According to common principles, unless the constraints are too great, the location of the factory should be as close as possible to the market itself.

After the joint venture factory is completed, it will supply products to Mincom Communications. It can be said that Mincom Communications will be the most important customer of this joint venture for a long time in the future.

After dinner, Hu Yang took a lunch break, and then asked Wu Xinhui to bring the information to the investment building.

"Boss, you are becoming more and more dedicated now... How about it, are you tired from going to the Magic City this time?"

Not long after staying in the office, Xia Bing appeared in Hu Yang's office after hearing the news.

This period of time for Xia Bing was actually not easy. In addition to the daily business of Huijia International Investment, the construction of large-size wafer factories was her top priority.

At present, large-size wafer factories have begun trial production, and judging from various data, they can be put into mass production on time.

"Fortunately, this trip to Shanghai went smoothly. However, although Xentong International has temporarily lifted the alarm, Mingkang Communications' life will not be peaceful. Mr. Xia, there is a joint venture project, take a look...

....”

As Hu Yang spoke, he asked Wu Xinhui to hand Xia Bing the information on how Mingkang Communications was planning to establish a joint venture factory.

Xia Bing took it and looked at it carefully, and was silent for a long time.

"Boss, I don't know much about technical matters. But there is a problem. Since it is a joint venture factory, why should we choose to build a factory in a third country? I don't think it is appropriate."

Xia Bing pointed out the problems with this plan with his keen investment sense.

"Well, that's what I thought too. I'll remind Mr. Gao later that if you want to build a joint venture factory, come to China."

Hu Yang nodded and received confirmation from Xia Bing, proving that his doubts were not unfounded.

He decided to go back and have a good talk with Gao Mingkang. Although the supply chain matter was urgent, he could not lose sight of one thing or the other.

"Boss, we have recently taken a fancy to several companies overseas, all of which are related to semiconductors. However, the negotiation process is not very smooth. They are basically afraid of North America's reaction."

What Xia Bing said was not beyond Hu Yang's expectations.

Generally speaking, international mergers and acquisitions by domestic companies have not been smooth. For example, Huijia International Investment has always wanted to acquire an intelligent robot company in Germany. It negotiated for nearly half a year, but in the end it was thwarted by North America.

"Take your time. The long-arm jurisdiction in North America is no longer a day or two. In the end, we still have to make breakthroughs in core areas. Money cannot buy industrial upgrading."

Hu Yang's experience was even deeper than that of Xia Bing and others. After all, he still had the memory of that time and space in his mind.

No matter in the past or present, North America has always been so domineering and has no bottom line.

The way out for Huijia lies in its own technological progress. Only by increasing investment in research and development and being aggressive can it survive.

Xia Bing sat in Hu Yang's office for less than half an hour before she got up and left. She was also a busy person and always had endless work in her hands.

The next day.

Gao Mingkang came to Hu Yang's office early in the morning. It was obvious that he hoped that Hu Yang would agree to his joint venture plan.

"Mr. Gao, I cannot agree with your plan. There are several reasons, but the most important one is the location of the joint venture factory.

I don’t know why the other party chose Eastern Europe, but it is obviously unfair to us. I can understand your eagerness for technological breakthroughs, but I have to consider the issue of investment security."

Hu Yang was not polite to Gao Mingkang and directly vetoed his joint venture plan.

"No, Mr. Hu, is the location of the joint venture factory really so important? I will definitely send a large number of people there by then. I can't do anything wrong by measuring them."

Gao Mingkang has made considerable progress in the research and development of analog chips, but compared with this Israeli company, it is quite inferior.

This Israeli company is a manufacturer that specializes in designing and producing analog chips. It is also well-known internationally and its technology is very mature.

Mingkang Communications has just entered the field of analog chip design, but has no experience in production.

Generally speaking, there is a big difference between analog chips and digital chips. In this area, the gap between China and foreign countries is even greater.

Xentong International currently does not have a production line for analog chips. This is the main reason why Gao Mingkang is eager to cooperate with the Israeli company.

"Mr. Gao, you also know the way things are done in North America. If you build a factory in a third country, what should you do if North America starts to implement long-arm jurisdiction again? We dare to resist North America's suppression, but others may not."

Populus euphratica's perspective on the problem is not economic, but other aspects. The biggest variable here is North America, and North America just has the power to interfere.

Gao Mingkang choked up and was speechless.

He admitted that he was a little eager for success when it came to the joint venture factory. But it would take a long time for him to replace it with local production in this regard, and he had no choice.

"Mr. Hu, your considerations are reasonable. So what should we do? It is impossible for Xentong International to build another analog chip production line, right? They don't have this experience either."

Gao Mingkang thought for a long time, but couldn't find a solution that would satisfy both parties.

"Mr. Gao, you can still talk to the Israeli company. As long as you stick to the bottom line, the other party may not be willing to compromise.

On the other hand, you should contact Mr. Meng to see if it is possible for Xentong International to launch an analog chip production line.

If it doesn't work, Mingkang Communications will build its own factory and find a way to recruit some people from all over the world. I'm not afraid of your trial and error, you will eventually have to come up with this thing yourself."

In fact, Hu Yang didn't have a better way, but he knew one thing. Many of Mingkang Communication's technologies were accumulated step by step.

Now it is mainly due to the strong suppression from North America. If Gao Mingkang is given a few more years, maybe he can achieve a true domestic replacement.

"Okay, that's all I can do for now."

Gao Mingkang knew that Populus euphratica would not compromise, so he stopped insisting.

He immediately stood up and left, preparing to continue negotiating with the joint venture party. If the other party insists on building a factory in a third country, then the project will have to be abandoned with regret.

After Gao Mingkang returned to the company, he convened a meeting with relevant personnel and rearranged the tasks and principles of the negotiations.

Mincom Communications quickly met with representatives of the Israeli company and specifically pointed out the issue of site selection for the factory.

The representative of the other party disagreed and felt that Mingkang Communications was simply picking a bone in an egg.

The two sides argued fiercely, but the other party did not put their words to death, and the negotiation immediately entered a stalemate.

Only then did Gao Mingkang see that the other party was not very urgent about establishing a joint venture. Colleagues, they didn't care if the negotiations dragged on for a long time.

This prompted Gao Mingkang to make up his mind, and he immediately convened the company's board of directors meeting.

Hu Yang still attached great importance to this meeting, and he personally came to Mingkang Communications to participate in the meeting.

"Mr. Hu, everyone, I propose that we, Mingkang Communications, build an independent factory to produce analog chips. I have talked with Mr. Meng of Xentong International before. Unfortunately, all their current work is focused on digital chips, and they are not able to do so for the time being.

We don’t have the technology in this area.”

After the meeting started, Gao Mingkang didn't waste any time and directly named the topics of today's meeting.

Hu Yang thought for a while and asked:

"Mr. Gao, it's not impossible to invest in building a factory by yourself. I need to know a few answers. First, where does our technology come from?

Secondly, have you made a budget? How much money will it take to invest in and build such a factory? "

"I already have some foundation in technology. While I was recruiting designers of analog chips, I began to pay attention to talents in production. As of now, I have a team of about 80 engineers, and I can continue to recruit in the future.

.”

Just like when Zhang Rulin founded Xentong International, many of the key players were recruited from outside.

Of course, this does not mean that there are no talents in this area in China, and domestic recruitment work will also be carried out at the same time.

Having said this, Gao Mingkang took a sip of water before continuing: "As for the construction funds, I made a preliminary estimate and it is about 30 billion yuan."

This investment is not small, especially since Mingkang Communications needs money everywhere now, and the funds are not generous.

Hu Yang did not hesitate this time and nodded directly: "If that's the case, I agree with Mr. Gao's proposal. But, Mr. Gao, can the company's funds keep up?"

Speaking of which, Mincom Communications has made a lot of profits in a year. But the current situation is that on the one hand, the company is facing pressure from North America, and on the other hand, it needs to invest too much.

This has resulted in a significant increase in operating costs for Mingkang Communications and great financial pressure.

Gao Mingkang smiled and said: "The company is definitely short of funds, but I will find a way to postpone some less important expenditures and fully protect this project."

No company dares to say that it is rich in funds. It is almost unimaginable for a company like Huijia International Investment to have a large amount of idle funds.

"Mr. Gao, in my opinion, if you separate this project, there is no need to shoulder everything yourself.

It’s still the old rules, you invest some here, Huijia International Investment invests some, and Hi-tech Venture Capital Fund invests some.”

Hu Yang smiled and shook his head, feeling that Gao Mingkang was a bit over the top.

Whether it is a digital chip or an analog chip, it is just a component of the company's equipment. There is really no need to hold it tightly in your hands.

For example, if it had reached an agreement with the Israeli company before, Mincom Communications would only have half of the shares in the factory that produces analog chips.

"Haha, I was just waiting for what you said, Mr. Hu. To be honest, you have given the company too much support. If you don't take the initiative to speak up, I would be embarrassed to mention it."

Gao Mingkang laughed and showed the fox's tail.

"Mr. Gao, so you are waiting for me here? We are all one family, don't be so polite, let's end the meeting here today."

Hu Yang didn't care. Mingkang Communications was now the company under the Huijia Group that was under the greatest pressure. Who would we help if we didn't help it?

The proposal to establish Yixun Integrated Circuit Manufacturing Company was decided. After the board minutes were formed, Mingkang Communications issued an announcement.

Subsequently, led by Mingkang Communications, the investors quickly reached an agreement.

Yixun Integrated Circuit Manufacturing Company has a registered capital of 30 billion yuan. Among them, Mingkang Communications invested 9 billion yuan, accounting for 40% of the shares (of which technology stocks accounted for 10%).

Huijia International Investment invested 9 billion yuan, accounting for 30% of the shares.

Hi-tech Venture Capital Fund invested 9 billion yuan, accounting for 30% of the shares.

The company's registered place is Rongcheng, Sichuan Province, and the specific location of the factory is in the Rongcheng High-tech Zone.
To be continued...