factor is very safe.

"As for the battery industry, if we want to enter, we can cooperate with the mainland. However, if we want to develop rapidly, it is better to acquire an existing company as before." Lei Shengli thought for a while and said.

"Oh, what good goals do you have?" Chen Zhiwen asked. In fact, he also knew that acquiring a battery company that already has a certain foundation is the best way to develop. However, for a time traveler from the 21st century, There is no prophetic advantage, because he does not know which company has better battery technology.

To be precise, the battery industry developed very slowly in the past hundreds of years. Batteries were only needed in a few places. The most common ones were probably flashlights or starter batteries in cars. They were essentially batteries, prepared for objects that needed to be moved. , because it doesn’t need to be moved, you can just find an outlet.

As long as after 1985, electronic products exploded, the demand for batteries also followed the technology and developed exponentially. As a result, a number of battery giants were born in the future, and the ones Chen Zhiwen knew were all in China, Japan and South Korea, and they were similar to the current ones. It's so old that it has no reference significance.

It can be said that the current giants in research and development in the battery field are all electronic giants under the Japanese consortium, such as Sony, Toshiba, Panasonic, Canon, etc. These companies also regard battery technology as a strategic development direction. Chen Zhiwen cannot buy it even if he has money. . As for South Korea and the Mainland, it’s still early days.

"There is one company." Lei Shengli said: "Our handheld consoles sell tens of millions every year, and due to internal regulations, when they are sold, there will be 4 dry batteries in the package, so our dry battery purchase volume is also very large. Large, many battery manufacturers around the world have approached us, and we will naturally test these batteries.

There is a battery company in the United States called Delphi. Their batteries are of very good quality. They are the same size and have a battery life that is almost 15% longer than other brands on average. However, the price is too expensive and they were eventually eliminated.

And I know that this company is currently in a difficult situation in the United States. Its market is being robbed by its Japanese counterparts through price wars, and it cannot compete with its Japanese counterparts. In addition to dry batteries, this company is also a battery supplier for many global automobile brands. If it can The acquisition will also be helpful to our group's development in the automotive field. "

"In other words, they have the technology, but they can't control the cost? Is it because labor in the United States is expensive? Or is it simply that the technology cannot be low-cost?" Chen Zhiwen asked. This is very important. In fact, low-cost is one of the most cost-effective. Difficult technique.

"I'm not sure about this. If I need to investigate, I need a little time." Lei Shengli said with a smile. He had only contacted her twice, and it was considered an acquaintance. He didn't know too much about her. secret.

"Okay, let's go check it out. Also check out other battery manufacturing companies in the United States or Europe. If there is a suitable one, we will buy it. But we must ensure that we can bring all their technologies to Asia." Chen Zhiwen nodded and said, Although there are no restrictions on battery technology in theory, if a company supplies batteries to its country's satellites, military equipment, submarines, tanks, etc., it will definitely not work, and it does not need these businesses.

"Okay, I'll send someone to check immediately." Lei Shengli said.

A week later, Lei Shengli and He Guoyuan came to Chen Zhiwen's office with prepared information.

"Chen Sheng, this is all the information on Delphi batteries. I have sorted it out. Please have a look." Lei Shengli handed a folder to Chen Zhiwen. It was not a cumbersome introduction to the information, but had been sorted out and could be read. You can see all the important data at a glance, which is what any boss needs. Big bosses don't have time to read a lot of meaningless introductions.

"Let me take a look." Chen Zhiwen took it, opened it and looked at the catalog, all the content was a brief introduction about Delphi batteries, and at this time, Lei Shengli also introduced: "This is Delphi batteries."

In less than ten minutes, with the help of Lei Shengli's introduction and concise information, Chen Zhiwen had a rough idea of ​​the company's situation.

Delphi was originally a branch of an automobile company in the 1920s when the global automobile industry was just born. At that time, oil truck companies were everywhere, just like when new energy vehicles first broke out in the mainland 40 years later. Under the competition, a large number of automobile companies went bankrupt, and so did Delphi's parent company. However, there is no unparalleled road. A subsidiary of a car battery that exists for cars has flourished, and then the focus is on development. Car batteries later entered the field of dry batteries, and eventually became the dominant player in the U.S. battery industry in the 1960s, ranking at least in the top five.

But in the 1970s, Japan began to enter the high-tech field in all aspects, and the battery industry was the same. With low labor and sufficient volume, it beat the United States in terms of cost, and the research and development field was also stronger.

When the most high-end industries such as the US auto industry and the chip industry are being impacted by Japanese cars, Delphi's car batteries and dry batteries have also been greatly impacted.

In the field of car batteries, not only the production of American cars was impacted by Japanese cars, but in order to reduce costs, American car brands chose cheaper Japanese cars, resulting in the failure of two lines, not to mention the field of dry batteries, which are small in size and low in transportation costs. After the popularity of containers, American domestic brands have become even more popular.

In order to reduce the cost, Delphi Battery and the labor union fought a big battle, and moved the factory to Mexico at a considerable price. The local labor cost is indeed low, but the quality always has problems, and the cost still cannot compete with the Japanese. The entire company has continued After five years of losses, decadence has already emerged.

"It is indeed suitable for us. There are many technologies and markets. Even if we move to Wanwan, the cost can be greatly reduced, and there are also a large number of retail channels within our group, which can help Delphi get a bigger market." Chen Zhiwen nodded. Said, this is the benefit of mastering Costco and Xinghe Trade's extremely cheap and cost-effective strategy to obtain many orders from large supermarkets. Once you want to do something, unless it is some industrial products or service industries, otherwise, the entire retail channel will have Very useful.

"The current market value of Delphi is only 50 million US dollars. The company's net assets are about 200 million US dollars, and its liabilities are hundreds of millions. If we buy it, it will not cost a lot." Lei Shengli said: "And their technology, perhaps It is not as good as those in Japan, but it also has a large number of basic patents, new technologies, and a lot of R\u0026D talents and experience. In terms of production, we just chose Mexico, an inappropriate place. After we acquired it, we moved the factory to Bayan or the mainland. , then invest in their research and development, and license some of the technology to the mainland, so that both sides can research and develop together, and the starting point on the mainland will be very high, which can save us a long time."

"Well, I mostly cooperate with Morgan Stanley in my acquisitions in the United States. You can go find them, negotiate a suitable price, and acquire this company. We also need some of their resources." Chen Zhiwen was decisive. Clapper said.

As long as you develop in the battery market, which is a big market in the future, you will definitely not lose money. No matter how much money you spend now, it is worth it. It is of great significance to be able to buy technology and save time.

As for this kind of acquisition involving less than 100 million US dollars, just leave it to his subordinates. He does not need to pay special attention to it. If there is progress in the follow-up, he can just make further comments.