The car giant started by marrying the daughter of the king

Chapter 427 The eldest and the second brother didn't take action, but the younger brother couldn't help it first
"Boss Jiang, a lot of people have been asking me about the company's news recently."

"Some of it is just trying to figure out what we want to do."

“Some of them seem to want to work in our company.”

"And some may have ulterior motives behind this."

“I think the company needs to find a way to get the equipment back as soon as possible when it comes to equipment procurement.”

"I'm worried that someone will cause trouble."

Zhang Shaohua has been very busy recently.

There are so many things a semiconductor company needs to do when starting from scratch.

Even when he joined Lingnan Semiconductor, he brought several of his direct subordinates to help, but he was still a little overwhelmed.

A lot of things are collected in his hands every day.

If it's just being busy, then there's nothing wrong with it.

He was worried that someone would cause trouble.

"Are the people calling you all from domestic semiconductor manufacturers and research institutes?"

Jiang Hui was not in a hurry.

It is normal that many people are paying attention to the sudden emergence of Lingnan Semiconductor.

But most people cannot influence the development of Lingnan Semiconductor.

This is no longer the case when the BMW Group was first established and we have to be cautious in everything we do.

The BMW Automobile Group, invested by BMW Technology, is now China's largest export-earning enterprise. It has also directly provided employment for tens of thousands of people and indirectly provided employment for more than 10 people.

In addition, the BMW Group has now been regarded by its superiors as a model enterprise for reform and opening up, and is not afraid of ordinary people causing trouble.

Of course, it would still be a bit uncomfortable if someone was so shameless as to disgust you.

"Yes, all the influential semiconductor factories and research institutes in the country are asking about it."

"Especially the people from Factory 734 and Institute 1424. Anyone who has a way to find our phone number can't help but call us to get through the news."

"It's become a conditioned reflex when I hear the phone ring now."

Zhang Shaohua is actually quite satisfied with the current situation.

Although the various phone calls these days have caused him some trouble, they have also brought him some special experiences.

He hasn't felt the feeling of being valued and envied by others for some time.

In the former Factory 734, he, as the deputy director, was in charge of several unimportant departments such as archives and trade unions, and his influence was not as great as that of the head of a department.

It is a very uncomfortable feeling that your level is higher but your influence is not as great as human love.

It’s like a leader from another province goes to a ministry to do some work. If your level is two or three levels higher than theirs and they don’t want to pay attention to you, they will still have various ways to make you uncomfortable.

The key is that you don’t dare to retaliate.

Because you never know when you will have to come to this department to do business next time.

If your reputation is ruined, people will have plenty of ways to make things difficult for you.

"When people come to you for information, just tell them openly about our company's treatment."

"As long as they are talented people in the semiconductor industry, we are open to anyone who comes, the more the better."

Zhang Shaohua was delighted when Jiang Hui said this.

This really means that the power of personnel recruitment should be delegated to him.

Although it may only be the right to recruit, the impact is huge.

"Boss Jiang, if anyone asks me for information again, I will tell them our benefits truthfully."

"As for the import of equipment, I won't say much until the production line is officially built."

"Make trouble out of nothing."

Jiang Hui certainly had no objection to Zhang Shaohua's way of handling the matter.

……

People in China are paying close attention to the establishment of Lingnan Semiconductor. In fact, some companies abroad are also paying attention to it.

"President, China has recently made quite a stir in the semiconductor industry."

"Their newly established Lingnan Semiconductor is preparing to import 4-inch wafer production equipment and 3-micron chip processing equipment from the United States."

"In the future, we will not only produce chips used in industrial products such as automobiles, but also export them to the international market."

"More than a decade ago, the technological level of China's semiconductor industry was higher than that of our country."

"They have fallen behind in recent years, but if they catch up, they may catch up with us."

As the head of Samsung Electronics' marketing department, Kim Tae-hyun pays close attention to the development of the semiconductor industry in major markets around the world.

Especially in East Asia, he attached great importance to the situations in Korea, China, Japan, Southeast Asia and other places.

Thanks to the strong support of relevant Korean departments, various universities, research institutes and enterprises have vigorously entered the semiconductor industry, and their technological level has also improved rapidly in recent years.

Although there is still a big gap between China and America and Japan, it has successfully surpassed China.

As the leading semiconductor company in Korea, Samsung Electronics has invested a lot of manpower and resources in its development.

Especially in the memory field, the price of memory in the international market has been falling rapidly in recent years, but Samsung Electronics has been maintaining the pace of capacity expansion.

In the end, Samsung Electronics completed a counterattack and transformed from a latecomer into a world-leading semiconductor company.

Even though Samsung mobile phones have lost the Chinese market, they are still among the best-selling in the world.

The fundamental reason is that they have mastered the entire industrial chain of the mobile phone industry.

From chips, memory to screens and batteries, they can all be handled within the group.

The cost competitiveness of this model is absolutely amazing.

A company that adopts a similar model is China's BYD Auto.

Among all automobile companies, BYD Auto has the highest proportion of self-made parts.

Most of the parts can be produced by ourselves. Even if some of them are not produced by ourselves, it is not entirely because of lack of technology, but because some of them are not suitable for investment.

For example, tires and glass are not produced by individual automobile manufacturers themselves.

But as long as you have the final say, you can switch parts between multiple tire factories and glass factories at will, and give production to whoever offers the lowest price. The final cost is also completely controllable.

That’s why their prices can be lowered again and again, constantly refreshing everyone’s cognition.

Of course, they also constantly backstab old car owners.

"The semiconductor equipment that China has imported in recent years is all second-hand equipment purchased from the United States, and the technology is definitely backward."

"We don't need to pay too much attention, right?"

Li Jianxi had just become the president of Samsung Electronics, and he was eager to lead the company to catch up with the technological level of Japan and the United States.

He doesn't really pay much attention to the semiconductor companies in China.

However, Jin Tai, the director of the marketing department, expressed his different opinion this time.

"This time, Lingnan Semiconductor is a little different from other Chinese state-owned enterprises."

"On the one hand, they are a foreign-funded enterprise invested by BMW Technology in Hong Kong, and their sister company BMW Automobile Group has developed very smoothly in recent years and made a lot of money."

“So Lingnan Semiconductor should not be short of money for its development and can invest a lot of money to catch up.”

"The advantages in this regard are not even comparable to ours."

"On the other hand, they imported China's most advanced process equipment from the very beginning. They have great ambitions."

The Samsung Group in the 1980s was far from being as powerful as it is today.

Although they have begun to get involved in many fields, their business scope is relatively limited, mainly focusing on manufacturing and international trade.

At this time, although Samsung's position in Goryeo was important, it had not yet reached the world-leading level of later generations.

In later generations, Samsung not only occupied an important position in the economic field, but also deeply intervened in Goryeo's political and cultural life through cross-holdings and sponsorship of cultural activities.

Samsung's decisions and trends often attract widespread attention in Korean society and even influence the government's decision-making direction to a certain extent.

So during this period, Samsung was actually determined to develop the semiconductor industry and also tightened its belt.

The expansion of the memory industry against the trend in recent years has cost them more than 100 million US dollars, which is already very stressful.

But for the BMW Group, more than 100 million US dollars is not a particularly big pressure.

After learning this information, Jintai was very wary of the establishment of Lingnan Semiconductor.

"This BMW technology is unfamiliar. Is it a company in Hong Kong?"

Li Jianxi's previous attention was focused on America, Japan and other places, and he rarely paid attention to China.

At this time, China and Goryeo had not yet established diplomatic relations.

But after hearing Jin Tai emphasize the threat of Lingnan Semiconductor, he quickly adjusted his attitude.

He still has great confidence in the professionalism of the marketing department.

In recent years, Samsung Electronics has bucked the trend and increased its investment in the memory industry by combining the analysis of its marketing department.

I believe that as long as we can get through these difficult years, things will get better the year after next.

By then, it may be possible to make back all the losses of the previous years in one or two years.

Now this situation seems to be facing some threats.

"Yes, it is nominally a Hongcheng enterprise, but its relationship with Huaxia is very close. I have arranged for someone to conduct further investigation to see what the shareholders behind it are like."

"Now BMW Technology is fully committed to entering the semiconductor industry and has received strong support from relevant Chinese departments."

"Their factory groundbreaking ceremony was attended by many Chinese officials."

"Future development will obviously receive full support from the government, which is really a potential threat to us."

Jin Tai quickly reported the situation he had to Li Jianxi.

Lingnan Semiconductor has just been established and many things are still difficult to say.

However, as a sister company, BMW Group has a lot of information that is easier to investigate.

After learning a little about the situation of BMW Group, Jintai's attention to Lingnan Semiconductor increased by several levels. Maybe Lingnan Semiconductor will be like Samsung Electronics in Korea in China, becoming a leader in an emerging industry.

As a result, there will definitely be a fierce conflict between the two sides.

"What do you think we should do about this situation?"

Don’t make decisions if you don’t understand, and listen to the opinions of professionals.

Li Jianxi had just taken office, and although he was ready to do a big job, he did not intend to do things recklessly.

"I think it would be best to set up a branch in China. On the one hand, we can properly conduct trade, and on the other hand, we can get information about China's semiconductor industry."

"Nowadays, more and more foreign companies are entering China. We will definitely enter sooner or later in the future."

"On the other hand, we can see if we can find a way to trip up the other party's development."

"For example, when it comes to purchasing equipment or winning over customers, we try our best to create some problems for the other party and hinder their development."

Jin Tai quickly put forward his suggestion.

When subordinates report problems to their leaders, if they simply bring the problems with them, the leader will definitely be dissatisfied.

You only talk about the problem and not the solution. Aren't you just passing the buck to me?
So the correct way is to explain the problem clearly and then propose your own solution.

It would be best if there is not only one solution, so that the leader has options.

"Okay, I'll do as you say."

"But didn't you ask the company to pay close attention to TSMC's situation before? Didn't you think that they would pose a certain threat to us in this industry?"

Li Jianxi couldn't help but ask more questions.

After all, if Samsung Electronics has to pay close attention to every new semiconductor company established anywhere, where would it get so much energy?
There is absolutely no need for that.

“TSMC is a new company that was just established this year and will not start production until next year.”

"But their president was once a senior executive at Texas Instruments. He is quite influential in the chip industry in the United States and has a wide network of contacts."

"In this situation, TSMC pioneered the chip foundry model, not designing chips itself, but fully manufacturing them for customers."

"This will definitely be favored by American semiconductor companies such as Texas Instruments and Intel."

"When TSMC quickly obtains various orders, its development speed will become faster and faster, and it may compete with us at that time."

I have to say that Jintai, the head of the marketing department, has a very good vision.

Although he does not have a very correct understanding of chip foundry, he has already felt the impact that TSMC may have on Samsung Electronics.

Start paying attention to the other party's situation now, so that it will be easier to deal with them when you need to.

"It feels like everyone has been working hard to develop semiconductor companies in recent years. It seems that our decision is completely correct."

"The semiconductor industry is related to the development of future high technology. We must persist even if it means losses."

Li Jianxi's sentiment is, to a certain extent, a reflection of the strategy that Samsung Electronics will adopt in the semiconductor industry in the future.

Once competition begins in the semiconductor industry, it cannot stop for a moment.

Otherwise, if you fail to keep up with the mainstream technology level, you will soon be relegated to the next level.

In later generations, various advanced process chips were often developed at very close times by various semiconductor companies.

If you finish it at the beginning of this year, I will catch up by the end of the year, or even finish it simultaneously in the middle of the year.

This industry will continue to be popular for decades to come.

……

While Samsung Electronics was paying attention to the situation of Lingnan Semiconductor, TSMC also noticed this newly established semiconductor company.

"Mr. Zhang, according to the information we have obtained, Lingnan Semiconductor is taking a different path from many other companies."

"On the one hand, they produce chips for themselves, and on the other hand, they imitate us and go the chip foundry route."

"I heard that their wafer fabs and chip factories will start mass production in the second half of next year, just a few months later than us."

"Then their foundry business will likely compete with ours."

Zeng Fanchen, as Zhang Zhongmou's right-hand man, co-founded TSMC.

As one of the important industries in Taiwan's economic transformation, TSMC has gathered the expectations of too many people.

Now that he sees a competitor appear, Zeng Fanchen is naturally a little nervous.

"Are there chip companies that are going the foundry route like us so soon?"

Although Zhang Zhongmou only founded TSMC this year, he is definitely a veteran in the semiconductor industry.

In 1949, at the age of 18, he was admitted to Harvard University, becoming the only Chinese among more than 1000 freshmen.

After studying at Harvard University for a period of time, he transferred to the Massachusetts Institute of Technology, majoring in mechanical engineering, and received a master's degree in mechanical engineering from the Massachusetts Institute of Technology in 1954.

In 1955, he joined Sylvania Corporation and entered the semiconductor industry.

In 1958, he joined Texas Instruments and became the first Chinese employee in the company's history.

At Texas Instruments, he held several positions, including general manager of the germanium transistor division, general manager of the silicon transistor division, general manager of the integrated circuit division, etc., and participated in the development and growth of Texas Instruments.

In 1965, he was promoted to general manager of the integrated circuit division.

By 1972, he had served as vice president and senior vice president of Texas Instruments, becoming the third-ranking person in Texas Instruments, second only to the chairman and president.

Anyone familiar with European and American companies knows that this is definitely the ceiling for Chinese people’s career development in the workplace.

He is even one of the first Chinese to reach the ceiling level.

In 1985, he finally left Texas Instruments and soon founded TSMC.

The chip foundry model he created pioneered semiconductor professional foundry and had a profound impact on the semiconductor industry.

Now that he sees some companies following his lead in OEM so quickly, his feelings must be very complicated.

"Yes, but Lingnan Semiconductor is not a complete foundry company. Instead, it is taking two paths."

After Zeng Fanchen said this, Zhang Zhong immediately said: "The other party's model will definitely cause some concerns on the customer side."

“No one knows whether Lingnan Semiconductor will learn other people’s chip design technology and then use it in its own chips.”

"It's too greedy to go for the "have-it-all" model right from the start."

He was originally worried that the chip foundries that followed suit would disrupt TSMC's layout, but now after listening to Zeng Fanchen's report, he is no longer worried.

The United States is now the world's largest chip market, and the foundry business is definitely the most suitable for cooperating with American chip companies.

TSMC itself already has its own close network of relationships with American companies such as Texas Instruments.

Now that it has taken the foundry route, it has become an invisible and active part of the American chip industry.

By then, getting the order will basically be a sure thing.

Zhang Zhong even used his connections to invite personnel from Intel and Texas Instruments to TSMC to carry out factory certification.

This is also a process that must be followed before officially obtaining an order.

Otherwise, who would dare to easily entrust you with the chip manufacturing?

Although the chip manufacturer does not need to bear the losses if the losses are caused by problems with the foundry, it will waste time.

In the semiconductor industry, time is life. If you fall behind for a moment, it is easy to fall behind forever.

"That's true, but the shareholders behind Lingnan Semiconductor are very powerful."

"And their own industries can also consume part of the production capacity. In addition, relying on the vast market of the mainland, perhaps the initial production capacity will be used up."

"Even if we don't get OEM orders so quickly, we can still persevere."

"It will be a threat to us sooner or later."

"Even if our customers want to create a competitor for us, they will consider Lingnan Semiconductor as a candidate partner."

Zeng Fanchen's analysis from this perspective made Zhang Zhong a little more vigilant.

He has a relatively clear understanding of the ideas of semiconductor manufacturers such as Texas Instruments and Intel.

After all, he himself was once an executive at Texas Instruments.

Once the company chooses to outsource the production of some chips to a foundry, the other party will definitely hope that the foundry will completely follow its instructions and be obedient.

While ensuring quality and delivery, cost becomes very sensitive.

After all, a big reason why people choose OEM is to save money and trouble.

If your costs are high, people will definitely not be happy.

And the best way to reduce costs is to find you a competitor and let the two of you compete against each other.

In this way, even if others don't talk about reducing costs, you will still try to lower prices among each other.

"Since you think Lingnan Semiconductor will be a threat to our development, then find a way to find out the other party's situation."

"See if we can cause them some trouble during their development."

A dead Taoist friend is not a poor Taoist.

TSMC is bound to succeed.

Any company that threatens TSMC's success will definitely be suppressed.

From the perspective of the shopping mall, there is nothing wrong with Zhang Zhong’s approach.

However, once Lingnan Semiconductor learns of TSMC's little trick, it will definitely not give up.

Let's have a good fight and see who will be the winner.

"I have arranged for someone to go to Hong Kong City to inquire about the news and find out the situation of BMW Technology first."

"I heard that the equipment purchased by Lingnan Semiconductor is second-hand equipment bought from American companies such as Texas Instruments in the name of BMW Technology."

"Although the 4-inch wafer size is not as large as our 6-inch wafer, the processing equipment for the 3-micron chip process is the same as ours."

Obviously, this is also the reason why Zeng Fanchen attaches great importance to Lingnan Semiconductor.

It is impossible not to pay attention to the establishment of manufacturers with similar positioning to yours.

Jiang Hui probably didn't expect that when the United States and Japan, the two largest and second largest countries in the world's semiconductor industry, did not take any action against Lingnan Semiconductor, TSMC and Samsung Electronics, the smaller brothers, couldn't help it.

(End of this chapter)