Unparalleled True Technology

"They want exclusivity?"

Wen Ming, who has been discussing the preparations for the iPhone launch with Peter every day, finally got good news.

Peter replied: "Yes, I think we can give them this right, because AT\u0026T is the second largest telecommunications operator in our country. They have a very large user base and stores all over the United States."

The three largest telecom operators in the United States are ATT, Verizon, and Sprint Nexte.

Among them, Verizon is formed by the merger of two companies. It is the largest local telephone company and the largest unlimited communication company in the United States. Sprint Nexte is a global communication company, providing communication services to more than 26 million users in more than 100 countries and regions. It is worth mentioning that Sprint Nexte has the first nationwide, all-digital optical fiber network in the United States.

And ATT is also a communication company in the United States. Although it ranks second, it also has more than 150 million users, of which 85.1 million are wireless users. In 2008, the annual turnover reached 124 billion US dollars, and the number of employees in the company exceeded 290,000.

Wen Ming still prefers ATT, because in his previous life, Apple cooperated with ATT, not only got help from ATT when developing the iPhone, but also gave ATT the exclusive right to sell it for four years.

"Will it affect our experience store?"

Hearing Wen Ming's question, Peter laughed and said, "They have more than 290,000 employees and countless stores. Do you think they will care about 36 Apple experience stores? Boss, don't forget, Ours is called an experience store, and the concept of the experience store was proposed by you. According to our previous negotiations, as long as the number of our experience stores in my country does not exceed 100, the exclusive right to sell will not be affected."

Wen Ming smiled, without embarrassment at all, and said, "So, what kind of help can they give us?"

Peter took out a document and handed it to Wen Ming, and introduced: "This is the result of our preliminary negotiations with the three major communication companies."

"Except for AT\u0026T, neither of the other two companies has enough courage to buy our iPhones directly. That is to say, they, like agents in other countries, hope to use the method of replenishment payment."

"ATT is willing to directly purchase 500,000 iPhones in the first batch, and the quotation they hope to get is 399 US dollars."

According to Wen Ming's pricing for the iPhone, the price of an iPhone with 16G storage capacity should be 499 US dollars. After excluding the cost of nearly 300 US dollars, Wen Ming can earn 200 US dollars. Of course, this is not a tax issue.

And if he accepts ATT's offer, then he can only earn $100 for an iPhone.

"This price is too low."

Wen Ming shook his head and said: "In my opinion, how much they sell is their business, but the base price I can accept must not be less than 449 US dollars."

It seems that there is only a gap of 50 US dollars, but even if you only look at the first batch of 500,000 units that ATT is going to buy, that is a profit gap of 25 million US dollars.

No one can ignore the profit of 25 million US dollars, even ATT with an annual turnover of more than 100 billion US dollars.

Peter shrugged and said, "Boss, of course I would like the price of the iPhone to be higher, so I have already rejected their offer, and we are still negotiating."

Wen Ming understands what Peter means, that is, he hopes that Wen Ming can give him other conditions so that he can negotiate with the people of ATT company.

I looked through the information in my hand,

The prices quoted by other communication companies for iPhones are almost below US$400, because the hardware cost of iPhones can be easily found out by communication companies and agents.

Trade secrets do not include the cost of the product. Those hardware manufacturers and foundries will not be able to help Apple conceal it.

And the reason why they are willing to set aside a profit of 100 US dollars for Apple is because they have calculated the research and development costs of the iphone, as well as the taxes and fees that need to be paid, and so on.

For them, the lower the price of the iPhone they get, the greater the profit they can get.

"I can sign up to four years of exclusive distribution rights, and even, I can allow them to get a certain after-sales profit. However, regarding the pricing of the iPhone, it must not be compromised."

Peter nodded and said, "Don't worry boss, I will definitely not let you down."

ATT company got the iphone at a cost of 449, and then priced it at 299 for sale, which seems to be a big loss. But in fact, if you want to get an iPhone at a price of 299, you must sign a two-year communication contract.

Moreover, there is a minimum consumption amount for the monthly communication fee, which is the same in any country.

In fact, the more a single user spends on phone calls, the higher the profit ratio of the communication company. The money that the communication company loses on hardware will be recovered through the phone bill, or even more than before.

For this reason, Peter, the former head of Motorola's Asia region, had the confidence to persuade ATT according to Wen Ming's conditions.

Of course, Peter's salary is also very high, up to seven figures.

Wen Ming asked again: "How is the preparation for the press conference?"

The press conference was formulated during the development of the iPhone marketing plan. Apple's annual press conference in another world always attracts the attention of the whole world. But for Wen Ming now, he still needs to invite enough people for his press conference.

Peter replied: "Through my previous contacts, I have contacted many developers, as well as some mobile phone manufacturers and agents, and they are all willing to participate in our conference. Of course, we provide them with a free communication platform, And solving their board and lodging problems, and even transportation expenses, is the main reason why they are willing to participate.”

"As for the reporters, I believe that James should have almost contacted them. After all, they can directly get real profits."

While Wen Ming was relieved, he was also a little ashamed.

The Apple company created by Steve Jobs in another world, whether it is the Worldwide Developers Conference held by it or the product launch event, does not need to spend money to hire people, and many people are even proud to be able to participate in it.

This is the gap between Wen Ming's Apple and Jobs' Apple.

Of course, Wen Ming has reasons to believe that as long as the iphone is successful in this world and Apple can launch the ipad, then Apple will hold similar events and absolutely no need to spend any more money.

"Spending money is actually secondary. If you don't have your connections, I don't think many people would be willing to participate even if you spend money."

Wen Ming appropriately affirmed Peter. Although Peter helped him because of his seven-figure annual salary, it was also because Peter was worth so much money.

Peter laughed, he was very happy to be praised by Wen Ming.

It stands to reason that he has been in the workplace for decades, so naturally he will not be in awe of his boss like a newcomer. But it was precisely because of his decades of experience that he admired Wen Ming so much.

During the time he entered Apple, he had established a good relationship with the people in the R\u0026D department, so he clearly knew that the iPhone was developed by Wen Ming by himself, including the patented technologies that Apple currently possesses. It came from Wenming's brain.

If Wen Ming is not his boss, he really wants to put Wen Ming's head aside to see what is hidden inside, is there a development team with hundreds of people hidden.

With more than 20 years of working experience in Motorola, he is very aware of the charm of the iPhone. For his current staff, 10 million iPhones are a very solved problem.

However, Peter believes that these 10 million iPhones can definitely be sold, and there is even no need to reduce the price.

Of course, if Peter knew that Wen Ming's expectation for the iPhone was to sell 30 million units a year, he would definitely think Wen Ming was a lunatic.

"Boss, I want to be worthy of the salary you pay me."