Reborn since 1993

Chapter 565 Troubled Times
It's not just Shougang NEC that is envious of Donxin. Even Huajing, the big brother of the domestic semiconductor industry, was a little upset when they saw the news that Donxin's own chip factory had started construction.

After so many years of hard work, Huajing finally achieved mass production, but it became outdated as soon as it was built. Now Huajing's most advanced production line is only 6 inches, and its main production lines are still 4-inch and 5-inch production lines introduced from Japan and Germany. But no matter whether it is 4-, 5- or 6-inch production lines, looking around the world, they are all second-hand production lines that have been eliminated from abroad.

In the past few years since its establishment, no matter what the global semiconductor market conditions were like, Huajing has been losing money every year because of its technology and production capacity. It is destined to only be able to take some marginal chip orders. It cannot get the lucrative orders and it cannot do anything. It is basically certain that it is expected to lose at least 100 million this year.

Seeing that its younger brothers behind it were surpassing it one by one, Dongxin directly launched an 8-inch chip factory. How could Huajing, which was still struggling with the 6-inch chip factory, not be overwhelmed?

Especially the general manager of Dongxin, Wu Xinyi, who is a senior general from Huajing. This makes Huajing particularly embarrassed. After all, Wu Xinyi's performance in Huajing was like that of turning the tide at Dongxin.

The comparison between the two made Huajing speechless, but Huajing dared not say anything and had to congratulate Dongxin, because a large part of Huajing's orders came from Dongxin Semiconductor!

The Hanxi media praised the Dongxin Hanxi chip factory project, but other media were not so enthusiastic.

Especially now the mainstream media's voice is that it is better to buy than to make. In addition, since they have not experienced the dilemma of not being able to buy overseas chips, many domestic media are somewhat indifferent to Dongxin Semiconductor's move to develop the entire chip industry chain.

This approach of doing everything by yourself, from design to research and development to production, makes it even more unique.

"Dongxin Semiconductor's approach of covering the entire industry chain is doomed to be outdated. Global division of labor is popular now, and each company has its own positioning and strengths. If you bite off more than you can chew, Dongxin will suffer in the future if it adopts a backward model!"

On a TV station, a guest commentator believed that Donxin was cutting itself off from globalization. Donxin, with its entire industry chain, technology and price, had no advantages at all compared to manufacturers like Intel!
"Our newspaper interviewed several computer brands, and they all took a wait-and-see attitude towards Dongxin's self-produced chips. A purchasing manager of a computer brand in Yanjing who did not want to be named claimed that he would not consider purchasing chips from Dongxin.

Because we are concerned about the performance and stability of Dongxin's self-produced chips and don't want to lose user reputation! "

Jiangnan Metropolis Daily interviewed several domestic computer brands, and they all expressed different opinions on whether they would purchase computer chips from Dongxin in the future.

There is also a computer manufacturer that has directly announced in the industry that it will never purchase chips from Dongxin. Everyone in the industry knows who this computer brand from Yanjing is!

Regarding Donxin's plan to build a chip factory, the semiconductor, computer and other technology industries are generally taking a wait-and-see attitude.

Some are even more pessimistic, believing that Dongxin's chip factory may be like the previous domestic chip factories, which are all big noise but little action. They received a few subsidies, borrowed money from banks and burned it all, and then slowly disappeared...

But no matter what the public opinion is, or whether people are optimistic about the start of construction of the Dongxin Hanxi chip factory, Dongxin is now the only seedling in the domestic chip industry, and it also represents the ceiling of the domestic chip industry's self-developed technology. Whether you are optimistic or pessimistic, Dongxin is there!
……

"Look up at the sky, and you will eventually reach the stars"

This is the slogan hanging at the entrance of the Dongxin Chip Factory office. When Chen Liwu came in, he couldn't help but stop and take a few more glances.

The Dongxin Hanxi Chip Factory is now a construction site. Dongxin Semiconductor has vacated an office building for Lin Qijian's team to use, and they will move there after the chip production base is completed.

"This is the slogan proposed by Mr. Li for the chip factory!"

Wu Xinyi saw Chen Liwu stop and said something to him.

Chen Liwu retracted his gaze and said, "This slogan is very suitable for the current Dongxin Semiconductor!"

When Chen Liwu and Wu Xinyi went in, they saw Li Dongling having a great conversation with Zhang Ailun, who represented Goldman Sachs.

"I hope I didn't disturb your pleasure?"

Chen Liwu said to Li Dongling and Zhang Ailun with a smile.

Zhang Ailun smiled and shook his head. His Mandarin had a slight foreign accent, but it was not obvious. This time, Goldman Sachs was very fast.

After Chen Liwu contacted Goldman Sachs, Goldman Sachs sent Zhang Ailun, who was responsible for investment in the technology field at Goldman Sachs, to China.

After reviewing the chip factory project, Goldman Sachs decided to invest without any hesitation and agreed to invest in the project.

"I just told Mr. Li that Goldman Sachs had long wanted to cooperate with Dongling Hi-Tech, but unfortunately, it didn't get the chance before!" Zhang Ailun said. In fact, Goldman Sachs' investment in Dongxin this time was only partly due to its optimism about the Dongxin project, and the other large part was due to Dongling Hi-Tech!
Goldman Sachs doesn't care much about the success or failure of a chip factory, but it cares a lot about Dongling Hi-Tech. For this reason, Goldman Sachs is willing to start cooperation with Dongling Hi-Tech even if it really loses money on the chip production base project.

In the eyes of Goldman Sachs, Dongling Hi-Tech is a piece of fat meat, no less than Samsung, Hyundai and Daewoo of South Korea, which Goldman Sachs has long coveted.

"In the future, I will represent Goldman Sachs and be stationed in Hanxi, responsible for the Dongxin chip project and other investment projects of Goldman Sachs. I hope to have more cooperation with Dongling Hi-Tech!" Zhang Ailun said to Li Dongling.

"There will be a chance. I think that day is not far away!"

Li Dongling also said with a double meaning that Goldman Sachs is a ferocious tiger, and cooperating with it is tantamount to seeking the skin of a tiger, but Goldman Sachs does have a lot of US dollars, connections, and resources, which are in short supply in Dongling Hi-Tech.

At the latest in the next two years, the Cyberport company established by Dongling Hi-Tech in Hong Kong will try to take over Hong Kong Telecom. By then, it will need a lot of cash. If Goldman Sachs is brought in, it can alleviate a lot of pressure.

As for who will win or lose in the end between Dongling Hi-Tech and Goldman Sachs, it depends on who has better skills. No one dares to claim victory easily until the very end.

However, as long as Goldman Sachs joins the game, Li Dongling is prepared to take advantage of the Internet craze, operate Cyberport in Hong Kong and list it, and then invite Goldman Sachs to join the game.

You can't fool Goldman Sachs by just fooling them. You have to make them tempted. Money is dazzling. It will depend on whether Goldman Sachs wants the soaring Cyberport shares or US dollars. It all depends on how experienced Goldman Sachs is!
"For the Dongxin Hanxi chip factory project, we must all reach a consensus in the future. The Hanxi side will be handed over to Dongling Hi-Tech and Hanxi Guotou, and the American side will require Walden and Goldman Sachs!"

Li Dongling looked at several shareholders of the Hanxi Chip Factory in front of him. Bringing in Walden and Goldman Sachs was equivalent to forming a community of interests.

From now on, Walden and Goldman Sachs will purchase the R&D, production equipment, technology, and patents that Dongxin needs overseas for Dongxin Semiconductor. When there are bills targeting Dongxin, they will also be needed to do public relations for Dongxin!

In the future, if Dongxin is listed on NASDAQ, a group headed by Goldman Sachs will emerge in America with interests related to Dongxin.

The higher Donxin's revenue and stock price are, the more institutions like Goldman Sachs will support Donxin. If one day Donxin becomes a leader in AI computing chips like Nvidia in its previous life, and its stock price soars to the sky, then at that time, if America wants to target Donxin, the first to get anxious will probably be Goldman Sachs and other Wall Street institutions that have invested in Donxin!
Things like Dongxin being banned from selling chips and being fined by the American Trade Commission are not Dongxin's turn to be anxious, but Goldman Sachs is probably going to be angry.

Fortresses are always breached from within. It is unrealistic to expect Dongxin Semiconductor and Dongling Hi-Tech to fight against the American Empire. But if there are a bunch of traitors inside the company, all of whom have a vested interest in Dongling Hi-Tech, then by then, it will be an internal fight among themselves. When the traitors deal with their own people, they are really ruthless!
……

At the Pingyang Dongling Hi-Tech headquarters, Li Dongling had just returned to Pingyang from the provincial capital. Before he could rest, he received the news that the Wassenaar Arrangement had been established.

"From November 1996, 11, 1 countries including America, Japan, and the United Kingdom will formally implement the Wassenaar Arrangement, which will impose control lists and information exchange rules on member countries..."

Watching the news on TV, everyone at the Dongling Hi-Tech headquarters was silent. This agreement will have a significant impact on the future of Dongling Hi-Tech. It will probably be more difficult to obtain overseas technology and equipment in the future.

At this moment, countless domestic technology companies have also seen this news, and their reactions vary. The Wassenaar Arrangement does not specifically target China, but it is not difficult for it to target China if it wants to!
Technology companies that want to conduct self-development all know that if they want to obtain overseas technology and equipment in the future, they don’t know how much they will have to pay, or they may not even be able to buy them at all.

Of course, for some manufacturers who rely on purchasing overseas parts and components for assembly, this is actually good news. Once the Wassenaar Arrangement comes out, it means that if domestic companies do not have overseas channels, it is basically impossible to purchase products and equipment from overseas.

These domestic agents of overseas brands and parts can now do their own unique business, sell at higher prices and earn more!
"When the enemy comes, we will fight him; when the water comes, we will block it with earth. We still have to keep going!"

Li Dongling shook his head and said, then he said to Ren Yuefeng, Hu Zixian, Zhang Ao, Gao Peng and others, "The technical department has completed the final test of the Shenzhou electronic dictionary. The production department will start trial production of the electronic dictionary from now on!

The marketing department has now started promoting electronic dictionaries and notified channel partners to prepare to start stocking up. Dongling Hi-Tech will now start promoting electronic dictionaries with all its strength!
Dongling Hi-Tech has not launched any new products this year. I am afraid that the outside world has forgotten about Dongling Hi-Tech. It is time for the outside world to see Dongling Hi-Tech again!"

"Yes!"

Ren Yuefeng and others responded in a deep voice. After the crowd dispersed for a while, the originally quiet Dongling Hi-Tech headquarters suddenly stood up like a sleeping giant, and all major departments became visibly noisy.

Next came the Dongling Hi-Tech Electronic Industrial Park, and then the industrial chain companies that supplied parts to Dongling Hi-Tech, all of which began to operate like precision instruments.

When Dongling Hi-Tech's channel dealers and distributors heard the news that Dongling Hi-Tech was launching a new product, all the flights from domestic cities such as Yanjing, Shanghai, and Yangcheng to the provincial capital of Hanxi were sold out in less than an hour, and train and bus tickets to Pingyang also suddenly became tight.

(End of this chapter)