America's No. 1 financial conglomerate

Chapter 534 Sudden Event

Ernst's fingertips landed precisely on the shapely hips of the beauty in his arms, the light patting motion carrying a casual sense of control, while an undisguised smug smile curved his lips.

The tone of the voice on the other end of the phone suddenly changed, and the probing and compromise in the tone were clearly discernible, which added to his confidence.

Richard knew very well that he could not easily express his opinion in this contest concerning the two parties and the industrial landscape.

While Ernst Asset Management is certainly a crucial part of his business empire, what truly underpins his core influence and future penetration is his internet business rooted in Silicon Valley.

Donkeys are very supportive of Silicon Valley, but elephants don't object either.

The Internet and semiconductors are inseparable, and in the semiconductor industry, the supporters of the elephant are no less than those of the donkey.

But what he's most proud of is that he now has the leverage to negotiate with any power.

Whether it's his accumulated enormous wealth, his absolute say in the technology industry, or his growing influence in the political arena, he is now qualified to sit at the table and be the one making the moves.

As a leading figure among America's younger generation of business leaders and a pioneer of Silicon Valley's innovation wave, Ernst's every word and action could have an immeasurable impact on the upcoming election.

But now is not the time for him to completely take sides, and everyone knows that.

Paulson, and now Richard, are not truly trying to pull Ernst into their camp, but rather to prevent him from joining the opposing side. As long as the internet continues to thrive, Ernst can remain uninvolved in the partisan conflict and play both sides effectively.

Because it is the two parties that need him, not the other way around.

But once a financial crisis breaks out in the United States, the situation will reverse.

At that time, the bigwigs behind the donkey and elephant camp will inevitably use the government resources and financial channels they control to strangle the development of his industry.

Both government policy support and banking system funding restrictions will become shackles that restrain him.

To save their businesses, they not only had to pay back some interest, but also completely submit to the government.

This is why every financial crisis triggers a major reshuffling of the capital landscape.

When a crisis strikes, those who truly hold the power are the conglomerates with massive amounts of capital and the government agencies that control the financial lifeline. They will take advantage of market turmoil to launch a new round of wealth harvesting from the emerging wealthy class.

This is a tried-and-true tactic used by the powerful families behind the Federal Reserve who control the nation's economic lifeline: allowing emerging industries to develop freely, then waiting for a crisis to strike, and finally bringing these high-quality industries under their control.

As long as the US purse strings are firmly in control, any emerging industry will inevitably be gradually eroded in round after round of financial crises.

This is the grand scheme set up by the powerful figures behind America, a means to ensure the perpetual continuation of a family line for millennia.

But this drama isn't without a way to break the deadlock. The method is difficult: to accurately assess the situation each time and become the one who gets a slice of the pie.

But this method is almost impossible for others; no one can guarantee that their company will never make mistakes.

But Ernst could do it.

There shouldn't be any problems for at least thirty years, and that should be enough.

Gisele Bündchen didn't understand why Ernst was so excited, seeing the way he was on the phone.

Caught off guard, Ernst hissed softly and looked down to see her face, which was full of provocation.

"This afternoon..." Ernst was about to speak and tell the other party that he would visit Lehman Brothers in the afternoon, but a breaking news report on TV disrupted all his pleasantries.

"CNN." Without further ado, Ernst hung up the phone, picked up the remote control from the bedside table, and turned the TV volume up considerably.

The television footage showed a bustling construction site occupying the entire screen, with multiple angle shots including clear overhead views, clearly indicating that a helicopter was used for aerial photography.

But what truly caught Ernst's attention was not the filming scenes, but the solemn tone of the news anchor.

"This dedicated line will run directly from Wall Street to Chicago's financial district, providing high-frequency trading network services specifically for Wall Street futures firms." "However, according to information obtained by this station, the line has limited capacity and cannot meet the needs of the entire Wall Street, providing only about two hundred dedicated trading seats."

"This means that a large number of futures investment firms on Wall Street will face elimination from the market due to their inability to obtain dedicated line access qualifications, and the related industry may experience a large-scale wave of bankruptcies and an unemployment crisis."

"China Telecom has priced a dedicated seat for this leased line at three million US dollars per year, with a minimum contract period of five years. This is more than eight to ten times higher than the prices charged by the telecom companies that currently supply networks to Wall Street."

"Even so, according to sources, Lehman Brothers had already reserved 30 seats, with a total transaction value of $450 million, and had completed all advance payments."

Ernst lost interest in listening to the rest of the report.

He quickly picked up the phone and dialed the number of Ivan Setonberg, a CE specialist at China Telecom.

The phone rang for a long time before being answered. "Have you seen the CNN news?"

"Not yet." Ivan Setonberg's voice carried a hint of weariness, followed by a helpless, bitter laugh. "But I already know about it."

Ernst frowned slightly, about to ask further, when he heard Ivan continue, "You have no idea, those reporters are crazy. I was surrounded by a group of reporters as soon as I arrived at the company. It was a struggle for me to get in, and now these reporters are still downstairs and refuse to leave."

Ernst could imagine that this was a huge news story that would shake the heavens.

The exposure of this dedicated line concerns the most important financial sector in the lifeline of the American economy.

Of the two hundred dedicated seats, Lehman Brothers alone occupied thirty. Wall Street has numerous futures investment firms, and many financial institutions involved in high-frequency trading also heavily rely on high-speed network services. This dedicated line from China Telecom is like a sharp blade in the hands of a cleaver; once it falls, countless businesses will inevitably collapse.

The key question now is where this knife will be wielded, and how many companies and organizations will become its victims.

Those death row inmates who are about to be eliminated by the market will obviously not sit idly by; a fierce battle of capital is already on the horizon.

"What exactly happened? Why was the information leaked?" Ernst's tone was somewhat grave.

Ernst was actually prepared for this dedicated line to be exposed.

Although they used a telephone and telegraph syndicate as a cover, anyone who investigates thoroughly will discover the shady dealings.

Despite the scale of the construction, the Telephone and Telegraph Corporation didn't even issue a public announcement.

It can't be said that it wasn't sent; it's just that they will check the lines in various locations next.

However, at this scale, professional cables and large-scale equipment can be seen everywhere on the construction site.

You said you were checking the wiring, isn't that just like trying to hide something obvious?

Although China Telecom has been using AT&T's line renovation as a cover, such a large-scale construction project makes AT&T's excuse seem rather suspicious.

The professional cables and large equipment scattered throughout the construction site could easily be detected by anyone with a keen eye. Therefore, Ernst was already prepared for his secret to be exposed.

Judging from the news from CNN, this is not just an exposure; it was deliberately leaked by someone.

The report was incredibly detailed, covering Lehman Brothers' affairs, the number of seats, and very few people had access to such information.

"I can't fully confirm the exact source of the leak yet, but I've already ordered an urgent investigation, and initial leads point to WorldCom." Ivan Setonberg's voice carried a hint of uncertainty.

"Worldcom?" Ernst's tone was full of surprise. How did Worldcom know about this dedicated line?

"Perhaps you could check with Lehman Brothers or AT&T," Ivan Setonberg analyzed. "Theoretically, only the three of us could have such detailed information, but given the current situation, I'm more inclined to believe the information was leaked from AT&T."

"After all, within Lehman Brothers, there should be no more than five people who know about this, and they have no reason to do so."

It wasn't a bias; Ernst was almost certain it was a problem with the Telephone and Telegraph Group.

Richard just called him; it couldn't be him.

As Ivan Setonberg said, Lehman had no reason to do that.

Also, Richard couldn't afford to offend him at this time.