The world is in trouble

Chapter 335 The Invincible King!
Lin Xiao still greeted Samsung's heir, Lee Jae-yong, with the highest honors. In this world, he became the vice chairman of Samsung Electronics earlier than in history.

"Congratulations, Mr. Lin. This year, the global shipment volume of quantum phones may rank among the top five in the world." Lee Jae-yong.

Lin Xiao: "Thank you for Chairman Li's kind words, but this goal is still very difficult."

To be among the world's top five, a safe bet would require 60 million units, and at the very least, over 50 million.

It's already November, and the total shipments of quantum phones this year are estimated at 2600 million units.

Therefore, it is very difficult to enter the world's top five.

Because there are very few models of quantum phones, at most only one or two series per year.

But when it comes to revenue, it's astonishing.

Because quantum phones are very expensive, with an average price exceeding $700.

It's okay that quantum phones didn't break into the world's top five, but ZTE and Coolpad might.

These two manufacturers, relying on low-cost phones and partnerships with global carriers, have each shipped over 40 million units. Of course, half of these are feature phones, but even among smartphones running the X operating system, the two companies combined have shipped over 50 million units.

The key point is that their data is skyrocketing every month.

Moreover, it seems that Huawei is about to break into the world's top five.

The Chinese camp behind the X operating system is truly going on a killing spree around the world.

You might not see any of their phone models on mainstream TV or in the media, and apart from Coolpad's K1, it's hard to make a name for any of their phones. Many users don't even know the brand name after buying one.

But that's alright, they just need to get used to the X system and its ecosystem.

Lin Xiao: "Congratulations Chairman Lee, Samsung's global shipments have exceeded 2.5 million units this year, maintaining its position as the world's second largest smartphone manufacturer."

Compared to historical data, Nokia's shipments are tens of millions less, and Samsung's are also tens of millions less.

Almost all of these valuable shares were snatched away by the X operating system camp.

“I have come here with the strong sincerity of the Samsung Group.” Lee Jae-yong: “Our relationship has lasted for more than three years, and we have always respected Mr. Lim’s frankness and magnanimity.”

Lin Xiao: "We also greatly admire Chairman Li's unwavering determination."

After a brief exchange of pleasantries, Lee Jae-yong said, "Samsung Electronics is willing to vigorously promote mobile phones equipped with the X operating system in the future."

Lin Xiao: "I've been waiting for this news for a long time."

Lee Jae-yong said, "But we have a few conditions."

Lin Xiao: "Please speak."

Lee Jae-yong: "First, Samsung Electronics will acquire a stake in Xsoft, obtaining no less than 13% of its shares."

This condition was still somewhat harsh, because Lin Xiao had offered the same price in the last negotiation. At that time, the X faction had only turned the tide, but had not yet established a significant advantage.

Now, compared to the Android camp, the X camp has a significant advantage, so the conditions should change accordingly.

They won't give 13% of the shares; they'll give a maximum of 10%.

Lin Xiao made one last calculation: if Microsoft failed in the smartphone operating system market, it would have no choice but to return to a deep collaboration with Quantum Technology. At that point, how much equity would Quantum Technology be willing to offer Microsoft?
He pondered in silence for a while, then nodded and said, "Yes, 13% is fine."

Lee Jae-yong breathed a slight sigh of relief. He felt that this condition was the most difficult, but he didn't expect to get it so easily.

They were also confident that the other conditions for future cooperation would be met.

Lee Jae-yong said, "The second condition is that at least 40% of the flagship quantum phones will use Samsung screens."

Lin Xiao paused, then slowly said, "First of all, we have an agreement with Sharp that we will almost never be the first to betray our strategic ally."

Lee Jae-yong: "Mr. Lim, others may not be able to see it, but I believe you have. TFT LCD screens are indeed very good, but AMOLED screens are the future. And Samsung has the best AMOLED screens."

Lin Xiao: "However, we already have a joint venture with Sharp in the AMOLED screen field, called Linxia Optoelectronics."

Lee Jae-yong: "I know, and there have been amazing shipments, but they are all used in inexpensive smartphones."

In just over two years, Linxia Optoelectronics' total investment has reached nearly 100 billion yuan.

The results have been remarkable, with LCD screen shipments exceeding 100 million units this year alone.

However, they were indeed all used in mid-to-low-end phones, and even quite a few feature phones.

Next, mid-range phones from Coolpad, ZTE, Huawei, and other manufacturers will also begin using AMOLED screens from Linxia Broadcasting.

With strong market support on one hand and massive R&D funding on the other, Linxia Optoelectronics has made rapid progress in AMOLED screen development.

Of course, even now, Linxia Optoelectronics is still operating at a loss, and a significant one at that.

But whether it's Zhijiang Guotou or other shareholders, they are all enthusiastically pouring money into it, desperately upgrading the industrial line and technology.

Because everyone can see that as long as the X faction continues to grow stronger, and as long as the entire system controlled by the quantum system continues to grow stronger, Linxia Optoelectronics will never lack sales in the future.

Now, Samsung's proposal to make the quantum phone use Samsung's AMOLED screen is an attempt to cut off Linxia Optoelectronics' upgrade path.

Because so far, quantum phones are the flagship of the entire X camp and a representative of high-end mobile phones worldwide.

If quantum phones are not used, Linxia Optoelectronics' screens will never be able to reach the high-end market.

Lee Jae-yong: "In addition, starting next year, more than 40% of XTA Semiconductor's SOC manufacturing will be outsourced to Samsung."

XTA Semiconductor now produces not only high-end chips, but also mid-to-low-end chips, and a complete set of solutions.

Conservative estimates suggest that XTA Semiconductor's shipments of optical mobile phone SoCs will exceed 100 million units this year.

Of course, more than 60% of them are mid-to-low-end SOCs.

Texas Instruments is making a killing in this joint venture.

The next likely scenario is that the revenue of the joint venture XTA Semiconductor may exceed that of its parent company, Texas Instruments.

Lin Xiao slowly said, "Chairman Li, even if you hadn't said it, we would have outsourced some of our SOC manufacturing to Samsung Semiconductor. Dr. Liang and I are close friends, and after he joined Samsung, I am very optimistic about the future of Samsung Semiconductor."

“However, I cannot directly sign a hard agreement to have 40% of XTA Semiconductor’s chips manufactured by Samsung.”

Because Samsung did have a period of leadership in chip manufacturing, many of the world's top flagship SoCs were manufactured by Samsung and TSMC.

But soon, Samsung itself failed to live up to expectations.

The performance and energy efficiency of the Samsung-manufactured versions that have appeared on a large scale are still inferior to those of TSMC.

Of course, Lin Xiao could simply agree and then outsource the large-scale production of mid-to-low-end chips to Samsung for manufacturing, making it easy to achieve the 40% market share.

However... as the head of the entire X faction, he felt obligated to select the best craftsmanship for his allies.

Even for mid-to-low-end SOCs, we should strive to do our best within this price range.

Lin Xiao remained silent for a very long time, until even Lee Jae-yong, the heir apparent of Samsung, began to get uneasy.

“Chairman Lee, at this moment, I need Samsung’s help more than Samsung needs my help,” Lin Xiao said slowly. “Many people believe that this is the moment of decisive battle between quantum technology and the Android system.”

"LG has begun to gradually shift its allegiance."

"Motorola has been acquired by Microsoft, and from now on they will only release smartphones with Microsoft operating systems."

"Sony is in the crucial stage of its full acquisition of Sony Ericsson. Sony Group Chairman Kazuo Hirai has firmly stated that he is fully on the side of the X operating system. Although the acquisition is not yet over, the first flagship phone has already entered the research and development stage. Mr. Hirai even warned the current president of Sony Ericsson at the board meeting that if anyone questions this decision, he will remove him from the position of president of Sony Ericsson at any cost."

"As for Nokia, they will continue to promote their Symbian system."

"So, from the perspective of the whole world, as long as Samsung stands on my side, it will be considered a decisive victory in the battle against Google."

"Samsung's smartphone shipments are currently enormous, accounting for half of the Android market."

"Therefore, Samsung Electronics' importance is greater than ever before."

Hearing Lin Xiao's words, Lee Jae-yong felt slightly uneasy.

Because Lin Xiao had finished speaking. Everything he said was aimed at increasing Samsung's leverage, as if quantum technology couldn't function without Samsung.

Lin Xiao continued, "Three years ago, two years ago, one year ago, and even now, I have always been incredibly excited about the collaboration with Samsung."

“I can actually sign the conditions you proposed because I have a lot of room for maneuver. Because I have unparalleled influence within the X camp.”

"But I can't sign. I need to secure the best supply chain for my allies and partners. Of course, Samsung may be the best in many aspects, and even if the cooperation doesn't succeed, the X camp may still purchase Samsung components and even have Samsung manufacture them."

"However, I cannot sign these documents, I'm very sorry!"

Lee Jae-yong trembled slightly as he looked at Lin Xiao.

He could sense that Lin Xiao was closing the door to negotiations. Not just temporarily, but completely.

From his perspective, Lin Xiao had already made significant concessions, and his honesty far exceeded expectations.

However, he had no power to make decisions; all the power lay with his father, Lee Kun-hee.

Lee Kun-hee remained incredibly assertive and domineering, even at this moment, he still forced Lin Xiao to sign an unequal agreement.

Lee Jae-yong: "Mr. Lin, I understand your conditions. I will go back and report to my father and get back to you as soon as possible."

Lin Xiao: "Okay!"

........................

"It crashed?" Xia Xi asked.

Lin Xiao nodded and said, "Yes, the talks broke down."

Lin Xiao thought about it many, many times, and concluded that the biggest competitor in the future quantum technology camp might change from Android to Samsung.

Because Samsung is a behemoth; they can handle everything from SOC to screens to CMOS in-house.

With the emergence of quantum phones, who has taken the largest share? 80% went to Samsung, and 20% to Apple.

Of course, this only applies to the historical industrial landscape.

Right now, everyone is just getting started. Although Samsung has an amazing shipment volume, it has not yet established a particularly strong brand value and voice in the smartphone field.

LG's move to join the X camp won't change the overall situation.

Even if Sony completely acquires Sony Ericsson and launches smartphones, it may not be able to shake the high-end foundation of quantum phones.

The key point is that Kazuo Hirai's focus is still on electronic entertainment. He will work hard on mobile phone manufacturing, but if the results are only average, he will not force himself to succeed, and he will certainly not fall out with Lin Xiao.

Because the interests between Sony and Quantum Technology are too intertwined, and the interests are too great.

However, there wasn't such a large exchange of benefits between Quantum Technology and Samsung.

And the most crucial reason is another one.

Samsung Electronics is ultimately a South Korean company!
In the potential future confrontation between China and the United States, and the ensuing technology war, quantum technology requires as much capital as possible to be tied to the war effort, and to share more common interests.

Lin Xiao has already given this huge shared interest to Texas Instruments, and will give it to Microsoft in the future.

Then Samsung... might not be worthy of being served.

Moreover, if Samsung loses its position as the top smartphone manufacturer, its entire supply chain will not be as strong as it has been in the past.

It's important to understand that all industrial chains require a huge market to sustain them.

Since Samsung is still forcing Lin Xiao to sign an unequal agreement at this time, then... perhaps we can treat it as an enemy.

By joining forces with giants such as TSMC, Texas Instruments, Sony, LG, and Sharp, they have prematurely undermined its future advantages across the entire industry chain.

.....................

Lin Xiao came to Lian Zheng's house for dinner again, but this time he came to Hangzhou.

Despite his reluctance, Lian Zheng was promoted to become the acting second-in-command of Zhijiang.

"uncle……"

He should actually call me "Dad" now, but after calling me "Uncle" for so many years, he can't bring himself to say it anymore, and even Zheng doesn't seem to care.

"The chip foundry industry may need to plan ahead and accelerate its development now," Lin Xiao said.

Lien Cheng: "Are you still pessimistic about the future?"

Lin Xiao: "Although I have ceded a lot of interests and have more and more common interests with American capital, this is limited. It is impossible to cede five cities today and ten cities tomorrow. These common interests will certainly become a huge buffer in the future, but it may be difficult to change the overall situation, so we must be prepared for any eventuality."

"However, it might not be easy to directly engage in quantum technology. Dominating the entire industry chain in this way could arouse the other party's vigilance or even hostility."

"Now is a critical stage in our battle with Android, and also a stage for the global expansion of quantum phones and the X operating system. The less hostility and vigilance we have, the better."

"Therefore, another force is needed to accelerate the development of chip manufacturing."

"Next, I will try my best to place the SOC needed for mid-to-low-end mobile phones in the camp in domestic OEM factories, little by little."

Lian Zhengdao: "Good!"

That one sentence reignited his fighting spirit.

His dream from a few years ago has now been largely realized.

With the rise of quantum technology, Linxia Optoelectronics also sprang up, generating hundreds of billions of yuan in revenue. Many more industries were born under his leadership, all located in Ning City.

In his view, he could even retire gracefully after achieving his goal.

Because quantum technology will face more global competition in the future, there is not much resistance in China. Even though Lien Cheng has come to power, he feels that quantum technology has grown up and no longer needs his protection.

now……

Lin Xiao's words reignited his ideal battle cry.

Although he has a liberal arts background and doesn't understand technology, he is willing to dedicate all his efforts to the country's technological and industrial upgrading.

Without a doubt, the task ahead is much longer, more arduous, and of paramount importance.

Lin Xiao laughed and said, "Isn't it a bit inappropriate for me to always be ordering you around?"

Lian Zhengdao said, "The thing older people fear most is becoming useless. Being able to be bossed around by their children is a kind of happiness."

These words brought tears to Lin Xiao's eyes once again.

“Look at your aunt, she’s not coming back to Hangzhou with me. She’s staying in Ningbo to work on her Science Park Health Committee.” Lian Zheng laughed. “That’s because she knows she won’t be staying on this committee for long. Maybe next year or the year after, she’ll be taking care of the kids all the time.”

After that, the father and son didn't need to say anything more.

They agreed to eat and drink, but didn't dare to drink too much because neither of them had a high alcohol tolerance. Drinking slowly would allow them to spend more time together.

........................

November 11th!
That is, Lin Xiao's birthday.

On this day, Facebook officially went public on Nasdaq.

At $43 per share, a total of 3 million shares were issued, raising $129 billion.

Even though the news had been leaked long before, the actual listing still caused a sensation in the US media and even the global media.

Turn on any major TV station, and they'll be broadcasting related news.

The domestic news program, CCTV's evening news program, placed it in a prominent time slot, giving the news a full four minutes.

However, the CCTV Evening News downplayed the national character of Facebook and didn't even mention its founder, Lin Xiao, at all.

This is very clever, because this social networking site is so big and has such a huge influence on public opinion, so don't act innocent when you've gained an advantage. Especially at this time, you should downplay the relevant aspects.

Nasdaq closed in the afternoon!
News from all over the United States continues to broadcast Facebook-related news, and Facebook's stock price is constantly updated.

"By the close of trading, Facebook's stock price had risen from $43 to $48, an increase of 11.6%, which represents the extreme optimism of global investors towards Facebook."

"Given its scale and market capitalization, it is extremely rare for an IPO to experience such a significant increase on its first day of trading!"

"This means that Facebook's monopoly advantage in the social media field will continue to strengthen."

At that moment, Lin Xiao received a phone call.

"Hello!" It was Lian Yi.

We asked her to come, but she wouldn't.

"I have some news for you..." Lian Yi said, "I'm pregnant, and I'm already a month and a half along. I specifically chose today to tell you."

Happy birthday, honey!

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Note: That's all for now. Please vote with your monthly tickets, thank you so much!

(End of this chapter)