Reborn in 2011, 985 missing from two copies

Chapter 722: Qualcomm is at the end of its rope, Apple bows its head!

"Sanction LG? Ban LG?"

Listening to everyone's words, the vice president, who had been silent for a long time, looked at them with an expression as if they were idiots:
"Hehe, are you all drunk?"

"Is LG begging Qualcomm to sell them chips, or is Qualcomm begging LG to buy our chips?"

"Can't everyone see the situation clearly?"

"Do you still think we're like Qualcomm, who dominated the semiconductor industry a few years ago and had the final say?"

"This……"

Everyone's lips twitched, and they fell silent.

Yes, things are different now!

A few years ago in the mobile phone chip industry, Texas Instruments had fallen, Nvidia's baseband was no good, MediaTek couldn't make high-end chips, and Qualcomm was the absolute hegemon. Major mobile phone manufacturers were begging Qualcomm to sell them chips!

Every time Qualcomm releases a flagship chip, major mobile phone manufacturers line up to place orders and compete for the first release!
However, with the emergence of Xingyi Semiconductor, the Kunpeng chip has become a force to be reckoned with, dominating Qualcomm generation after generation, even across generations, and even across two or three generations!

As a result, major mobile phone manufacturers have gone to buy Kunpeng chips from Xingyi Semiconductor, while Qualcomm chips have become unsaleable!

Major mobile phone manufacturers are no longer begging Qualcomm to sell them chips; instead, Qualcomm is begging major mobile phone manufacturers to buy their chips!
In this instance, Qualcomm, in its efforts to persuade LG to buy chips, not only touted the Snapdragon 810 and its 20nm process extensively, but also gave LG the first launch of the Snapdragon 810. Only then did LG reluctantly place an order for the Snapdragon 810.

And they only ordered 200 million units!

A few years ago, Qualcomm's initial customers would have started with at least five million units!
It can be said that times have changed.

In this situation, it would be ridiculous for Qualcomm to further sanction and block LG!
Times are different!
Hey!
Sighs rose and fell, echoing throughout the sleepless conference room.

Everyone has come to terms with reality.

Jacob took a deep breath, breaking the oppressive silence:
"There's no need to spout nonsense about sanctioning LG. Qualcomm will still be begging LG to buy its chips!"

"What I'm most worried about now is that other brands will follow suit and abandon the Snapdragon 810 SOC in favor of the Kunpeng 910 SOC, just like LG!"

"Yes, that's the most serious thing!" Everyone's expression changed, and cold sweat poured down their backs.

"If HTC, Sony, Motorola, and Lenovo also follow LG's example and abandon the Snapdragon 810 SOC in favor of the Kunpeng 910 SOC, then we'll be in big trouble!"

"This is a devastating blow to Qualcomm!"

"The Kunpeng 910 SOC has been sold to more than a dozen mobile phone manufacturers, and with Xingyi Mobile, the current shipment volume has exceeded 1.5 million units, and it will continue to increase. Our Snapdragon 810 SOC is different; we only have a few customers, and we have only sold seven million units in total."

"If other brands also choose the Kunpeng 910 SOC like LG and stop ordering Snapdragon 810 SOC, then our Snapdragon 810 SOC is doomed!"

"The Snapdragon 810 SOC, developed with 5 million US dollars and 32.5 billion RMB, will not even recoup its R&D costs if only 700 million units are sold. It would be a huge loss!"

"The Snapdragon 810 SOC has a shipping price of 400 yuan and a gross profit of 120 yuan. 7 million units would only cost 840 million yuan. Our R&D costs of more than 3 billion yuan would be completely lost!"

"The Snapdragon 810 SOC needs to sell at least 3000 million units to break even. Even with 700 million units, the R&D costs will result in a loss of 25 billion!"

"The worst part is that this kind of thing is very likely to happen."

"If LG doesn't do this, HTC, Sony, Motorola, and Lenovo won't dare to do it either."

"If LG does this, then HTC, Sony, Motorola, and Lenovo might follow suit!"

"Oh, this is a disaster!"

"Everyone, hurry up and think of a solution. If this can't be resolved, the Snapdragon 810 SOC won't make any money, and the R&D costs alone will result in a loss of two to three billion, not to mention anything else!"

Jacob was so anxious that his scalp tingled, and he paced back and forth in the conference room like an ant on a hot plate.

Looking at the secretary's half-exposed breasts, he couldn't muster any interest.

The other high-ranking officials also looked solemn, and even though it was late at night in the United States, they were not sleepy at all.

Can't sleep, can't sleep at all!

The thought that the Snapdragon 810 is about to be discontinued and will result in billions of dollars in losses is so shocking that it's impossible to fall asleep.

Just as everyone was racking their brains for a solution, the assistant rushed in:
"Chairman, something terrible has happened! Motorola announced late at night that it is temporarily suspending the launch of its new Moto X Pro!"

“…” Jacob’s lips twitched: “Motorola is also betraying us? They’re also switching to the Kunpeng 910 SOC?”

The vice president nodded: "It's very likely. Seeing that the LG G Flex 2 and HTC One M9 both failed miserably, Motorola postponed the launch to prevent a repeat of the same mistakes!"

"Moreover, Motorola's top executives stayed up late at night to officially announce this, so they must have made a decision!"

"Fuck! LG set a bad precedent, even Motorola has betrayed us!"

"Fake!"

Jacob was furious, growing angrier the more he thought about it, but before he could vent his anger, another secretary rushed in:

"Chairman, this is a huge problem!"

"What is it now?" Jacob's eyelids twitched slightly, and an extremely ominous premonition enveloped his heart!

Could it be that there's another backstabber?
Sure enough, what are you afraid of?
Sony has also announced a postponement of the release of its new Z4 smartphone!

Jacob's face turned ashen: "!!!"

"Fuck! I think they're not just delaying the Z4 release, but planning to release it with the Kunpeng 910 SOC instead!"

"Sony even plans to primarily use the Kunpeng 910 SOC version for its new flagship phone, the Sony Z4, while the Snapdragon 810 SOC version will at most be sold as a makeshift way to clear out inventory!"

"It's entirely possible that Sony is capable of doing something so unethical!"

"I think so too!"

Everyone spoke one after another.

The marketing director also frowned: "There's another possibility: the Z4 with the Snapdragon 810 SOC might not even exist; there's only the Kunpeng 910 SOC version. As for the 150 million Snapdragon 810 SOC chips Sony bought, they'll be used in mid-range phones!"

"That's a very likely possibility! But if that's the case, we're in an even worse situation!"

"Sony's intentions are even more insidious than Motorola's!"

Jacob was quite distressed: "What about the other brands? They haven't made any moves yet, have they?"

The subordinate shook his head:

"HTC has not yet made a statement, but it is estimated that they will also purchase more Kunpeng 910 SOCs to prepare for both possibilities."

"That's for sure, especially seeing the HTC One M9's pre-orders keep plummeting. Wang Hong must be desperate and will definitely consider switching to the Kunpeng 910 chip!"

What about Lenovo?

"Lenovo hasn't taken any action yet, but it's probably considering other options."

"Ugh! This is tough!"

Jacob's face turned ashen: "The Snapdragon 810 SOC has failed, and everything is over. It won't sell, it simply won't sell!"

"After much coercion and persuasion, we managed to sell 700 million Snapdragon 810 SOCs to a few major clients. Now, those clients are either turning their backs on us or looking for ways to back out."

"Who will continue to purchase our Snapdragon 810 SOC chips next?"

How can we still sell our Snapdragon 810 SOC chip?

Jacob was extremely distressed.

A while ago, Jacob was quite pleased to watch Starry Semiconductor and Nvidia clash in the graphics card field, with Starry Semiconductor giving Nvidia a sound beating.

They even opened champagne to celebrate Wang Yi's shift of focus from mobile phone chips to PC chips!

From bullying Qualcomm, they've now moved on to bullying Nvidia!
congratulations!

We must celebrate!

But little did they know, the champagne was opened too early!

Wang Yigang had just crushed Nvidia in the graphics card field, and then turned around and attacked Qualcomm, striking at its very core!
It outperformed the Snapdragon 810 SoC!
There's nowhere to reason with them!

Jacob was both angry and desperate: "Customers have betrayed us, the Snapdragon 810 SOC is not selling well, everything is over!"

"It's very likely that the Snapdragon 810 SOC chip will only sell 700 million units!"

"Forget about making money, we can't even recoup the billions of dollars in R&D costs!"

"Damn it, damn it all!"

"It's all that damned Xingyi Technology's fault! They've outpaced us for generations with just one chip!"

"And you bunch of useless idiots! You develop a chip, and it flops!" "You're paid the highest salaries in the world, yet you develop the worst chips in the world, the most disastrous chips, and not just one generation!"

"What? Your strength is the strength to fail?"

Jacob was furious and vented all his anger on the research and development team.

But powerless roars are ultimately meaningless; they cannot reverse Qualcomm's decline, nor can they change the Snapdragon 810's doom!

In the following days, sales of the LG G Flex 2 continued to plummet, and the number of full-payment pre-orders for the HTC One M9 also continued to decline, while the number of refunds surged!
No one is optimistic about the Snapdragon 810 anymore!

This left HTC employees feeling extremely disappointed and completely lacked confidence in the upcoming official launch.

Amidst the anxiety and uncertainty, a week quietly passed, and the HTC One M9 officially went on sale.

But the situation was tragic.

The expected hot sales didn't happen at all.

The scenario of queuing at stores simply does not exist.

On the contrary, the official launch of the M9 resulted in sluggish sales, just like the LG G Flex 2.

Seeing this scene, HTC's shareholders and executives were filled with sorrow, while Wang Hong himself remained calm, even unusually calm!

While Wang Hong remained calm, things were in turmoil on the other companies' side!
Seeing HTC's crushing defeat, LG became even more determined and took a more aggressive approach—completely halting production of the Snapdragon 810 version of the LG G Flex 2! They switched entirely to mass production of the Kunpeng 910 version!

Motorola not only postponed the release of the Moto X Pro, but also began developing a version based on the Kunpeng 910.

To facilitate the upgrade to the Kunpeng 910, Motorola's president even visited the headquarters of its parent company, Google.

However, due to the fundamental conflict between Android and XOS systems, parent company Google firmly opposed Motorola using the Kunpeng processor!
As a result, the president of Motorola caused a scene at headquarters several times, with neither side willing to back down.

He even almost got into a physical altercation with the chairman of Google.

Seeing the dismal sales performance of the HTC M9, Google finally relented and agreed to let Motorola abandon the Snapdragon 810 and order the Kunpeng 910 processor instead!
Sony went even further, not only postponing the launch event but also abandoning the Snapdragon 810 version of the Z4 altogether, opting to release the Kunpeng 910 version instead!

Just as some Qualcomm executives speculated, the 150 million Snapdragon 810 chips that Sony sold were downgraded for use in mid-range phones!
Seeing that major competitors have started a series of self-rescue measures and abandoned the Snapdragon 810, Wang Hong has not made much of a move, and many HTC executives are in a state of panic.

Especially in the first few days after the sale started, sales plummeted and continued to plummet.

Many shareholders were completely convinced:

"As expected, the HTC One M9 didn't create a miracle either; it was really screwed over by Qualcomm!"

"Chairman, what should we do? Sales are just not picking up!"

Wang Hong remained calm: "There's no other way but to stop production first, then lower the price for distributors and sell the HTC One M9 as soon as possible to clear the inventory."

"Should we just stop production altogether?" The subordinate was startled. "But we've spent so much money developing the HTC One M9. If we just stop production, wouldn't we suffer huge losses?"

"It's alright, Plan B is in progress. The HTC One M9 with the Kunpeng 910 processor has been under development for a while now and will be released by the end of the month!"

"Released at the end of the month? So fast?" The subordinate was dumbfounded.

He had no idea about this.

The other shareholders were also completely baffled.

Wang Hong laughed: "Actually, the initial plan for the HTC One M9 was to use the Kunpeng 910, which was designed by Xingyi Technology's motherboard design team. Later, Qualcomm came up to us and threatened HTC with patent lawsuits and sales bans, so we had no choice but to switch to the Snapdragon 810."

"But now that the Snapdragon 810 has failed, we've restarted the Kunpeng 910 version, and Qualcomm can't say anything about it!"

"Unless Jacob has no shame!" Wang Hong said through gritted teeth!

"So that's how it is! The chairman is truly wise!" The subordinate exclaimed with deep emotion, secretly thinking to himself:
"This was done very discreetly. Even as the chairman's confidant, I had no idea! I guess they were afraid of leaking information and being targeted by Qualcomm!"

"That's true. Once Qualcomm finds out, they'll definitely retaliate and sue HTC again!"

"Ugh! This is so tough. HTC is having such a hard time!"

The way the other shareholders looked at Wang Hong changed again and again.

What a brilliant tactic of feigning one step while secretly advancing another!

While everyone was worried about HTC not changing its chips, it turns out that the chairman had already started the chip-changing strategy long ago, even earlier than LG!

It can be said that the HTC One M9 equipped with the Kunpeng 910 version will be the first to be launched, even earlier than the LG G Flex 2 with the Kunpeng 910 version!
At this point, several major customers of Snapdragon 810 defected and switched to Kunpeng 910!

This signals the end of the Snapdragon 810; it was already doomed before it even started selling well!
This also signaled the end of Qualcomm's reign as a mobile chip giant, a time when it would never be the same again!
However, the situation is quite different at Xingyi Semiconductor!
Following the disastrous failure of the Snapdragon 810, major brands have turned to the Kunpeng 910 and have increased their orders for Kunpeng 910 chips!

Brands like HTC, LG, Sony, Lenovo, and Motorola each placed orders for several million units, resulting in a massive order of 1500 million Kunpeng 910 chips for Xingyi Semiconductor!

Wang Yi would naturally not refuse this order, nor would he hold a grudge against these major brands for believing Qualcomm's nonsense and abandoning the Kunpeng 910 in favor of the Snapdragon 810!
It doesn't make sense.

As I said before, you need to distinguish between your main rivals and your secondary rivals.

Qualcomm is the main competitor!
Our main adversary must be eliminated first, and dealt with utterly devastatingly!

As for brands like HTC, LG, and Sony, they are unimportant; at most, they are just a few rebellious offspring, nothing more.

But no matter how rebellious a son is, he is still a son, and a father cannot hold a grudge against his son.

Besides, now that these rebellious sons have repented, they're bringing a super deal worth 60 billion to pay tribute to their father. As the father, he naturally has to accept it properly!

The Kunpeng 910 also has a shipping price of 400 yuan per unit. Logically, it should have dropped to 350 yuan after being on the market for almost a year.

However, Qualcomm underperformed, the Snapdragon 810 was a disastrous failure, and the Kunpeng 910 remains invincible, still the strongest chip of the year, so there is no need to lower the price!

Not a penny less, continue selling at 400!
1500 million units, that's 60 billion!
A mega-deal worth 60 billion, a mega-deal that Qualcomm desperately wanted, Wang Yi naturally wouldn't turn it down.

With just this one order, Xingyi Semiconductor's profit exceeded 30 billion!
Qualcomm's Snapdragon 810 needs to be manufactured by TSMC, and the gross profit per unit is only 30%, with the remaining 30% going to TSMC.

The Kunpeng 910 is entirely developed and manufactured by Xingyi Technology, with a gross profit margin of over 60% per unit, which is far superior to Qualcomm's!

Besides, the 14nm Kunpeng 920 is almost in mass production. Why not take the opportunity to sell Kunpeng 910 and clear out inventory instead of leaving a rotten warehouse?

Sell!
We have to sell!
And the quantity is large and plentiful, as much as you want, and we'll ship immediately!

Prices aren't going up at all!
These two months are perfect for clearing out a wave of inventory, and then it'll be the era of the 14nm Kunpeng 920!
Furthermore, Wang Yi intends to acquire all of Qualcomm's clients!

When Qualcomm was at its peak, it treated its customers like dirt, bullying and exploiting them in every way, which caused a lot of complaints from its customers.

Unlike Xingyi Semiconductor, which repays evil with kindness, it is more likely to win the trust of its customers.

Given this stark contrast, most major mobile phone manufacturers will likely choose to form a deep partnership with Xingyi Semiconductor in the future.

Even if Qualcomm's flagship chips make a comeback in the future, it will be difficult to win back these customers.

By then, all major mobile phone manufacturers will have become strategic partners of Xingyi Technology.

Xingyi Technology can sell not only mobile phone chips, but also fast charging modules, HiFi modules, and more!

Xingyi Technology's fast charging modules have been best-selling for years, and the number of customers is increasing.

As a result, in the past two years, 90% of Android manufacturers have adopted the Xingyi fast charging standard for their fast charging solutions.

The remaining fast charging solutions developed by Huawei, OPPO, and Vivo are also compatible with the Star Charge fast charging standard.

There's no way around it; the Xingyi fast charging standard monopolizes 95% of the global market share!
If Huawei, OPPO, and Vivo's fast charging systems are compatible with the StarCharge standard, their progress will be smooth sailing. However, if they are not compatible with StarCharge, they will face significant obstacles.

I can't even buy a fast-charging power bank!

Even Apple recently paid patent fees and purchased a large number of Xingyi Fast Charging 2.0 modules!

With the disastrous failure of the iPhone 6 series, Apple finally realized the reality and had no choice but to lower its stance and start adding fast charging to the entire series.

Qualcomm's fast charging is too slow, and Apple's self-developed fast charging technology can't handle it either.

Apple had no choice but to bow down to Xingyi Technology, pay protection money, use Xingyi fast charging standard, and buy Xingyi fast charging modules!
Moreover, the order was for 5000 million sets of fast charging modules, a total of 1.5 million chips.

Wang Yi naturally wouldn't refuse.

1.5 million fast charging chips, selling for billions, but the cost is only a few hundred million, the rest is profit!
Fast charging chips have lower costs but higher profit margins.

With billions in profits coming from Apple, Wang Yi naturally wouldn't refuse!
Xingyi Technology is doing its best to maintain relationships with these customers.

Even if customers like HTC, Sony, LG, and Lenovo betray him and come back to use Kunpeng chips, Wang Yi will forgive and forget.

Even though Apple is Xingyi Technology's biggest rival, Wang Yi still welcomes anyone who wants to buy Xingyi Technology's fast charging modules with open arms!
The purpose of doing this is not only to make money and seize market share, but also to express an attitude and build a positive image!

To establish Xingyi Technology as a giant with vision, courage, responsibility, and integrity.

(End of this chapter)