Black technology: a super empire spanning two worlds

Chapter 233 [Easily Taking Half of the Industry Market Share]

Lingjing Technology Headquarters.

At this moment, Xiao Yu was talking about company matters with Xu Changming.

"Not bad. Once the contract for this company's new energy vehicle business is signed today, it will basically take over half of the battery supply market share in this industry." Xiao Yu said with great satisfaction as he looked at the material report.

Ever since Lingjing Technology officially announced that it would expand its business of providing graphene batteries for the new energy vehicle field, major domestic new energy vehicle manufacturers have flocked to it, and each of them has moved very quickly.

Because getting the contract order first and the goods first means having the first-mover advantage, the signing of the orders for Wenjie M9 and Xiaomi SU7 is an fait accompli, and other new energy vehicle manufacturers all want to get the third contract.

They are all in the same industry and know the situation very well, so they all rush to get the goods, highlighting the word "volume".

It is really because the graphene battery of Lingjing Technology has too great advantages, and to be honest, Lei Jun has made a significant contribution indirectly.

Didn’t Mr. Lei previously have the “void debut” operation for Xiaomi SU7? Mr. Lei has also done a lot of marketing for Xiaomi SU7 with the graphene battery aspect, and Mr. Lei’s marketing ability is obvious to his peers in the industry.

His marketing blitz made everyone more impressed with Lingjing Technology's graphene battery.

Professionals in the industry will not be fooled by Lei Jun’s marketing, but consumers are different. Many non-professional consumers are deeply impressed by graphene batteries after Lei Jun’s marketing operation.

This has planted the seed of the perception among consumers that new energy vehicles without graphene batteries are lame, and because of Lei Jun's actions, this perception has spread widely.

As a result, other manufacturers in the same industry will have to consider this point. If you don't use graphene batteries, when consumers ask you whether your car is equipped with graphene batteries, and you say no, then consumers will immediately psychologically feel that your car is not very good.

Obviously, this gives other new energy vehicle manufacturers another reason to purchase graphene batteries.

Moreover, as industry insiders, we know better than non-professional consumers that new energy vehicles equipped with Lingjing Technology's graphene batteries do objectively have huge competitive advantages.

At this moment, Xu Changming smiled and said, "The KPI pressure in the fourth quarter has been solved. We have already won a supply contract worth 1355 billion yuan in the graphene battery business of the new energy vehicle sector. I thought the KPI pressure in the fourth quarter would be the greatest, but it turned out to be the easiest quarter of the year."

Xu Changming added: "Our internal analysis estimates that the total turnover of the domestic new energy vehicle market this year is 24 trillion yuan for the 2.15 listed new energy vehicle companies. By next year, we conservatively estimate that if we take half of the market share, the company will be able to generate revenue of about 3000 billion yuan in the new energy vehicle graphene battery business alone."

For the newly signed new energy vehicle manufacturers, the contractual agreements are the same as those previously signed with Xiaomi SU7 and Wenjie M9.

For vehicles with an initial launch price of less than 35 yuan and equipped with graphene batteries, Lingjing Technology will take 8 yuan. For vehicles with an initial launch price of more than 35 yuan and equipped with graphene batteries, Lingjing Technology will charge 25% of the initial launch price.

In other words, if Lingjing Technology takes over the entire market share, the graphene battery sub-business alone will be able to bring the company an astronomical revenue of more than 5300 billion throughout the year.

Even if we calculate based on the 50% market share corresponding to the current contract, the annual revenue is expected to reach 3000 billion yuan as Xu Changming said. Because the overall market size of new energy vehicles will definitely grow next year, the huge improvement brought by graphene batteries will inevitably further penetrate the market and further squeeze the market share of traditional fuel vehicles.

After a while, Xu Changming said: "According to this trend, graphene batteries will definitely become a standard feature of new energy vehicles in the future. If our production capacity can be increased by 1.5 times on the current basis, we can definitely take over the other half of the market."

The reason why Lingjing Technology has quickly taken over half of the industry's market share is not because the other half of the manufacturers do not want their cars to be equipped with graphene batteries, but because Lingjing Technology's current production capacity can only supply so much to the market, and this is even taking into account the production capacity of another super smart factory under construction.

After hearing this, Xiao Yu thought for a moment, then shook his head and said, "Of course we have the ability to dominate the market share of the entire industry, but there is no need to do so. I think the country does not want to see this situation."

After a pause, Xiao Yu added in a deep voice: "We won't eat alone. We just need to occupy 70% of the market share and stay in the first place. We will take the initiative to give some profits to other peers, but this is limited to domestic enterprises, excluding foreign-funded enterprises. We will chase and beat foreign enterprises to death."

Hearing this, Xu Changming wondered, "How can we make concessions? Downstream vehicle manufacturers must use graphene batteries, otherwise they will not be able to compete with their peers and eventually go bankrupt. The ones left behind will definitely be more competitive car companies, and these car companies must be equipped with graphene batteries. Won't we still be the only one to take over? Who lets us have a technological monopoly on graphene batteries?"

Xiao Yu smiled and said, "There is no such thing as not giving up the market actively. Let's talk about cooperation with Ningde Times. We have business dealings already, so let's deepen the cooperation. We will give them the next level of technical authorization. I think they will not refuse such cooperation. For example, the two parties can set up a joint venture subsidiary. You can decide how to do it."

Xu Changming thought for a while and nodded: "This is indeed a feasible solution. Ningde Times will most likely not reject it. We did not kill them all but gave them a hand. There is no reason to reject it."

Xiao Yu smiled and said, "If we refuse, I guess the company won't be able to keep its market value of 100 billion."

Ningde Times is also a listed company listed on the GEM. It was once the "King of Ning" on the GEM, but now the "number one" on the GEM has long been transferred to Lingjing Technology, and shareholders have even given it the title of "Emperor of Ling".

Now Lingjing Technology is not only the stock with the largest market value on the ChiNext, but also the stock with the largest market value in the entire A-share market. At the beginning of this year, Lingjing Technology was the stock with the largest market value in the world at its peak.

The once trillion-dollar market value of "King Ning" Ningde Era has lost its former glory, especially in the past year. Its stock price has entered a long bear market, and its current market value is only 5500 billion. Compared with the historical high of 2 trillion two years ago, the cumulative decline has reached -72.50%, and 1.45 trillion has evaporated, which is halved again and again.

Ningde Times' market value plummeted. In addition to the end of the bull market in the new energy sector and the beginning of a big bear market, the more important reason is the impact of Lingjing Technology's graphene battery business, which led to another accelerated decline to a new low recently.

Just imagine that if all major new energy vehicle manufacturers are equipped with graphene batteries from Lingjing Technology in the future, Ningde Times' current market value of 5500 billion yuan will be inflated and will continue to plummet. After it has been halved again and again, it will continue to be halved two or three times, and its market value will even be difficult to maintain at the scale of billion yuan.

Obviously, Xiao Yu still has a vision, but his vision also has a premise, which is limited to mainland enterprises. If Ningde Times is a Western foreign-funded enterprise, he will not help it but will chase it all the way and strive to defeat the opponent and make it bankrupt.

Lingjing Technology already has business dealings with Ningde Times, and Xiao Yu does not want to see this company collapse. By cooperating with it on technology licensing, King Ning will not only be able to get out of the predicament, but also return to a trillion-dollar market value in the future, and it is not impossible for a market value of 2 trillion to set a historical high.

……

(End of this chapter)