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Chapter 559 The Moment of a Big Shot

At 10:50 a.m., the door to the lounge backstage at Stanford University's auditorium was gently pushed open.

A staff member wearing a suit with the Stanford logo and a name tag for the California Internet Conference bowed and walked in, politely reminding everyone, "Ladies and gentlemen, there are ten minutes left before the conference officially begins. Please follow me to the auditorium."

The guests stood up, straightened their clothes, and packed away their documents and belongings. Under the orderly guidance of the staff, they headed to the auditorium where the Internet Conference was being held.

However, there was one exception: Ernst, who was stopped by a staff member.

"Mr. Garfield, this way please." The staff member gestured respectfully, indicating that the other side of the corridor was to the left.

Ernst was slightly taken aback, thinking to himself that he had a private VIP channel, but what if he was greeted by a private BM when he entered the room? That would be too awkward.

However, he didn't ask any more questions. He greeted Larry Ellison and Jobs and then followed them.

After passing through a side door, Ernst discovered that unlike the other guests who went directly to the front row of the audience, he was being led to the stage area at the front of the auditorium.

The path he took was the route to the stage.

According to the process he knew, the California Internet Conference would last for three days. The first and second days would focus on interviews and speeches by industry leaders, while the third day would be dedicated to free discussion and exchange, providing attendees with ample opportunities for interaction and networking.

Steve Jobs' speech was scheduled for the second day, focusing primarily on presentations. However, this other key figure at the California Internet Conference, one of the biggest names in the conference, was scheduled for today's main panel discussion.

The main issue today is that there's an opening ceremony and a whole bunch of other miscellaneous procedures, so the actual time for the main discussion is only about half a day.

However, since it was the first time the event was held, Stanford allowed extra time, setting the start time at 11:00 AM.

That's why the organizers set up a backstage restaurant for people to rest and grab a bite to eat, since the symposium would definitely last for several hours and they would miss lunch.

Upon stepping onto the stage, he saw Bill Gates already seated in the guest area. Besides him, there was also Cisco CEO John Chambers, who was leaning to the side, whispering something to a staff member beside him, a confident and composed smile on his face.

The theme of this inaugural California Internet Conference was exploring the future development of the Internet, and the organizers' positioning of the three core guests perfectly matched this theme.

Bill Gates represents the builders of the internet software ecosystem, and Microsoft's operating systems and office software are an important part of the global digital infrastructure.

Although Microsoft faces competition from Google in office software, it's incredibly fast at copying others.

Besides the core technologies of Google Office, such as large text output and resume download, OFFICE copied many of Google's pioneering features.

In addition, the market share accumulated in the past was too large. Although Microsoft's office software market share has fallen below 50%, it still ranks first.

Google's office software market share exceeds 39.6%, less than 7 percentage points behind OFFICE.

John Chambers is a leader in internet hardware; Cisco's network equipment supports the normal operation of the vast majority of internet nodes worldwide. Ernst, on the other hand, represents the field of internet applications.

The three will each elaborate on their judgments and plans for the future of the Internet from three dimensions: software, hardware, and applications. To put it bluntly, it's all nonsense.

But in Ernst’s view, this seemingly insightful discussion was essentially nothing more than a collective publicity stunt by industry leaders.

In fact, people in this industry all understand that those who can speak out have already completed their plans and are just waiting for these admirers to come in and inflate the bubble, thereby securing higher valuations and broader development space for their companies.

So-called cutting-edge insights and future predictions are nothing more than fancy rhetoric wrapped in commercial interests.

Ernst's appearance instantly shattered the tranquility of the stage area and immediately became the focus of the entire auditorium.

As he walked toward his seat, the slightly noisy conversation below the stage instantly subsided, followed by a chorus of exclamations and the rapid clicking of camera shutters.

The spotlights shone on him relentlessly, as if he were a stunningly beautiful woman.

He is simply too low-key and does not accept media interviews, which means that media people have never had the opportunity to ask and answer questions one-on-one like they did today.

"Although I had seen his photos before, I was still shocked to see him in person. He is so young!" A blonde, blue-eyed female reporter in the front row of the media area said to her colleague while rapidly pressing the shutter button on her camera.

"Yes, in just over two years, they have created one internet company after another, especially Google, which is a behemoth no less than Microsoft."

"I'm more interested in his net worth," someone said. "I heard that after Google goes public, he will surpass Bill Gates and become the new richest man in the world." "I think his life story is more exciting than his business achievements," another tall male reporter interjected, his tone somewhat sarcastic.

"Who would have thought that just two years ago he was a notorious playboy in Hollywood, spending his days partying and indulging in a life of debauchery, and now he has transformed into an internet tycoon who is about to top the global rich list? This story is more exciting than a Hollywood movie."

"Uh..." Many people realized that it was indeed the case.

His story is absolutely legendary and could easily be made into a movie.

"And Bill Gates is on stage today too. Do you think the two of them might clash?"

"We could fan the flames a bit later."

Seeing that many people were getting excited, a veteran reporter said with great experience, "I advise you to give up this little scheme."

"What's the occasion today? Even if it were a blood feud, both of them would restrain themselves. If you ask questions like that, they probably won't answer, which would be a waste of your opportunity."

While the media was discussing it, Ernst went to his seat and sat down.

The seating arrangement by the organizers was quite interesting; his seat was placed on the left side of the stage, closest to the host.

Next was John Chambers's seat, in the middle of the three.

Finally, Bill Gates' seat was the furthest from the host. Logically, considering his publicly disclosed wealth, industry experience, and global influence, Ernst shouldn't have been seated there.

Bill Gates goes without saying. Microsoft is the world's most valuable company, having established its dominant position in the software industry. Bill Gates is also currently the world's richest man in name only.

John Chambers may not be as good as him in this respect, but he has more seniority and more connections. He controls the world's second-largest internet company. Ernst has no chance of sitting in this position.

But that's how the organizers arranged it, and this detail naturally didn't escape the eyes of the veteran media professionals present.

Many people were excited, not expecting news to appear right away.

On the one hand, many people know that Microsoft is not very fond of Stanford students. As the host, Stanford's arrangement of Bill Gates in the seat furthest from the host was more or less a show of force.

On the other hand, Ernst's relationship with Stanford is well-known, and this is sending a signal to the outside world that Stanford is taking sides.

At 10:00 AM sharp, the California Internet Conference officially began.

The opening was boring, but that's how it goes, and it's something we have to go through.

Because it was the first edition, there was a lot of pre-event rambling, which lasted for more than an hour.

Next, it's time for the bigwigs to boast, but the official explanation is that it's to promote better development of the industry.

"Mr. Gates is the first to arrive, so please share your industry insights with us first, and then explain your views on the future of the Internet." As the host finished speaking, enthusiastic applause erupted from the audience. Regardless of their private lives, they still had to maintain appearances, especially with so many reporters present.

Of course, there are also those who don't care about saving face, such as Larry Ellison.

Ernst saw that this guy had a blank expression and looked disdainful.

He chuckled, then turned his gaze back to Bill Gates. It turned out that the guy had arrived long ago, but hadn't gone backstage.

But it makes sense. What would you do backstage? What if you get beaten up?

Microsoft's reputation in the industry is truly unparalleled. To be disliked by the entire industry and have no friends is quite an achievement.

Putting aside the fact that Larry Ellison, Steve Jobs, and the other two have a grudge against Bill Gates, if a fight really broke out, eleven out of ten people would probably take sides and take the opportunity to kick him a few times.

This guy was self-aware enough to come straight to the front desk.

Bill Gates took the microphone from the staff member, flashed his signature smile, and began with some polite remarks.

"Thank you to the organizers for the invitation, and thank you all for coming. The development speed of the Internet industry has exceeded everyone's expectations. From its initial role as an information transmission tool to its current various sub-segments, the Internet has become an indispensable infrastructure."

"Microsoft has always been committed to promoting the deep integration of software and the Internet. We believe that the Internet of the future will be smarter and more convenient, and will be able to create greater value for users."

"In the software field, we will continue to invest in research and development to improve the compatibility and security of operating systems and provide more efficient digital solutions for enterprises and individual users..." How so?

Whether it was Bill Gates or John Chambers later, their speeches were all conventional, stating that the future of the Internet is limitless and has great development value, and so on.

That's easy to understand. All three of them are beneficiaries of the Internet. Even if the Internet were to die, they would still boast about it and then cash out and leave.

"Mr. Garfield, what are your thoughts on the future of the internet industry?" The host looked at him; he was the last person to speak that day.

Ernst picked up the microphone and gestured to Bill and John. "Bill, John, and I agree that the Internet is only in its early stages of development, and its future development will exceed everyone's imagination."

"What about Nasdaq? Many people say that Nasdaq has a huge bubble and could collapse at any time. What's your opinion on this?"

Ernst turned to look at the other person; today's host was a student from Stanford.

I didn't look closely before, but now I realize that he's good-looking and has a great figure, which is his type.

But you can't be arrogant, you know. You're staring at me with those two big eyes, trying to set me up.

He gave her a sharp look at her large, almost bursting eyes, as if to collect some interest, then pulled himself together, maintaining a calm smile, and said in a composed tone, "I do not deny the claim that there is a bubble in NASDAQ."

"In fact, there is a bubble in Nasdaq right now."

"Oh?!" Ernst's words had barely left his lips when a chorus of exclamations erupted from the audience.

No one expected Ernst to so directly acknowledge the existence of the internet bubble.

Prior to this, almost every internet industry tycoon had been asked this question, and they all vehemently denied the existence of a bubble or used it as an excuse to say that it was a normal stage of industry development.

After all, as beneficiaries of the industry, none of them were willing to pop this beautiful bubble.

Once the bubble bursts, the entire internet industry will face annihilation, and their corporate valuations will plummet.

No one expected that Ernst, as the biggest beneficiary of the internet industry, would bluntly say that there is a bubble in the current internet.

The media reporters were absolutely thrilled. Camera shutters clicked incessantly, and many reporters wore excited expressions, believing that this would be the biggest news story of the day, enough to dominate the headlines of major media outlets.

But Ernst wouldn't be that stupid. Even if there were bubbles, he wouldn't say that, undermining everyone and ruining everyone's dinner.

"The bubble exists, but I think it's reasonable."

"How so?" The host ignored the commotion in the audience and continued to press for an answer.

Ernst crossed his right leg over his left, adopting a boss-like demeanor. "The internet industry is fundamentally different from traditional industries. The development of traditional industries requires a long accumulation process. Whether it is technology research and development, market expansion, or brand building, it all requires time to settle down, and its valuation growth is relatively slow and stable."

"But the internet industry is different; it's an industry capable of explosive growth. A successful internet product can accumulate millions or even tens of millions of users in just a few months, resulting in a valuation increase of hundreds of times. This explosive growth characteristic determines that the valuation logic of internet companies is completely different from that of traditional industries." "Many companies may seem like bubbles now, but if you look at them again in six months, you'll find that their financial reports, relative to their current valuations or market capitalizations, are actually within the normal range."

He silently thought to himself that 99.9% of internet companies on the market do not meet such requirements.

"That's why I say this bubble is reasonable. Investors simply built their positions six months in advance and bought the value of the company six months later."

"Do you think Nasdaq will continue to grow?" the female host asked again.

Ernst glared at the headlight again, considering whether he should smash it tonight.

"certainly."

And just as Ernst had predicted, he walked right into their trap.