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Chapter 1245: Chapter 1102: Xin’an City (Please Subscribe!)
April 11th.
Shen City.
Zhihua Technology Headquarters Building.
After such a long period of expansion, Zhihua Technology had truly become an integrated developer, manufacturer, and solutions provider of advanced communication devices, receiving substantial support from Shen City.
The walls were adorned with plaques and trophies.
Wherever there was an award to be won,
Zhihua Technology always brought one back.
Due to Zhihua Technology’s focus solely on 4G equipment,
there had been no conflicts with Huawei’s previous business, rather a complementary relationship, hence, collaboration between the two had always been pleasant. It had to be pleasant—aside from holding a controlling interest, the other party was also their biggest customer.
The construction of the 4G infrastructure in Myanmar
was almost "gifted" to them.
Huawei had also nearly monopolized Myanmar’s communication device market, rampaging through it like it was their own backyard—an experience previously unfelt by Huawei.
At quarter past nine in the morning,
Ren Zhengfei arrived here.
As the company’s second-largest shareholder, he usually attended important meetings in person.
After getting to know the company for so long,
he had developed a sense of awe for it.
That’s right.
It was awe.
Those immersed in technology only respected one kind of person: someone with superior technical skills. And the expert group at this company had broadened his horizons, appearing to solve any problem thrown their way.
He was thoroughly convinced.
The main challenges of 4G technology had been overcome by them, and what’s more, they had the backing of a nation. It couldn’t exactly be called a state-owned enterprise, but its influence was simply enormous; damn, the owners could even print their own money.
Could you say they weren’t powerful?
And they were printing money that was increasingly capable of regional transactions.
The situation there had developed to this point.
Those in the know understand
that the Myanmar Kyat
would soon become history. Ren Zhengfei harbored a slight uncertainty deep within, wondering if he was about to ’ask a tiger for its skin’. The overwhelming strength of the partners was, after all, somewhat daunting.
On the stage,
a fighter was announcing the company’s upcoming strategic plans.
"In this Huaxia 4G bidding, without a doubt, we will be the largest equipment provider. In the next three years, the company will experience rapid growth. Besides the Huaxia market, other nations will quickly follow suit..."
The content of the meeting was quite ordinary.
However, what was unusual
was why they were so certain of an imminent peak in 4G infrastructure creation. They were also urging the various hardware departments to increase production, refine services, and assemble teams to start ’conquering’ international markets.
Ren Zhengfei was unsure.
But he did not voice his doubts during the meeting.
Afterward,
Ren Zhengfei approached the fighter.
"You are so sure that there will be a surge in 4G construction," Huawei’s strategic planning department estimated that the fervor for 4G construction would appear at least two years in the future, even in Huaxia, and that massive upgrades to 4G base stations would not happen in the short term.
At most, they would just improve internet speed.
This was a significant deviation from Huawei’s analysis.
"President Ren, I wonder, what do you think about smartphones?" the fighter asked with a smile.
"Smartphones?" Ren Zhengfei said.
"Yes,"
the fighter nodded.
Ren Zhengfei said, "I believe that smartphones will be the future of wireless internet. With Qualcomm introducing the new generation of high-performance Snapdragon processors, there will be a substantial growth in the performance of smartphones..."
Huawei had established its mobile phone division back in ’03.
They had always been building phones.
It just wasn’t their main business. Mainly, it was about accumulating experience. Since Apple launched its first device, they had immediately followed suit, entering into the development of smartphones, and had already seen some success.
Is this the ’basis for judgment’?
"You’re right. In the future, smartphones will become the main consumers of data, requiring increasingly higher communications quality. However, unlike your two-year prediction, my estimate is one month."
The fighter held up a single finger.
"One month?" Ren Zhengfei exclaimed.
"Yes, one month. In one month, the whole world will need 4G," the fighter said with a smile.
Ren Zhengfei was puzzled.
"Why?"
"Because of this."
Saying this,
the fighter handed Ren Zhengfei a device—it was a mobile phone created by Tang Qing’s company. In the future, Zhihua Technology was also going to make phones, but Huawei’s mobile phone division was not within Zhihua Technology.
Instead of competing later,
it made sense to collaborate now.
This time,
the fighter didn’t plan on holding shares.
Quite simply, phones weren’t profitable. In the future, the industry would enter an era of razor-thin margins. Aside from Apple, any other phone achieving a two percent profit margin would be considered quite good. Xiaomi’s hardware had never been about making money.
Whether it was Xiaomi or Huawei, or even Samsung, they were all merely vying for market share.
They made money through other services.
Why hold a controlling interest in a business that doesn’t generate profit?
"Is this... a smartphone?" Ren Zhengfei blurted out, looking at the fighter power up the device and navigate the interface.
"Yes."
Continuing,
the fighter demonstrated other features to him, such as browsing the internet, reading news, watching videos. Because there was already a 4G network in place, the mobile phone operated seamlessly, astonishing Ren Zhengfei.
Trembling with excitement, Ren Zhengfei asked, "Which company manufactures this?"
"Qingyuan Technology," the fighter replied.
"Qingyuan Technology? Whose company is that? A Huaxia company?" Ren Zhengfei asked in confusion.
The fighter nodded, "Yes, I think you’re very familiar with its owner, Tang Qing, chairman of Comet Group. This model has already undergone testing at the Ministry of Information Industry, and on the 15th next month, the company will officially release it."
"Shhh..."
Ren Zhengfei inhaled sharply.
A launch next month?
What incredible speed. He took it and tried it himself, at a loss for words. Once this thing was released, mobile phones would undergo a revolutionary stride.
