Reborn in 2011, 985 missing from two copies

Chapter 406: Internal strife at BOE, Wang Yi's role
Looking at Wang Sheng sweating in the sun, Wang Yi understood the whole process in an instant.

It seems like we have waited a lot. With this attitude, it is something that even international suppliers cannot give us.

No wonder Huawei is cooperating with Xiaokang to build cars. The smaller the company, the better the attitude and the easier it is to cooperate!

Even if you make a request, the other party will do it immediately, regardless of whether it is reasonable or not.

Big companies don’t even want to sell their bodies, but small companies can give you their souls!

Wang Yi couldn't help but look at Wang Shenggao. No wonder BOE has a future.

Of course, I also have some sympathy for the difficulties faced by business development.

Wang Yi smiled and said, "Old Zhu said that he had investigated and felt that BOE was not bad. Although its technology was not as good as Sharp and Samsung, it had great potential. I believe in Old Zhu, so I came to take a look."

Wang Sheng was delighted and gave Zhu Changlin a grateful look:
"Mr. Wang, don't worry. Whatever product you need, BOE will arrange it immediately. If it can't be done, that's fine. We will develop it right away. Even OLED is not a problem. As long as we can survive and make as much money as possible, we can invest it all in research and development, even with loans!"

Wang Yi was very satisfied with this courage, but waved his hand:

"There is no rush for OLED. It will take four to five years for it to mature. In the next five years, LCD will still dominate the market. Therefore, as long as BOE can be first-class in LCD, it can be a first-class screen supplier. After BOE survives and makes money, it can invest in OLED research and development."

"Is this okay?" Wang Sheng was very surprised.

Ever since Samsung started to promote its A-screen, the industry has felt that OLED screens are better and more advanced.

He also thought that Wang Yi valued BOE in order to plan for future OLED screens and let BOE devote all its efforts to the development of OLED in advance!

Unexpectedly, Wang Yi's intention was to temporarily abandon the research and development of OLED and focus on conquering LCD!

"Of course. To put it bluntly, OLED is still in the trial and error stage these days, and there are no very successful products or paths."

Wang Yi said: "If OLED's fatal problems such as short lifespan, eye damage, and severe graininess cannot be solved, it will never mature and will never be widely popularized, let alone replace LCD."

Hearing this, Wang Sheng nodded: "I see."

Wang Yi continued: "In your opinion, how long will it take for BOE to completely solve these problems? Or, how long will it take for the best giants in the entire industry?"

Wang Sheng thought about it and said, "If BOE solves the problem independently, it will probably take seven or eight years before there is any hope. Even for screen giants like Samsung and Sharp, it will probably take five years before they can succeed."

Wang Yi nodded: "So if BOE bets on OLED, will there be a way out? Or, can it survive until OLED matures in seven or eight years?"

"This..." Wang Sheng was silent for a long time, then sighed: "There is no hope, the hope is very slim."

"That's it. Since BOE is still in the initial development stage, with tight funding and a small market share, it is better to focus on LCD research and development and seize the market in the next five or six years instead of developing OLED, which will only mature in five or six years."

Wang Yi said: "Only if BOE can win the market in the next five or six years and make a profit can it survive. Only if it survives can it make enough money. And only if it makes enough money can BOE have money to engage in OLED research and development. People should not aim too high, and companies should also avoid having unrealistic goals!"

Wang Sheng suddenly realized: "Thank you Mr. Wang for your advice. Thank you very much. To be honest, the company is short of funds at the moment, and there are two opinions among the top management. One is to invest all funds in LCD research and development to achieve profitability as soon as possible and survive. The other group thinks that LCD is too far behind, and even if funds are invested in research and development, it is just catching up. It is better to give up LCD and go all in OLED directly to achieve overtaking on the curve."

Wang Yi smiled: "Overtaking on a curve? The ideal is full of hope, but the reality is very skinny. Samsung and LG have been developing OLED for so many years, but they can't completely solve those fatal weaknesses. Why do they think BOE can do it?"

The research and development of screens is the development of the entire industry, and it is never a one-off process.

Even with Wang Yi's investment, BOE, which is several years behind, cannot complete the journey that Samsung and LG took five or six years to complete in just two or three years and reach OLED maturity.

This is not realistic.

Wang Sheng nodded: "Yes, the radicals are too radical. I was almost persuaded by them. Fortunately, Director Wang, you came and gave me some advice. It really enlightened me."

Wang Yi waved his hand: "It is right to have different ideas, but there can only be one voice for the development of an enterprise, and that is the correct voice."

"After our investigation, the flagship mobile phone screens produced by BOE's fifth-generation line can barely meet our procurement standards, if the price and quality control are no problem."

Hearing this, Wang Sheng was delighted.

At first, he thought Wang Yi came to BOE because he was optimistic about BOE's Ordos 5.5-generation AMOLED production line.

However, what was expected was the fifth-generation TFT-LCD production line that went into mass production a few years ago.

"Thanks to Mr. Wang for his support. The quality control is absolutely no problem. We also give the lowest price. It is definitely more beautiful than all our competitors!"

Wang Sheng spoke with a smile, fearing that this big client would run away.

Xingyi Technology’s purchases have always been large-scale.

The initial order was five million pieces at a time, and later on it was a one-time order of tens of millions!
With such a terrifying order volume, not only BOE is confused, but even the European and American giants are confused.

Even Qualcomm Chairman Jacobs and Nvidia Chairman Huang are confused.

The simplest thing is that on every important domestic holiday, the two of them would personally send their blessings to Wang Yi.

The interests involved can be imagined.

More importantly, once the Xingyi mobile phone uses BOE's screen, it will be the best publicity for BOE, without a doubt.

BOE's brand image can be greatly improved, even to the level of European and American giants.

But Wang Yi changed the subject: "But I have to tell you in advance, there is good news and bad news, which one do you want to hear?"

"One good news and one bad news?" Wang Sheng's heart skipped a beat. As expected, there is no such thing as pie falling from the sky in this world.

"Let me hear the bad news first. I'm prepared for it."

"The bad news is that BOE's screens are not used for Xingyi phones, but for mid- and low-end brand Wujie phones."

Hearing this, Wang Sheng's expression obviously darkened a little, but he quickly returned to normal:

"I understand, Mr. Wang. There is still a big gap between us and the international screen giants. It is indeed unrealistic to use it directly on Xingyi mobile phones."

Wang Sheng had expected this. He couldn't understand why the Xingyi phone, which is so high-end, would use the currently backward BOE.

After all, the current BOE is not the BOE ten years later, and it cannot compete with international giants.

Now it turns out that it is used for mid- and low-end mobile phones, so everything makes sense.

"The good news is that the Wujie brand focuses on the mid-to-low-end market, with prices around 1,000 yuan, so the volume will be very impressive. The first batch will be worth tens of millions of yuan. If the cooperation is good, we will continue to increase it to tens of millions of yuan a year!"

"What? The first batch is worth tens of millions?"

"The cooperation is good, can we continue to add more?"

"Increase to tens of millions?"

Wang Sheng's eyes lit up: "Mr. Wang, no, Brother Wang, you are my real brother. Thank you for saving BOE from the dire situation!"

What high end and low end!
No problem!
With a volume of tens of millions per year, BOE doesn’t care even if you buy them back and paste them on the wall!

You know, any orders worth millions that BOE can receive now are super large orders.

What’s more, the first batch is tens of millions, and the subsequent ones are tens of millions!

BOE couldn't even imagine such a terrifying order.

Not to mention BOE, even Sharp and JDI don’t dare to think about it!

After all, there was only one brand that could achieve a product sales volume of tens of millions, and that was the iPhone.

It was only recently that the Xingyi mobile phone was added.

But it is obvious that the sales of Xphone 1 and Xphone 1pro combined are not as high as that of iPhone 4s.

After all, the former is mainly sold domestically, while the latter is sold globally.

There is no comparison between a single market and the global market.

But now, BOE can do it.

A huge order worth tens of millions hit me in the face. Happiness came too suddenly.

"Mr. Wang, whatever parameters of the screen you need, we will arrange production immediately, and the price is absolutely the lowest." Wang Sheng said decisively. This is the God of Wealth.

"Although it's a thousand-yuan phone, it will have a 720P high-resolution screen next year. I want BOE's highest-quality 720P high-resolution screen!"

“好！”王升直接应下：“友达、天马的720P高分屏，要125-130。我们对外出售也得120+。王董您下单一千万块，我直接给你地板价90！”

"Great! Let's do it this way. The first order of 10 million is given to you!" Wang Yi agreed directly. He liked such straightforward people.

In fact, costs are very transparent in the industry. The key is whether a floor price is given.

At a price of 90 yuan, if the scale is small, you will not make any money, or even lose money.

But if you calculate it based on tens of millions of orders, it would be profitable.

It can be said that BOE gave Wang Yi a price that he could not refuse, thereby winning the huge order of borderless mobile phones!

Like screens and chips, there are economies of scale: the more you produce, the lower the cost.

BOE understands that there is hardship before sweetness, so it is natural that it will make money.

“Thank you, Mr. Wang, for your timely assistance. BOE will always remember it!” Wang Sheng said with a smile.

With these tens of millions of orders for mobile phone screens, at 90 yuan per unit, that’s 9 million yuan!

With an order value of 5 million yuan, even if the profit margin is only 4.5%, making 4500 yuan per screen, that’s million yuan!
The problem is that this is only the first tens of millions of orders, and there will be several tens of millions of orders to follow.

By this calculation, just one customer of the Unbounded mobile phone can increase BOE's revenue by billions and make a net profit of hundreds of millions.

BOE's total revenue in the first half of this year was only 96.08 billion yuan, a year-on-year increase of 94.5%, and a net loss of 7.86 million yuan.

It can be said that the mid-year financial report is terrible.

But with the orders for borderless mobile phones, there is every hope of turning losses into profits.

After all, with so many orders coming in, the cost of BOE's flagship mobile phone screen has become super low, from the previous 90 yuan per piece to 80 or even 70 yuan.

By then, not only can we make a lot of money from orders sold to Wujie Technology.

It can also be sold to other brands at the market price of 110 or even 120, and the profit can be imagined.

That’s the scale effect. The more you produce, the lower the cost, the stronger the market competitiveness, and the higher the profit!
However, Wang Yi changed the subject and said, "We are optimistic about BOE's flagship screen this year, so we use it in our Unbounded phones. But next year, Unbounded phones will have a second generation. If BOE's flagship LCD screen doesn't have any new breakthroughs by then, or if the breakthroughs are not as good as those of our competitors, then I'm sorry, we will have to change partners."

Wang Yi made the ugly statement clear up front because he was afraid that BOE would become complacent with this year's orders, stop striving for progress, and end up falling behind.

This is not a good thing.

Competition in the screen field is too fierce, and BOE lags far behind, so it has no choice but to catch up.

If you think that you will have a bright future as long as you rely on Wang Yi, and you don't have to work hard, then you're done.

Born in sorrow, die in comfort. The wisdom of the ancients is true.

Sure enough, Wang Sheng's originally impetuous mood calmed down instantly:

"Mr. Wang, you are right. Don't worry, we will stop distributing dividends to all shareholders. All profits will be invested in research and development!"

Wang Yi nodded with satisfaction: "Very good, I hope BOE will have a bright future."

Wang Sheng changed the subject and said, "Mr. Wang, I have an unwelcome request. Although I am the founder and chairman of BOE, I have always been short of money during the development. For this reason, I have to introduce multiple investors, which results in my voice not being too important."

"Therefore, it is difficult for me to suppress opposition in some key decisions. For example, those who want to develop OLED and dream of overtaking others are very powerful, and I can't do anything about it."

"So you want me to invest?" Wang Yi said calmly.

Wang Sheng nodded decisively: "Yes, Mr. Wang, as long as you invest, you will definitely be a major shareholder. In addition to Xingyi Technology's orders and influence, the board of directors can give you at least two seats. By then, BOE's decision-making power will be in our hands, and it will not go astray! Towards OLED."

Wang Yi pondered for a moment and said, "You are right. It's not that OLED is bad, nor that OLED cannot be developed. It's just that things have their priorities. All in LCD within three years. Three years later, BOE's LCD mobile phone screens will reach the top level in the industry. With enough profits and energy, it will be in time to focus on OLED. At that time, OLED will only be a niche product. Even five years later, LCD will dominate the world!"

"I see. I believe in Mr. Wang's professional judgment." Wang Sheng nodded decisively.

If someone else said this, Wang Sheng might still question it.

But since Wang Yi said so, it must be true.

After all, Wang Yi is recognized as an absolute trendsetter in the mobile phone industry.

From Xphone 1 to Xphone 1pro, Xingyi mobile phones have always led the development trend of the entire mobile phone industry.

The industry knows better that although Zhu Changlin is the chief designer of the two mobile phones, the key research and development directions are determined by Wang Yi, and he is the soul figure!
Since Wang Yi said that OLED will not be successful within five years, then it will not be successful!
What’s more, Wang Sheng started out as a screen manufacturer, and he knew how difficult it was to solve the fatal flaws of OLED.

As Wang Yi said, as long as these fatal defects of OLED are not solved, OLED will be difficult to popularize on a large scale.

After all, OLED 720P and LCD 480P have similar effects. They have a short lifespan, are prone to screen burn-in, and hurt the eyes, which are really fatal.

Especially for high-end mobile phones, an original OLED screen is very expensive. Once it burns out, who can afford the cost of replacing the screen of more than one thousand yuan?

But the current OLED is far less mature than it will be in ten years. Screen burn-in is common, and it happens after the warranty period has expired. There is no free after-sales service.

"The investment can be considered. Supporting the domestic mobile phone supply chain is one of our original intentions," Wang Yi said calmly.

BOE is currently at a low point with a loss of hundreds of millions in the first half of the year. Its market value has been halved from more than 200 billion yuan to only more than billion yuan, which is a good opportunity for investment.

"Thank you, Mr. Wang. I will arrange tomorrow's board meeting right away!" Wang Sheng said with a smile.

As long as Wang Yi is pulled onto BOE's warship, BOE's future will be immeasurable.

"Okay, but I want three seats on the board of directors." Wang Yi said calmly.

"I'll try my best." Wang Sheng replied.

With the entry of capital, Wang Sheng found it increasingly difficult to control BOE.

Wherever there are people, there are rivers and lakes. There is nothing that can be done about it.

Even if it was Xingyi Technology, if capital investment had been introduced from the beginning, it would be difficult for Wang Yi to completely control it now.

It is easy to get capital money, but not easy to deal with it.

The simplest thing is that after Wang Yi invested in BOE, BOE must vigorously develop mobile phone screens and TV screens.

As for the research and development of other screens, it can be put off for a while and treated as a non-core business.

BOE even has to develop specific screens based on what Wang Yi needs.

This is the purpose of Wang Yi’s investment in BOE.

It is similar to joining a group with capital.

There is no way. If people don’t care about themselves, they will be punished by heaven and earth.

If it were not for the purpose of allowing Xingyi Technology and Wujie Technology to have better domestic screens, Wang Yi would not have invested in BOE.

He is an entrepreneur, not a philanthropist.

The next day, the board meeting was held as scheduled.

Wang Sheng got straight to the point:
"BOE lost 7.86 million yuan in the first half of the year, and its market value has hit rock bottom. This is our current situation, and it is horrible."

All the directors looked gloomy. They invested in BOE to make money, but instead of making any money, their wealth was reduced by half.

A few years ago, BOE's market value was more than 400 billion yuan, but now it is only more than 200 billion yuan. It is hard to describe.

"If things continue like this, BOE will continue to make losses and its share price will probably continue to plummet. The stocks that I and you hold will become increasingly worthless," Wang Sheng said earnestly.

At this point, a major shareholder couldn't sit still: "Chairman, don't say these useless words. I just want to ask you, do you have a solution? If you do, please bring it up as soon as possible. If not, you can step down and let someone more capable do the job. I think Vice President Qian is a good choice."

"That's right, Vice President Qian's idea is very advanced. BOE is lagging behind in LCD screens, so it is better to give up LCD and focus on developing the next generation of OLED to achieve overtaking. As long as it succeeds, BOE will become a first-class OLED giant, a giant like Samsung and LG."

"Yes, if that happens, profits, stock prices, and market capitalization will all explode."

"If you can do it, do it. If you can't, step down and let someone else do it. BOE can't continue to make losses. We have to find a way out!"

"You said it very well, and your ideals are very ambitious." Wang Sheng clapped his hands:

"But the reality is very harsh. Yesterday I met with a big shot and discussed this issue with him. He put forward another point of view."

"Big shot? Who?"

"What's that?"

Everyone in the room became interested.

"That big shot said that OLED has several fatal shortcomings. First, it has a short lifespan and is prone to screen burn-in. Second, it has low resolution and severe graininess. Third, it is more harmful to the eyes, and long-term use will affect vision."

Upon hearing this, those who supported OLED fell silent. This is all true.

There is indeed a problem.

But Vice President Qian was not happy: "Chairman, the points you mentioned do exist, but they are not unsolvable. For short lifespan, we can continuously improve it by optimizing the screen material. For low resolution, we can increase the resolution and make 2K mobile phone screens. For eye damage... we can also research good eye protection strategies in the future."

Wang Sheng nodded: "Okay, you said it very well. But let me ask you, how long will it take you to solve these three fatal problems? Can they be solved within three years?"

Vice President Qian shook his head and said, "It's difficult. At most, it can be partially solved. It will take about five or six years to solve the whole problem."

"That is, it will take you five or six years to solve these problems. What will BOE do in the next five or six years? ALL in OLED, but OLED is not mature, it only burns money but does not make money. No investment in LCD, and it does not make money. What will happen in the next five or six years? After five or six years, OLED still has not succeeded, and BOE is finished!"

"This……"

The whole room was silent.

Vice President Qian was unwilling to give up: "What if there is a huge breakthrough? What if..."

Wang Sheng interrupted the other party directly: "Technological breakthrough is a very rigorous matter, there are not so many contingencies. BOE's fate should not be weighed down by contingencies!"

"President Qian, we can only survive by relying on the breakthrough of LCD so that we can have the time and funds to develop OLED!"

"Wow!" Applause rang out.

With the help of Wang Yi's ideas, Wang Sheng finally defeated Vice President Qian in one fell swoop and gained the support of the board of directors.

Even those shareholders who once supported Vice President Qian began to waver.

One is the currently popular technology, and you can make money by catching up with it.

One is a technology that has just begun to emerge and may not be popular even after five years.

After some analysis, the shareholders also felt that it was best to be safe.

"How short-sighted!" President Qian snorted coldly and left angrily.

But when he walked to the door, he found that no one followed him out.

Under normal circumstances, all the shareholders who supported him would have left the market.

But I’ve already reached the door, I can’t go back!

"A bunch of fence-sitters, good for nothing!" Vice President Qian snorted coldly. He could only bite the bullet and leave, feeling more and more uncertain.

Wang Sheng was in a good mood when he saw this, and continued, "Very good, let's move on to the most important topic, about the big shot we met yesterday!"

"Big shot? Who?"

"Investors? Major customers? Leaders?"

At once, everyone became interested.

Even the shareholders who supported Vice President Qian were full of curiosity.

To put it bluntly, they are only pursuing interests and want to make money.

Whoever can make BOE's stock price soar and make them money will be the boss!
As for whether the surname is Qian or Wang, it doesn’t matter.

Wang Sheng smiled: "This big man is not only a capital, but also a super big customer, and the savior of our BOE!"

"Who is it?" Everyone was full of anticipation.

BOE is currently suffering from heavy losses and is in urgent need of a hero to save the day.

"Chairman of Xingyi Technology, Wang Yi!"

"what!"

"Director Wang!"

"Damn it, luckily I managed to keep my composure and didn't leave with Lao Qian!"

For a moment, everyone had complicated expressions, and some were even very grateful.

If I follow Vice President Qian, I’m done for.

Now that Wang Sheng has the support of Director Wang, Vice President Qian has to get out of here.

If Vice President Qian doesn't leave, they will collectively rebel and join Wang Sheng.

There is no way, Wang Yi’s importance is so heavy!
(End of this chapter)