"Minister Harahira please say."

Zhou Shuo frowned unaware of it. Not only did he not relax because of his smile, but he felt like he was being targeted by a poisonous snake.

Harahisuke nodded and said, "Sharp's proposal is very simple, that is, a joint venture."

"Joint venture?" Zhou Shuo sneered in his heart, without showing any expression on his face, and asked, "I don't know what Sharp's joint venture means?"

"Cross-licensing is inappropriate for Sharp, but we can use technical patents and some investments to establish a joint venture with Chinese companies."

Yuan Pingzhu said jokingly: "Sharp is willing to take out relevant patents for LCD and inject it into the joint venture, and at the same time invest 300 million US dollars to control 60% of the joint venture. China uses patents for high-voltage drive IC and IPs, and invests another US$200 million in capital and holds 40% of the shares. This total of US$500 million in capital can directly go to a 4.5-generation production line. For China, which does not have the ability to manufacture LCD panels, it is already a very important breakthrough."

Zhou Shuo reached out to knock on the table, his eyes swept across the faces of the Sharp negotiating delegation. Looking at their stereotyped expressions, he was silent for a while.

"Minister Hei, I want to ask a question."

"Zhou Sang, please ask questions just because of the question." Yuan Pingsuke nodded and said calmly.

"I can directly provide high-voltage driver IC chips to the joint venture. I can also authorize this company, but the Fanhan Group will not place these two patents into the joint venture. This is the basic condition for the joint venture factory building. Can Sharp agree?"

Yuan Pingsuke's face turned gloomy and frowned and said, "Is Zhou Sang's sincerity not enough? Sharp has more than 300 important patents for LCD production technology. There are thousands of related auxiliary patents. If you can't put these two technology patents into a joint venture, then 40% of the shares. I think China will provide at least another $500 million in investment."

As expected, Zhou Shuo sneered in his heart.

In fact, since Sharp sent such a high-standard team, he had already guessed what the other party was trying to do. It was not that Zhou Shuo had any clever tricks, but because of Sharp's "criminal record".

This "pre-confident" is not something Sharp did in the past, but something he will do in the future. Its shamelessness and ugliness are simply a living rogue textbook.

The LCD industry is characterized by strong cyclicality, with lows and peaks. This is related to East Asia's control of the entire LCD industry and the law of renewal of LCD products. It has led to East Asia's economic development that will directly affect the operation of the LCD industry. In the process of industrial transfer, it will inevitably happen once it enters the trough cycle, a large number of LCD projects will be cut off.

This cuts off projects in which region. It can only be done according to economic laws. Whoever has a higher cost will naturally cut off projects. The high labor and material costs of Japan and South Korea make it very difficult for them to compete with mainland China. There is only one way out for technological upgrades to reduce costs.

However, LCD panel manufacturers all know that it is a matter of time to invest in the mainland, but they are all delaying the investment time. They do not want the technology upgrade in the mainland to continue to reduce costs, which poses a threat to their own industries.

Sharp is not Lei Feng, so he naturally hopes to delay the technological progress of mainland China. However, if everyone competes in a straightforward manner, even if you block the technology, we will develop it ourselves.

It’s not that the Chinese have been blocked. After a hundred years of blockade, all problems have been solved. The Chinese are not afraid of you blockade. Everyone competes fairly in the market and is capable and positive!

No. Sharp is shameless and cunning. It is not about competing with you in the market for technology and costs, but about using lies and rogue tactics to create difficulties for you. It does not face you with you. Instead, it sets traps for you in a dark corner.

In the process of Chinese people seeking LCD panel production technology, Sharp's actions have been despicable and shameless, constantly setting world records. Of course, Sharp also indirectly broke the Chinese dream of changing technology in the market and embarked on the road of self-improvement in independent research and development.

So, what did Sharp do? Why did Zhou Shuo know their intentions clearly?

This means that in 2007, it was the period of cyclical trough of the LCD industry. LCD manufacturers around the world were all in a loss situation. Among them, there were three companies in China who could produce LCD panels, namely BOE, Longteng Optoelectronics and Shanghai Radio and Television.

Due to the backwardness of domestic LCD production line technology, the highest generation is only the 4.5 generation line. The higher the generation, the lower the cost. In order to survive this severe winter of the industry, the Ministry of Information and Industry took the lead in an industrial restructuring plan.

What is the restructuring plan? It is to merge these three domestic LCD panel companies. After the merger, the LCD Industry Group will coordinate with the three companies to re-dividate the domestic market. BOE produces LCD displays for computers, Longteng Optoelectronics produces monitors for laptops, and Shanghai Radio and Television produces LCD screens for TVs.

After dividing the sphere of influence in this way, the three companies can develop in a coordinated manner without falling into endless internal consumption. At the same time, the production capacity of Shanghai Radio and Television is limited to the fifth generation line and cannot adapt to the trend of TV development towards large screens. Therefore, it is also proposed to independently invest in the construction of a sixth generation line.

It can be said that once the restructuring plan is successful, China's LCD industry will have the basis to challenge the Japanese and Korean LCD industry.

In this context, how could Sharp watch China's LCD industry integrate? So it has set up a joint venture brand just like this suggestion made to Zhou Shuo.

Don’t you have three LCD panel manufacturers in China? Just in time, there is another proverb in China, called “Two peaches kill three soldiers”.

Sharp and South Korea's LG both claimed to choose a partner in mainland China to jointly build a 7.5-generation line mainly for the production of LCD panel front-end technology.

But you have three LCD companies in China. Which two should Sharp and LG choose to cooperate? All three companies know that it is good to reorganize the industry. But if Sharp is willing to use valuable technology to cooperate with it, who would not be willing to become the leader of the domestic industry all at once? Instead of investing huge capital to carry out high-generation line impacts with undecided success or failure, a joint venture with Sharp is really making money by lying down at home.

After all, no one knows better than these three companies. The higher the generation of LCD panels, the higher the technical requirements and the greater the difficulty. Even if they can raise huge amounts of funds, the technical bottleneck is still difficult to overcome.

To impact the high-generation LCD production line, even if the Julong Group is reorganized, it will also take unknown risks.

Just after the lies were thrown out, Sharp also began a lobbying of "traveling around the countries" in China. From Shanghai and Radio and Television in the Magic City to Nanjing City Government, from BOE of the Imperial Capital to Shentuchuan City Government, Sharp repeatedly claimed that he would cooperate with the party who gave the best price conditions.

To put it bluntly, this is an open conspiracy. Local governments and corporate leaders would rather trust it than trust it. After all, China is too eager for the monopoly of LCD panels in the hands of Japanese and Korean companies.

This temptation continued until the abortion of the integration of China's LCD industry. At this time, it was suddenly discovered that both LG and Sharp had quietly retreated. Even though several intention agreements had been reached and the local government's commitment to preferential investment policies were obtained.

Sharp and LG completely tore up their promises, withdrew all negotiators, and treated the agreement as a pile of waste paper, and even disdained to make any explanation. Of course, anyone with discerning eyes knew that they had no reason to stand firm in their explanation.

This was in 2007. Sharp and LG joined forces to play in China's LCD industry. When the negotiations ended, the cyclical trough of the LCD industry passed, and the three domestic companies made profits again. Without the pressure of losses, there was naturally no need for "reorganization"...

This is not the end. In 2009, Shanghai Radio and Television wanted to attack the high-generation production line, but Sharp used the same trick again and wanted to cooperate again.

To this end, SBC raised funds from five shareholders, including SAIC Group, Cultural and Radio Investment, Magic City Industrial Investment, Magic City International Group and Magic City State-owned Assets Supervision and Administration Commission. SCAIC Group owns 60.91% of the equity as the controlling shareholder to solve the capital problem; it also prepared 2.2 square kilometers of industrial land to make factories; and plans to introduce talents on a large scale...

What happened? After more than two months of negotiations, Sharp's efforts in Shanghai and Radio and Television were nothing, and he left again. However, Shanghai and Radio and Television, which had already undergone major surgery, had no hope of turning losses into profits, and had to announce the divestment of some assets and enter the restructuring.

Chinese people are not stupid, but again and again, how can you make you repeat and repetitive? Sharp's tricks have been used twice, and he also educated the domestic LCD industry. From then on, China no longer hopes to introduce technology based on foreign capital, but instead adopts the independent model of BOE. Mastering its own core intellectual property rights is the only way out for the LCD industry.

However, this path of independence is not easy to go. BOE is a latecomer. Whenever there is a breakthrough in high-generation technology, Japanese and Korean companies will return to China. Isn’t BOE independent? Once you make a breakthrough in a certain generation, these Japanese and Korean companies will rush to China. A large number of production lines of the same generation are put into production in China, which will squeeze you to continue to lose money and must put you in a dilemma.

After experiencing what Sharp did in his previous life, now facing Sharp "re-" the joint venture bait, if Zhou Shuo didn't know what they were planning, it would be a failure.

Of course, will Sharp really want to cooperate for the sake of high-voltage drive IC and IPS technology? Is this very important?
Chapter completed!