Chapter 726 Intel
Lin Johnson & Johnson reached an acquisition intention with Moore and Andy Grov, and Dongxing Semiconductor will acquire Intel's memory division, including its R&D department and memory factory.
In the memory field, there are specialists in OEMs. Later, Kingston did not have a wafer factory, so it did not produce memory particles, and specially purchased other people's memory particles to assemble OEMs. Like Samsung, Hyundai, it sells memory particles and also makes brands.
What Lin Johnson wants is to produce memory particles and make brands.
After that, he and Intel will have more in-depth exchanges. Lin Johnson hopes to acquire Intel's memory business for $32 million, and both parties will definitely have to bargain.
Moore asked Lin Johnson in confusion: "Mr. Lin, our memory quality and performance are not as good as those of the Japanese. After you enter this business, do you have any specific measures to boost your products?"
Glov also said to Lin Johnson: "When we sell this department, we must consider whether the buyer can lead the business to rise again. Intel does not want to sell the part, and finally let the irresponsible people take over!"
Li Jing was also a little worried when she heard this. According to her thoughts, it is difficult for the US memory industry to defeat Japanese manufacturers. In terms of performance and quality, Japanese memory has left American goods far behind. Japanese memory has already dominated the market. In this way, she is not very confident in developing the memory industry.
Lin Johnson said confidently to Moore and Glov: "You may not know that I have obtained a large amount of loans from banks in recent months. With my own funds, it is no problem to invest in the research and development of higher-performance memory technology. Moreover, not only that, I also need to expand the memory factory, which is not inferior to Japanese manufacturers in terms of output. Only when the output reaches it, the price can drop!"
Moore and Glov have also heard of rumors about Lin Johnson-John’s strong capital, and the person in front of him is a very powerful person in the financial field. Not short of money is the label of this young Chinese man in Silicon Valley.
Moreover, a few days ago, at the Internet Development Conference, Lin Johnson-in-Lin sold a $200 million startup fund like a star, which shocked the semiconductor industry in the United States for a while. People who dared to claim that they were rich were indeed more alternative, and also made his fame very famous among the semiconductor industry and young Americans!
To be honest, Moore and Glov also have some envy. Dongxing Semiconductor has an extremely wealthy boss, and the most important thing is that they have abundant liquidity.
Now Intel is lacking in funds, and it has invested too much in the early development of the 80386 chip, and then the media publicity and preparation for production require even more funds. Moreover, it also needs to formulate plans for the next research and the laboratory cannot stop operating.
Facing Moore and Glov, Lin Johnson said: "Two, I am actually very optimistic about Intel. I am currently buying Intel's stocks on the stock market. I am willing to invest in this company!"
Gordon Moore and Glov were quite surprised. You should know that Johnson Lin is the boss of Dongxing Semiconductor. The company still has a competitive relationship with Intel. Moore asked in surprise: "Mr. Lin, what does it mean if you are willing to invest in Intel?"
Lin Johnson nodded to him and said, "I want to invest in Intel. I am very optimistic about your development in microprocessors! To put it directly, I want to own 20% of Intel's shares!"
Moore and Glov looked at each other, and Glov said, "But, you have a chip manufacturer!"
He said seriously: "And, we still have competitive relationships in some areas, even in the processor architecture. Your Dongxing Semiconductor has infringed on Intel's patents!"
Speaking of this, Grove became a little angry and remembered some commercial unhappiness. To be honest, he was annoyed by others' plagiarism of Intel's unique 86 architecture. These shameless plagiarists often do bad things and tell lies with their eyes open. They would rather delay with Intel indefinitely than bow their heads to admit their mistakes!
Lin Johnson spread his hands and said, "I know our two families are still in the litigation stage, but this does not prevent us from having other cooperation!"
He continued: "Don't worry about this. I'm just optimistic about Intel. This company is very promising. I invested in it just to make profits in the future. I only exist as a shareholder. I will not interfere with Intel's development, nor will I steal Intel's technology. I know that your chip engineering design is currently shared with Amd, but I don't need to do this at all!"
Intel handed over its chip design to Amd, which started with the grudge between IBM and Amd, Intel and Microsoft.
Back then, ibm was an absolute monopoly in the computer industry. It did everything from software to hardware and was very powerful. The Blue Giant was dominant in this market for a long time. Until Apple rose, it was unable to develop the PC business without paying attention to personal computers.
In 1981, ibm wanted to design a microcomputer, and they were optimistic about the personal computer industry and decided to enter this market.
Intel, which was still a startup company at that time, used its own chips to sell to ibm, while ibm hoped that two companies would bid together to lower the purchase price. Under pressure from the blue giant, Intel was forced to find Amd and gave the relevant designs to Amd, allowing Amd to compete with itself.
Intel is naturally angry that there is an extra competitor for no reason, but they also cleverly delayed the delivery date. In this way, the design obtained by Amd is about half a year later, and every time Amd launches products, it is one cycle slower than Intel.
But later, ibm brought Microsoft in, hoping to form a benign and competitive industrial chain. Intel had great ambitions and privately attracted Microsoft to establish a Wintel Alliance, specializing in combating opponents and monopolies. The regulations formulated by this alliance are also the most beneficial to Intel.
Moreover, in 1987, Intel stopped using Amd patents for up to five years, and Amd was greatly affected in the five years.
ibm is very angry and has been silently supporting the competition between amd and Intel behind the scenes, preventing Intel from becoming the dominant player. The benefits of this are like using amd to suppress Intel and preventing Intel from being proud of raising prices.
Wintel Alliance is also the combination of the strongest money-making ability in the technology market. PC manufacturers can earn 100 yuan for every PC sold, of which Intel took 70 yuan and Microsoft took 40 yuan. Don’t worry about the numbers, the greed of these two companies, and even the money in the pockets of manufacturers wants to take away!
Lin Johnson wants 20%, compared with Intel. He doesn't think he is greedy at all. These Westerners are his teachers and role models for his growth, so he must be ruthless.
He knew that as long as the Wintel Alliance exists, other microprocessor manufacturers would not be able to compete with Intel. Now Intel is only a small giant and has not yet dominated the industry, so there will not be too many choices for Moore and Glov!
Gordon Moore considered it and said to Johnson Lin: "We will discuss this with the board of directors. If you really want to buy shares in Intel, you need to recalculate the market value of the stocks we have, but the purchase price will definitely be higher, and the shareholders' offer will also be very high!"
Gordon Moore also knew that if Lin Johnson really wanted to buy Intel's shares, shareholders would definitely be tempted, especially when the company is unstable now, there must be shareholders who want to sell the company's shares.
Lin Johnson nodded and said, "I know this. Although most of my funds are in the Japanese market, I can still take out this money!"
Moore nodded and thought helplessly that the young man in front of him really didn't look like the boss of a high-tech enterprise, but rather like a speculator.
The two personally sent Lin Johnson and Li Jing out of the door. Just as they waved goodbye, Lin Johnson suddenly said to Glov and Moore: "I heard that ibm is developing its own 80286 chip, and they plan to use their own processor on their PCs! I don't know this situation, have you heard of it? Will ibm not be interested in Intel's 80386 processor?"
It seemed that an unintentional statement immediately changed Glov and Moore's faces. This is what Intel doesn't want to be known to the outside world at the moment. ibm intends to abandon Intel and do it himself!
At that time, the 80286 chip design technology was handed over to ibm, and they had foundry production. If ibm really made the 80286 improved chip, then Intel's 80386 would be useless, and ibm currently doesn't see that it's about to order, which is what Glov and Moore are most worried about!
"Mr. Lin, this is a rumor! The cooperation between ibm and Intel is very strong. They are about to use our latest 80386 chip!" Grove was impatient and immediately corrected his words.
Lin Johnson laughed and waved to Moore and Glov, "Goodbye, I hope we can reach an agreement soon! Also, I am optimistic about Intel, the 80386 chip has very good performance!"
Seeing the other party get into the car and leave, Gordonmore and Glove are both worried. Gordonmore said with concern: "This young man is also the boss of two computer companies, Compaq and Dell. These two brands have a share of more than 40% in the personal computer market! If he asks the two companies to suppress us and do not purchase 80386, then Intel will be at its worst moment!"
Glov nodded heavily, but he still said: "Combat General Manager Rod Kennyon is a very upright entrepreneur and has a business mind. I believe that if ibm really doesn't work with us, he will see this opportunity!"
Then, he immediately turned around and ran into the door, shouting: "I call Rhode myself, I must not let Lin Johnson do this!"
"I hope so!" Moore turned around and looked at Glov's running back and said silently.
It is now a turbulent time. The ram memory business has exhausted Intel's manpower and material resources. The 80386 chip is being intensively prepared for production. The sales department is still making final efforts for ibm's orders. Intel really has no energy to deal with more enemies! (To be continued.)
Chapter completed!