Chapter 1101: Friend or foe?

In the following time, Robert. Galvin finally had the patience to listen to Tan Zhenhua’s investment in China’s electronics industry, and this also made him realize that the young man in front of him has the energy in China—this is something he has never heard from his company. Subordinates have reported, obviously, they are negligent.
Now he knows that Eric has a complete manufacturing capability for electronic industrial products in China, and there are many specialized manufacturing plants that produce everything from TV sets, refrigerators, air conditioners to electric fans, coffee machines, rice cookers, and heaters. With household appliances, I just invested in an unbranded electronic product foundry factory, which can undertake the production of various IT host products. The product line extends from computer hosts and laptops to personal consumer electronics such as digital cameras. A complete industrial chain layout, and in this layout, has initially possessed the global supporting supply chain integration capabilities.
Even the channel end of market sales has a deep foundation-the former 4014 labor service company under the charge of Liu Mei, after several years of construction and development, with its unique advantages in product supply, it is no longer the original limitation. In the mode of providing group buying services for major enterprises and institutions, it has been renamed "Ningdu Ningtong Electric Co., Ltd." and has developed into a wholesale and retail company based in Ningdu with customers all over the country. A comprehensive electrical product sales company with annual sales of more than 500 million yuan, but the original magnetic material factory was completely independent, and Ningdu Magnetic Materials Co., Ltd. was established. Liu Mei stepped down as the factory director and was replaced by another person in the office. I heard that in order to compete for this position, the institute still jumped for a while, you know, this position is now recognized as a fatality in the institute!
Robert. Galvin believes that what Tan Zhenhua said is true. After all, with the wealth and status that this young man has today, there is no need for him to lie about such trivial matters. This also made him realize that he wanted to make Motorola successfully entered the China market, and cooperation with Eric may be the most convenient, labor-saving and also the easiest solution to succeed.
Because he at least knows that if he wants to invest in China in the name of a private person and has such a large scale of industry, this person must have a very deep background, and the information revealed from the words that Eric just highlighted. As well as the focus of his investment in the United States and China, he clearly has a very good cooperative relationship with China's Ministry of Industry and Information Technology-and these, in his view, are the basis for Motorola's future business development in China.
The next development is logical, Robert. Galvin called his son, the company's new CEO Chris. Galvin, the three quickly reached an agreement-Motorola and Tan Zhenhua will each invest 100 million US dollars to form a joint venture company in China. This company will sell mobile phones and walkie-talkies under the name "Motorola" And, the pager and paging system specially proposed by Tan Zhenhua. This is because Tan Zhenhua proposed that in view of the current consumption capacity of the China market, mobile phones, such an expensive product, can only be accepted by a very small number of people, while the price of pagers is relatively low, and Huaxia has already released the license for private investment in the paging business. Therefore, this business will be the most important product line of this Huaxia "Motorola" in the next ten years.
Of course, based on actual operational needs and one of the missions that this future joint venture company must undertake-product localization, such as the launch of a Chinese paging system, Motorola will also provide this joint venture with intellectual property rights. Authorization, so that it can further adaptive R&D on the original technology for the local market.
As for the production of personal terminal products, it is completely entrusted to the "Foxconn" factory invested by Tan Zhenhua in Shenchuan. Motorola is responsible for providing necessary technical guidance and core accessories. This move will also be due to the huge import tariffs on components compared to the whole machine. The difference greatly reduces the cost of supplying Huaxia market products.
The specific contract clauses of course need to be drafted carefully by the lawyers of both parties. However, with the determination of the main cooperation framework, Galvin and his sons believe that this is obviously a win-win business, especially Motorola, which has gained a lot in this cooperation project. The success of the Chinese market, which they once had no access to, will open the door to them with the signing of this blockbuster cooperation agreement.
Of course, with the conclusion of this agreement, Motorola and Eric. The relationship between Tan has become more subtle-in terms of CPU architecture, the "MM" alliance and "Midoor" are still endless competitors, while in the field of wireless communication, Motorola and Eric. Tan has formed a close ally. They will jointly develop China's future, the world's largest single communications market, while simultaneously resisting rivals from Europe, such as Ericsson and Alcatel.
So is the relationship between the two parties an enemy or a friend? This has become difficult to tell for a while.
But these are not important. What is important is that they believe that the measures taken in these two areas are the best choice for Motorola from the perspective of capital operation and obtaining operating profits. This is sufficient.
There is no doubt that today is an encouraging agreement, especially Eric. Tan’s negotiating skills and his grasp of the balance between technology and market during the negotiation of this agreement, as well as his deep network background in China, made Galvin and his son realize that they established a relationship with the young China rich man. Long-term and friendly cooperative relations actually have great long-term benefits for Motorola.
Moreover, this young man is very good at considering issues from the other side's standpoint, and he never cares about minor issues. The cooperation and communication with him are very smooth. For a moment, they even regretted forming the "MM" alliance. In fact, Motorola could also choose to join the "Midoor" alliance. Just like Intel, it gave up the CISC structure and had a good talk with Eric. Obtaining a MIPSCPU authorization at a relatively low price is not a solution that cannot be considered at all.
It is even possible to go one step further. With Motorola’s strength and position in the semiconductor industry, learning from Apple and becoming a shareholder of MIPS to further consolidate its position in the "Midoor" alliance is also an option that can be considered-this is not actually To prevent Motorola from continuing to sell its 68 series CPUs, for example, those companies that produce game consoles will not be lost, but some of Motorola's personal computer partners need to be persuaded to move from the 68 platform to the MIPS platform.
But this idea only existed in their minds for less than a second and was automatically ignored. The "MM" alliance has been announced at this year's CES exhibition, and many customers have joined the alliance because of Motorola's call. , This has only been running for a few months, and exiting at this time will obviously arouse public outrage.
So, the CPU matter has to be put on hold for now, but there is another major project that can be considered to have a good talk with this Eric.
This is an ambitious and costly project, and in terms of its use, it is global. Motorola needs to win as many international partners as possible to jointly promote this project to make this project meaningful and it can also be shared. They have done a lot of work for the huge and high R&D costs. Currently, the number of countries that are going to join exceeds 30, and this Eric in front of him. Tan, obviously, is the best candidate to fill the blank map of China.
So, after the negotiation on the previous project came to an end, the two souls of the father and son looked at each other and nodded to each other.
"Eric," Chris. Galvin said: "I believe that our cooperation in the field of communications will have broad prospects, so have you ever considered pushing our cooperation to a higher dimension?"
In an instant, a glint flashed in Tan Zhenhua's eyes. The moment he had been waiting since he stepped into this office, it finally came.