Reborn in America, I'm serious about making money.

INTL was very satisfied with Dacheng Precision after their inspection, and they have now entered into substantive negotiations.

Why do we say they are very satisfied with Da Cheng Precision?

After their observation, the delegation did not intend to leave. Instead, they booked a hotel room for a month. The unique services offered in Dongguan were one of the reasons that attracted them.

"We want to know if your production capacity can meet our needs."

The man from Da Cheng smiled and said, "We have three major factories on the mainland. Do you see the scale of our operations here? We have three."

His expression seemed to say, "There are six more Calabash Brothers like me."

This statement immediately shocked INTL. They hadn't expected that there were three such factories on the mainland! Of course, they were skeptical.

"If you don't believe me, we can go and see for ourselves. The nearest one is Suzhou City in Jiangsu Province. If we reach an agreement, we can take you there for a visit."

The factory in Suzhou covers a much larger area, almost three times the size of this one, and the factory area is also three times larger. However, the lithography equipment inside is only a shell; the internal components have not yet been installed.

Compared to the mainstream lithography machines currently available, Dacheng Precision's lithography machines are modular. Sound familiar? Hehe...

The light source equipment comes from Australia (which it acquired) and also from North America; this is a common situation. Dacheng Precision modularizes all of this, like building blocks. Therefore, the lithography equipment is just the shell. As long as an agreement is signed, it can fully meet their needs.

"OK, our sales in mainland China are in the tens of millions. You'll provide after-sales service, right?"

"Of course, we are very confident in our technology, and we will provide after-sales service to meet your requirements."

And so, they signed the latest OEM contract. It would take a month for the client to send technical personnel to the site to ensure that some of their technologies would not be leaked. In addition to production, the contractor would also provide after-sales service. The OEM fee would be 85% of the international price.

Soon, the inspection team arrived in Suzhou. When they saw the massive factory complex, they were shocked. It was three times the size of the other factory. After seeing just a few busy workshops, they had no further objections. Seeing the new workshops being prepared for their operation, with engineers debugging the equipment, they felt even more impressed by the professionalism of the factory.

"VERY GOOD!"

They were very satisfied with this Hong Kong company.

What they don't know is that even with only 85% of the international market price, they still make a fortune. In reality, their costs are even lower, extremely low. Their yield rate alone is much higher than theirs, not to mention their cheaper labor.

After leaving mainland China, the INTL inspection team did not return directly to North America, but went to Taiwan to find another of their contract manufacturers.

"What? 15% off? Have you been scammed?" Mr. Zhang from Taiwan was furious. This was impossible. How could it be 85% lower? This didn't meet their standards.

"This is our contract. Their labor costs are much lower than yours, and their large-scale operations show me their sincerity."

INTL's purpose in coming here is to suppress the prices of this Taiwanese OEM company, to let them know that there are always stronger players, and to let them know that the client is also well-informed.

"We can only lower the price by 5%. Our equipment is state-of-the-art, our..."

"Yes, that's your advantage, but their product is the same as yours. Try this chip and see how it differs from yours."

Soon, they brought the equipment, conducted tests, and found no difference.

"Did they carefully select them, and then...?"

"NO!" Feeling insulted, the client immediately retorted, "We had them produce a batch, and we just randomly selected some. So what explanation do you have?"

"OK! So, what price do you think should be the standard for the new OEM contract?"

……

"These North American devils are so greedy."

After the new contract was finalized, the Taiwanese contract manufacturers complained in their offices that, after haggling, their contract manufacturing fees had dropped by 7%, to only 93% of the original amount, causing them to lose a lot of profits.

Taiwanese contract manufacturers are no longer major shareholders of the European lithography machine manufacturer, just as they were in the original timeline. As a result, no European lithography machines have appeared on the global market.

It's only available in the US and Japan, but it's extremely expensive.

There's nothing that can be done about it; these two regions simply don't share their technology. Besides, no other companies can compete with them.

This makes these contract manufacturers very expensive, and if one part of their production equipment malfunctions, the entire equipment has to be replaced.

This increases their OEM costs, which is why they feel the pinch.

It's only because Zhang San wants to keep a low profile that they have room to survive. In reality, if it were for the global OEM market, he could have lowered the price to the lowest possible level, perhaps half the current price, or even lower.

However, in order to avoid attracting attention or arousing envy from some people, he could only do it this way and keep a low profile.

Mainland newspapers also reported on this, stating that Hong Kong-based Dacheng Precision Manufacturing Co., Ltd. became the mainland China foundry partner for North American chip giant NITL. This marked the completion of the mainlandization process for NITL's chips, ensuring that the produced chips are of the same quality as those from Taiwan, and also achieving localized after-sales service. This saved NITL a significant amount of money, and prices are expected to decrease by 4%...

"When did Hong Kong have such an amazing company? I never realized it."

Online, most netizens share the same sentiment: they never expected that a tech giant would emerge in a place primarily focused on tourism, finance, and real estate.

Contract manufacturing companies, despite being contract manufacturers, require just as much technology. At the very least, they need to be able to produce chips, and of course, wafers as well.

INTL didn't ask about wafers; they only cared about the price. In fact, this wafer factory was located next to Suzhou, in a very inconspicuous place. It could be said that it was one of the core facilities of Dacheng Precision. Every year, Dacheng Precision's wafer procurement was very dispersed, sourcing from all over the world. This highly dispersed nature made it difficult for many people to understand, and the procurement quantities also varied.

The majority of the profits actually come from the semiconductor factory in Suzhou.

Conduct this quietly, and do not fire your guns!