Technology invades the modern world

Chapter 415 Capital Frenzy
On the other end of the phone, the secretary was still going on and on about the next steps.

However, Zhang Jianzhong couldn't hear a word he was saying; he couldn't even remember the secretary's name.

I was in a daze. At this moment, what echoed in my mind was not the ecstasy of success, but the difficult moments of life and death in the early days of entrepreneurship, and the bold statement of "relying on hard power".

As an outsider, one might think that Moore's Threads was born with a lot of investment and therefore had no difficulties.

But only Zhang Jianzhong himself knows that starting a business is a gamble. There are countless examples of senior executives from large companies starting their own businesses, only to give up halfway through.

Even a second-generation rich kid like Principal Wang has never succeeded in starting a business. Looking back now, the reason he was able to persevere was mostly due to luck.

As for his victory this time, he thought it was probably due to his pure faith in technology. He didn't make this decision because he was a true fanatic of technology, but because Zhang Jianzhong felt that Lin Ran was that kind of person, and only in this way could he move the other party. It was a psychological guess.

After receiving the call, he felt he had made the right bet! This was a victory for his unwavering belief in the purity of technology.

The next morning, when Zhang Jianzhong sat in the Apollo Technology office facing Li Xiaoman, his expectations were ruthlessly shattered.

After a brief exchange of pleasantries, Li Xiaoman said softly:
"Mr. Zhang, do you know why we ultimately chose Moore Threads as our partner?"

Zhang Jianzhong answered cautiously, "Because our plan is the best?"

Li Xiaoman shook his head: "No, we have already decided on Moore Threads for all four of you. As long as your proposals pass the minimum standard, we will choose your company."

This statement left Zhang Jianzhong very puzzled. Could it be that Shenhai Guosheng had pulled some strings and secured the victory for them ahead of time?

I thought this was a victory based on my own strength, but I never expected that the outcome would ultimately be decided by strength outside the chessboard? Damn it, I still can't do it!

Li Xiaoman noticed his confusion and then explained, "Because Moore Threads is the only one of these four companies that has always insisted on making C-end products."

We collaborate with Chinese companies, and I believe you are well aware of how much being selected will help you, not only in terms of technology and future development, but also in terms of reputation. You will naturally gain the support of China and the Chinese people.

I've also seen some self-media bloggers analyze the competition between your four companies. One phrase put it very well: "ticket to a trillion-dollar company." I think that's very true. Cooperating with us, especially in the right-brain chip sector, is a ticket to becoming a trillion-dollar company, even priced in US dollars.

Can one solution make the decision?
Does a better plan necessarily mean better implementation and future development?

I doubt it. Intel was at its peak in the 90s and 10s, but now its market value is less than one-tenth of Nvidia's.

If even companies with huge revenues, leading technologies, and strong competitive advantages are like this, then a single plan can't prove anything.

Our choice of partners is not only to break Nvidia's monopoly in the enterprise-grade AI computing card market, but also to break the monopoly of Nvidia and AMD in the personal graphics card market.

Zhang Jianzhong is grateful that he insisted on making C-end products when he started his business. Even after the wave of artificial intelligence came, they did not give up on this product line and continued to invest in it from products to ecosystem.

This investment has now paid off, with immeasurable returns.

"Mr. Li, we understand. We will work hard and will not let you and Mr. Lin down."

Li Xiaoman waved his hand: "Alright, the next thing is the future cooperation model."

Our cooperation will be of great benefit to you. We will provide comprehensive support, the most important of which is Mr. Lin's discussion of the left and right brain architecture. Your chip will become the only domestically produced right-brain chip.

As I mentioned earlier, this is the ticket to becoming a trillion-dollar company.

Of course, we also need to ensure that the cooperation between Moore Threads and us is stable enough, so we need to invest in Moore Threads. Apollo Technology hopes to become the largest shareholder of Moore Threads through capital increase and share expansion.

I looked at Moore Threads' shareholding structure. The largest shareholder holds 14% of the shares, and we hope to hold 20% to become the largest shareholder.

Zhang Jianzhong felt a chill run down his spine. With 20% of the shares, the largest shareholder of Moore Threads was the company founder's shareholding platform, and the second largest shareholder was himself. In other words, his actual shareholding was less than 20%.

Once Apollo Technology acquires a 20% stake, given Lin Ran's influence and power, it's obvious to him whether the shareholders will support him or Lin Ran.

But can he refuse? No, he can't.

For Lin Ran, since the proposal wasn't important, and having been in the industry for many years and heard too many ghost stories about startups, Zhang Jianzhong knew very well that the moment he rejected her, the woman dressed like a typical career woman would immediately call the next candidate.

Of the four companies, there's bound to be someone who can't refuse.

As for using the need for a board resolution to delay the process, it might work against a relatively powerful party, but it's completely useless against an absolutely powerful party like the other side.

Zhang Jianzhong could understand why the other party agreed. If he were Lin Ran, he would be even more ruthless. He would pursue 20% of the shares and more than 50% of the voting rights in order to gain actual control and ensure his own control.

This is how giants operate, and it's also their privilege.

“Okay.” Zhang Jianzhong felt unusually relieved after saying it. “President Li, I have a question. Why is it Apollo and not Crimson? He also had the same question.”

Li Xiaoman explained, "Because the shareholding structure of Shenhong is more complex, while the shareholding structure of Apollo Technology is simple, consisting of three parts: General Manager Lin, state-owned assets, and employee stock option pool."

Zhang Jianzhong nodded: "Understood. We are willing to accept your investment. Our company, from top to bottom, is sincerely committed to promoting this cooperation."

He didn't say anything about discussing it with investors or the team.

"Next, regarding the design of the right brain chip, your company needs to start directly from 4nm, not 7nm, but 4nm."

Zhang Jianzhong quickly said, "Mr. Li, you may not be involved in technology research and development, so you may not be aware that TSMC and Samsung are not currently providing services for our high-end manufacturing processes."

We produce 7nm GPUs and AI computing cards, but we can only rely on domestic production capacity. Domestic 7nm production capacity is very limited, and demand exceeds supply, so our shipments are very small.

If this is the case for 7nm, then finding a foundry for 4nm is simply impossible.

Li Xiaoman said calmly, "Don't worry, the 4nm production capacity will be resolved soon, in as little as one year or as long as three years."

As soon as Li Xiaoman finished speaking, Zhang Jianzhong's face was filled with shock.

He instinctively wanted to retort, but the words stuck in his throat.

As someone with a technical background, he is acutely aware of the realities of chip manufacturing.

The 4nm process is a technology that even Nvidia and AMD rely on TSMC's most advanced technology to achieve.

Although China's chip foundry industry has developed rapidly, 7nm is the ceiling of existing production capacity in high-end processes, and 4nm is simply a pipe dream.

He then realized that someone of the other person's status would definitely not joke with him.

His lack of knowledge only proves he's not at a high enough level. Holy crap, there's a glimmer of hope for EUV lithography machines? Perhaps the prototype has already been successfully verified and is just waiting to enter the production line for validation? One to three years is indeed enough.

If true, this would be the most powerful voice of our time, a complete failure and utter bankruptcy of America's strategy. He seemed to see a giant, invisible hand quietly reshaping the entire technology industry landscape.

When Zhang Jianzhong met Li Xiaoman, Moore Threads' stock price hit the daily limit within ten minutes of the market opening.

In the following trading days, the company's stock price rose steadily without any sign of stopping.

Correspondingly, Cambricon's stock price plummeted.

Investment institutions that were initially hesitant about Moore's Threads are now rushing to buy at high prices, regardless of the cost.

The company's market value nearly tripled in just one week, transforming it from a unicorn into an industry giant with a market value of 500 billion.

Although it wasn't announced, investors aren't fools. Four institutions were invited to Apollo Technology, but three of them didn't receive any information. In addition, Moore Threads was pushing for Apollo Technology to invest, which required going through procedures, so it was impossible to keep it a secret.

The entire industry has experienced an unprecedented upheaval.

This celebration extends beyond Moore's Thread itself.

Upstream supply chain manufacturers and downstream application developers that have partnerships with Moore Threads have generally seen their stock prices rise due to market optimism.

Capital began pouring into the Moore's Thread related industry chain, hoping to get a share of this technological feast.

Zhang Jianzhong looked at these staggering numbers, but his mood was surprisingly calm.

He knew that all of this was not his personal achievement, but rather the convergence of the times and destiny.

Li Xiaoman's promise that the 4nm process could be achieved within one to three years will be news that will shake the world.

For a whole week, the board secretary's office at Moore Threads was unusually busy.

They submitted the draft announcement to the Shenzhen Stock Exchange for preliminary review.

During this special period, the Shenzhen Stock Exchange's review process has been greatly simplified and accelerated.

Driven by the will of the state, all aspects were given the green light.

Just half an hour later, the notification that the review had been approved came back.

Moore Threads' official website and the Shenzhen Stock Exchange's information disclosure platform simultaneously released an announcement entitled "Announcement on Major Strategic Cooperation and Introduction of Apollo Technology," and Moore Threads' shares were suspended from trading.

The announcement was carefully worded, but the information conveyed between the lines completely confirmed the rumors that had been circulating in the market.

"Holy crap! I thought it was a ghost story, but it's true? Cambricon actually lost to Moore's Thread? I thought it was fake news deliberately released by capital to drive down Cambricon's stock price, shake out retail investors, and then start it up again, but it's true? This wave of limit-up is going to hit the ceiling. I sold Moore's Thread and picked up Cambricon at a bargain price! I want to slap myself twice right now."

"Are you out of your mind? Are you pretending to be smart when you're stupid? Moore Threads' market value tripled. Do you know how outrageous the cost of capital was? Just to wash retail investors out of Cambricon?"

"I'm stunned. I was hesitating last night about whether to sell, but thankfully I didn't. Am I going to achieve financial freedom now? This is the first time I've made money by chasing the highs."

"Everyone, calm down. Apollo Technology's entry means that the nature of the company has changed. Although it has the backing of Ran Shen, its future operational efficiency and decision-making flexibility may be affected. In the long run, this may not be a good thing."

"Still lying, huh? Trying to lure us out and launder our money, right?"

The stock forum was in an uproar, pushing Moore Threads to the top of the trending list, replacing LONGi Green Energy.

The core message of the announcement is concise and clear:
"The company has reached a strategic cooperation agreement with Apollo Technology: Apollo will invest funds in Moore Threads through capital increase and share expansion."

Use of funds: All funds will be used for the research and development and industrialization of the company's right brain chip project.

Changes in shareholding: After the capital increase, the fund will become the largest shareholder of Moore Threads, holding approximately 20% of the shares.

Management Remains Stable: The company's existing management and technical team will remain stable and continue to be responsible for the company's operations and technological development.

In Zhang Jianzhong's office, they were playing "YMCA".

".Young man there's a place you can go"

Chen Hongyi danced wildly in the open space of the office, singing a march.

While jumping, he said, "Old Zhang, I knew I hadn't misjudged you! This will be my most successful investment."

I'm surprised to have been able to board President Lin's big ship.

This is a true behemoth, the core of our technological breakthrough—a cruise ship even more powerful than Huawei's.

You've really struck it rich now. In the future, Moore's Thread will be one of the very few true forestry and gas concept stocks in the A-share market.

Every time there's good news from Ran Shen in the future, your company will see an increase in value.

Think about it, how many more benefits await you in the future? Lunar superconductivity, lunar bases, deep red artificial intelligence.

Given the market for right-brain chips, if DeepRed needs them, and if there's a universal model, wouldn't other internet companies also use them?

Chen Hongyi has gone completely insane.

This investment will also be the most brilliant one in his career.

"President Lin is such a kind person. He only wants 20% of our shares. He's so generous."

Zhang Jianzhong wasn't so excited; after learning that a breakthrough in 4nm was imminent, he felt more pressure.

They haven't even accumulated enough experience with 7nm, and now they want to design a right-brain chip, a product that is completely different from traditional GPUs, and they also need to use 4nm technology. Can they really do it?

For Apollo Technologies, if they fail to achieve this, and another company is brought in, then Moore's Thread will no longer be the only option.

Chen Hongyi seemed to sense Zhang Jianzhong's worry and asked, "What are you worried about?"

Since President Lin has chosen us, it proves that we can do it!

Besides, even if there are problems with the right brain chip design, wouldn't you know to consult General Manager Lin?

"So, did you see President Lin this time?"

(End of this chapter)