Reborn in 2011, 985 missing from two copies

Chapter 568: Apple cuts prices in the first month, and Qualcomm takes drastic measures!

"The architecture is not as good as the others, the performance is backward, and the price is not competitive. No wonder Qualcomm chips have no sales. In the future, high-end chips will have to rely on Xingyi Technology."

"That's right. Xingyi Technology's Kunpeng chip is in the first echelon, Apple and Qualcomm are in the second echelon, and MediaTek is in the third echelon."

"What about Samsung? What about Nvidia?"

"Samsung's chip performance is in the second tier, but it does not support many frequency bands, so it is in the 2.5 tier overall. As for Nvidia's mobile phone chips, not many Tegra 4s have been sold, and it is estimated that they will be gone next year."

"I never thought that after Texas Instruments fell, Xingyi Semiconductor would dominate the world!"

"Come on, those big germs who said Xingyi Technology is not good and is not as good as Qualcomm, why are they silent now?"

"You wouldn't have thought that Xingyi Technology not only beat Qualcomm in high-end chips, but also in mid- and low-end chips."

"They said that Xingyi Technology's trade show had few sales, but in the end, Xingyi Technology sold 4.5 million chips, while the Qualcomm chips that the big germs had high hopes for ended up with zero sales!"

"Hahaha, this is so funny. Today is a disaster day for Qualcomm and also for the big germs. How can they brag in the future?"

In response to this, most of the big germs remained silent and there was no way to wash themselves away.

If Qualcomm had been more capable, they could have tried hard to clean it up.

But there was zero transaction, and there was no way to wash it out even if I wanted to.

Only the senior big germ still tried to save face: "Don't be so proud. Even if Qualcomm loses this year, it will make it back next year. There's nothing to be proud of."

"Catch it back next year? What will you use to catch it? Many Qualcomm processors will still be 32-bit processors next year. Are you going to catch Xingyi Technology's 64-bit processor with your head?"

"That's right. Qualcomm will still lag behind next year. It will only have a chance to catch up the year after next!"

"It will be useless the year after next. Qualcomm will fully promote 64-bit processors the year after next, but Xingyi Technology has already developed the third generation of 64-bit processors and is still far ahead."

"That's right. Qualcomm's future is worrying. It seems that Xingyi Technology will be the only high-end chip manufacturer in the future, and Apple and Qualcomm will have to take a back seat."

"No more talking, I'll order an Xphone 3 right now, no, I'll order an Xphone 3 Plus right away."

"I also placed an order. I thought the sales of Xphone 3 and Xphone 3 Plus were so hot because of the prism scandal. Who would have thought that Xingyi Technology is really strong and can sell well even without the prism scandal!"

"This time, Xingyi mobile phones will be hot-selling again."

The sharpest contrast was formed between the zero sales of Qualcomm chips and the hot sales of 4.5 million Kunpeng chips with a revenue of more than billion yuan.

This completely destroyed Qualcomm's high-end chip status and reduced it to a second-tier brand.

However, the Kunpeng chip stood out, became a legend in one battle, and became the only first-line brand!
A first-tier brand that surpasses Apple and Qualcomm.

As for Samsung, it is between Qualcomm and MediaTek. Its performance can compete with Qualcomm, but its baseband is not good and it supports too few frequency bands.

Therefore, Samsung mobile phones use their own Orion chips in regions such as South Korea.

In more international markets, some frequency bands of Samsung's own baseband are not supported, and only Qualcomm chips can be purchased.

Wang Yi was in a good mood as he saw the sales of Xingyi mobile phones surge and become a hot seller worldwide.

In October, the sales volume of Xingyi mobile phones reached a new high.

Especially the sales of xphone 3 and xphone 3 plus. In September, domestic shipments exceeded 9 million units, overseas parallel import shipments were 2100 million units, and the total sales reached 1100 million units!

Such horrific sales volume broke the record!

It is not only an unprecedented record, but also a record that will be difficult to achieve in the future.

After all, something as big as the Prism Gate doesn’t happen once in ten years.

For example, for overseas parallel imports, under normal circumstances, it would be good if a new phone can sell three to four million units a month.

As a result, thanks to the Prism Gate, xphone 3 and xphone 3 plus directly sold 1100 million units!

It has tripled!
But by October, the impact of the Prism Gate continued to weaken, and some of the 1100 million parallel-imported units last month were still in the warehouses of parallel-importers and had not been sold.

Therefore, in October, the estimated parallel import shipments of xphone 3 and xphone 3 plus were only 600 million.

Domestic sales have also consumed huge consumer capacity because the products have been in stock since they were first sold.

Domestic sales in October will also drop to around 1500 million units.

In this way, the total sales volume at home and abroad can be around 2100 million units.

It is impossible to replicate the sales myth of 3200 million in September!
Next month, sales will drop further, with total sales falling to around 1500 million.

There is a 30% discount every month, which is normal.

But this time, due to the trade fair incident, Xingyi Technology launched a dimensionality reduction attack on Qualcomm chips, making Xingyi Technology famous around the world again.

Its global popularity has increased significantly, and many foreigners who didn’t know much about Xingyi Technology have begun to know this brand, this giant.

They also followed suit and bought parallel imported versions of the Xingyi mobile phone, even though the price was much more expensive than in China, twice the price of the iPhone 5S, they still rushed to buy it.

Many foreigners even regard owning an Xphone 3 or Xphone 3 Plus as a symbol of status and taste.

The fact that you can afford xphone 5 and xphone 3 plus, which is more than twice the price of iPhone 3S, proves that you have a certain status and strength.

And there is no backdoor, and it will not be monitored by the PRISM program. This is also a tasteful experience of protecting privacy.

There is another reason, and that is the admiration for the strong.

Everyone is strong-willed.

Unable to compete with Qualcomm, Xingyi phones are sold cheaper than Apple ones, but people still don’t flock to them, and some even think they are cheap and not high-end.

But now the Kunpeng chip beats Qualcomm, the Xingyi mobile phone beats Apple, and the XOS system beats Android. It’s completely different!

With such powerful product power and strength, Xingyi Technology instantly gained hundreds of millions of global fans and became a globally respected giant brand!
Even though the price of parallel imported products is high, sales are surging.

Just like the Model Y in 2019, it represents the advanced level of electric vehicles and is priced at over RMB 48. It is still snapped up and praised by people and is regarded as an industry benchmark.

At that time, NIO, Xiaoxiao and Li Auto were called the three fools in the electric car industry, as people said only stupid people with a lot of money would buy them.

A few years later, domestically produced cars rose to prominence, and Model Y fell behind. The price was reduced to around 25 yuan, and the price was cut in half, so that sales could be stabilized...

The core reason is that Tesla’s technological leadership is gradually lost, its product strength cannot keep up, and it cannot surpass domestic brands.

However, the former "Three Electric Cars" - NIO, Xiaopeng and Li Auto - all have high prices and good sales.

The same is true for mobile phones. As long as the core technology and core competitiveness are strong, they can naturally be sold at a high price and have good sales.

This was the case with Apple, Huawei, and Samsung in their previous lives.

This is especially true of today's Xingyi mobile phone.

It doesn’t mean that if the configuration is high, the price and sales volume will be high.

In addition to configuring these hard power, we also need to look at soft power.

Soft power includes system optimization, brand value, core technology, etc.

Surpassing Qualcomm, the Kunpeng chip became a legend in one battle, and the sales of Xingyi mobile phones also soared again.

In October, the sales of xphone 10 and xphone 3 plus were originally expected to be around 3 million. With this wave of support, it is expected to soar to more than 2100 million!
At present, the Xingyi mobile phone factory’s own production capacity is only a little over 1600 million, and there is still a big gap.

Thinking of this, Wang Yi decisively called Zhu Changlin: "Old Zhu, has BYD added any orders?"

"We have added orders, Chairman. We have added orders for 500 million units at the beginning of the month."

"Not enough, add another order for 500 million units!"

"Okay, Chairman, but this means that the monthly production of Xphone 3 and Xphone 3 Plus will be as high as 2600 million units. If we can sell all of them this month, we will have 800 million units of inventory next month."

Zhu Changlin's worries are justified.

In October, with the help of defeating Qualcomm and the impact of the Prism Gate, the combined monthly sales of xphone 10 and xphone 3 plus reached 3 million units, no problem.

But what about next month? Maybe only 1800 million units.

Wang Yi nodded: "It's okay, let's start production. Next month, when there is more inventory, our own factory will stop part of the Xphone 3 production line and switch to the production of the Unlimited Note!"

Once an order is placed for BYD's production line, it cannot be cut off at will.

If an order for 10 million units is placed in October, then 800 million units must be produced in November and December.

But it’s easy if we have our own factory, we can make adjustments at any time.

At that time, the production of Xphone 3 will be handed over to BYD, and the production of Unlimited Note will be done in its own factory. It's the same thing.

By February next year, the sales of xphone 2 plus and robocall will decline. At that time, both robocall and xphone 3 plus will be outsourced to BYD, and our own factory will switch to producing Xingyi X3 series!

With such reasonable resource allocation, there will be no problems of excessive inventory and insufficient production capacity.

"Okay, Chairman, I'll make arrangements right now."

Zhu Changlin quickly made arrangements and BYD's production lines were increased again.

BYD has long been accustomed to this.

Every time a new machine is released, the production lines of old models are gradually reduced and switched to new machine production lines.

This is the norm for OEM and a reasonable change in the market.

In addition, Xingyi Technology has a large order volume, timely settlement and a short cycle. Manager Wang has no objections at all. Instead, he is glad to have Wang Yi's support!

If there were no Xingyi Technology, BYD would have lost a huge order of hundreds of millions of mobile phones every year!

Foxconn was envious and jealous of this, and even went to the door in person to ask for orders.

But Wang Yi was too lazy to pay attention. He didn't trust or look down on such an unreliable ally.

"Let BYD add more orders. This time we can beat Qualcomm. The monthly sales of xphone 3 and xphone 3 plus will increase by 500 million units. There is no pressure!" Wang Yi said with a smile.

Before he defeated Qualcomm, Wang Yi didn't dare to place orders blindly for fear that the inventory would be too large.

But now, we have defeated Qualcomm, so we can just place more orders.

This is the fruit of victory, and Xingyi Technology should enjoy it!

Sure enough, in the following days, the daily sales of xphone 3 and xphone 3 plus increased rapidly, and for several consecutive days, the increase was more than 50% of the previous level!

Users who originally planned to buy iPhone 5S and Samsung note3 have given up and chosen to buy xphone 3 and xphone 3 plus.

Not only are the new flagships hot-selling, but even the old models are also in crazy hot sales.

The winner takes all, and the same is true in the industry.

Even the borderless mobile phones have set off a sales frenzy.

Although it has been on the market for four months, the monthly sales volume of the Unbounded smartphone still remains at around 1500 million units! This is extremely strong.

All I can say is that the market for thousand-yuan smartphones is simply too big, and with no competitors, it's hard not to be a hot seller.

Watching this scene, Apple headquarters was filled with melancholy.

Cook paced back and forth, his face extremely livid:
"The first month sales figures are out. The combined sales of iPhone 5s and iPhone 5C in the first month were only 1500 million units, less than half of the first month sales of Xphone 3 and Xphone 3 Plus! Not even as high as their second month sales!"

"awful!"

“It’s horrible!”

Cook was filled with emotion.

If a mobile phone sells 1500 million units in the first month, that's great and it's considered a hit.

But the problem is that the total sales of iPhone 5C and 5S are only 1500 million units, which is a bit embarrassing.

It’s so ugly!

As a result, Apple's stock price began to plummet.

And it continues to plummet.

To this end, Apple executives began holding meetings every day to discuss countermeasures, hoping to boost sales and stop the stock price from falling.

But unfortunately, after all the discussions, there has been no substantial progress.

"Chairman, any marketing method is meaningless. Now users only recognize Xingyi phones and think that Xphone 3 and Xphone 3 Plus are high-end phones. The recognition of our 5S and 5C has dropped significantly. If we want to boost sales, we can only reduce prices."

"That's right. If we don't lower the price, users won't buy it. This is true for users in Xia country and overseas users as well. I suggest that the 5S be lowered to 4788 and the 5C to 3988!"

"A direct reduction of 500? Are you crazy?" Cook's face changed drastically: "iPhone 5S and iPhone 5C have only been on the market for a month, and they are already reduced by 500. Do we at Apple have no face?"

"Chairman, face is important, but sales and revenue are more important."

“If we don’t lower the price, the product won’t sell at all, and sales won’t increase. If sales don’t increase, revenue will be very bad. If revenue is very bad, Apple’s stock price will continue to plummet, and its market value will continue to shrink, and you and us…”

Only half of the words were said, but everyone understood the meaning behind them.

Apple can only choose between appearance and substance!

Seeing that Cook was still hesitating, someone else spoke up: "More importantly, the crazy hot sales of Xphone 3 and Xphone 3 Plus have led to an increasing number of parallel import vendors. Now there are new parallel imports almost every day, shipped to Europe, America, and all over the world. What will this lead to?"

"As a result, the supply of grey market Xphone 3 and Xphone 3 Plus has become more abundant, which in turn has led to a continuous decline in the price of grey market products!"

"The current parallel import price of xphone 3 and xphone 3 plus is more than twice that of iPhone 5S and 5C. Once it drops to 1.5 or even 1.3 times, they will only be slightly more expensive than ours. At that time, the parallel import xphone 3 and xphone 3 plus will only sell better, while our 5S and 5C will be even harder to sell."

"And as the supply of grey-imported products increases rapidly, the prices of grey-imported Xphone 3 and Xphone 3 Plus will also drop rapidly, and will soon drop to a price slightly higher than ours."

"It could be next month, or it could be the end of this month."

"If we don't lower the price now, it won't make much sense to lower the price later!"

Hearing this, Cook fell into deep thought.

Yes, now the parallel import price of xphone 3 and xphone 3 plus is twice that of 5S, and they are both selling very well.

Once the price drops to 1.5 times, or even 1.3 times, and they are just a little more expensive, then 5S and 5C will really not sell well!
The price has been reduced just one month after its release. Isn’t this too embarrassing?

Ugh!
With a sigh, Cook was extremely conflicted.

Lower the price, it's embarrassing and will damage Apple's high-end image.

If he doesn't lower the price, sales will not increase, revenue will drop, and stock prices will plummet. He, as the CEO, will be fired and even fed to the fish!

Especially when I think of the nightmares I've been having recently, I dreamed of the bloody mouth of a shark, and I dreamed of myself being swallowed like a piece of fructose...

Cook broke out in a cold sweat instantly.

No, it can't come to this!

'I can't be fed to fish!'

'The sales of iPhone 5S and 5C must be boosted!'

Cook made a decision in an instant, and said in a deep voice: "Okay, notify everyone immediately, and reduce the price of iPhone 5S and iPhone 5C by 500! We must increase sales!"

"Yes!" Everyone breathed a sigh of relief.

Although no one wants to lower prices, they don’t want to be laid off even more!

What's more, if the product doesn't sell well, then lower the price, which is a normal business practice.

This is true for any business, and Apple is no exception!
Soon, the news that the iPhone 5S and 5C were reduced by 500 yuan shocked the entire Internet, causing an uproar.

Zhu Changlin couldn't help but approach Wang Yi: "Chairman, if the iPhone price is reduced by 500 yuan at one time, will it affect our sales? Should we follow suit?"

At this stage, the biggest competitor of Xingyi mobile phone is iPhone.

Wang Yi waved his hand and said, "Don't worry about it. Let them lower the price. Our products are selling so well that we will be sold out if we don't lower the price. There is no need to lower the price! And Apple's price reduction may not be a good thing."

Zhu Changlin's eyes lit up: "You mean, if the iPhone price is reduced, it can increase sales in the short term, but in the long run, it will cause endless harm?"

He cares a lot about developing mobile phones, but he doesn't see the overall situation clearly.

Wang Yi nodded: "You can say that. The most important thing about high-end mobile phones is that they are high-end, with stable prices and strong brands."

"If they keep reducing prices, like 500 yuan a month after launch, or 1000 yuan in three months, can this brand still maintain its high-end status?"

"So that's it." Zhu Changlin suddenly realized.

Sure enough, the public opinion on the Internet became very interesting:
"What? The iPhone 5S has only been on the market for a month and the price has dropped by 500? Is Apple losing money?"

"Damn it, I bought it for 5288 just a week ago and it's already dropped by 500. It's such a rip-off!"

"I bought it for just three days and it's already reduced by 500. I really regret it. I must have been crazy not to buy an Xphone 3."

"Me too, I'm going to go for seven days without any reason, I really can't stand the price being reduced right after I got it."

"Yes, I also have no reason for seven days."

"I envy you guys, damn Apple, it's been eight days and I can't quit."

"It's been ten days, and I can't quit! Rubbish Apple, black for life."

"The iPhone 5S is rubbish. If you have one, return it if you can, and buy an Xphone 3 or Xphone 3 plus. If you haven't bought one yet, don't buy it. It has poor performance, poor experience, small screen, small battery, and the price drops quickly. It's really not as good as the Xingyi phone."

"That's right. Second-hand mobile phone dealers are crying today. They bought it for 4900 yuan, but now the licensed product is 4788 yuan. They are losing a lot of money."

"Apple is really in trouble. The price cuts are even faster than Samsung's."

Zhu Changlin laughed at the comments: "As expected, Apple's brand image has collapsed."

It’s no surprise that the price dropped by 500 yuan within one month of the first launch, which is unacceptable to old users.

Especially those who bought an iPhone within a month of its first release are definitely loyal Apple fans.

In the end, he was stabbed in the back and became the scapegoat!

If it’s within 7 days, you don’t need to give a reason, but if it’s more than 7 days, you have to accept your fate!
This incident made a number of old users very angry, and they blamed Apple.

As a result, Apple's reputation has become worse and worse.

Even with a price cut, the sales volume will not increase much.

This made everyone at Apple very upset, but they had no better solution.

Qualcomm is also feeling sad.

After several days of investigation, Qualcomm finally figured out the parameters, performance, and prices of all Xingyi Technology's chips.

But the more they understand, the more desperate Qualcomm becomes.

"There's no way to fix it. There's really no way to fix it. Their lowest-level Kunpeng 505, not counting the 64-bit bonus, is more powerful than our Snapdragon 400. With the 64-bit bonus, it's comparable to the Snapdragon 600. How can we compete?"

“Totally unbeatable!”

"Yeah, it's too weak. Kunpeng processors are just messing around. The mid-range chips are better than our high-end chips. The low-end chips have advantages over our mid-range chips. The problem is that the performance is one generation stronger, but the price is about the same. We can't compete at all."

"Moreover, the entire series is 64-bit and the entire series is 28 nanometer technology, which makes Qualcomm have no advantage at all. No wonder those big customers have placed orders with Xingyi Technology and abandoned Qualcomm."

Listening to everyone's complaints, Jacob became furious and slammed the table:

"In the past few days, Qualcomm's stock price has plummeted, and its market value has dropped from 700 billion US dollars to 30 billion US dollars, evaporating a full %!"

"You bunch of rubbish, instead of thinking about how to solve the problem and turn the situation around, you are here complaining to me! Is this meaningful?"

"waste!"

"This..." Everyone was silent.

Vice President Franz Quentin saw this and quickly said, "Stop complaining. It will only make us look incompetent. The key now is how to break through the difficulties and turn the situation around."

“Personally, I think there are two strategies.”

"Tell me in detail." Jacob breathed a sigh of relief. There was still someone who could take responsibility.

Franz Quentin said: "The first strategy is to suppress Xingyi Semiconductor and severely damage Xingyi Semiconductor!"

Jacob became interested: "How to suppress it, what do you think?"

"First, we must cut off Xingyi Technology's chip foundry business." Franz Quentin's eyes flashed with a fierce look:
"Xingyi Technology has won a huge order of 4.5 million chips this time, which is really terrifying. Adding their own chip consumption, it will be an astronomical figure."

"As a result, Xingyi Technology's own wafer fab has insufficient production capacity. Not only 3G chips need to be manufactured by TSMC, but future 4G chips may also need to be manufactured by TSMC."

"What you mean is, lobby TSMC to give up manufacturing for Xingyi Technology, so that Xingyi Technology will be overwhelmed with orders and unable to deliver goods!" Jacob said with a smile.

"Yes, that's right. I've calculated that Xingyi Technology's current production capacity is mainly 28 nanometer process, and the 40 nanometer process capacity is very small, mostly relying on TSMC's foundry."

Franz Quentin said: "As long as TSMC gives up manufacturing for Xingyi Technology, Xingyi Technology may not even have enough 40-nanometer chips for its own use, let alone the 1.5 million 3G chips sold to third-party customers."

"In this case, Xingyi Technology will face a dilemma."

"Either we give priority to third-party customers with our only 40-nanometer chip production capacity to maintain our reputation, or all of Xingyi Technology's own older mobile phones, tablets, and TVs will be short of chips, leading to a halt in production!"

"Either Xingyi Technology keeps its 40-nanometer chip production capacity for its own use, or the 3G orders from third-party customers will be a distant dream. In this case, if delivery cannot be made on time, the sky-high penalty will be imposed, and Xingyi Semiconductor's reputation will be completely ruined. Who will dare to buy Xingyi Technology's chips in the future?"

"Okay, okay, okay! This is an open conspiracy! An unsolvable conspiracy! Hahahaha!"

Jacob laughed heartily. This move was cruel and sharp enough.

(End of this chapter)