There's a black hole inside me
Chapter 198 Wave of Bankruptcy
The collapse of Shengtang Semiconductor and its acquisition at a low price were just the beginning.
It fell like the first domino.
In less than half a month, 18 of the more than 30 domestic chip foundry companies filed for bankruptcy and entered asset liquidation procedures.
Including Tianhong Semiconductor, Deyao Semiconductor, Ruijie Semiconductor, several chip foundries with certain strength and popularity.
But it will soon end up like Shengtang Semiconductor.
It is rumored that Longyao Company will take over and acquire these bankrupt foundries one by one, but the acquisition price will not exceed 1 billion.
There are only about 10 chip foundries left.
Except Huaxin International, which still has some capital reserves and is struggling, almost all other chip foundries are stuck in the quagmire of shortage of funds, insufficient orders, and serious brain drain. As time goes by, they are getting thinner and thinner, and they are getting more and more delayed. The weaker it becomes, like a noose that is constantly tightening, it is about to suffocate and die.
On the one hand, this is certainly related to the extinct business competition launched by Longyao Company; on the other hand, there are also senior industry insiders who can see clearly:
"These foundries, which were supported by policies and bank loans, have all been abandoned."
"The combined value of their assets exceeds at least 500 billion, which represents the country's determination to make this area bigger and stronger."
"But now this determination is no longer necessary, and there is no need for these foundries to continue to support them."
"According to the latest production report released by Longyao Company: In November, Longyao foundry's 7-nanometer chip production reached 350,000 wafers per month, and 5-nanometer chip production reached 60,000 wafers per month... This The production capacity exceeds five times that of other domestic foundries combined, and is still increasing explosively. In a few months, it will increase to one million wafers per month. Next year, Longyao Company will produce 10 billion wafers. The number of chips above is ten times that of this year.”
"Even the world's largest foundry, Titanium Power Collection Company, only manufactures tens of billions of chips every year."
"Compared with the huge production capacity of Longyao foundry, other than the occupation of land, capital and low efficiency of the other thirty or so domestic foundries, what other value do they have? They are just useless. It is better to remove the nutrition tube. After it closed down, Longyao Company took over and exerted its real value, created tax revenue and employment, and stimulated local economic development. "
"This world is very realistic, and the country is also very realistic. The weak will eat the strong, and the fittest will survive! Since the boss, the second, and the third combined can't defeat the fourth, then we can only hand over the throne to the fourth. This is a matter of course. Meaningful resources help a group of people who cannot afford it.”
"I also hope that Longyao Company will continue to work hard, wipe out all competitors like a gust of wind, conquer the domestic market first, and then conquer overseas, becoming the only chip foundry giant in China, and eventually the only foundry giant in the world. The goal is not ambitious. I believe you can do it!”
but.
Are the remaining chip foundry companies willing to wait for death?
Are you willing to let Longyao Company send someone to take over everything at a very low price?
Several foundry companies have thought about this idea. They raised the white flag to "surrender" to Longyao Company, surrendered all their factories, equipment, and talents, gave up 80% of their shares, and reapplied to join the strategic alliance, just for Longyao. If the company gives them a way out, they will definitely start a new life in the future!
However, the reply from Longyao Company made their faces change from green to red and they were furious - factories, equipment, and talents were all needed, and the management must all be replaced by people sent by Longyao Company.
The reason is simple: the head determines the body. If the body makes a fatal mistake, the head must be replaced.
"Why should we be replaced?"
"Aren't you even given a chance to make corrections?"
"It's so overbearing! We are all shareholders, and the management rights have been given away. We don't even have the right to speak and vote. If we stand aside in everything, what kind of shareholders are we?"
"You can just say anything and send it over. You can only kill people with a nod! You have to cede the land after paying compensation. It's really too much!"
They felt endless humiliation and their dignity seemed to have been trampled on repeatedly.
However, they seem to have forgotten that a certain technology company in China was suppressed by sanctions from a certain country and enjoyed this kind of treatment.
Longyao Company is just following the example, learning now and selling now.
If you don't surrender, you will die.
Surrender, the treatment is even more humiliating.
so what should I do now?
Soon there were a lot of concerns on the Internet about Longyao Company’s monopoly on the foundry market.
"Longyao Foundry is about to monopolize the domestic chip foundry market"
"Low-price dumping will not last long. Once we enter the era of Longyao's monopoly, OEM prices will skyrocket."
"Beware of the harm caused by monopoly!" 》
"The state must intervene. The Chinese OEM market cannot be monopolized. At least three to five competitors must be retained."
It is said that in order to attract the attention of senior leaders, Huaxin International President Zhao Lujun traveled to many places and made appeals everywhere, hoping to attract attention and avoid the monopoly of Long Yao, which would be a disaster for China's chip industry.
But his appeal received little attention.
Instead, it attracted a lot of ridicule on the Internet.
"Chip foundry is a fully competitive market, and there is no so-called monopoly."
"As long as OEM giants like Sanxin Foundry and Titanium Current Collection still exist, Longyao is still far from a monopoly."
"Brother Zhao, just give it a try. Does the monopoly have anything to do with your Huaxin International? Is it Ning Pei? When your company has the strength to compete with the first-tier international manufacturers, it will only lag behind Longyao Company's hard steel front. Feng’s strength, if you come out to discuss this issue again... let’s not embarrass yourself as a second-rate character.”
"Haha, you're a scumbag from elementary school with less than 60 points, but you don't know how confident you are to challenge a top student with 100 points. You can't get something in the exam room, but you still want the teacher to cheat on you and give you some extra points?"
"I think it doesn't matter if Longyao Company monopolizes the chip foundry market, because this is our company! It's better than being monopolized by foundry companies controlled by foreigners. If Longyao Company really increases prices significantly that day, our country will It is impossible to ignore it. Of course, this kind of thing is still far away. The dragon-slaying warrior has not yet turned into a dragon, so it is still early to worry about this kind of happiness. "
"I suggest that Huaxin International surrender as soon as possible and don't hold on any longer. Look at how your stocks have fallen. It's really uncomfortable to hold on to such a breath without dying."
"That's right, there is no shame in losing to one's own people, there is no shame in surrendering to one's own people. Put down the gun, stop resisting, the dumplings will be enough, the pork stewed with vermicelli will be enough."
But on December 1st.
Huaxin International made a decision that made countless people extremely angry and unacceptable.
It actually sold itself to a foreign company at an extremely low price, but it was not cheap for its own people!
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