America: My Time

Chapter 442 Morgan's Heart Flutter
Chapter 442 Morgan's Heart Flutter

Morgan was lost in thought for a moment. Such a situation could indeed occur. Japan's development speed is too fast now, so fast that many people are uneasy. Not only in semiconductors and automobiles, but also in other areas, the US high-level officials are uneasy, so it is necessary to restrict it.

Although John's intervention has made the situation in the US semiconductor industry less dangerous, Japan's memory chip technology is indeed unsettling. No one wants to accept that such technology is in the hands of the Japanese. Moreover, John's words make a lot of sense. Under normal circumstances, Japan has no ability to resist, but what if they act abnormally? Could something unexpected happen?

If anyone in the US truly understands these Japanese guys, Morgan Stanley immediately thinks of John. Even John isn't optimistic about the dollar's depreciation or the US economic recovery. It seems they were indeed overthinking things. The US has indeed fallen behind significantly in the technology sector, and whatever the reasons, it will take time to change. Time—that's what they lack most right now. After the Plaza Accord, they expected exports to increase, but there was no change at all, which greatly disappointed many and left the White House faction resentful.

“John, you’re right. We haven’t updated our technology in many areas for a long time, and our competitors have caught up with us, or even overtaken us. A few years ago, the semiconductor field was dominated by the United States, but such a change has occurred in just one or two years. We really should reflect on ourselves!”

"Reflection is useless. Everyone knows the big principles, but when faced with a real choice, they instinctively make the choice that benefits them. No one can make the painful decision to cut their losses. Only professionalism can lead to the best results. Nvidia is the best example, and Bell Labs is the same now. Don't put too much energy into production, it will be a loss, at least for now. American workers are treated like royalty!"

Morgan Stanley strongly agrees with this statement. These American workers are truly a bunch of lords. They have no concept of working overtime, nor do they care about the company. Their eyes are only on their own bosses' pockets. They keep demanding wage increases under the guidance of the union, without making any contribution themselves.

"John, what do you think of those old guys' TV factory in Mexico? They're already profitable, and I hear the profits are pretty good!" At this moment, Morgan changed the subject, turning the conversation to TV production and manufacturing, which he thought might be a good option.

"There won't be any problems in the short term, but it's hard to say in the long run. Home appliances are updated very quickly. If they can't come up with better products, they will eventually be defeated by those Japanese guys. Instead of spending time making money, they should invest their profits in research and development and master more advanced technologies. Technology is the foundation of a company's survival."

"So, you don't have a high opinion of them?" At this moment, Morgan frowned.

"That's right, I don't have a high opinion of them. These guys have paid such a high price, just to make a quick buck? Sure, that will allow them to recoup their costs quickly, but they don't have their own technology. How will they cope with the onslaught from Japanese home appliance companies? Research and development is the top priority. Have you ever seen me withdraw funds from Dream World and Nvidia? Before we have a certain level of technological reserves, doing more research and development is the key."

"That's true, but not many people can actually do it. They know the importance of technology, but not everyone can accept giving up immediate profits and investing in unknown development!"

"That's why I'm not optimistic about them. They lack any ambition. As long as there's a little profit, they cling to it and don't care about future development. So, their factories can make a lot of money in the past few years, at least they can reap good rewards, but they will inevitably be crushed by Japan in the future. They haven't listened to what I said at all. Technology is the most important thing! Making quick money is not a problem for such factories, but there is no hope for long-term development. Perhaps this is just their own idea. What they want is not a company with development potential, but a factory that can produce in large quantities. Without large investments, there will be no rapid development. Dream World, Nvidia, and Bell Labs are all like this. Even Game World is the same. Have you ever seen Game World stop its game development? A company without R&D capabilities will not last long. You should spend some time advising those old guys."

“I can’t persuade them, nor am I obligated to do so. They chose their own path, and they are responsible for their own successes and failures. Morgan doesn’t want to get involved in this mess. If we get involved in their interests, it will be a serious matter.”

“That’s right. These old guys only care about factories. They still have a certain view of enterprises. In their eyes, if a company doesn’t even have production capacity, it’s not a complete company at all. Our priorities are different. They value factories, while I value technology. We’re not on the same page!” “John, haven’t you thought about cooperating with Japan? You have a good relationship with them. If you step forward to cooperate with them, you might be able to find a different path in memory chips!” John originally wanted Morgan to participate, but now Morgan is eyeing John’s proposal. It seems that Morgan is also very worried about John’s suggestion.

"No, I've never had such thoughts. Although such cooperation is indeed not difficult, it would have too much impact on me. If I get involved in the memory chip industry, what do you think those PC manufacturers will think? What problems will Nvidia and Dream World face? Hard drives are already the best I can do. If it weren't for the fact that they are limiting Dream World's development, I wouldn't have made this choice. Memory chips don't have a big impact on PCs today, so I don't need to get involved. And I believe that when those guys can't wait for a turnaround, the White House's big stick will come down."

Morgan disagreed with John's assessment. If John truly had so many concerns, he wouldn't have intervened in so many industries, creating such a vast network. He didn't believe John wouldn't be envious of the enormous profits in memory chips, especially since it was all part of the semiconductor industry, and John had the capability to expand in that area.

Going it alone can be deadly. John knew perfectly well how big the personal computer market was. Although the profit margin for memory chips was huge, he couldn't participate, otherwise it would only provoke a backlash from the crowd, and the consequences would be severe.

After John left Morgan, Jimmy couldn't help but sigh. Needless to say, the acquisition had fallen on his shoulders again, and this time John, that little fox, was in a hurry. He didn't have much time to waste.

Just then, Morgan spoke up, "Jimmy, do you think John, that little fox, is believable? Can he really give up such an immediate benefit?"

"I don't know, it's hard to say. This little fox is too cunning. Nobody knows what he's thinking or scheming. But this time, his entry into the hard drive industry might be a good thing. It might spur those guys to make a decision quickly. Right now, Intel and the others are also hesitant. Some want to give up memory chips, and some want to give up CPU chips. They haven't reached a consensus yet. However, they all believe that focusing their energy on one project is the best choice."

"Unfortunately, Intel's shares are too fragmented, and they have many internal problems. Most importantly, some of their technical staff have been poached by that little fox John. Even if they wanted to compete with Nvidia, they don't have the strength. If I were them, I would make a decisive move and go all out in memory chips. At least they could retain most of their assets. If they drag this out any longer, I'm afraid they will collapse. However, the cooperation that little fox John proposed is feasible. If possible, we should probably give it a try. Memory chips still have greater room for development. In contrast, the development of personal computer chips will be affected, and there won't be as many opportunities."

On the issue of personal computers, Morgan Stanley shared the same view as many others, believing that they would not become a household item and were only suitable for businesses and schools. However, he was wrong. With Nvidia's rapid development, everything would become even faster. In other words, these guys did not notice how amazing the shipment volume in Taiwan was. If they had known, things would not be like this now. Asus now occupies a significant share in the personal computer industry.

With the advent of information technology and the development of United Press International, ASUS's growth will accelerate rapidly in the near future. Even without external orders, internal orders alone will be enough for ASUS to survive. It can be said that with the continuous development of other industries, John's semiconductor factory in Taiwan is constantly expanding. The current situation at ASUS is characterized by a shortage of manpower and machinery.

John knew this, but it wasn't a problem that could be solved right now, at least not right now. Training takes time. They had initially thought the trained personnel would meet the company's needs, but they hadn't realized that after the training was completed, there was a significant shortage of manpower. This was the result of ASUS's continuous expansion. It was precisely because of ASUS's rapid development that they could barely meet the current needs of all parties, but this required them to work overtime, a situation that would be impossible in the United States.

(End of this chapter)