Huayu: From charlatan to great entertainer

Chapter 520 Don't Reach Out, or You'll Get Caught (Bonus Chapter for Ice Cream)
April 14, 2009, Penguin Building, Nanshan Science and Technology Park, Shenzhen.

The core decision-making team is reviewing the cooperation proposal sent by Damai.cn.

Executives including Ma Huateng, Liu Chiping, and Ren Yuxin were all present, and the documents spread out on the table displayed the operational data of "Wenjie Farm".

Zhang Xiaolong is also here today, but he is not in the senior management category; his position is the head of the Yangcheng R&D Center.

In 2005, Penguin first changed its functional structure to a business unit system, forming five major business units and three service support units.

Logically, based on the company's current organizational structure, each business unit should have considerable autonomy and follow the principle of "whoever is in charge, proposes, and is responsible."

If it's about communicating and operating a Flash game, there's no need for so many senior executives to be present.

But Ma Yun arrived at the company unusually early today, spent a long time racking his brains, and also called together the key personnel who were at home.

Clearly, this is a big deal for the Penguin executives, who are all frowning in their offices right now.

The most important matters of a state are sacrifice and war; the most important matters of a company are planning and strife.

The "strategy" refers to the decision-making dilemmas that Penguin's senior executives collectively discussed, just like the current situation.
The debate directly addresses the essence of business warfare; take this business proposal as an example:

It's not that replicating a game is difficult; it's that this behemoth, Wenjie, has been a dominant force in the film and internet industries for a long time. There have been too many rumors about its fierce battles in the domestic business world over the years, and even Tencent, which is "living in a corner of the world," seems quite wary of it.

Leaving aside more recent events, around this Spring Festival alone, there were already two major news stories: "Huayi changes hands" and "LeTV 404".

Who dares to be careless? One must be extremely careful.

Pony Ma adjusted his glasses and looked at the executives: "Everyone, please speak. Yu Xin, you go first."

Everyone looked at Ren Yuxin, the highest-ranking person in charge of the game division.

Since taking over in 04, he has launched hit games such as QQ Speed, QQ Dance, CrossFire, and Dungeon Fighter Online through a "market segmentation strategy," propelling Tencent Games' revenue to second place nationwide in 2008.

If the global timeline doesn't change much, by the second quarter of this year at the latest, Tencent will surpass Shanda to become the number one game operator in China, marking the beginning of the latter's decline.

Ren Yuxin nodded and stood up.

He's 35 years old, in the prime of his career, and full of energy: "Let me first confirm a few points with my comrades—"

"First, judging from its core gameplay, popularity, and underlying logic, this will definitely become a phenomenal casual social online game."

"Secondly, from the perspective of user growth and social interaction among acquaintances, this game complements Penguin Space and the friend mode perfectly."

"Third, we also need to adapt this game, but that will inevitably offend the gaming community. This is the core issue, and it has already transcended the purely commercial competition."

He looked up at Ma Huateng and said, "Mr. Ma, we've only heard of this great director by name, and not just in name, but also in name. It's up to you to make the decision."

Before Pony Ma could even nod, Liu Chiping, who had been the president of Tencent since 2006, tapped the table: "President Ren's words have too much of a江湖 (jianghu) flavor. We shouldn't learn from Ma Yun's martial arts style and江湖气 (jianghu spirit). Let's stick to business."

As the president of the head office, he is fully responsible for the company's daily operations and management, reporting directly to Ma Huateng, the chairman of the board and CEO.

Ren Yuxin smiled dismissively and didn't argue with him.

He was only offering his opinion from the perspective of the person in charge of the game section; he had no right to comment further.

Liu Chiping continued, "Mr. Ma met and had dinner with Mr. Lu at the 2004 China Internet Conference."

"We have been getting along well with each other for the past few years, and everyone has been developing and excelling on their own."

"Although they are located in Beiping, and their resources are far superior to those of Tencent, I don't think there's any question of one being afraid of the other, especially since this is a corporate decision, not an individual's act of violence."

"Now let's get back to this matter."

"First, even if we were to do it, we wouldn't copy the farm's gameplay. We can't imitate their celebrity resources for attracting traffic, but we can't beat their social sharing capabilities either."

He glanced at Little Ma's calm face without making a sound, and his heart skipped a beat.

The boss is taking this so seriously today, he must indeed have something to fear, so I changed the subject:
"Second, if we don't start from scratch, and we don't want to leave any rift between the two companies, is there any room for cooperation?"

He turned to Ren Yuxin and smiled, "Mr. Ren, please tell us more about it."

“Yes, Yu Xin, tell me again, you are the Commander-in-Chief of Penguin Games.” Upon hearing this, Ma Huateng smiled and looked up, which secretly pleased Liu Chiping, but also surprised him.

Is this road really that scary?
He comes from McKinsey and Goldman Sachs, has a good overall perspective and a strong sense of capital, making him suitable for leading work on a large scale and a strategic integrator.

This kind of leader, who has never experienced the cutthroat competition of grassroots business departments, and who lives in Shenzhen, a city with a relatively weak sense of integrity, is naturally not very sensitive to the minutiae of business struggles.

But Ren Yuxin is different. He is purely results-oriented and doesn't give any face to opportunistic CEOs: "It's almost impossible. We have no basis for cooperation."

"First, our ultimate goal will always be to charge fees. If we are operating a farm, what we will be doing is providing VIP privileges and paid items, such as ripening fruits, anti-theft and anti-stolen products, and colorful decorations."

"But what about the game's ecosystem? It's clear that they rely on a points redemption system, which is essentially an ecosystem traffic-driving tool, rather than focusing on a profit model. The game itself doesn't sell numerical balance."

"Secondly, if the two companies cooperate, how will the value of the two game currencies, points and Penguin Coins, be anchored? What we want is the monetization of social relationship chains, while they want the ecological synergy of the entire Wenjie system, especially in the current online ticketing. This contradiction is natural and insurmountable."

Ren Yuxin had clearly done his homework before today's big test from his boss, and he answered fluently in all aspects of his job duties.

The usually low-key Pony Ma rarely speaks at company meetings, always making the final decision directly.

Today's thorny issue made him even more silent. After listening to everyone's assessment of the situation, he remained silent, pondering a certain core question.

For him, there are now four choices:

We won't do it ourselves, we'll do it together with Damai.cn, and we'll do it together with Wenjie.

The third option is eliminated, and the fourth option is also unrealistic.

Although Tencent and Wenjie currently have no interaction and neither has any business lines that could threaten Tencent's business, cooperating directly with Damai.cn at this tense juncture is tantamount to directly taking sides.

Just like Wang Jianlin of Wanda, even though he repeatedly tried to maintain his independence and stated that he was only interested in business, who could escape the carpet bombing of Wenjie?

Ma Huateng doesn't want to take sides because of a game, but this game is really perfect for Tencent, you could say it's a match made in heaven.

2009 was the year that Tencent's internal SP (Service Provider) business hit rock bottom, which was replaced by the full-scale rise of the game business.

Such a game can perfectly compensate for the decline of SP business with extremely low development costs, and can also increase the payment penetration rate of paying users.

Although there are no concrete project plans for WeChat and payment at the moment, who wouldn't be envious of the fierce competition between Ali and Wenjie in the payment market?
Little Ma has a kind of fascination with oil, like mold that can't move its feet.

Moreover, by early 2009, Tencent's market capitalization had reached $300 billion, thanks to the rapid growth and stable profitability of its gaming business, which had clearly allowed it to weather the financial cycle.

At the same time, the market value of White, which is listed on the US stock market, plummeted to less than $200 billion due to the financial crisis;
Ali's Hong Kong-listed shares have also fallen significantly. Coupled with investment losses in companies like Huayi in mainland China and the rise of Wenjie Mall, its market capitalization is now almost the same as Tencent's.

Ma Huateng is quite confident about the future development, believing it to be a great period of leapfrog development.

A brief silence fell over the meeting room. Ren Yuxin and Liu Chiping sensed that the atmosphere was unusually quiet today, so they quietly glanced around and then noticed—

Oh! There's also Zhang Xiaolong, who wouldn't utter a sound even if you hit him ten times.

No wonder today's meeting felt like a funeral procession, so unpleasant. I really want to see what it's like when Pony Ma and Zhang Xiaolong have a private meeting...

Zhang Xiaolong just brought Tencent Mail to 5000 million users this year, and the email business has become one of the company's "seven-star products" in the company's internal joking way.

He has a knack for turning dog poop into a delicacy, but his taciturn nature rivals that of a boss. He's incredibly low-key and reserved, only becoming a living person when his product manager persona is activated.

The atmosphere was somewhat somber. Ma Huateng looked up, about to speak, when he noticed Zhang Xiaolong, who had been almost ignored.

Damn, I almost forgot about him.

"Xiaolong, why don't you tell us about...Xiaolong?"

"Oh! This..." Zhang Xiaolong's expression was unusually rich. "Mr. Ma, actually, I don't know much about games..."

Because Zhang Xiaolong spends most of his time in Guangzhou, Liu Chiping isn't particularly familiar with this reserved product manager whom the big boss values.

But isn't this behavior a bit too low-class?
For President Liu, who comes from an investment banking background, this utterly dull programmer, apart from his high level of product development skills, didn't quite meet his standards in terms of leadership ability and personal charisma.

But outwardly, he still had to give face to the boss who wanted to promote him: "Xiaolong, let's just chat. Tell me your thoughts, about games, about questions..."

“I know even less about the World of Questions,” Zhang Xiaolong blurted out, his expression showing no panic, but his heart was already pounding.

It's really too much for an honest person to face such a situation. After he finished speaking, he wanted to open the door and escape first.

Ugh! You're so sharp-tongued!

At this moment, an evil little man seemed to appear in Zhang Xiaolong's mind:
You don't understand the question realm?

What about Zhuang Xu, whom you met at the Internet Conference and who came to Shenzhen last night to drink with you?

He is the second largest shareholder of Wenjie! He is Boss Lu's close comrade-in-arms, forged in blood and fire!
Although you were initially resistant, you were still impressed by the groundbreaking mobile internet product he proposed!
You also discussed how many shares Android holds in North America, which forms the foundation for the future development of this product;

We discussed how to combine Tencent's social networking features, Tencent's payment system, and the cultural ecosystem, including movies and videos, in the future mobile internet era!
What a brilliant idea!
You sighed like this after drinking...

Zhang Xiaolong, do you still dare to say you don't understand the world of questions?

You have the guts to steal someone, but not the guts to open the door, huh?
Ma Huateng watched his occasional lapse in composure with curiosity, but didn't think too much about it. He smiled and comforted him, "Xiaolong is still getting used to his new position. Chiping, as the president, you should take good care of him."

Liu Chiping didn't take it to heart. In his view, Zhang Xiaolong was a perfect product manager, so he should let him play to his strengths. Why did he have to train him to be a manager?

"Yes, Mr. Ma, Xiaolong is a very insightful person, and we should learn more from him."

The other executives in the conference room sneered inwardly, especially veterans like Ren Xinyu who had fought their way up from the bottom and weren't particularly impressed with this elite president who had been parachuted in a few years ago.

His abilities are beyond question, but he is sometimes too aloof and tends to get involved in office politics.

In fact, before the previous version of WeChat was created, Liu Chiping had a "battle of ideas" with Zhang Xiaolong, who was then the R&D manager of Yangcheng.

Like Wenjie today, because it foresaw the arrival of the mobile internet era, the company had three core products vying for internal resources:
The Mobile QQ team, the Q-Message team, and WeChat.

Unless one is a time traveler, who can foresee the slightest future trends? The only option is to pursue multiple avenues simultaneously.

Liu Chiping wanted to smoothly advance the iteration of QQ and did not support spending a lot of effort developing social features such as "People Nearby" and "Drift Bottle" for the newly launched WeChat.

However, Zhang Xiaolong believed that this alternative approach and rapid trial and error was the right way. He argued his case and ultimately won with innovative features such as "voice messages" and "shake," proving his vision.

Ren Xinyu felt a little displeased with President Liu's attitude, so he smiled and turned to Zhang Xiaolong: "President Zhang, show the same passion you had when you talked to us about the product, and speak freely!"

Zhang Xiaolong has an introverted personality and is more like a straightforward and honest person.

He was genuinely tempted by Wenjie's offer; the project, which sounded like a twin of Weibo, was simply too alluring.

WeChat, WeChat, what a wonderful name.

Mr. Lu has really good naming skills. Whether it's "Questioning the Boundary," "Intelligent Realm," or "Starlink," they all sound like they have a strong sense of science fiction and business.

For a product manager like him, WeChat is like the top-tier science fiction film that Mr. Lu has always dreamed of making since he was a child.

This is art! Commercial art!
However, Zhang Xiaolong had not yet made up his mind. Faced with Xiao Ma's appreciation and promotion, and Ren Xinyu's kind offer to help him out, he could only awkwardly express his true feelings:
"I don't understand the business factions in China, and my knowledge of that Mr. Lu... Director Lu is limited to his movies, which are very good."

"But this game was acquired and operated by Wenjie first. Don't we have more good ideas and creativity to implement? There's no need to always compete with domestic competitors in the same market..."

Liu Chiping suddenly interrupted him sternly: "President Zhang! What kind of talk is that?"

"Does the fact that Wenjie made a sci-fi movie mean that no one else can make one in the future?"

"Does this mean that once Wenjie has established a farm, all similar ranches and fish farms will be prohibited? This doesn't seem to have anything to do with business ethics, does it?"

Little Ma smiled nonchalantly. He certainly didn't think Zhang Xiaolong was offending him, but he was satisfied with Liu Chiping's statement.

Business competition is competition; why talk about the morality of natural persons? The law is the bottom line.

"Xiaolong, we often argue when we discuss issues. You don't come often, so don't mind." Little Ma still chose to comfort his beloved general.

Zhang Xiaolong smiled and shook his head: "It's alright. Mr. Liu is right. Business competition is ruthless. I was being idealistic."

He's just introverted, not lacking in emotional intelligence. Anyone can say nice things.

He didn't think too much about business ethics; it was just like how he revived his email business, which was on the verge of being shut down.

This relatively pure product manager still prefers more challenging, constructive, and innovative products that can realize his own vision.

In his view, internet products should be like meticulously crafted works of art, not simply copies of others' success, but create entirely new user value.

Just like what Zhuang Xu said yesterday...

Ugh, why am I thinking about WeChat again? I shouldn't be thinking about it.

The thought of it feels like mentally NTR'd someone like Xiao Ma, who was like a mentor to her, and it's really upsetting.

The meeting ultimately ended without any results. Just as Ren Xinyu stated bluntly at the outset, such considerations had already deviated from the purely commercial realm.

Ma Huateng returned to his office and sat for a while. Suddenly, he called Ren Xinyu into his office and gave him instructions on how to do this and that...

He took out his phone and called Zhuang Xu before leaving get off work that evening, after seeing the results of his subordinates' work.

Looking at the call logs, the last time the two spoke was before the Lunar New Year, when they discussed the "Anti-Piracy Alliance".

It wasn't that he didn't have Boss Lu's phone number, but compared to that other person, Zhuang Xu, whom he had met a few times and who was warm and honest, seemed easier to communicate with.

In other words, it means that a gentleman can be deceived by his own methods.

Furthermore, now that he has decided to do it, the only question he needs to consider is how to eliminate any potential conflicts.

Penguin and Wenjie are equal entities. Does he expect Penguin to take the initiative to call and fawn over the other party's leader?
impossible.

The best solution, of course, would be to have a well-known gentleman like Zhuang Xu in the industry mediate and assess the development of the situation.

"Junzi" received a phone call at the Ritz-Carlton in Shenzhen.

"Mr. Ma! Happy New Year!"

Ma Huateng: "..."

"Mr. Zhuang is joking, or do you think today is April Fool's Day?" Little Ma laughed. "There's something I want to tell you."

"Speaking!"

“It’s like this…” Ma Huateng carefully chose his words, trying to exonerate himself as cleanly as possible: “Someone from Damai.cn came to discuss a collaboration. They want to imitate your farm game and develop a version as well, and they’re asking Tencent for assistance…”

"These people! They're nothing but parasites on the industry! We're working on film e-commerce collaboration, and they copy us; we're working on farming, and they want to copy us too? Have they no shame?!"

Ma Huateng: "..."

This is totally wrong! What happened to the gentlemanly demeanor?

"Yes, I refused immediately. Although I am not very familiar with Mr. Lu, we respect and admire each other. We will not hand over such a knife to Damai.com."

Little Ma tentatively said, "But to be honest, we had been paying attention to this farm game before, but we felt that the mechanism was not perfect, so we developed 'Penguin Ranch' internally. However, since Wenjie did the market first, I've been holding back on this one..."

"This year, the company's SP business has been subject to window guidance and has declined drastically. I really can't go against my subordinates' wishes, so I can only inform you, General Manager Zhuang, first."

Ma Huateng felt that he had already struck a pose long enough, so he pulled back a little:

"Mr. Zhuang, we sincerely invite you to visit and learn from Penguin. We still have the development logs for this game, and we're officially preparing to launch it next week."

Appeal to their emotions, reason with them, and finally have them confess their grievances.

Almost done, right?
As for game demos, with Tencent's game development capabilities, creating a Flasn demo in a day would be effortless.

There was a moment of silence on the other end of the phone, followed by what sounded like a phone ringing and then stopping abruptly. Zhuang Xu's voice was tinged with helplessness: "Mr. Ma, these two games...you...sigh..."

Little Ma felt embarrassed, but the die was cast.

Zhuang Xu remained silent for a while before saying helplessly, "Mr. Ma, how about we talk tonight? I'm about to cross the border to Hong Kong, and I'm in Shenzhen right now. I'll call Mr. Lu first."

"Really? Lao Zhuang, you didn't even tell me you were coming. I'll make the arrangements!" Little Ma was overjoyed and tried to use his charm at the drinking party.

But for him, having come this far, he was determined to continue making "Ranch" penguins.

This phone call and this big meal were just to save face and prevent us from suddenly becoming enemies.

Now, Wenjie is fighting the axis of evil on his own. Little Ma believes he has made the right gesture and maintained a harmonious relationship, so he should not suffer any serious consequences.

Even if it exists, we have no choice but to give up!

Besides, where in the world of AI do we have the energy and funds to fight with Tencent?
The business world is ruthless; what must be done must be done. This is the inevitable trend of industrial development and cannot be changed by individual will.

If you want to move forward, you will inevitably infringe on the interests of others; it's just a matter of whether you've done it once or twice.

After agreeing on a meeting place, Zhuang Xu hung up the phone and looked at the wide road in front of him, sighing, "My reputation might be ruined this time."

Boss Lu laughed heartily: "No, I'll play the bad guy. You'll remain the gentleman."

"Furthermore, regardless of whether you were involved or not, Ma Huateng would not have hesitated to plagiarize without hesitation. If it were me, I would not have hesitated either. This has nothing to do with business ethics."

Zhuang Xu shook his head with a wry smile: "I'll handle things tonight. You hurry up and get through this, then go back as soon as you're done and don't delay."

Lu Kuan just arrived this afternoon.

As mentioned earlier, the proceeds from overseas CDS transactions need to be legally transferred to China through a limited partnership fund or a Hong Kong-based entity. This trip was specifically to handle this matter. (Chapter 472)
In addition, we need to negotiate with Eagle King to finalize the shell company arrangement as a precaution against future problems.

"Good! Once you're done, hurry back to Beiping! As the elder brother, you should be there for such an important event!" Boss Lu was excited, but not because of the recent farm boom or the impending discovery of Zhang Xiaolong.

Liu Yifei will be full-term in about ten days, and once full-term, she could give birth naturally at any time.

He's going to be a father soon!
"Zhang Xiaolong has almost finished polishing it, I will definitely help you take it back to him."

Zhuang Xu looked at his junior brother, who was gesturing excitedly, with a warm smile: "I also want to meet these two nephews and nieces as soon as possible, haha!"

……

At 7 p.m., Pony Ma brought several business unit general managers to the banquet. When asked about Zhang Xiaolong, he still politely declined, his attitude being very firm in his refusal.

There's no way I can act like this. Not only will my "dead tongue" be unable to speak, but my face will also be a mess of expressions.

The product manager didn't understand why Mr. Ma suddenly wanted to invite Zhuang Xu to dinner. How did he know that the latter was in Shenzhen?

The meal was quite enjoyable for both hosts and guests, and the gathering didn't end until 11 p.m.

Brother Ma's demeanor and attitude are quite refined and low-key. He personally came to explain and communicate with Zhuang Xu, which he considered to be giving enough face and behaving appropriately.

Zhuang Xu lived up to his reputation as a gentleman, and excitedly thanked Little Ma for his firm rejection of the alliance request from the axis of evil.

I am deeply moved by the fact that our long-standing good relationship with our partner has suppressed the promotion of our game "Ranch" to avoid causing misunderstandings in the industry.

During the meal, everyone discussed the future development of China's internet industry, and Ma Huateng casually inquired about Boss Lu's attitude—

The tipsy Zhuang Xu couldn't help but sigh again. Penguin and the others persuaded him with reason and emotion, and he finally agreed to put in a good word for him.

Little Ma was overjoyed!
Today, the story of these two orphans who grew up together and are now business partners working side by side is no secret in the business world.

Everyone knows that Wenjie's equity is extremely closed, but Zhuang Xu holds 15% of the equity and helped Lu Kuan control the Zhijie system for six years.

If he can't influence the richest man's decisions and attitudes, then no one can.

The moon was bright and the stars were few in Shenzhen tonight. Even on the way back, Pony Ma, who was particularly happy today, remarked to several vice presidents:

This Mr. Zhuang is truly a rare kind-hearted person. Although we can't call this big meal a scam, it's still a way of deceiving a gentleman.

Having done this, the penguin can now unleash its Sharingan abilities without any distractions.

From a business perspective, I've done what I should have done. No matter how domineering you are, you can't say anything now, right?
……

On the morning of April 19, 2009, Tencent, which was about to ascend to the throne of domestic game manufacturers, rushed to produce the "Penguin Ranch" mini-game in just five days and officially announced its release.

Apart from Focus Media, which lacks a clear offline advertising system, major portals and LeTV's advertising platforms are still firmly occupied.

With its massive user base of 5.22 million on the QQ platform, Penguin Ranch unsurprisingly became an instant hit.

On April 20th, Tencent officially announced the good news via a pop-up message.

Regarding the explosive growth in user scale:

Within 24 hours of the game's launch, the number of newly registered users exceeded 1000 million, of which 72% logged in directly through QQ Space.

The peak number of concurrent online users reached 160 million, nearly breaking the previous record of 170 million held by QQ Dance.

Regarding paid commercial services:

The number of Yellow Diamond privilege activations surged by 8 in a single day, a 300% increase compared to a normal day.

The item mall's revenue exceeded 200 million yuan on the first day, with the "Anti-Vegetable Stealing Dog" item accounting for 45%.

In comparison, "Wenjie Farm," which has been on the market for nearly two weeks, has achieved 4800 million total registrations and 2100 million peak online users, respectively.

Although there is still a considerable gap between the two companies, given Tencent's inexhaustible social network of acquaintances and its terrifying rate of expansion, it seems that the days of being caught up and overtaken are not far off.

The media was abuzz with discussion.

Nanfang Metropolitan Daily: Penguin's blitzkrieg: 1000 million users witness the power of the social empire in 5 days to replicate Wenjie Farm!
IT Times Weekly: QQ Zone emerges as the biggest winner, with 72% of new users coming from social fission and familiar networks, demonstrating its advantages.

Caijing: Yellow Diamond privileges surged 300% in a single day, Tencent's paid content strategy versus Wenjie's points-based ecosystem!
Beijing Evening News: With top-tier projects being copied and LeTV facing anti-piracy measures, will a legal battle erupt among top companies?

The secondary market reacted swiftly, with Penguin Holdings (00700.HK) closing at HK$72.6 on April 21, up approximately 4.3% from the previous day. Stimulated by the first-day performance of "Penguin Ranch," investment banks quickly raised their Q2 game revenue forecasts. Morgan Stanley raised its target price from HK$68 to HK$78, emphasizing that "the substitution effect of social games on the decline in SP business exceeded expectations."

A Goldman Sachs report points out that the viral spread of social networking among acquaintances brings customer acquisition costs close to zero, and the ROI (Return on Investment) far exceeds the industry average. Compared with the star effect and fan fission of "Wenjie Farm", the former is obviously more efficient.

Penguins were jubilant, and even the Axis of Evil cheered from the sidelines. Even though they hadn't reached a cooperation agreement with them, it didn't stop Damai.cn from watching the drama unfold.

Let's see if the world and the penguins will fight this time; it would be best if they did, with their fates unknown.

Secondly, we need to see if Penguin Ranch can create a siphon effect on Wenjie Farm with its less than 6 million real users, thus slowing down Wenjie Ticketing's efficiency and ability to attract customers during the off-season.

On the morning of the 22nd, Liu Chiping, president of Tencent, who was attending the Guangdong Provincial Information Technology Seminar, was stopped by reporters at the Guangzhou Baiyun International Convention Center.

Nanfang Metropolitan Daily reporter: "Mr. Liu, congratulations to Tencent for its success in both the game market and the secondary market. Nowadays, players all over the country are either farming or herding sheep. Could you tell us about the process of developing 'Ranch'?"

Liu Chiping, with a refined demeanor, said: "We noticed this game last year, but we have been making personalized modifications, such as adding a ranch animal breeding system, social interaction gameplay, and a richer ecosystem of paid items."

Reporter: "Some in the industry believe this is a copy and imitation of 'Ask the World Farm.' How do you respond to that?"

"Haha, I can only say that great minds think alike. Our game development log can be made public to the whole society, and it did start right after the New Year."

The CEO of Tencent remained calm, his hairstyle perfectly in place: "Progress in the internet industry is often built on mutual inspiration. If we use this standard, should Yahoo, the world's first email provider, sue all its successors? Tencent respects the creativity of every company, but the iteration of business models should not be simply defined as 'plagiarism'."

China IT News reporter: "Mr. Liu, just before the Lunar New Year, Zhijie organized an 'Anti-Piracy Alliance' to file lawsuits against LeTV, Tudou, Youku, and others. Mr. Zhuang, the head of Zhijie, has a very tough attitude. Are you worried about friction between the two companies?"

"No, I have great respect for President Zhuang. Just kidding, I once suggested to the Boss that we poach Zhuang Xu from the company, and I would step down and make way for him, haha!"

Liu Chiping answered fluently: "In fact, we had a memorandum of understanding with Wenjie before the game was launched, and President Zhuang and Wenjie expressed their understanding. So this is not a sneak attack or a surprise attack; it is normal competition in the industry and there is no need to make a fuss."

The reporters were surprised and crowded around, wanting to ask more questions, but Liu Chiping had already started to walk inside.

He came to the meeting today specifically to explain the whole story in a calm and collected manner, hoping to alleviate some of the public pressure regarding the "penguin cloning farm" issue.

"Mr. Liu! Wait a minute!" Suddenly, a reporter in the crowd exclaimed, his expression changing drastically before turning overjoyed!

Liu Chiping turned around blankly, listening to the reporter, who seemed to enjoy the drama, speak with absolute certainty:
"Mr. Liu, Director Lu from Wenjie Film Studio was just in Beiping attending the release conference of this year's industry white paper by the Film Association and the Film Bureau, and was being interviewed by reporters—"

The excited reporter looked at his phone while observing Liu Chiping's expression: "He said he was disappointed with the launch of 'Penguin Ranch,' which is not the attitude a responsible leading internet company should have."

The criticism was mild, but to Liu Chiping it was nothing short of a resounding slap in the face!

what's the situation?
That day, he drank and chatted with Zhuang Xu, and even his own boss, Mr. Ma, frequently toasted him, all in order to maintain a stable competitive balance between the two companies.

But what's going on with Mr. Lu's current statement?

Did Zhuang Xu not report it? Would he dare not report it?

"Mr. Liu, what do you think?"

"Mr. Liu, didn't you just say that a consensus had been reached?"

"Mr. Liu..."

"Mr. Liu..."

Reporters, like sharks smelling blood, instantly surrounded him with recorders and cameras, their flashes shattering his refined smile into fragments.

The quick-witted Liu Chiping had countless possibilities flash through his mind in an instant. His expression changed slightly, but he quickly regained his composure.

"There must be some misunderstanding here. Please do not believe the rumors and wait for the official statement from Tencent and Wenjie."

He walked into the hotel venue without looking back, and his hurried pace made the reporters even more eager to get started. This April is going to be exciting!
Liu Chiping first notified his driver to pick him up at the side gate, and then quickly made two phone calls to the reporter from Nanfang Group to confirm the authenticity of the news.

This was indeed said by Lu Kuan himself in front of the camera and reporters.

Things are getting serious.

The president of Tencent informed the conference secretary-general that there were special circumstances requiring him to leave, and then called Ma Huateng from the car.

beep...beep...beep...

No one answered the phone, so Liu Chiping gave up and leaned back in his comfortable chair, closing his eyes in deep thought.

What is the boss busy with?
-
"What have you been busy with these past few days, Xiaolong?" Ma Huateng asked with a smile as the excellent product manager knocked on the door and entered the room, the latter looking embarrassed.

Little Ma's question put this honest man in a difficult position.

Busy with what? Naturally, busy with all the matters related to leaving the company.

Actually, it's not too busy, because Wenjie has arranged almost everything:
Temporary accommodations in Beiping have been rented, and his wife, an English teacher, and son have been assigned to Beiping No. 4 Middle School.

My wife was transferred under the "Special Talent Family Relocation" policy and enjoys a teaching position at a key middle school in Xicheng District. Our child's school registration was also specially approved through the "Green Channel for Children of High-Tech Talents" by the Municipal Education Commission.

In addition to contacting Secretary Pan to handle these matters legally and compliantly, Zhuang Xu was also trying to find a way to terminate his non-compete agreement with Tencent.

All Zhang Xiaolong needed to do was come today to say goodbye to Ma Huateng, who had appreciated and promoted him, and then proceed with the formalities.

It was precisely in this kind of situation that an honest man like him found it most difficult to speak out.

The product manager stood in the center of the office, facing Ma Huateng with his usual refined smile, his hands hanging at his sides, his fingertips unconsciously stroking the seams of his trousers.

"Mr. Ma, I want to go to Beiping."

The hum of the air conditioner vents suddenly became ear-piercing, and Xiao Ma, who had just lifted his butt from his seat, froze. "What do you mean, Xiaolong? You want to leave the company?"

“Yes.” Once Zhang Xiaolong made up his mind, he no longer hesitated and looked at his former boss with an apologetic expression.

Ma Huateng paused for a moment, then sat back down, ignoring the buzzing phone, and still politely gestured for Zhang Xiaolong to sit down and have some tea.

In times of great turmoil, calming down and having a cup of tea can provide an opportunity for both parties to ease their emotions, and there might even be hope of salvaging the situation.

Without saying a word to persuade him to stay, Brother Ma chose to first ask about the situation in a conversational manner: "Xiaolong, what do you want to do in Beiping?"

“Wenjie has a new internet project, but I can’t disclose the details.” Zhang Xiaolong said in a deep voice, “Mr. Ma, to be honest, I can’t help but recall the day you acquired Foxmail.”

“Mr. Ma, you told me: Xiaolong, we are not here to buy code. Tencent wants to build the best Internet product matrix in China, and we need someone like you who treats email as a work of art.”

"When I arrived at the Guangzhou R&D Center, you gave me independent authority to develop QQ Mail. From less than 10 users, it has grown to 5000 million! It has become the group's 'seven-star product'."

“The current project at Wenjie gives me the same feeling, and it has nothing to do with equity benefits, company background, or anything like that.”

Zhang Xiaolong tried his best to explain the issue clearly in order to prevent any misunderstandings between them.

The honest man was unaware that the grudge had just been exposed by Boss Lu, and the transmigrator had already jumped to the moral high ground.

Ma Huateng's temples throbbed with excitement the moment he heard the words "Wenjie." At that moment, like Liu Chiping in front of the Baiyun International Convention Center, his mind was filled with the names of Zhuang Xu and Lu Kuan.

He couldn't help but think of the phenomenal star project that had recently been launched, and Zhang Xiaolong's statement at the meeting that day. Could it be that he couldn't stand the company's style?
Another chilling and awkward silence fell over the office. This was exactly what the Penguin executives were curious about about these two taciturn individuals were like in private.

"Xiaolong, is it 'Penguin Ranch'...?"

"No, Mr. Ma." Zhang Xiaolong felt he had made himself clear, so he didn't drink a drop of tea and stood up to leave.

“I don’t appreciate the company’s decision to follow the trend and start a ranch, but from a business perspective, it was the only option. Any decision-maker would have done the same, and market performance has proven that.”

The straightforward product manager stood by the window, his gaze piercing through the glass to the distant city skyline.

His voice was soft, yet like a sharp carving knife, it left clear marks in the stagnant air of the office:

“Mr. Ma, my wife often says that I am a pedantic idealist, but I don’t think these two words are derogatory. I like this self-positioning.”

"I believe the essence of the internet is to create connections, and the best products should transcend commerce itself. They should become a part of users' lives and naturally integrate into their daily routines, rather than being deliberately designed as monetization tools. Profitability should be a natural result."

Zhang Xiaolong's fingers unconsciously traced lines, which looked somewhat comical: "When people look back on this era in ten or twenty years, they should not only remember some exaggerated and boring numbers, but should remember how many souls that would otherwise never have met resonated with us."

"Words are too cold, phone calls are too abrupt, text messages are too abrupt; we've always lacked a perfect way to connect. Like..."

He suddenly stopped talking and shook his head: "Forget it, it's too early to talk about these things now."

Ma Huateng nodded silently. Although he disagreed and was unwilling, he understood Zhang Xiaolong's position. He had always known Zhang Xiaolong's personality.

From the moment he stepped into this office, Zhang Xiaolong never said a word of apology.

Because he has already proven his worth through his actions and deserves the honors and benefits the company gives him.

Little Ma saw him to the door with a somber expression, pursed his lips but ultimately didn't say anything to persuade him to stay, because he knew it was useless.

Just like when he left Boda Networks to join Tencent, Zhang Xiaolong made the decision in less than half a day.

Ma Huateng was still a very courteous leader. He escorted Zhang Xiaolong all the way to the bottom of the building. The employees along the way made way for the two of them, who acted like "deaf and mute people".

"After a long journey to see you off, we must part ways eventually." The two stood in front of Tencent's headquarters. Pony Ma tried his best to control his helpless emotions: "Xiaolong, I wish you all the best in the future. The company will handle your resignation according to the rules and won't make things difficult for you."

"Thank you, Mr. Ma!"

"Xiaolong, I have a question for you. Was it... Zhuang Xu who came to Pengcheng to talk to you, or was it Lu Kuan who personally recruited you?"

Ma Huateng was actually very puzzled. Even if this Boss Lu regretted his decision after seeing how fast Penguin Ranch was gaining popularity, why did he want to poach someone who made email accounts?

Shouldn't he have poached someone from Tencent who works on instant messaging and games?

Zhang Xiaolong told the truth: "I've met Zhuang Xu a few times. That Mr. Lu later went to Hong Kong via Shenzhen, so I didn't have a chance to meet him. I only spoke to him on the phone a few days ago, and then I..."

The Temptation of the Minotaur.

Little Ma opened his mouth as if to speak, but ultimately sought NTR's advice directly, "Xiaolong, what did Lu Kuan say to you that made you finally make up your mind?"

Zhang Xiaolong's Adam's apple bobbed twice, his voice sounding as if it had been sanded:
"He was in a hurry. We arranged to meet in Beiping. On the phone, he only asked me if I liked watching movies. I said it was okay."

"Mr. Lu said that the product we are going to make is the montage of the digital age."

"The Godfather uses light and shadow to cut through power, The Shawshank Redemption uses a cage to measure freedom, and WeChat should become a new language, making each chat window like a Coppola long shot, completing a narrative revolution of life within a small space."

Zhang Xiaolong's expression brightened: "Yahoo created the portal, Google restructured search, and we need to carve the interactive aesthetics of the Chinese people onto the blank canvas of the mobile internet. This is the 'Along the River During the Qingming Festival' of the digital age, and every user is a brushstroke in the painting!"

The seduction came from a speaker who could paint, except the location wasn't a pub.

Zhang Xiaolong did not deliberately hide the name "WeChat" because Wenjie had already made sufficient preparations and had a clear project plan, and had also registered the relevant trademarks and copyrights, just waiting for him to take charge.

In this era, there are all sorts of strange names in China, such as Fetion, China Unicom's SuperMessage, and China Telecom's Tianyi. So, WeChat is not considered a leak.

However, this Weibo account, which has the same name as its twin brother, sounded strangely familiar to Little Ma.

It seems like I've heard or seen this somewhere before—

In October 2010, the previous life of QQ saw a Kik-like instant messaging application gain over a million users within 15 days of its launch, posing a potential threat to QQ.

Zhang Xiaolong sent an email to Ma Huateng overnight, proposing the development of a mobile instant messaging tool. The latter quickly approved it, and WeChat was born.

In this era, the landscape of the internet and film industries has been rewritten, and the WeChat proposal in that email has been forever locked away in a drawer of a parallel universe by the time traveler.

At the crossroads of history, Penguin and Wenjie each went their separate ways to explore different horizons.

Ma Huateng sat in his office for a long time until two hours later, when Liu Chiping took a car from Baiyun District of Guangzhou back to Nanshan Science and Technology Park in Shenzhen.

"Boss! What's happening over there in the Quest Realm..."

“I know everything.” Ma Huateng lowered his eyelids and operated the mouse on the computer. “Also, Zhang Xiaolong is gone.”

"What!? Zhang..." Liu Chiping was shocked, thinking he was dealing with OA, but when he got closer he saw that it was a colorful spider solitaire.

The CEO of Tencent recalled an old rumor in the company: when Ma Huateng was preparing to sell the company after its cash flow dried up in the early days of its business, he was also calmly playing a card game, lost in thought.

Of course, the fact that they couldn't agree on a price ultimately led to their legendary status.

It seems that Zhang Xiaolong's departure had a great impact on him.

"They've already started arguing outside, haven't they?" Little Ma shut down his computer, gestured for Liu Chiping to sit down, and his not-too-thick glasses reflected the light slightly.

President Liu was very competent: "The press releases have all been arranged, and we've communicated with various portals about online public opinion, so there shouldn't be any major problems on the surface."

"The company's legal department is also working on a plan. If Wenjie sues us for infringement, according to the principle of the plaintiff being the defendant, the case should be heard in the Pengcheng Intermediate People's Court. However, if they insist that jurisdiction should be determined according to the place where the infringement occurred..."

"We're going to Beiping to defend ourselves, which puts us at a huge disadvantage, since the roads are wider in Beiping..."

This journey into the dragon's den and tiger's lair has brought down countless heroes! Even if you are the invincible Nanshan warrior, you can't escape being thoroughly humiliated.

Ma Huateng waved his hand, his expression unreadable, and said with a wry smile, "Lu Kuan won't sue us."

Liu Chi's expression froze.

“We don’t want to fight with Wenjie, which is why we’re using Zhuang Xu as a communication point to avoid strategic miscalculations on both sides.”

“Wenjie didn’t want to compete with Tencent, which is why they chose to poach Zhang Xiaolong when they anticipated that we were going to launch a ‘farm-like’ project.”

"This way, the two sides are even, and neither side has enough motivation or reason to start a major conflict."

Even major powers like China and the United States need to maintain normal dialogue to prevent strategic miscalculations and meaningless mutual attacks, let alone two companies whose "personal will" can influence their decisions to some extent.

WeChat is the core tool for the future of mobile internet, and its importance is self-evident. Now is almost the last chance to poach Zhang Xiaolong, but a forced poaching will inevitably lead to a falling out with Tencent.

Moreover, he is currently facing a fierce attack from the axis of evil, and the subsidy war will not end anytime soon. At least until Avatar, the horn of the RMB war will continue to sound.

For Mr. Lu, is it possible to have both fish and bear's paw?
Yes, that's why he remained silent as he watched Little Ma unable to resist adding the farm to his own bowl, and then symbolically expressed his opposition to simply state his position.

As Liu Chiping heard from a reporter today, the so-called "I regret" and "I am disappointed" were weak and ineffective diplomatic phrases.

Because the most valuable person, Zhang Xiaolong, had already been taken away by Zhuang Xu, and at this time Ma Huateng was not clear about the true value of this future "father of WeChat".

Liu Chiping's expression turned serious after hearing these words.

He considers himself an elite manager who came from Goldman Sachs and McKinsey, and product managers like Zhang Xiaolong are his tools, while big shots like Pony Ma are his background.

As the president, Tencent is the best stage for him to realize his value as a professional manager and showcase his strategic talent.

But it wasn't until Ma Huateng finished speaking so casually that he realized:

I don't have a clear understanding of this "Chinese-style business world." China's business environment is far from being a simple symmetrical and one-way competition.

From a certain perspective, Pony Ma, who was unlikely to let go of this "farm game" favored by Tencent, and Mr. Lu, who had firmly established himself in the mainland business world based on his personal reputation and intimidating presence, had reached a tacit understanding at this moment.

The two companies, Wenjie and Tencent, are unlikely to engage in a major conflict now, as that would result in mutual harm.

Everyone should maintain order and stability in competition within certain limits, and not let it spiral out of control like the "1220 Zhou Jun case" with companies like Hehuayi and Ali.

Otherwise, given Mr. Lu's methods, if he truly considered the farm as a core strategy, he wouldn't be without a backup plan. Perhaps Penguin would already have received a summons from the First Intermediate People's Court of Beiping, forcing Nanshan Pizza Hut to go to the capital, where the auspicious purple aura is rising, to surrender.

For a specific example, one can refer to the "LeTV 404 incident," which has long been a laughing stock in the internet industry.

Liu Chiping silently sighed in his heart:

The outstanding people of this land, sometimes appearing tense on the surface, are actually tacitly drawing boundaries.

Just like the trade-off between "influence" and "territory" in Go, it's about vying for corporate interests while avoiding a war of attrition, perfectly embodying the art of "fighting without breaking apart."

This is the case with Wanda and Wenjie, and it's also the case with Tencent and Wenjie.

The only thing that left Ma Huateng, who had spent the afternoon playing Spider Solitaire, and Liu Chiping, who had just heard the devastating news, completely baffled was—

What does Lu Kuan want Zhang Xiaolong to do?
Why go through all this trouble to poach the head of Tencent's email division?
Liu Chiping took out his phone: "Mr. Ma, let me call Zhuang Xu, give him a good verbal attack, and sound him out."

Previously, it was Little Ma who knew he was in the wrong for running the penguin ranch, so he took the initiative to invite Zhuang Xu for drinks and dinner to smooth things over.

Now that Wenjie has poached Zhang Xiaolong, the two sides are even. It's a matter of generals facing each other, and Liu Chiping is naturally responsible for this communication and confirmation.

Little Ma smiled wryly: "Go ahead and hit me. It'll be good to see how tough an honest guy can be. Didn't we just learn from one?"

Liu Chiping dialed the phone with a gloomy expression, but was interrupted before he could even speak: "President Liu! You've ruined me!"

The kind, gentle voice on the other end of the phone sounded so grating to the CEO of Tencent. Hypocrite! You're trying to play the victim, aren't you?
That night, all the tea I brewed with you went down the wrong way.
“President Zhuang, this is a bit underhanded.” Liu Chiping ignored him and said in a slightly sharp voice, “On the one hand, you’re making private contact with our core leadership, and on the other hand, you’re openly accepting the goodwill and kindness that our President Ma is showing you.”

"Is this appropriate?"

Zhuang Xu seemed to hear the sound of keyboard and mouse clicking on the other end of the line. He said unhurriedly, "Xiaolong and I met at the Internet Conference four years ago. It was just a small get-together because of our personal relationship. There's nothing wrong with it."

"Furthermore, I have tried my best to report and negotiate with Mr. Lu about your ranch. How can I not be worthy of Mr. Ma's goodwill and kindness?"

Liu Chiping scoffed, "Is this how you negotiate? Now, President Lu is saying in front of reporters nationwide that he's very disappointed with Tencent?"

There was a moment of silence on the other end of the phone, followed by Zhuang Xu's resentful voice: "President Liu, you've never worked at Wenjie, so you don't understand President Lu's style."

"You can criticize me, you can disagree with my character, but you'd better talk to Liu Qiangdong, Gao Jun, Zhong Lifang and other leaders of Wenjie first."

"Let me tell you, there is no modern corporate system in Wenjie. What Boss Lu says is law, and even the law is useless!"

Zhuang Xu became unusually agitated: "I believe that Wenjie and Tencent share common interests, which is why I am willing to communicate on behalf of Mr. Ma."

"At first, the leader approved and was willing to work with the penguins to fight against other competitors. Now that your ranch's data is too good, he wants to single me out and hold me accountable. What can I do?!"

"Liu Chiping, I don't have your good fortune to have a leader like Brother Ma. What can I do? Huh?!"

The common man became angry and blood spattered five steps forward.

A gentleman's anger... made Ma Huateng, who was drinking tea and answering the phone, laugh, but it was a bitter laugh.

Even at this point, this Mr. Zhuang can still completely absolve himself of responsibility, and in his words, he even praises Ma Huateng as a saint on earth.

The most crucial thing is that he's trying to shift the blame onto Lu Kuan!

Is there any other company in all of China with such an absurd hierarchical order?

Ma Huateng couldn't help but think of the "Eighteen Arhats" when Ali started his business, and his own "Five Tigers of Penguin". Every family-run enterprise bears the deep imprint of the leader's style.

But what about the boundaries?

A tyrant who wreaks havoc everywhere, whether making movies or running a business;
A seemingly gentle and refined "hypocrite" who, from the rear, helps the former manage the entire world in an orderly manner.

There are also numerous subsidiary managers with unique personal charisma, such as Dongzi, who always says "Let's have a drink together, we're all brothers," which together form the unique character of this top mainland company.

Outwardly relaxed but inwardly focused; seemingly scattered yet mentally concentrated.

Zhuang Xu shifted all the blame to Boss Lu, and continued rambling on:

"We've never had such a gentle and refined leader as Brother Ma. The moment we stepped into the world of Wenjie, we were met with harsh winds and swords. Boss Lu was like a ruthless capitalist and work machine, making everyone rush forward day and night."

"Mr. Liu, you're really wronging me like this... Sigh! I really have no other choice."

He said with a sigh, "The company's decision to punish me has been made. From today onwards, I will no longer serve as the vice president of Wenjie Holdings."

"What?" Liu Chiping and Ma Huateng were both shocked!
This road is wide enough for filming movies, that's true, but isn't this acting a bit too real?

A vice president of this rank doesn't just resign easily. This will weaken Zhuang Xu's prestige and influence in the company to some extent. Even if it's just for show for Tencent, it shouldn't be this bad, right?

Ma Huateng realized that Liu Chiping was no match for Zhuang Xu. He tried to get a crucial piece of information but failed and was easily fooled.

He took the phone himself: "Mr. Zhuang, are you alright?"

"Mr. Ma, I'm feeling a bit down... How about you poach me? I'll work for you."

Liu Chiping's eyebrows twitched as he listened, and he unconsciously stared intently at Little Ma, who was also temporarily intimidated by Zhuang Xu's feigned retreat: "This...this is still not appropriate."

No way! No way! Isn't that a blatant declaration of war?
It can only be said that Ma Huateng was a bit too timid, unlike Boss Lu, a ruthless figure who had risen from humble beginnings in the streets.

If he dared to poach Zhuang Xu, the latter would definitely release him, treating Zhuang Xu like a nail driven deep into Tencent.

So, following Liu Chiping, who was tricked and left crippled, Brother Ma also hung up the phone empty-handed.

After this long argument, the two almost forgot why they had called Zhuang Xu earlier.

"Mr. Ma, what's the next step?"

Ma Huateng sighed: "Just do what needs to be done. We've essentially traded Xiaolong for the ranch, so the boundaries and markers for both sides are right here!"

The usually refined and reserved Little Ma slammed his fist on the table, a rare occurrence for him: "Get the ranch up and running! Completely wipe out the farms in the other world!"

He wasn't without a temper either; otherwise, he wouldn't have been able to wage such a fierce 3Q war against the Red-Clothed Cult Leader, who was forced to flee to Hong Kong.

"Yes! Promise to complete the mission!"

Liu Chiping finally understood; this was the "boundary of war" drawn by the two bosses:
As long as the penguins don't have deep ties with the axis of evil, Zhang Xiaolong can switch ranches, and the rest will prove themselves in the end.

But if you, Ma Huateng, cross the line, regardless of whether you can win the infringement lawsuit, Wenjie will definitely use the strongest online public opinion capabilities and local power in the entire mainland to drag Nanshan Invincible down.

Therefore, Lu Kuan, who is now appearing in front of the media, is giving some seemingly plausible but ultimately unconvincing explanations.

This is like gently pulling the bowstring, and then making a "snap" sound so you can hear it:

Don't reach out, or you'll get caught.

(End of this chapter)