"Steady and steady progress and perseverance are the most important things."

Li Zehua used the same rhetoric at the Suzhou Honor Electronics management meeting. Before the meeting, he met with every project leader, deputy leader, and technical backbone responsible for technology research and development.

There is only one message being conveyed: work hard, the company's scientific research funding and determination will never change, and he will do his best to provide logistical support for everyone.

“The company has given everything it can, and everyone’s remuneration is comparable to that of Ali and Tengda, and even exceeds that of foreign companies, before the management talent rating system is introduced.

The Ministry of Human Resources has set up 12 levels for technical talents.

In principle, those who reach P6 (senior engineer, graduate student with work experience or doctoral student from a prestigious university) can enjoy the company's option allocation benefits.

Once you reach P7 (expert in a niche field), you can enjoy additional benefits ranging from housing to special care for your family.

We are just starting out now and many aspects of our development are not satisfactory. We don’t even have a decent laboratory. We have to make temporary arrangements to borrow resources from partner universities every time.

But please rest assured that the first batch of US$2 million in scientific research equipment and technology development funds have been in place, and the company guarantees that every penny of this US$2 million will be spent on scientific research.

As long as it is equipment or technology needed for the company's development, we will buy it if we can. Once we buy it, we will make sure to thoroughly understand it and transform it into our own unique technology.

If we can’t buy something, we will develop it from scratch, even if it means investing 1 million or even 10 billion yuan. As long as Glory, no, Qingyun Group exists, we will develop it.

To ensure the smooth progress of Honor Group's scientific research, starting today, the company promises that 50 cents of every dollar earned will be invested in scientific research...

My colleague below said it well: what if the company suffers losses? Should we stop doing scientific research?

It doesn't exist. Even if you don't believe in Honor, you have to believe me. Everyone present can testify. I can give the final solution here.

In the next ten years, as long as Honor needs it, in any year, even if it only makes a loss of one dollar and causes trouble to its technological research and development, I will personally invest at least US$10 billion.

Ensure the continuity of scientific research work.

Remember, this is the premise of loss. The minimum scientific research subsidy of US$10 billion will be borne entirely by me and will not cause any additional burden to the company.

I don’t know how to do scientific research, but I always understand one thing!
Find the right goal, build confidence, let scientific research talents not be wronged, and devote themselves wholeheartedly to scientific research work, and you will definitely achieve good results...

No matter how Honor Electronics develops in the future, I will always stand with you and move forward hand in hand..."

Wasn't his speech on the stage an expression of his true inner thoughts? As a time traveler, although he was not a billionaire in his previous life, he had never tried the most luxurious life.

But the process of accumulating wealth after his rebirth was too fast and too easy, and he himself skipped the youthful and frivolous stage of life.

For him, he doesn't pursue excessive enjoyment. One hundred million is enough, and ten million is also acceptable. As long as the house is big enough to live in, it's fine.

When a wild goose passes by, it leaves its voice behind; when a person passes by, he leaves his name behind!
Now is the time for him to take advantage of this golden time and realize his ideals and aspirations in life. Perhaps in another thirty years, he will consider how to safely transfer his wealth to the next generation.

But now, his mental age is in his early thirties and his physical age is in his early twenties. If he doesn't work hard now, will he have to wait until he is 20?

He talks about ideals, but he doesn't make empty promises. The scientific research talents who join Honor Electronics Research Laboratory can feel the sincerity of this boss from his words from the bottom of his heart.

Talking without doing can fool people for a while, but it won't fool people forever. The salary offered by Honor Electronic Research Laboratory has already made them very satisfied, not to mention the additional benefits above P7.

A luxury house in the city center of Suzhou is not a small amount of money today, not to mention the large flats of P8-P10, townhouses, single-family villas, luxury cars for pick-up and drop-off, and arrangements for parents, wife and children.

What made them even more excited was the option rewards given, because Honor Electronics and the scientific research laboratory are two parallel units (the former is a subsidiary, but half of the shares are in the hands of Li Zehua personally).

This was a strategy set at the beginning to ensure that scientific research would always be free from external influences and interference, under the protection of this system.

Honor Electronics provides funds to scientific research laboratories in the form of internal entrustment. After successful research and development, the scientific research laboratories will authorize Honor Electronics for use at extremely favorable prices.

The research and development funds are absolutely guaranteed, accounting for more than 50% of Honor Electronics' gross profit, which is also the key reason why Li Zehua dared to invest US$10 billion.

It does not involve core sensitive technologies, and the company can also seek cooperation with other companies in the market, ensuring a stable income. Researchers can get shares in both the laboratory and Honor Electronics.

Making a lot of money is a yes.

With a special equity distribution structure, even if Honor Electronics goes bankrupt and is liquidated, it will not affect the normal operation of Honor Technology Research Institute at all.

It was a bit difficult to discuss subsequent financing and equity investment. When the people from Goldman Sachs saw this equity structure, the entire team was stunned.

Alan Tommy, who was in charge of investigating Honor Electronics at the time, said bluntly that this was a robbery against capital.

No one would accept such an extremely harsh and unfair clause, unless you meet a rich fool who would agree to it if he went out that day without taking his medicine.

Because according to the special structure, Honor Electronics holds half of the shares of Honor Technology Research Institute, but has to bear half of the gross profit investment of the head office, which is equivalent to the capital invested.

No matter how much you earn in the future, you can only get half of the remaining profit, and the other half is prepared for scientific research.

But Li Zehua also has business logic that can convince investors!

Honor Electronics is a business project that is destined to succeed, rather than a venture capital project that starts from scratch and carries huge uncertainties!

The Qingyun system itself and its control over sales channels are enough to ensure the future development bottom line of Honor Electronics. He dares to sign a guaranteed sales agreement of millions of units per year.

After a series of exchanges of interests, he was able to ensure technology licensing and the stability of component procurement channels, although the business negotiations with Apple, Google, and Qualcomm were not going smoothly.

But these companies all urgently need the scarce resources in Qingyun's hands, and they are also core technology companies in the smartphone field.

This ensures Honor Electronics' revenue security for more than ten years in the future, and that it can get the world's most advanced technology and components at any time. It's just an assembly company, so what's the difficulty?

With the most advanced technology, the best design, the most complete domestic industrial chain, and costs compressed to the extreme, how could it not be competitive?

Revenue is guaranteed, market is guaranteed, profit is guaranteed!
Qingyun Group has enough funds of its own, and Dongda can provide additional endorsement. This is a project that is sure to succeed if you invest in it.

With such a huge advantage in hand, how could Qingyun Group easily give up its shares in Honor Electronics? It can invest, but the prerequisite is to accept the special equity structure and profit distribution model.

If it were not for the purpose of winning over a wide range of alliances with common interests and reducing the restrictions and obstacles that would inevitably exist in the future, Li Zehua would not even want to distribute a single share.

However, he has now figured out the core rules of playing the game. He must not ignore state-owned assets at the University of Tokyo, and must not challenge the bottom line of the squids overseas before he has enough power.

If you do these two things well, nothing else will be a threat.

Faced with Li Zehua's insistence, various venture capitalists who wanted to invest in Honor Electronics were considering the pros and cons, and finally had no choice but to accept this special structure.

After all, who wants to mess with a business that is destined to succeed?

It is better to earn less than to earn nothing. As long as you join the Honor board of directors, there are many days ahead and plenty of opportunities to turn around this unreasonable structure.

Accounting, they are professional...

After the meeting, some of the older people even had tears in their eyes. For a moment they thought that this was a return to the 1970s and 1980s, because everything was really all-inclusive back then.

At most, supplies were not as abundant as they are now, and the treatment was not as good.

Faced with so many smiling faces that came from the heart, Li Zehua did not stay for too long. He simply had a brief conversation with a very small number of P8 and P9 core expert group leaders and industry leaders.

Accompanied by Guo Xinyi and He Li, he left the research institute.

Compared with how to manage scientific research teams and set up performance appraisals and incentives, he has to spend more time dealing with games from a higher level.

First, they visited the local government and sought understanding. With the support of BOE's high-generation production line, Suzhou was very enthusiastic.

However, he still saw hidden concerns behind the enthusiasm. Samsung and Suzhou Yamen have officially signed a cooperation agreement to invest in building a 7.5-generation production line in Suzhou, with a total investment of over billion yuan.

"The production line in Chengdu is dedicated to smartphone screens, but due to its geographical location, it is not the best choice. If we can build a dedicated 8.5-generation line in Suzhou, we can achieve the ultimate cost savings."

During the negotiation with the local governor and the business negotiation team sent by Jiangsu Province, Li Zehua took the opportunity to whisper something to Liu Xiaodong from BOE next to him.

Liu Xiaodong is the general manager and person in charge of BOE's Feicheng project. But before he could speak, Yao Xiangjun, the financial director of the Feicheng project team, shook his head and said, "Mr. Li, it's unrealistic!

The company's total investment in the production line in Feicheng is nearly 200 billion yuan. If it is replaced with the 8.5-generation line in Suzhou, it will be at least between 260 billion and 300 billion yuan.

Although you contributed $3.5 million in your personal name, it is still too little compared to the investment in a production line.

Under the current economic environment, if we want Suzhou to provide supporting construction funds, even if it is only one-third of the total, about 90 billion yuan, they may not agree. "

The two of them were sent in advance by BOE for communication and coordination based on the principle of proximity. In BOE's view, there was basically no hope for this matter.

There are a number of Korean companies involved, and the situation is basically the same as before. Even if the local government wants to cooperate, it will eventually be ruined because BOE has no money.

It was just to give face to the new shareholder Li Zehua and send two people over to deal with it.

Of course, if any new unexpected events arise, the company would not mind setting up a special investment inspection team to discuss the matter in detail.

Liu Xiaodong has a deeper understanding of industry competition and also echoed: "At present, LG is in Yangcheng, Sharp is in Jinling, and Samsung is in Suzhou. The cooperation agreements reached are all 7.5-8.5 generation lines.

Judging from their usual style, they are just making big promises and using the advantageous resources in their hands to deliberately block BOE's expansion, thereby dragging down the sustainable development of the entire domestic industry.

This is the reason why Sharp stood us up twice before. As long as we make a move, Sharp will immediately step in to ruin our plans, no matter what purpose the local government has in making the choice.

It is an indisputable fact that BOE is still in the position of a follower in market competition.

We give everything we can within our capacity, but it is still not as much as what others offer with empty promises, and they don’t intend to deliver anyway, just making random conditions.”

"260-300 billion."

Li Zehua pondered for a moment, his mind working frantically. It was a pity that now was not the era of Bitcoin explosion, otherwise it would be absolutely no problem to cash out billions of dollars in a year and a half.

The entire Qingyun Group has a total of only 145 billion in currency and cash equivalents, and it also has 15.5 billion US dollars in medium- and long-term foreign debt, and billions of RMB in loans and financing.

In other words, even if all the funds of the Qingyun Group were taken into account, it would be impossible for him to invest alone to build a factory and create a new production line.

This is the trouble of having no money!

If he is given a few more years, all his subsidiaries will be listed, and he can pledge equity without cashing out. He can easily borrow hundreds of billions from the bank. What can't he not invest in?
However, as he is familiar with the development trajectory of the smartphone industry, he will never miss the best opportunity in this historical cycle. If he seizes it, he will be able to master core technologies in the competition in the next 5-10 years.

When it comes to LCD screens, the key to success is scale. Whoever has a higher yield rate and more advanced production technology can reduce costs to the lowest.

A typical price war wipes out all competitors, and when you are the only one left, you drink and eat meat to your heart's content, and then, in a new historical cycle, you will face new challengers.

However, the investment scale of tens of billions in later generations still makes latecomers feel daunted. How to face the competition from large enterprises in the east that have scale and technological advantages in the new era?

This is a century-old problem that deserves serious consideration by all Western companies. As for LCD screens, after BOE enters the market, in another ten years, only Samsung, which has the support of all Western capital, will remain.

Now, Li Zehua is here. Although he doesn’t have much money, he is very courageous!

"If BOE has another billion dollars, can it build a 8.5-generation line on its own?"

Liu Xiaodong had only come here to go through the motions and show up to deal with the matter, but when he suddenly heard this, he almost coughed out the tea in his mouth.

This movement attracted the attention of people around.

Even several leaders on the stage looked over from time to time.

"We'll discuss this later."

Liu Xiaodong couldn't bear the embarrassment, so he had to bite the bullet and say this, then adjusted his posture and continued to listen to the speeches at the meeting.

Fortunately, the morning meeting did not go into further discussion, allowing the entire BOE team enough time to respond to the new changes, because Jiangsu Province was also overwhelmed by the continuous good news.

At the meeting, they did not continue to have in-depth exchanges of views on the cooperation between Gusu, BOE and Qingyun Group, but were waiting for Samsung's response.

If possible, Jiangsu Province would certainly like to take it all. If Samsung strongly opposes it, they can also make coordination within the province. For example, this production line can be placed in Wuxi or Zhenhai.

Jiangsu Province is now sitting on a stable footing, with LG in Jinling and Samsung in Suzhou. With two high-generation production lines being built, the initial investment amount is more than 500 billion yuan.

The most important thing is that it can drive the entire industrial chain to leap forward, thus bringing about the large-scale industrial cluster effect.

In the next ten years, it will drive the relevant enterprises in the entire Jiangsu Province to continue to develop in the LCD display industry and maintain their leading position.

Of course, they now have no idea that the two production lines promised by the Koreans will never be put into production. They are just empty promises to prevent related domestic companies from building factories.

Samsung, Sharp, and LG, all of them, would be crazy to support domestic technological development and build this production line in order to compete with their own countries or the companies controlled by the capital behind the scenes in the future?
They are here just to make money, how could they be kind enough to help Todai establish core competitive advantages?
Jiangsu Province didn’t know that BOE was very anxious, but Li Zehua was no longer anxious.

Taking advantage of the break in the luncheon, he called the head of his investment team far away in Hong Kong to inquire about his layout in the US stock market over the past month.

“I bought all of them, but Qiandu’s share price has only risen to $460, which is still $700 away from the peak of $240 in my memory, although I have made a lot of money from the stock options.

However, it is still a bit slow. Combined with the gains of other Chinese concept stocks, it is still more than halfway to the expected revenue of more than 30-40 billion US dollars. "

After hanging up the phone, Li Zehua paced back and forth at the entrance of the reception hotel lobby, seriously thinking about other sources of funds.

He was not awakened until he received a call from Wang Dongsheng, chairman of BOE.

Wang Dongsheng's tone was full of expectation, but also a little bit unbelieving, "Boss Li, you just said that you would take out another billion dollars, is that true?

And that doesn’t include the $3.5 million that has already been invested?”

“It’s true. If we add up the money in our current account, we can get $10 billion.

Don't worry, it's not the company's money, but my own fixed investment income overseas. However, there is a more serious problem.

This investment currently generates tens of millions of dollars in stable returns every day. The investment team just suggested to me that it would be best to wait a few more months to settle the investment. "

Li Zehua said calmly, with money in hand he could speak confidently, "This money is completely my personal disposable income. I just heard the sentiments of Mr. Liu from your company.

I also understand that it is not easy for domestic companies to develop. Personally, I am absolutely optimistic about the future development of smartphones, and I also value BOE.

So let's see if there is any opportunity to deepen our cooperation again and create a high-generation production line specifically for smartphones.

Half of the more than one billion US dollars can be used for equity investment, and the other half can be used to support investment in new production lines. If Mr. Wang thinks it is feasible, we can talk about it first.

As for the funding, it can be arranged in April or May at the earliest.”

"That's enough. With such a large investment, the preliminary preparations will take more than half a year."

Wang Dongsheng was almost fainted with happiness. What kind of noble person was this?

The $3.5 million given earlier was for building a 4th-5th generation line, but it hasn’t been spent yet, and now there’s another 8.5th generation line?

BOE is about to take off!
More importantly, the big household also owns a smartphone company, and its products are about to be launched.

These days, BOE has been keeping a close eye on Honor. Although Honor electronic products have not yet been released, it is said that the door is almost broken down by venture capitalists who have come to seek cooperation.

That bizarre equity structure was also exposed with the intervention of venture capital, which made BOE envious to the point of tears.

Even so, the venture capitalists seem to be crazy and want to get an admission ticket to invest in Honor Electronics. What does this mean?
This shows that the future prospects of their mobile phone manufacturing industry are better than everyone expected, and as a result, BOE's smartphone screen production and sales prospects have also turned positive.

"You are in Gusu now, right? Wait for me, I will arrange to fly to Gusu immediately!
Oh~ No, there is no airport in Gusu, so we can only fly to Shanghai.

How can Gusu not have an airport? Isn't this a waste of time? " (End of this chapter)