Entertainment mogul: Starting his business with the internet

Chapter 543 The Appeal of the Richest Man
Ma Jieke stared intently at the newly released regulatory announcement on the computer screen, his mind reeling.

After a long pause, he finally managed to squeeze out a sentence through gritted teeth, tinged with disbelief and a hint of admiration: "Internet banking! Song Ci, what a brilliant move! This is a stroke of genius!"

Sitting opposite him, Cai Zhongxin habitually pushed up his gold-rimmed glasses: "I asked around and found out that there is a lot of internal controversy and considerable resistance within the central bank regarding the establishment of MYbank."

Ultimately, the higher-ups overruled all objections and made the final decision. It seems that Song Ci exerted far more effort than imagined to obtain this banking license.

"With the banking license in hand, Tengda Group will be like a tiger with wings!" Ma Jieke sighed. "Payment, wealth management, credit... they can provide a full range of financial services."

A terrifyingly complete closed-loop financial ecosystem is about to take shape. Alipay will face unprecedented pressure.

“Jack, with Alipay’s large user base and transaction scenarios, could we try applying for it…” Cai Zhongxin pondered, trying to find a way to break the deadlock.

Before he could finish speaking, Ma Jie shook his head and interrupted, "This path is blocked! The core reason why MYbank was approved was because of pilot programs and innovation."

Before this entirely new internet banking model has been fully validated by the market and its potential risks have been fully assessed, regulators are absolutely not going to open a second door.

The likelihood of Alibaba obtaining a banking license in the short term is extremely low.

"So, we can only wait and see, and wait for the next opportunity?" Cai Zhongxin frowned even more deeply.

“Wait? No, we can’t wait passively!” Ma Jieke sat up abruptly, the gloom in his eyes replaced by a burning light.

He repeatedly pondered the key words in the announcement: "'Innovation'! 'Pilot program'! ... Tenda can innovate, why can't Alibaba!"
The three pillars of finance are banking, insurance, and securities. Since there can be internet banks, why can't there be… internet insurance companies?!

"An internet insurance company?!" Cai Zhongxin was taken aback at first, then his eyes flashed with amazement, and he applauded Ma Jieke's imaginative yet insightful idea.

But his innate caution immediately prevailed: "The idea is indeed very disruptive, but will the regulatory hurdle be easier than for banks? The barriers to entry in the insurance industry are just as stringent."

"How will we know if they'll agree if we don't try? Talking about it is not as good as taking action!" Ma Jieke's mind suddenly cleared up, as if he had seen a brand new course in the fog.

He stood up with great interest, paced around the office, and spoke faster, “I’ve studied it, and the operating model of traditional insurance companies is extremely cumbersome.”

Offline outlets and agent teams—these fixed costs account for 30% or even more of the premium!

If we could create a purely internet-based insurance company, we could complete all processes—product design, application, underwriting, claims, and customer service—online.

By eliminating these unnecessary intermediaries and heavy offline assets, operating costs will decrease significantly!

This not only allows for more affordable insurance products, but also creates new types of insurance that didn't exist before.

The market potential here is enormous; it's a true blue ocean!

Cai Zhongxin listened attentively, his mind racing, and combining this with Alibaba's ecosystem advantages, he quickly found a starting point:

"I agree! Perhaps we can start with property insurance, especially insurance products closely integrated with e-commerce scenarios."

There are millions of small and medium-sized enterprises and individual sellers on Taobao, who have a huge demand for property insurance and logistics insurance.

Just one return shipping insurance policy, once properly secured, can resolve disputes between buyers and sellers regarding shipping costs when returning goods. This will greatly benefit Taobao!

"Exactly! Chongxin, you've found the key!" Ma Jieke clapped his hands heavily, his face beaming with excitement at having found the way.

"Tengda Technology has always prided itself on innovation-driven development, and Alibaba should do the same! We can't always be passive followers; we must take the initiative to lead!"

His expression immediately turned serious, and his tone became somber, "However, the birth of a new thing will inevitably provoke opposition from the old forces."

When Yu'ebao was launched, it encroached on the banks' profits, and Alipay subsequently faced a "siege"! That time, it was a costly lesson learned.

With the lessons of the past still fresh in our minds, we must not be reckless in our foray into internet insurance.

We need to find a strong, like-minded ally to jointly shoulder this banner of 'innovation' and share the risks and pressures.

The major insurance groups in China are all deeply rooted financial giants, whose power and influence are in no way inferior to those of the banking industry.

Cai Zhongxin nodded slightly, quickly reviewing the major insurance giants in his mind. After a moment's consideration, he spoke:
"In the domestic insurance industry, PICC, CPIC, and Ping An are the three leading companies. If cooperation is desired, one must choose one of these three."

After pondering for a long time and weighing the pros and cons, Ma Jieke finally decided: "Let's be safe!"

Both PICC and CPIC are large state-owned enterprises with a focus on stability in their operations. It would be extremely difficult to persuade them to take the disruptive step of internet insurance.

Although Ping An Insurance is also a large company, its leader, Mr. Ma, is known as a "financial technology pioneer," possessing open-mindedness and great courage.

“Ping An is indeed an excellent choice.” After some consideration, Cai Zhongxin expressed his deep agreement. “Mr. Ma has a forward-looking vision and is bold in his thinking and actions. He has been planning for the integration of finance and technology for a long time. There is great potential in cooperating with Ping An.”

"Alright! Chongxin, I'm entrusting you with the important task of liaising with Ping An." Ma Jieke looked at his most capable partner with eager eyes.

"I will convene a senior management meeting early tomorrow morning to announce the establishment of a preparatory committee for an internet insurance company and to fully promote this matter."

Cai Zhongxin nodded solemnly, about to elaborate on the implementation plan, when a light knock on the door interrupted their private conversation.

"Please come in."

The office door opened with a click, and He Xiaopeng walked in calmly. Seeing that the two key figures were there, he greeted them respectfully: "President Ma, President Cai."

"Xiaopeng is here, come on, sit here." Ma Jieke smiled warmly and gestured to the sofa next to him.

He had always held high expectations for this technical expert who was brought to Alibaba through the acquisition of UC.

Cai Zhongxin also asked in a gentle tone, "Mr. He, how has work been lately? How do you feel about being part of the Alibaba family?"

“Very smoothly! Thank you for your concern, Mr. Cai.” He Xiaopeng sat down on the sofa, his tone sincere. “Alibaba is truly a passionate and energetic team. The pace is fast, which is very motivating.”

"I hope everything goes smoothly." Ma Jieke's voice was kind and encouraging. "Xiaopeng, if you encounter any problems at work, or if you have any new ideas, feel free to communicate with me anytime."

At Alibaba, you must dare to voice different opinions and express them boldly. We need fresh blood like you to break down stereotypes and maintain the organization's vitality and agility.

These words were not mere politeness. During the PC era, Alibaba established an undisputed dominant position through its super platforms such as Taobao and Tmall.

However, in the wave of transformation to mobile internet, there has always been a lack of a powerful traffic entry point.

Looking at the entire mobile internet ecosystem, the main traffic portals, such as WeChat, Weibo, and Toutiao, are almost all controlled by Tenda Technology.

Taobao's mobile traffic anxiety has always been a major concern for Jack Ma.

UC Browser, as the world's most widely used mobile browser, occupies an extremely important traffic entry point on mobile devices.

Although the acquisition of UC came at a huge cost, it finally provided Alibaba with a stable mobile traffic pool that can drive traffic to various mobile applications.

This finally put his mind at ease, and he no longer needed to worry about traffic day and night for the time being.

Cai Zhongxin also encouraged him, saying, "President He, the future development and breakthroughs of the group in the mobile field depend on you."

I hope you can quickly integrate UC Browser with Shenma Search and connect it with Alibaba's e-commerce, advertising, and content ecosystem.

Once the mobile ecosystem encompassing browsers, search, content, and e-commerce is complete, we will be more confident in facing Tenda's social media matrix combining WeChat and Weibo.

"Please rest assured, Mr. Ma and Mr. Cai. I will do my utmost to quickly promote the integration of UC with the Alibaba ecosystem," He Xiaopeng hurriedly and solemnly agreed.

But then, a hint of hesitation flashed across his face, and his lips moved slightly, as if he wanted to say something but couldn't.

Ma Jieke keenly noticed the subtle change in his expression and said seriously, "Xiaopeng, as I just said, at Alibaba, you must dare to speak up! If you have any ideas, speak them out boldly! What we need are not timid executors, but leaders who can stand alone and have strategic vision!"

Sensing the sincerity and encouragement in Ma Jieke's words, He Xiaopeng took a deep breath, nodded, and his expression became unusually serious:

"Mr. Ma, since you put it that way, please forgive my bluntness. Alibaba's most urgent task is not ecosystem integration, but something more important and fundamental that must be done immediately."

"Oh?" Ma Jieke was taken aback upon hearing this. He exchanged a glance with Cai Zhongxin and adopted a humble attitude of seeking advice. "Please speak frankly, Xiaopeng. I am all ears."

He Xiaopeng sensed Ma Jieke's extraordinary respect and importance, organized his thoughts, and responded solemnly:
"Mr. Ma, during my time at Alibaba, I have gained an in-depth understanding of the group's various businesses and underlying technical support systems."

One discovery has deeply worried me. What the group currently lacks most is a high-precision, highly contextualized digital map.

"map?!"

"Yes! It's a map!"

He Xiaopeng said firmly, "It's not the kind of simple map that can only show a rough location and path, but a product like Gaode 3D Map or Baidu Panoramic Map."

In comparison, Alibaba's map products appear too crude and outdated in terms of data accuracy, update frequency, and feature richness.

After a slight pause, he continued to elaborate: "Today, digital maps have evolved into the underlying pillar of the entire mobile internet business."

E-commerce, social networking, travel, food delivery... all rely heavily on accurate, real-time, and abundant geolocation information and services.

Without a top-tier digital map as support, many business operations simply cannot be carried out effectively.

He Xiaopeng went a step further, citing an example that Ma Jieke was very familiar with: "Take Cainiao Network, which you just integrated not long ago, for example."

Without high-precision maps to support route optimization, delivery relies solely on the courier's familiarity with the area, leading to low delivery efficiency.

Ma Jieke's expression shifted from initial surprise to deep thought, and then to utter solemnity. "Xiaopeng, today's analysis was truly enlightening!"

His words were tinged with lingering fear and relief: "Alibaba overlooked the most basic and fundamental digital map, which was an extremely serious and dangerous strategic mistake!"
Thankfully, you noticed and raised this issue in time. It's not too late to realize it now! Xiaopeng, thank you!

He Xiaopeng humbly replied, "Mr. Ma, you flatter me. I really don't deserve such praise. Now that I am also a member of Alibaba, this is my duty and I have no choice but to do it."

“The group was not unaware of the importance of maps before, and had invested resources in research and development,” Cai Zhongxin calmly added.

"But objectively speaking, there is indeed a significant gap between our technological accumulation and data accuracy and those of leading companies in the market, such as Gaode Maps and Baidu Maps."

It now appears that this weakness must be addressed immediately, and it must be elevated to the level of a core group strategy.

He looked at Ma Jieke and suggested, "Mr. Ma, we shouldn't trouble two people with the same task. I suggest that the important task of forming a team to develop high-precision maps be entrusted to Mr. He."

He Xiaopeng sensed the trust and entrustment in Ma Jieke's eyes and, without hesitation, immediately expressed his agreement:
"Mr. Ma, I am willing to create a high-precision digital map product for Alibaba that is no less than, and may even be better than, any competitor in the market!"

"Great! Excellent!" Ma Jieke clapped his hands and laughed, his worries completely gone. "Then this matter is entirely in your hands, Xiaopeng!"

"We'll provide manpower and funding; whatever resources you need, just submit a report to me! As for the name of this map..."

After a moment's thought, he made the decision: "It was born from your insight and is closely related to the UC Mobile Business Group, so let's call it 'UC Maps'!"

“UC Maps…” He Xiaopeng repeated the name, feeling a heavy responsibility on his shoulders. “Don’t worry, Mr. Ma, I, He Xiaopeng, will do my utmost!”

The solid wood door to the office quietly closed behind him, and He Xiaopeng let out a long sigh of relief, his tense nerves instantly relaxing.

Although Ma Jie treated him with great courtesy, entrusted him with important responsibilities, and praised him highly, he knew perfectly well what was going on.

Ultimately, he was an "outsider," a "fresh blood" who was acquired and merged into Alibaba, rather than a loyal follower whom Jack Ma had cultivated through countless trials and tribulations.

Favoritism and favoritism are undercurrents that are difficult to avoid within any organization.

Therefore, when facing the group's leader, he always puts himself on high alert, speaking cautiously and exhausting his mind.

As I strolled to the end of the corridor, my phone suddenly vibrated in my pocket. I took it out, and the words "Yang Chunlei" appeared on the screen.

"Spring Thunder," He Xiaopeng said with a familiar, teasing tone, "called me because you've finally made up your mind to accept my invitation?"

On the other end of the phone, Yang Chunlei's voice came through, sounding unusually solemn and firm, unlike his usual hesitant tone:
"Mr. He, Xia Heng, He Tao, and I have discussed this repeatedly and decided to follow you! We three will accompany you on this journey of new energy vehicle manufacturing!"

Despite having a premonition, He Xiaopeng was overjoyed to hear this clear answer.

"However, Mr. He, as you know, we are all technical staff. We still have projects to finish at GAC, and the handover of our work will take time. There will probably be a process before we officially leave."

“I understand! I completely understand!” He Xiaopeng replied repeatedly, his tone full of tolerance and joy.

"There's no rush. You all need to handle your own affairs properly and see them through to the end. I can wait."

"Thank you for your understanding, Mr. He! It's settled then. We will complete the handover as soon as possible, and then we will go to Hangzhou together to see you and discuss the follow-up plans in detail."

"It's a deal! I'll be waiting for you!"

When the call ended, He Xiaopeng's face was filled with undisguised, almost overflowing excitement.

A tremendous surge of motivation welled up within me.

He is only thirty-six years old this year, which is the golden age when a man's experience, energy, and courage are at their peak.

His early founding of UC and subsequent sale to Alibaba had already given him financial freedom; the amount in his account was more than he could ever spend in several lifetimes.

But what burned within him was not just the pursuit of wealth, but also a burning desire to build a brand new business with his own hands.

My time working at Alibaba was less of a career destination and more of a valuable transitional phase.

A training ground for him to accumulate a wider network of contacts and a deeper understanding of the industry.

Since the successful sale of UC, the idea of ​​starting a second business has never died out, and he has been constantly searching for the next track worth pursuing with all his might.

Ultimately, they set their sights on the field of new energy vehicle manufacturing, a field full of infinite possibilities but also fraught with challenges.

However, the automotive industry is, after all, an extremely capital-, talent-, and technology-intensive cutting-edge industry with incredibly high barriers to entry.

Even with his great ambitions, he couldn't help but feel a little hesitant and cautious deep down.

But just a few days ago, when Dewen Manufacturing, another company under the name of Song Ci, the head of Tengda Technology, was fully exposed and its car manufacturing plan was made public, He Xiaopeng's last bit of hesitation vanished.

With the direction set, all that remained was to find the right people. He knew he excelled in product, marketing, and strategy, but he wasn't particularly skilled in the core technologies of car manufacturing, such as the "three electrics" (battery, motor, and electronic control).

Therefore, they turned their attention to GAC Group, a major player in China's automotive manufacturing industry, and after several twists and turns, they found three senior talents—Yang Chunlei, Xia Heng, and He Tao—who had worked in the traditional automotive field for many years and had solid technical skills.

"No matter how I described the blueprint or analyzed the market prospects, the three of them always had many concerns, feeling that the risks were too great and the future was uncertain."

He Xiaopeng shook his head and smiled bitterly as he recalled the difficulties of previous communications.

"But then, the news of Songci's foray into car manufacturing was like a powerful catalyst, and their attitude completely changed... It's truly remarkable."

This is the immense reputation and appeal of top entrepreneurs! No further explanation is needed; their actions speak for themselves, serving as the loudest clarion call and the most powerful endorsement.

(End of this chapter)