20 years of restarting life

Chapter 3763 Shen Chunlin's Suspicion

However, Zhao Chang'an's passionate words failed to resonate with Shen Chunlin. As the president of a top-tier university in the country, how could he be easily fooled by a few words from Zhao Chang'an?

Moreover, Shen Chunlin had served in ministries such as the State Economic and Trade Commission and the Ministry of Science and Technology for many years, and had a thorough understanding of international division of labor and cooperation. He had also served as a top official in local areas and was familiar with the investment logic of foreign investors.

With a bitter smile, he said, "The current development of the domestic economy is essentially taking over the backward industries from developed Western countries. These industries have low profit added value, are resource-extraction and primary processing industries, are energy-intensive, electricity- and water-intensive, and even polluting. Others are not fools, nor do they owe us anything or want to do us a favor. Capital is inherently blood-seeking, and these Western companies are even more so."

At this point, Shen Chunlin rolled down the car window a little, lit a cigarette, and continued, "The reality is that China also needs to develop its own industry and technology through these low-end industries, while solving the employment problem for a large number of surplus laborers, increasing people's wealth and national tax revenue. From this point of view, it can be said that although the motivation of these European, American, Japanese and Korean companies entering the domestic market is to pursue profits, it also meets the current economic needs of China. It cannot be said whether it is fair or unfair."

Zhao Chang'an laughed. He hadn't really thought he could fool Shen Chunlin, but now he needed to raise the bar during this precious time in the car, and at the same time, he wanted Shen Chunlin to point out how difficult it would be to obtain the most advanced modern factory in the West.

Zhao Chang'an is now willing to be a pawn for the country, so if Jiangcheng really wants it, shouldn't they grit their teeth and offer a massive, blood-sucking sale as a sign of sincerity?

Seeing Zhao Chang'an laugh, Shen Chunlin suddenly realized, and said with a mix of amusement and exasperation, "Your move to cooperate with Siemens to build a wafer fab is quite good, but if you also want to build a chip factory, cooperating with Siemens is definitely an unwise choice. Siemens isn't very well-known in the chip industry, I really don't understand why you, YiNan, dragged them into it."

If we're talking about collaboration, and we want to make CPU chips, Intel, AMD, and VIA are all viable options. If we're talking about DRAM, Siemens would be a great choice, but you rejected that too. So, your idea of ​​making logic chips is just hype. Even if you were willing to invest huge sums of money and go crazy over a single nanometer, Siemens wouldn't follow suit.

The world's first 8-inch wafer fab was established in 90 as a joint venture between Siemens and IBM. In 99, Infineon separated from Siemens, but Siemens remains Infineon's largest shareholder. If we include wafer fabs jointly owned by Siemens and Infineon's foundries, Siemens ranks first in the world in terms of wafer fab production capacity.

Of course, if we calculate it this way, IBM, which has joint ventures with many companies to build factories, can also be considered the world's number one.

Currently, Siemens' chip factories mainly produce baseband chips, radio frequency chips, and power management chips for mobile phones, supplying Siemens mobile phones, Ericsson mobile phones, and the joint venture factories of these two mobile phone manufacturers.

Zhao Chang'an has always emphasized that the essence of not making dynamic random access memory but making logic chips lies in the information asymmetry misunderstanding between him and Shen Chunlin.

Shen Chunlin's focus has always been on computer chips, while Zhao Chang'an actually wants to make CPU chips for smartphones, providing a powerful and stable core for the future intelligence of Pro phones.

However, it's not the right time for him to talk about this yet. For now, he's making grand promises, using the promise of a 12-inch wafer fab to attract Jiangcheng to make significant concessions, and then using these conditions to negotiate the 12-inch wafer fab issue with Siemens.

Since Infineon, a subsidiary of Siemens, became independent in recent years, it has performed very well as a foundry, becoming one of the world's top four foundries alongside Flextronics, UMC, and TSMC. With Infineon announcing that it will stop cooperating with Mosel Electronics after the expiration of its contract, the Jiangcheng plant can be used to replace it in terms of production capacity.

Ericsson previously outsourced its mobile phone chipsets to Siemens chip manufacturers. After Siemens chip manufacturers became very successful, they directly outsourced mobile phone manufacturing to Flextronics. It is clear that Siemens' active involvement now is likely due to its desire to secure a large market share for its subsidiary Infineon.

These are all calculated moves by Zhao Chang'an, using others' strength against him. But right now, while he's focused on building a 12-inch fab in Jiangcheng, he's trying to persuade Siemens to invest in and build the fab there.

"Professor Shen, One Nano definitely has its own considerations, but you can rest assured that One Nano will never do anything to cause Jiangcheng to suffer losses." Seeing that Zhao Chang'an was not telling the truth, Shen Chunlin had no choice but to say, "It is precisely because we trust you that Jiangcheng is going all out this time. I will find time to talk to Boss Ji about your meaning at noon, but I will also say that I feel you are just making empty promises and are definitely hiding other ideas."

Thank you.

Zhao Chang'an smiled and thanked him.

“Tell me everything you have to say now. We’re almost there, or we’ll miss our chance to say it.”

Shen Chunlin laughed and joked, not thinking that Zhao Chang'an would make any more excessive demands.

"You know what, there really is one."

Zhao Chang'an still had a smile on his face.

"There really is one?"

Shen Chunlin looked completely surprised.

"The original plan for OneNanometer was to jointly build an 8-inch wafer fab, which would have freed up enough funds. However, this would require more than double the investment, which has created a significant funding gap."

Seeing the change in Shen Chunlin's face, Zhao Chang'an said, "Of course, there is a way. If Ericsson joins and Jiangcheng Asset Management Office also invests and holds shares, then One Nano can reduce its shareholding ratio accordingly, and the money will be barely enough."

"Jiangcheng Asset Management Office would never invest in or hold shares in such a high-tech, heavily invested factory. Even if they did, it would only be a few percent at most. With an investment of $25 billion, even if they could get a maximum of 25% equipment procurement subsidies, a 10% stake would still cost $1.5 million. And the wafer fab itself can't guarantee profitability. As you said, Moss Semiconductor lost 300 billion NT dollars last year. Even if the loss from that 8-inch wafer fab is only one-third, 100 billion NT dollars, Moss Semiconductor's total investment is only 450 billion NT dollars. Moreover, once a company falls into such a vicious cycle, it will be very troublesome. It will continue to lose money, but it can't get rid of the losses if it stops."

Shen Chunlin shook his head and said, "If you are willing to relocate Luoyi Vehicle Factory to Jiangcheng and request investment and shareholding here, then there is absolutely no problem."

Luoyi Vehicle Factory can be said to have seized the market demand gap created by the development of the domestic economy, which led to a large demand for vehicles with strong load-bearing capacity, rough surfaces, strong adaptability to complex road surfaces, and low requirements for speed and functionality in towns and small cities across the country.

After its rapid launch, it received a large order from a wealthy Persian Gulf merchant, quickly becoming a rising star in the Chinese automotive industry's international expansion and receiving extensive media coverage in China.

As a result, the orders the company has received so far have meant that the Phase I and Phase II factories will have to operate at full capacity for the entire year to fulfill the required supply.

This also boosted the agricultural tricycle manufacturing workshop in the first phase of the factory, with orders booked until the end of the year.