Reborn since 1993

Chapter 155: When a whale falls, everything comes alive

In the 1980s, the American Ministry of Justice launched a vigorous antitrust action and split up the global telecommunications giant Bell. As a result, eight Bell companies of varying sizes emerged, such as Bell Canada and other companies. In the early years, Also owned by America Bell Corporation.

When a whale falls, everything rises. The fall of the Bell Empire led to the emergence of a number of telecommunications companies in dozens of states and regions in America.

Telecommunications companies that were spun off from Bell, such as Atlantic Bell, all want to return to the peak of the Bell empire, and privately competition is fierce.

The destructive power of Bell Atlantic's launch of free digital cordless phones with prepaid phone charges is so great that it opened the eyes of the American telecommunications industry. For the first time, they felt like they had not seen each other for a long time. How could the telecommunications industry still do this?

According to the requirements of this activity, users only need to recharge a phone bill of US$150 at Bell Atlantic to receive a Simon brand phone for free; if they recharge a phone bill of US$400, they can receive a Coolpad phone.

As for getting a Shenzhou phone, the cost is slightly higher, and you need to recharge it to US$900!

And if you are a new phone user who opens an account with Atlantic Bell, you can enjoy more discounts.

The telephone industry is different from other industries in that users need to pay monthly regardless of whether they make calls or not. Now if you recharge your phone bill for half a year or a year in advance, you can receive the most fashionable digital cordless phone for free. Don't do it?

Americans who have never experienced this kind of routine have given the answer with practical actions. As soon as the promotion was launched, there was a rare long queue in front of Bell Atlantic's telecom store to deliver eggs to the new supermarket in mainland China. At that time, the long queue was always the same!

After the launch of the event, Atlantic Bell attracted more than 100,000 new registered users in three days. You must know that these are new users. Under America’s fully mature telecommunications system, every time Atlantic Bell adds a new user, it means that other new users will The telecommunications company loses an old customer!

Amidst the ups and downs, the major telecommunications companies are completely jealous of Bell Atlantic. What is the difference between this activity and poaching their lifeblood? Is it something that serious people can do?

In addition to being robbed of new users, what made Sprint, WorldCom, Pacific Bell, Chicago Bell and other telecommunications companies jealous was that within three days, Atlantic Bell grabbed US$1.1 million in pre-deposits from users. !

If these American telecom giants could still hold on, they couldn't hold on after seeing how much money Bell Atlantic had attracted in just a few days.

You should know that when these pre-deposits of phone bills enter Atlantic Bell's account, they are basically regarded as Atlantic Bell's revenue, although the phone bills six months or even a year later are collected in advance.

But in the next quarter, Atlantic Bell's revenue will explode. With this huge income, Atlantic Bell will be able to get large profits whether it invests in other projects, acquires companies, or deposits in the bank.

How Wall Street views the activity launched by Atlantic Bell in conjunction with Shenzhou Telephone and Atlantic Bell's stock price illustrates everything.

Although he was praised by the media, Raymond also knew how to measure when he was interviewed by the media. Now Shenzhou Phone is very important to Atlantic Bell. If he can exclusively cooperate with Atlantic Bell for one more day, Atlantic Bell can get more. A large number of newly registered users and huge pre-deposits of phone bills.

The significant price cuts of Coolpad and Simon have made these two brands popular in retail stores such as Best Buy, Target, and Costco. After all, no matter how much advertising is done, price is the most important!

Although Shenzhou did not cut prices, the sales of Coolpad and Simon still boosted Shenzhou's sales. Moreover, the price cuts of these two brands further highlighted Shenzhou's position in the field of high-end digital cordless phones.

"This project was proposed by Shenzhou Telephone. Atlantic Bell Company is very happy to cooperate with Shenzhou Telephone on such a project. Atlantic Bell and Shenzhou Telephone will be the best partners!"

The price reduction, coupled with the joint event with Bell Atlantic, has caused the sales of the three major brands of Shenzhou, Coolpad and Simon to continue to skyrocket. After exceeding 64 units in a single day, the Shenzhou series of phones has attracted many customers in America and overseas. Attention from media in electronics, finance and other industries.

In addition, America is a country where the middle class is the main consumer. When these users buy things, they prefer to buy "high-end goods" to show their taste in life. Shenzhou's brand positioning is in line with their thoughts. .

Many people just stick to this one. For one product, many brands have reduced their prices, but the one that does not reduce their prices will be considered to be of higher quality than Bige.

In just a few days, Atlantic Bell's stock price took off, rising by more than 15%. All major Wall Street investment institutions raised Atlantic's revenue forecasts for the next quarter, and the stock prices were all bullish!

With just one event, users, revenue, and stock prices all soared. The impact of Atlantic Bell's recharge and free phone bill campaign has exceeded the imagination of the American telecommunications industry. Raymond, President of Atlantic Bell, has said in recent days that Within a short period of time, it was also blown to the sky by the company's board of directors and the media.

And under the spotlight, Shenzhou once again sold 79 machines in the American market on a single day, completely detonating public opinion!

"Shenzhou and its brands Coolpad and Simon have set a record of single-day sales exceeding 91 units in North American markets such as America, Mexico, and Canada!"

The Wall Street Journal has once again set its sights on Shenzhou. Just a few months ago, the Wall Street Journal published an article claiming that Siemens had gained the advantage of America's digital cordless phones. However, the Wall Street Journal probably did not expect that such a slap in the face would come. Quickly, Shenzhou was actually overturned.

"Faced with the price war started by Shenzhou phones, Siemens is somewhat unable to fight back. Middle-class and above families prefer Shenzhou with higher prices. In the mid-range and mass markets, Coolpad and Simon have established an absolute price advantage, especially with the current Simon The selling price of the phone is already close to the production cost of Siemens phones.

The only thing that is uncertain now is whether the price war started by Shenzhou is due to marketing losses, or whether it has really established an advantage in cost and developed breakthroughs in key components such as phone chips! "

The Wall Street Journal pointedly pointed out that the price war started by Shenzhou Phone is to make money at a loss. It sells one machine and loses one, or it develops its own chip components and reduces production costs.

There is a huge difference between the two. If it is the former, then a price war like Shenzhou Telephone cannot last long. If you kill one thousand enemies, you will lose eight hundred. The more you sell, the more you will lose. In the end, you will not be able to play anymore. Went down.

And if it is the latter, let alone the digital cordless phone market, the global landline phone industry is expected to completely change!

If Dongxin Semiconductor, the parent company of Shenzhou Telephone, developed a phone chip, then with domestic labor, resources and large-scale production advantages, any phone chip manufacturer in the world, whether it is Toshiba or Hitachi , Siemens' Infineon, etc. cannot compete with Dongxin Semiconductor at all. The global landline phone chip market will be snatched away by Dongxin Semiconductor!

As soon as the Wall Street Journal report came out, not only Siemens, but also other chip manufacturers such as Panasonic, Philips, General Electric, Telephone and Telegraph, and Toshiba, Infineon, Hitachi, and Texas Instruments wanted to enter the digital cordless phone market. They all also cast their gaze over.

"Impossible, absolutely impossible, how could they develop a phone chip!"

In the Siemens office building, Thomas, with red eyes, cheered up all the managers of Siemens Telephone America. In fact, he was also cheering himself up.

In less than a week, the so-called advantage Siemens had established in America collapsed. Daily sales dropped from a peak of more than 400,000 units to less than 80,000 units today.

On the other hand, sales at Shenzhou Phone are growing like crazy. Thomas can only bet now that Shenzhou Phone is losing money and making money, rather than developing a phone chip. Otherwise, Siemens will never be able to come back in this battle, Simon The selling price is the same as the cost of Siemens, so how can we beat this? !

"This price reduction strategy will definitely not last long on the Shenzhou side. We still have a chance!"

Looking at the hysterical Thomas, Compton, who was in charge of the consultant, had a sad look on his face. As a person from a consulting company, relying on his opponent to win is actually a defeat.

As a consulting company hired by Siemens, if Siemens fails, AXA Consulting will be disgraced. As the person in charge of AXA Consulting, Compton, even if he does not have to take the blame, will probably have nothing to lose for a long time. The company is willing to cooperate with him.

Just when Thomas made a categorical claim that Shenzhou Phone could not develop its own chips and that such price reductions could not last long, Shenzhou Phone successively announced that it would cooperate with Bell Canada, Telecom Mexico, Pacific Bell of California, and Texas Telecom Southwestern Bell reached a cooperation with Southwestern Bell, and then these telecom giants announced the launch of a campaign to give away digital cordless phones by recharging phone bills.

Cooperating with more telecom giants, the sales of Shenzhou, Coolpad, and Simon began to soar further, and the single-day sales in North America directly exceeded one million units. The scenario that Thomas hoped for the Shenzhou phone to lose money and be unable to continue to operate, not only did not happen, but on the contrary The selling continues.

At this moment, a news report from Nippon Tokyo Finance attracted the attention of countless people, and was subsequently spread wildly by media in Hong Kong and mainland China.

"According to a source from Toshiba Semiconductor, the world's largest digital cordless phone manufacturer, Donglin Hi-Tech, the parent company of Shenzhou, Coolpad, and Simon, rejected Toshiba Semiconductor's request for another price increase for phone chips!

It also informed Toshiba Semiconductor that after the end of the contract, it will no longer purchase new phone chips from Toshiba Semiconductor. At present, Toshiba Semiconductor President Tsuyoshi Kawanishi has not made a statement on this matter! "

(End of this chapter)