Chapter 535 Elpida, that’s a trap!

Next, the first one to take action is Mingkang Communications.

Gao Mingkang was dissatisfied with the relevant authorities in North America who raided the company's R&D facility. He hired a team of local lawyers to formally sue the other party for abuse of power.

At the same time, Mincom Communications announced that in view of the unreasonable local censorship system against Mincom Communications, all products of Mincom Communications will be temporarily withdrawn from the North American market.

In fact, the products of Mingkang Communications have been rejected by the United States on the grounds of national security. Whether to withdraw or not is just a gesture, and the propaganda significance is far greater than the practical significance.

It is precisely because of Mincom Communications' tough attitude that the relevant local departments had to return the information and computer hard drives taken away during the search to Mincom Communications North America Research Institute.

But the other party refused to apologize and did not offer any compensation.

Gao Mingkang made a prompt decision and moved the entire North American Research Institute located in Silicon Valley to Canada to continue research work there.

Hu Yang felt that in fact, Canada was not necessarily very safe. It was just a research institute, and there was no need for him to have a dispute with Gao Mingkang.

At the end of the year, Charming Semiconductor's R&D facility in Silicon Valley was relocated to RB, and many local talents related to the semiconductor industry were recruited.

"Mr. Hu, Charming Semiconductor's research institute in RB is running well. Now there is a new situation there. RB Elpida is very interested in cooperating with us. They have sent people to contact the research institute several times.

"

Yan Hanzhang has always supported the introduction of semiconductor technology and talents from RB. He was very happy with the goodwill released by Elpida, so he hurriedly reported to Hu Yang.

Elpida Company is no stranger to Hu Yang. This semiconductor manufacturer, which mainly produces DRAM memory, once ranked third in the world.

However, due to the sudden rise of Charming Semiconductor, S Star launched a price war in advance, defeating Elpida. According to incomplete statistics, Elpida's losses this year will be as high as 1.2 billion US dollars.

The historical trajectory of the past has actually changed.

In that time and space, Elpida began to decline rapidly after the global financial crisis in 2008. It filed for bankruptcy protection in 2012, and was finally successfully acquired by Micron & Optical for US$2.5 billion.

But now, Elpida has embarked on the path of decline, otherwise the other party would not take the initiative to put aside its status and seek cooperation with the "juniors" in the Charming Semiconductor industry.

Hu Yang looked up at Yan Hanzhang and asked with interest: "Cooperation is the only way to win-win... The question is how does the other party want to cooperate?"

"Preliminary feedback shows that Elpida is seeking industrial assistance from the RB government on the one hand, and on the other hand, the other party hopes to find partners in the industry and is willing to introduce new strategic investors."

Yan Hanzhang said and handed Hu Yang a piece of information.

Hu Yang glanced at it a few times and found that the other party's conditions were not harsh, but there was one last clause. This matter needed to undergo a security review by the RB government.

"It's the same thing again. The problem is that even if the RB government passes the security review, can you guarantee that no one else will cause trouble? For example, the United States... However, you can contact them first. After all, things in the world

Everything changes rapidly.”

Hu Yang is not opposed to negotiating with the other party, but he must be cautious when reaching an agreement to avoid unnecessary losses.

"Okay, Mr. Hu. I have some free time recently. I will go there myself later."

Yan Hanzhang decided to go to RB in person to see how feasible the cooperation plan proposed by Elpida was.

After Yan Hanzhang left, Hu Yang called Wu Xinhui to the office and asked her to call each of her companies and ask them to make a phased summary of the implementation of the "spare tire plan" and report it immediately.

A spare tire is just in case.

In the case of being completely choked by others, all technologies and components have alternatives. This is the key to the survival of the company.

The day after Yan Hanzhang went to RB in person, reports from various companies were placed on Hu Yang's desk.

Hu Yang dedicated half a day to carefully analyzing the progress of each company. He was generally satisfied with the implementation of the plan.

The biggest shortcoming now is high-end lithography equipment.

As for the source of semiconductor materials, high-end technology is basically in the hands of RB people. With the close connection between the other party and the domestic economy, the possibility of the other party jumping out and getting stuck is not high.

Moreover, these raw materials are basically domestically produced products. There may be some shortcomings in quality, but there is still no problem in meeting the production needs of enterprises in extraordinary times.

Sometimes, the biggest obstacle restricting the development of a certain domestic industry is not technology. As long as you are willing to invest in technology and do not take detours, there is still hope that you can make a breakthrough.

The biggest obstacle for domestic enterprises to launch an impact on the mid-to-high end of the industrial chain lies in the market.

At present, many domestic industries are on the road to catch up with the world's advanced technology. There is inevitably some gap between the quality and performance of products and the international advanced level.

Let’s not talk about foreign-funded enterprises, let’s talk about domestic enterprises. In order to compete in the market, when they purchase raw materials, parts and production equipment, they often aim for the best products in the world.

As a result, even if domestic companies have mastered a certain advanced technology, they often suffer from poor product sales and unsustainable operating performance, and often have no potential for development.

"So, the market is crucial!"

Hu Yang put down the report in his hand, stood up and walked back and forth in the office. He felt that there is another important thing now, which is to appropriately increase the proportion of domestic raw materials and parts purchased within the Huijia Department.

...

Yan Hanzhang went to RB for three days and then returned to Shenhai.

"Mr. Hu, Elpida's current cash flow is very poor. They hope to introduce new strategic investors, on the one hand to open up new markets, but the most important thing is to raise funds."

After Yan Hanzhang came back, he immediately reported to Hu Yang.

Elpida's biggest problem now is that its cash flow is drying up.

Moreover, Yan Hanzhang visited two of the other party's local production plants in just three days. The overall impression was that the other party's technology was good, but there were many management problems and the production efficiency was relatively low.

"I always thought that RB companies were the kind of companies with very strict management and high efficiency. I didn't expect that Elpida is like an old man entering his twilight years, with many problems."

Yan Hanzhang ended today's work report with a complaint.

Hu Yang smiled and nodded and said:

"RB companies are all different, and of course they cannot be generalized. I think the semiconductor war that year had a profound impact on these RB semiconductor companies.

Mr. Yan, do you think it is possible for us to cooperate with the other party? And as I mentioned, if we really want to cooperate, can we pass the security review?"

"Mr. Hu, I think Elpida is terminally ill now. We rashly cooperate with them and invest huge sums of real money in it, which is very risky. What I mean is that if we don't do it one by one, we might as well buy it as a whole.

!”

Yan Hanzhang smiled slightly, but his words were not so warm.

Hu Yang nodded, then shook his head and said with a smile:

"Mr. Yan, this is how you do big things! I agree with your point of view, today's Elpida is not worthy of strategic investment.

As for the overall acquisition of the other party, the idea is good. I guess it will be difficult for the RB government to pass. Even if the RB government does not object, the United States will definitely intervene.

In this way, you continue to maintain contact with them. When the conditions are ripe, we can also propose our acquisition plan. Whether it succeeds or not will be discussed at that time. Be careful and beware of the trends from the United States."

Hu Yang set the tone of the matter, and Yan Hanzhang understood it and immediately left Hu Yang's office.

In fact, Populus euphratica is still very envious of Elpida's technology.

Elpida's DRAM memory chip technology is unique. The key is that it accounts for 23.5% of the world's DRAM market and supplies most of today's well-known computer manufacturers.

The other party's sales channels are exactly what Charming Semiconductor lacks the most.

But it is a pity that Hu Yang estimates that there is a high probability that this matter will not succeed.

Just a week after Yan Hanzhang returned from RB, the RB government officially rejected the "industrial rescue plan application" submitted by Elpida.

At the same time, several major investment banks in the United States have adjusted their evaluation of Elpida to negative, and their investment recommendations are all sell.

Elpida's stock plummeted in the Tokyo market, banks and other financial institutions began to stop lending to the company, and Elpida's capital chain was officially broken.

By this time, Elpida had no hope of recovery and had to declare its application for bankruptcy protection.

"It's a pit, it's really a pit, it's such a big pit!"

Yan Hanzhang, who received the news, said that he was standing on the edge of the pit, watching the storm with a smile.

He felt that his boss's prediction was correct. Fortunately, he did not blindly participate in Elpida's strategic investor plan.

So, Yan Hanzhang took out the overall acquisition plan prepared a few days ago and flew to RB again.

Beijing.

The courtyard house of Populus euphratica has gained a lot of popularity.

Snowflakes falling from the sky are a good omen in the eyes of Populus euphratica.

In the middle of winter, Populus euphratica and Tian Sichun, with a large group of people, came to the north again and came to the imperial capital.

"A Yang, I want to eat hotpot mutton."

After packing her luggage, Tian Sichun held Populus euphratica's arm and stood in the yard watching the snow. This season is the best time to eat hotpot mutton.

Hu Yang smiled and nodded. Just as he was about to call Wu Xinhui to say hello to the kitchen, he saw that the other party had already walked not far behind the two of them.

"Assistant Wu, what's the expression on your face? I know you don't eat mutton, so let Master Liao cook two dishes for you alone tonight and make a side of fried noodles, okay?"
Chapter completed!