What's wrong with me being a rich man?

Chapter 680 Win-Win (4k)

On June 10th, the four-day Carbon Silicon Technology Day brought a lively atmosphere to Lingang.

In the past, the most common vehicles here were logistics vehicles and test vehicles. Today, however, there are different fleets of vehicles from different industries, guests, and media, all observing and participating in the development of silicon carbide.

Although named after "silicon carbon," the Silicon Carbon Technology Day actually encompasses three different areas: Silicon Carbon Group will discuss open-source systems, Silicon Carbon Data will talk about the future plans of Douyin (TikTok), and there is also the International Conference on Deep Learning, which led to this grand event.

The three themes are all quite noteworthy in their respective fields, but this also means that the guests are not very familiar with each other.

For example, Xia Yan, the president of XPeng Motors, had no idea about carbon silicon data or deep learning. When he heard other people's names at the sign-in meeting, he could only look on with awe and disbelief. But He Xiaopeng was more familiar with both fields. After all, he is now a person who is proficient in both cars and the Internet.

However, signs of internal changes have emerged at XPeng Motors in Lingang, which has made He Xiaopeng look serious most of the time, as he is mainly thinking about the functions he should assume in the company.

To be honest, he was a bit lost. On the one hand, he had only recently joined the company and had no experience in the automotive industry. On the other hand, XPeng Motors needed to quickly launch its vehicles to the market, seize its market position as soon as possible, and build brand awareness for its new energy vehicles. This was both an internal company decision and a source of pressure from investors.

In this situation, how you move definitely requires your wrist.

"Mr. He, hey Mr. He, what are you thinking about?" Xiong Xiaoge, the head of IDG, patted He Xiaopeng on the shoulder from the side and said with a smile, "What important thing are you thinking about that makes you so lost in thought?"

He Xiaopeng snapped out of his daze and shook hands with Boss Xiong: "Boss Xiong, now that you're here, I've been thinking about how to get close enough to you to start a conversation."

Xiong Xiaoge burst into laughter.

He is indeed very comfortable in this kind of setting. Unlike the middle and senior management in their respective fields, as an investor, he often travels in different directions and naturally knows all sorts of people. Whether it's new energy or mobile internet, including deep learning experts like Yu Kai and Andrew Ng, he can chat with them enthusiastically.

"Mr. He, did you bring your car with you to Lingang this time?" Xiong Xiaoge asked cheerfully.

He Xiaopeng was a little confused: "Also? Why is it 'also'?"

Xiong Xiaoge turned his head and looked around twice, but did not see the person in question. He replied, "Mr. Li from NIO brought his EP9 here, saying that he wanted to give it to Mr. Yu. It is NIO's No.1. I heard him say that only six or seven EP9s will be built initially, and the others will be reserved for the six investors. The EP9's supercar appearance is quite good."

The EP9 is NIO's first model, touted as a mass-produced pure electric supercar, costing over $120 million. Li Bin plans to give the first few produced vehicles to investors such as Pony Ma, Liu Qiangdong, and Zhang Lei.

This is naturally a publicity stunt, an attempt to build a positive image.

It's perfectly reasonable for investors to accept gifts, but for silicon carbon... Li Bin said it was to thank President Yu for open-sourcing the technology patents and to thank silicon carbon for pioneering the domestic new energy market, which is also a perfectly legitimate reason.

Furthermore, choosing to give them away on Silicon Carbon Technology Day is also a form of promotion.

After hearing Xiong's description, He Xiaopeng opened his mouth, speechless...

How come Li Bin is so good at handling things?
Compared to others sending supercars over in a grand manner, sending a mule cart over seems like a hassle.

He Xiaopeng said somewhat shyly, "I did bring a car, but I asked President Yu to help me find the problem."

Xiong Xiaoge nodded with a smile and said, "Then you've come to the right person. President Yu is top-notch at finding problems."

He Xiaopeng sensed the similar thoughts behind Xiong's words, and on a whim, he pulled Xiong aside and told him about the situation that Xiaopeng Motors had encountered here.

He's not like Xianglin's wife; the company has a great need for financing, and IDG has long been interested. If things go smoothly, IDG will be among the first batch of investment institutions by the end of the year. In addition, it's common knowledge that Mr. Xiong and Mr. Yu have a close relationship.

As Xiong Xiaoge listened, he became more and more serious.

He kept turning his thoughts around, not thinking from a technical perspective, but bringing an outside viewpoint.

“Mr. He, there’s something you might be thinking about wrong. XPeng’s cars don’t need to be driven by a quick launch. In the current new energy vehicle market, silicon carbide has already proven that it can be made.” Xiong Xiaoge said slowly, “Compared to speed, investors prefer to see good results. And because of the success of silicon carbide, they will be willing to give you more patience.”

This is a change in the investment field.

Silicon Carbon Group's market performance over the past year and a half has proven the feasibility of entering the market from the high end. This achievement has changed people's perception of the success of new energy projects from one of skepticism to another, prompting them to look for projects that are likely to capture different market ecosystems.

This psychological change only lasted for a few months.

He Xiaopeng's eyes lit up: "What President Xiong said makes sense."

He believes that this idea from a top investor will alleviate a lot of external pressure, so now he only needs to focus on internal issues.

“Mr. He, Mr. Yu used to tell me that car manufacturing is a systematic project, and to do a good job, you must first have the right tools,” Xiong Xiaoge continued. “Before the project was officially launched at the Silicon Carbon Group, do you know how long he led a team to conduct research in China?”

He Xiaopeng shook his head.

“More than half a year,” Xiong Xiaoge said with a smile. “He led a team to investigate the domestic supply chain. We were all getting anxious, but he was still looking around. The question you had to consider was: if we don’t establish a solid framework for the company now, will there be problems later?”

After pondering for a moment, He Xiaopeng said, "The car hasn't even been finalized yet, and there's no mass production. We already have procurement issues. If we don't handle this well now, there will probably be even more problems later."

Seeing He Xiaopeng's reaction, Xiong Xiaoge nodded with pleasure.

He pondered and said, "There needs to be checks and balances within the company. We can't put all the power in the hands of a few people. That's good for everyone. If you want checks and balances, you probably need to take charge of the audit, finance, and internal control departments now. Don't let them compromise just because the car needs to be launched quickly. Pre-approval, in-process supervision, and post-evaluation—that's the process. It just depends on whether you're willing to be determined to stick to it."

Xiong Xiaoge glanced at He Xiaopeng, who seemed to be deep in thought, and said, "Even if you want to be a nice guy, there's an opportunity right in front of you. You said that President Yu could organize joint procurement, which is a very effective solution."

"Regarding the battery issue you mentioned, CATL isn't allocating production capacity to you. You should have Mr. Yu take you there to discuss it together. You'll definitely be able to reach an agreement. They've already started joint ventures to build factories."

He Xiaopeng hesitated and said, "I heard that CATL and silicon carbide have had some disagreements on the battery route."

"Cooperation outweighs differences, otherwise we wouldn't have formed a joint venture," Xiong Xiaoge said earnestly. "Carbon silicon is number one in the domestic new energy vehicle market. CATL will give face to Mr. Yu regardless of anyone else. Last year's sales of 8.25 units speak for themselves, and this year we are sure to break 10 units. This represents half of the domestic new energy vehicle market, and we are determined to completely rewrite the landscape of the domestic automotive industry. Mr. Zeng from CATL will also be here this time."

Xiong Xiaoge believes that what he said is not an exaggeration, but a factual observation. The success of the Silicon Carbon Group is not only of industrial significance, but also of political significance. It is now a rapid advance in the industry and the market.

As far as he knew, right after Mr. Yu's identity as a major short seller was exposed, a leader from above said that the supply chain would give priority to cooperating with silicon carbon, not to mention the preferential treatment given to local governments.

For example, Zhejiang Province continued to provide local subsidies of the same scale as last year for factories in Ningbo that had not yet officially started construction, even though this was different from the phase-out policy planned by the higher authorities, and they turned a blind eye to it.

Xiong Xiaoge then said, "Joint procurement is beneficial to both of you, but we came here to discuss that open-source silicon-based OS, right? I think that's pretty good too, Mr. He, you can consider it."

Hearing this, He Xiaopeng smiled and said, "President Xiong, you truly deserve to be a shareholder of silicon carbon; you think about everything." "Anyway, President Yu said it's good. What he wants to call it..." Xiong Xiaoge recalled what he said, "Yes, it's called the SiOS In-Vehicle Open Source System Industry Alliance. He said it can significantly reduce the adaptation costs across the industry chain. If everyone works together, we can definitely reduce costs. Isn't this kind of cost reduction more beneficial to car owners than cutting corners on glass quality?"

He Xiaopeng remained silent.

After a moment, he shook his head: "President Yu has ambition, but major car companies won't follow suit. If we want to develop intelligent systems in the future, we also need to consider the core data involved."

Upon hearing this, Xiong Xiaoge said firmly, "I believe that President Yu can consider this situation. President He, I sincerely say that instead of thinking about the so-called core data of intelligentization in the future, we should first do our best in the current situation."

He Xiaopeng suddenly hesitated again about the open-source system.

He realized his hesitation in the next instant, and rubbed his face helplessly. The less control he had, the more he lost control.

However, joint procurement of common parts is indeed beneficial, as parts such as automotive-grade chips, automotive-grade sensors, LED beads for high and low beam headlights, turn signal modules, and high-voltage common safety components can be purchased at lower prices.

Seeing that He Xiaopeng was clearly still pondering, Xiong Xiaoge greeted him and went to find President Yu.

He wandered around for a while before spotting President Yu chatting with Li Song outside.

Xiong Xiaoge's expression hardened slightly. After a brief exchange of pleasantries, she said to Li Song, "President Li, you have to do a good job. You can't let down the investors' trust."

Li Song was somewhat puzzled by Xiong's tone, but naturally could only agree.

He bid farewell to President Yu and turned to find his wife, who was also chatting with various guests.

Looking at Li Song's retreating figure, Xiong Xiaoge asked President Yu, "President Yu, do you really think the probability of Britain leaving the EU is higher? There are only two weeks left until the vote, and the international consensus is that Britain will not leave the EU."

The UK's Brexit referendum was held on June 23.

Many prominent think tanks believe that Britain's move is an attempt to leverage its position in the EU to secure more favorable membership terms, rather than a genuine intention to leave the EU.

However, the quietly listed Peak Fund is currently using some of its funds in the direction of a successful Brexit.

Yu Xing didn't explain the reason, only the consequences: "If you make a mistake, then I'll come out of retirement and short sell to support you."

Xiong Xiaoge: "..."

It sounds like Mr. Yu is actually quite accepting of this outcome, implying that there are still short-selling targets ahead of the mountain peak.

He couldn't help but say, "Mr. Yu, who's manipulating the market this time? Just tell me, and in what direction? I want to see if I've bought any related stocks. Also, your 'Guoshanfeng' stock is still being watched by countless people!"

“It’s not like we have to use a big account like Guoshanfeng. We can use a smaller one,” Yu Xingxian said, adding, “Don’t ask me about stocks. We need to comply with regulations.”

Xiong Xiaoge said irritably, "Why are you pretending with me?"

Yu Xing shook his head: "Who knows if you have a recording pen in your pocket? All my short selling is based on laws and regulations. Whether it's funds or short selling, we all earn compliant wealth."

Xiong Xiaoge retorted sarcastically, "You're judging others by your own standards!"

Yu Xing shrugged: "If you want to ask about the fund, go ask Li Song, go ask the people in Hong Kong. I'll just focus on doing my job well."

Xiong Xiaoge suspected that the current operating strategy of Mountain Peak Hedge Fund might be greatly influenced by Xu Xin, and the fact that Li Song was able to get there proved her influence behind the scenes.

After a few seconds of silence, he recounted He Xiaopeng's previous hesitation and communication, and finally asked for his opinion on investing in XPeng Motors.

“All gasoline car manufacturers have a basic interest base. Companies like XPeng and NIO at least have money and are actively trying to make new energy vehicles successful,” Yu Xing said. “I did test his mule car very seriously. There were quite a few problems, but as a trial, it was not bad.”

Xiong Xiaoge laughed and asked, "Did you tell him this assessment?"

Yu Xing shook his head: "This is something we're discussing privately, about the possibility. Whether or not you can actually apply is something you need to research yourselves. But given the general trend, it's not only 90 points that guarantee success; even 70 points can be quite good."

Xiong Xiaoge greatly appreciates President Yu's objective attitude.

He said, "If that's the case, then it depends on how He Xiaopeng handles this matter. At least he should get the battery sorted out. How can people feel at ease if the battery isn't sorted out properly? Can he use lithium iron phosphate batteries?"

Yu Xing shook his head again and said simply, "Pure electric vehicles have a different positioning."

After pondering for a while, Xiong Xiaoge understood the issue of energy density requirements.

He thought about He Xiaopeng's hesitant face and figured it would be quite a while before things would turn out.

However, to Xiong Xiaoge's surprise, He Xiaopeng held a small meeting of core senior executives at the hotel that evening, before even waiting until the next day, and finally brought up the issue of internal procurement in person.

He Xiaopeng raised the issue, Xia Yan remained silent, He Tao offered an explanation, and Yang Chunlei tried to smooth things over, but all three unanimously opposed changing course at this time and abandoning the battery project with China Telecom.

“Mr. He, we have already signed a contract with China Telecom, and the Haima factory is also working on the adaptation.” Xia Yan advised, “We can’t just accept whatever Mr. Yu says. This is XPeng Motors, not his Silicon Carbon Group.”

He Xiaopeng sighed and said with unusual firmness, "The battery issue needs to be completely overhauled. Otherwise, I think I should resign as chairman."

He Tao stood up: "President He, I think I should quit being the vice president. What's the point? Let's just part ways."

He left the room directly.

Xia Yan tried to persuade him again, but Yang Chunlei chased after her.

The next morning, Xiong Xiaoge learned about the situation from He Xiaopeng and suddenly became worried that Xiaopeng Motors might suddenly crash and die in Lingang...

He offered a suggestion: "Mr. He, don't put pressure on yourself. Shift the blame to Mr. Yu. Say that he or Hongjun wants to invest, but they have investment requirements. There's an internal conflict to resolve, and it's all Mr. Yu's fault."

He Xiaopeng frowned: "Is this a good idea?"

Xiong Xiaoge nodded in confirmation: "No problem. President Yu's reputation is what it is anyway. A lot of lice won't itch, and it's not surprising that the short sellers are bad."

(End of this chapter)