Rebirth 08: Rise from copycat phones

Chapter 553 Childhood Dreams of Zhiyun

Over the course of an afternoon, Wang Hua had a very detailed conversation with every manager and technical staff member at Ze Gao Technology.

He wasn't really interested in technical issues, since he didn't understand them anyway... Although he knew some basics, and could even write some code if you asked him, he was, after all, an economics major who was into investing. His technical skills were something he learned on his own after starting work; he was more of a business enthusiast than a serious professional.

However, he also brought several senior engineers from the technical department with him, and the technical issues were handled by this small team of engineers.

Wang Hua was more concerned with some of the more abstract aspects of the team, such as team cohesion, management and communication models, and especially focused on the management capabilities of Shen Jianyuan, the founder, and several core technical team leaders.

The more he learned about the team, the more he wanted to acquire it outright...

Such a technical team, with a very good managerial technical talent, several technical backbones with excellent skills, and some management ability, is very rare.

Especially as evening approached, after Wang Hua and his team of engineers thoroughly tested the virtual game development software developed by Ze Gao Technology, they gave Wang Hua a preliminary conclusion: the software was very well made, although it overlapped functionally with several virtual content development software programs from Zhiyun Group, showing strong signs of imitation!

However, the optimization is quite good, which greatly reduces the difficulty of developing a large amount of virtual content.

Zhiyun Group's series of virtual content development software are widely recognized as having a very high learning curve... making it extremely difficult to get started.

The engineers at Zhiyun Group who develop virtual content-related software and programming languages ​​assume that all software engineers in the world are as smart as they are, able to figure things out at a glance...

This is typical engineer-driven product development thinking: they think it's simple and easy to use, so they assume everyone else does too.

This also leads to a severe shortage of technical talent in the virtual content industry... The production of virtual content mainly involves writing code to build the underlying framework, which has a very high learning threshold. Some ordinary software engineers who are not so quick-witted even find it difficult to get started, let alone become proficient.

It has been a year since Zhiyun Group released its virtual equipment, and talent capable of developing virtual content remains extremely scarce globally. The price of such talent has not decreased but has instead increased.

Virtual content development engineers have quickly become the highest-paid profession this year. In China, the median annual salary for virtual content development engineers has exceeded 600,000 yuan, while some high-tech positions, such as virtual physical simulation controllers and virtual interactive controllers, which work on the underlying architecture, have a median annual salary of 1.2 million yuan.

The supply shortage is very pronounced!
Although some universities have tried to offer virtual development majors this fall, it will be another four years before these talents graduate!

Most engineers in the current virtual content industry are former engineers from the traditional internet industry... but not all traditional software engineers can successfully transition into this field.

As I said before, the learning difficulty is too high!

The development software provided by Zetech today allows ordinary software engineers to quickly get started. While they may not be able to do anything too in-depth, it's fine for them to help out.

If this software can be integrated into the virtual content development software system of Zhiyun Group, it will play a very good role: enabling a large group of traditional software engineers with slightly weaker learning abilities to successfully switch careers.

This can effectively expand the talent supply in the virtual content industry, thereby promoting the development of the entire virtual industry.

After an afternoon of investigation, Wang Hua had a general idea in mind: he wanted to acquire Ze Gao Technology as a whole!

After having this idea, Wang Hua naturally became more amicable and even treated Shen Jianyuan and the technical team members to dinner after get off work.

The banquet was quite high-profile, even among business banquets within the Zhiyun Group.

The next day, Wang Hua formally discussed the investment and acquisition with Shen Jianyuan. Shen Jianyuan welcomed the investment from Zhiyun Group... These days, no startup can refuse strategic investment from Zhiyun Group!

This is not only because Zhiyun Group is rich and generous with its money... but also because it means being able to enter the entire Zhiyun Group system, which offers many benefits.

However, Shen Jianyuan still said he would think about the overall acquisition... He was happy to take the investment and even said he was willing to give up a sufficient share of the investment.

However, as someone who resigned to start his own business, Shen Jianyuan also had some ambitions and ideals, and didn't really want to work for someone else anymore... The reason he didn't refuse outright was because the offer Wang Hua made was very tempting!

Wang Hua proposed a package deal valued at 100 million yuan!

One hundred million? Even someone as idealistic as Shen Jianyuan would be drooling at the thought… He had founded Ze Gao Technology for over two years and hadn’t received any venture capital before. He mainly raised about a million yuan by using the money he had saved from his previous job and borrowing some money from his parents.

Then I pulled a group of former colleagues and classmates over to sit together.

In the first year, they created an app that focused on light office tools for mobile phones. They had quite a few users, but they didn't make much money because most of them were free users who didn't even want to watch the ads!
This year they tried to transform their business by creating a small virtual game, but it was unsuccessful. A super dark horse like Magic Light Technology only comes along once every few years, while there are countless startups trying to emulate Magic Light Technology.

Zetech was also an attempt to emulate this, but it failed. After its small virtual game was launched, it had almost no users... it didn't even make a ripple.

To be honest, without external investment, Zegao Technology could only survive for about six months at most before going bankrupt.

However, what they didn't expect was that during the development of the virtual game, because they felt that the development of virtual games was too difficult, Shen Jianyuan and a few others created an optimized development software to reduce the difficulty of developing virtual content and improve work efficiency.

This thing is just a byproduct.

However, this byproduct actually attracted the attention of the giant corporation, Zhiyun Group!
And they even offered a purchase price of 100 million!
To be honest, Shen Jianyuan was also shocked by the price... Their lousy company only had a few dozen people and hardly any business.

But Zhuyun Group is willing to pay 100 million to acquire it!

What do you mean by a "dog-rich"? This is a dog-rich!

They simply don't value money!

Of course, this is Shen Jianyuan's opinion; he thinks 100 million is an exaggeration.

However, Wang Hua doesn't see it that way. In his opinion, the virtual content development software developed by Zegao Technology is worth the price... The value of a product is not determined by whether it is simple or not, but by how much value it can create.

This software suite alone is worth 100 million yuan just for lowering the barrier to entry for virtual content creation and promoting the development of the virtual industry!

Then there's the technical team, which Wang Hua also values ​​highly. So he's willing to offer the technical team an additional overall acquisition plan, giving them the opportunity to join Zhiyun Group collectively, instead of just selling them off and leaving!
Top-tier high-tech companies like Zhiyun Group are very willing to spend money when acquiring new technologies.

For example, in the field of artificial intelligence, Zhiyun Group has been competing with companies such as Google, Facebook, Apple, and Microsoft for years for emerging startups in the AI ​​industry, vying to acquire or invest in them.

Sometimes, for a new algorithm or model, these large companies can offer valuations of tens of millions or even hundreds of millions of dollars.

In recent years, the most popular startups in the high-tech industry have been in the field of artificial intelligence.

Often, these startups don't actually need to create any tangible products for commercial operation!
All you need to do is develop a new underlying algorithm model to make money. There are plenty of large companies that want it, and they are often very generous with their offers... If you're not generous with your offer, other companies will snatch it up.

Even if the startup team hasn't developed a new algorithm yet, it doesn't matter. As long as you have an idea, a seemingly feasible technical route, and your startup team has a tech expert who seems reliable, large companies or venture capitalists will smell the potential and come to invest.

Leaving aside other companies, Zhuyun Group alone has spent over three billion US dollars on investments and acquisitions in the field of artificial intelligence this year…

Three billion US dollars is a lot for other companies, but for Zhiyun Group, it's just a drop in the ocean!

This year, the virtual industry is also seeing this trend... There are tons of startups, and venture capitalists are scrambling to find reliable investment projects.

However, other companies and venture capital firms cannot compare with Zhiyun Group!

Especially for domestic startups, the mere mention of Zhuyun Group's potential investment sends them into a frenzy...

Shen Jianyuan could even imagine that after the Zhuyun Group's inspection team came today, other venture capital firms would notice and follow suit, seeking investment.

And indeed, that's exactly what happened. The very evening Wang Hua formally made his acquisition offer to Shen Jianyuan, he received numerous phone calls, all from top domestic and international venture capital funds. The message was clear: "I have money, I'll invest in you!"

Some of them didn't even know why Zhiyun Group wanted to acquire the company, yet they still made offers...

Regardless of why Zhiyun Group wants to acquire it, since Zhiyun Group is going to acquire it, then Ze Gao Technology must have produced something good, so it's definitely the right thing to do to make an offer accordingly.

Shen Jianyuan was initially very interested, especially after several investors said, "Your virtual content development software is so good, let's commercialize it! The virtual industry is so hot right now, if we turn this software into a paid software and promote it, the market will definitely be very good!"
It's okay if you're short of money to continue research and development and promotion. I have money. Investing tens of millions for you is no big deal.

But after hearing this kind of talk so many times, it all seemed meaningless... Zhiyun Group directly paid to acquire the company, which meant that the money would go directly into Shen Jianyuan's and his associates' pockets.

As for investments from other companies, the money invested remains the company's money and cannot be cashed out.

Buying shares and investing are two different things!
Shen Jianyuan is an ambitious and idealistic person. Although the investors' words are very attractive, he still thinks that money going into his own pocket is more appealing!
Besides, that's Zhiyun!

These days, who wouldn't want investment from Zhiyun to start a high-tech business? It means the highest level of recognition in the industry.

Venture capital money and Zhiyun's money may both seem like money, but their quality is vastly different!
Venture capitalists can only provide some money and other standard resources, but Zhiyun not only provides money, but also helps startups to join its ecosystem.

The Zhiyun system is a vast and powerful business empire, which is extremely beneficial for business development.

At this point, Wang Hua also knew that many venture capital funds had come looking for him... but he was still very confident.

He was also well aware of how attractive the name "Zhiyun" was!

The mere mention of the name "Zhiyun" is worth tens of millions in premiums compared to other venture capital funds!
Of course, their greater confidence stems from the fact that Zhiyun is richer than them!

When it comes to money alone, not many companies can compete with Zhiyun!

The following day, Wang Hua led his team to meet with Shen Jianyuan's team again. This time, Wang Hua raised the price, offering a purchase price of 120 million yuan.

However, Shen Jianyuan and all the technical staff in the technical team must sign a stringent non-compete agreement... In other words, Wang Hua still needs people!

Wang Hua stated: "This extra 20 million yuan represents our Zhiyun's strong desire for your technical team. We have always been willing to spend lavishly on talent."

At the same time, Wang Hua's attitude was also very clear: he wanted to pursue a complete acquisition, and also wanted the entire technical team!
In this way, Zetech's virtual content development software can be integrated into Zhiyun Group's own virtual content development system and continue to be developed and optimized...

As for purely financial investments, Zhuyun Group doesn't need them!
At the same time, Wang Hua also clearly stated that once this Zetech virtual development software is integrated into the Zhiyun system, it will be free for everyone, just like other development software in the Zhiyun Group, and will be completely open to developers for free use... This means that the future commercial revenue of this software will be zero!

Therefore, conventional investment models are not applicable!
If it's a conventional investment, since this virtual development software cannot be commercialized, whether Zetech can maintain a valuation of over 100 million yuan and how much value it brings to the shares depends on whether Shen Jianyuan and his team can develop other businesses...

To be honest, Shen Jianyuan wasn't very confident!
They've tried making virtual games before, but it failed... Their technical team isn't very good at virtual games, but they're quite good at their byproduct, 'virtual content development software'.

Even if investors gave him tens of millions or even hundreds of millions of yuan, Shen Jianyuan wouldn't dare say he could make a virtual game and break even... let alone make it a big hit.

Besides, starting a business is just about making money... Now that Zhiyun Group has directly poured 120 million into it, what's the point of starting a business? Just take the money and keep it in your pocket, and continue to receive Zhiyun's high salary, that's perfectly fine!

Finally, Shen Jianyuan and his team discussed the matter for several hours.

A minority, however, prefer to accept the venture capital proposal, take the money to continue developing the virtual development software, then commercialize it, and continue making virtual games... eventually growing bigger and stronger, going public and creating brilliance!
However, this is the opinion of a minority. Most people, especially the key technical staff who hold a significant number of shares, still hope to sell the company directly and then all join Zhiyun Group together.

Because of the acquisition cost of 120 million, although the major shareholder Shen Jianyuan will take the majority, several core technical personnel will also have a considerable number of shares and will receive a significant amount.

While the ordinary technical staff in the team don't earn much, at most a few hundred thousand or a million.

However, they value the high salaries they will receive after joining Zhiyun Group in the future... Job opportunities with annual salaries of hundreds of thousands or even millions of yuan are not something that can be encountered every time... If it weren't for the overall acquisition, the opportunity to join Zhiyun wouldn't be so easy to obtain.

Shen Jianyuan was also very interested... If he sold the whole thing, he could get at least 70 to 80 million yuan, achieving financial freedom in one step.

At the same time, Wang Hua also promised to retain Ze Gao Technology's technical team and let him continue to lead the team to continue the research and development of virtual development software... This also tempted him a lot.

During this period, Shen Jianyuan also contacted several other venture capital firms. Even Gugou, which somehow got the information, also contacted Shen Jianyuan. Although these venture capital firms offered high valuations, they did not directly provide funds... They were just investing, and the invested money did not go into their personal hands; it was the company's money!

In the end, Shen Jianyuan and his team still leaned towards Zhiyun Group!
Aside from the money factor, that's Zhiyun!

In the contemporary high-tech field, especially in China, Zhiyun is a gold standard.

For many high-tech R&D talents, Zhiyun is a religion, and they dream of joining the Zhiyun Group: top-tier salaries unmatched in China, respectable social status, a world-class stage, a relaxed and friendly R&D environment... Few technical talents can refuse Zhiyun's offer letter.

Some people even say: "When I was in school, I dreamed of working at Zhiyun someday..."

As a child, Zhiyun dreamed that, well, for most ordinary people, it really was a dream!
For ordinary people, it's impossible to get into Zhiyun Group through campus recruitment or social recruitment... Zhiyun has very high requirements for recruiting.

After comparing the options, Shen Jianyuan and his group discussed for a long time and finally decided to accept Wang Hua's overall acquisition plan!
This way they can get 120 million yuan in funding, and then they can join Zhiyun Group, continue to earn high salaries, and engage in the technical research and development work they like.

Shen Jianyuan and his team still had some ambitions; they wanted to make a name for themselves in the virtual content development industry... They wanted to create virtual content development software that could be used by developers worldwide... The sense of accomplishment from that was very appealing.

After Shen Jianyuan and his team made their decision, they didn't delay and signed an investment agreement with Wang Hua on the same day!
After signing the contract, Wang Hua addressed the technical team members of Zetech Technology, saying, "Welcome everyone to join the Zhiyun family!"

"We'll be colleagues from now on!"

Shen Jianyuan and the others were all smiles... After today, their lives and careers will reach a new peak!

After finalizing the acquisition agreement with Ze Gao Technology, Wang Hua flew back to Shenzhen that same day. The next day, he reported to his superiors and arranged for other departments to handle the subsequent acquisition matters.

Although the acquisition is finalized, there are still many things to follow up on, all of which Wang Hua needs to address one by one.

As Wang Hua's report was submitted, the senior management of the strategic investment department once again took notice of him.

After reviewing Wang Hua's report, an executive vice president from the strategic investment department called Wang Hua in for a face-to-face meeting. During the meeting, the vice president expressed his appreciation for Wang Hua, encouraged him to continue working hard, and said, "I am optimistic about your future!"

This conversation greatly boosted Wang Hua's confidence!
Although he knew this was just a routine tactic used by superiors to win over and encourage subordinates, and he himself often said the same thing to some of his valued subordinates... But in such a large strategic investment department with so many employees, including quite a few deputy directors at the M7 level, not every deputy director was worthy of the third-in-command of the strategic investment department, an executive vice president of the group, personally making grand promises!

This means that the other party has noticed you and started to value you... In the future, when there is an opportunity, they will think of you and arrange some important work for you. If you do well in this, there is a possibility of further progress.

Wang Hua, seizing the opportunity, shamelessly sent the executive vice president a wedding invitation, inviting him to attend the wedding next month if he had time.

The executive vice president was also very amiable and agreed on the spot.

In a good mood, Wang Hua returned to the office and invited some other colleagues and superiors to her wedding next month.

He doesn't have many relatives or friends in Shenzhen. He usually only interacts with some colleagues. If he doesn't invite his colleagues, apart from relatives from his hometown and a few college classmates, no one else will come to the wedding.

Anyway, the group company has a rule that colleagues are strictly prohibited from giving or receiving red envelopes when they get married and hold banquets. Anyone found doing so will be dealt with.

So when inviting people to the wedding, no one feels pressured and everyone is happy to have a meal and have some fun!

(End of this chapter)