I can become stronger by paying salaries. I have one billion employees!

Chapter 456 A 350 Billion Yuan Deal: First Victory! Harvesting the Americans!
Inside the bright and spacious conference hall of Zhuxianzhuang Science and Technology Park.

As soon as Chen Yansen finished speaking, there was an instant silence. Everyone looked at each other, unsure of how to respond.

In their eyes, the young man in the main seat, though exuding a heavy aura of authority, still had a touch of childishness, yet his words were incredibly domineering.

The implication is that the highest bidder wins; whoever offers the highest price has priority in purchasing.

As for those who lack funds, they can just wait patiently!
This scene felt extremely familiar to them.

In the past, companies such as Sansung, LG, Panasonic, and BMW have also displayed a strong stance when dealing with their Chinese partners.

But now, when the same harsh measures are applied to them, they truly understand the feeling of being frustrated.

Yuki Yamada squinted, wanting to get up and argue several times, but when he caught a glimpse of the expressions on the faces of the representatives from Yamaha, LG, and Tesla, he helplessly pressed down on his legs and didn't dare to move.

Sun Rongzhen of Shanxing, Herbert of BMW, and Peter Carlson of Tesla were angry, but they also knew the importance of Deep Blue Battery to their respective companies.

His facial expression remained unchanged, and he dared not show the slightest dissatisfaction.

This scene secretly pleased Wang Chuanfu of BYD and Zeng Yuqun of CATL, who had paid a lot of patent fees to Chinese battery companies.

Although the two are trying to gradually reduce the proportion of patent fees through cross-licensing, they still cannot be self-sufficient in diaphragms and high-purity electrolyte additives, and have to rely on foreign companies.

"Old Gao, let's begin!" Chen Yansen instructed Gao Weilin.

Although he knew that these people had already conducted energy density and utilization tests, and even needle puncture, compression, and high temperature tests, the necessary procedures could not be omitted.

It's better for both of us to see through things but not say anything.

The lights in the hall dimmed, Gao Weilin nodded, straightened his tie, and strode onto the stage.

"Thank you all for taking time out of your busy schedules to attend DeepBlue Technology's procurement negotiation meeting. Today, I want to showcase a technological breakthrough that will completely change the landscape of the energy sector—high-density lithium-sulfur batteries!"

Gao Weilin explained slowly and methodically.

The LED screen behind them immediately displayed a striking figure of 600 watt-hours per kilogram.

Seeing this, Peter Carlson glanced at Yuki Yamada. Tesla's 18650 batteries, which it purchased from Panasonic, cost $250 per kilowatt-hour, lower than the supply price of competing products in Europe and the United States, but the energy density per kilogram was only 160 watt-hours.

Taking into account degradation and loss, the energy density of Deep Blue batteries is almost three times that of Panasonic batteries.

Once the Tesla Model S is equipped with the Deep Blue battery, it will reverse the company's sales trend in North America, turn it around, and drive the stock price to higher levels.

The only question is, what is the standard price for Deep Blue batteries?
Tesla couldn't afford a five- or ten-fold increase.

Gao Weilin pressed the remote control to switch to the test video and said to himself, "This means that under the same weight, the range of electric vehicles can be increased by 160% to 180%, and the battery life of smartphones can be increased by two to three times."

He paused deliberately, glanced at the purchasing representative, and continued, "Deep Blue batteries undergo special treatment and can still retain 80% of their capacity after 1000 cycles."

"Mr. Gao, could you tell me the price of DeepBlue's power batteries per kilowatt-hour?"

Peter Carlson couldn't help but raise his hand to signal, interrupting Gao Weilin.

Generally speaking, the pricing basis varies depending on the usage scenario.

The main factors to consider when choosing electric vehicle batteries are capacity, type, and brand, aiming for a balance between cost and capacity.
For mobile phone and digital camera batteries, energy density, size limitations, and manufacturing precision are key considerations, with a focus on miniaturization, safety, and compatibility.

Peter Carlson, when asking about automotive power batteries, placed more emphasis on energy density, total energy, cycle life, and safety.

Gao Weilin looked at Peter, then at Chen Yansen. Seeing the boss nod slightly, he said slowly and deliberately, "400 US dollars per kilowatt-hour."

For example, the cost of using a Panasonic 18650 battery pack in the standard 60 kWh version of the Model S is $1.5, while the cost of switching to a Deep Blue battery is $2.4.

It may seem like it's $9000 more expensive, but the user experience is improved by more than a dozen levels.

The 60 kWh Deep Blue battery weighs approximately 100 kg, while the current battery weight for the Model S standard edition is 420 kg.

First, by reducing the vehicle's weight, overall energy consumption decreases, and the actual driving range may be 10%-20% longer than that of a 420 kg battery pack, which can form a positive cycle of "high energy density → lightweight → low energy consumption → longer driving range".

Secondly, the suspension bears less weight, making steering more agile, reducing body roll during cornering, and providing faster acceleration and braking response.

Finally, a lighter battery pack places less load on the chassis, suspension, and tires, reducing wear on chassis components, extending vehicle lifespan, and reducing after-sales maintenance costs.

In addition, it can improve space utilization. The smaller the battery pack, the larger the headroom and trunk space, and the stronger the loading capacity.

Conversely, if the battery pack weight were increased to 300 kg, the range would exceed 1200 km; 400 kg would reach 1600 km, thus alleviating customers' range anxiety.

Of course, given the price of the Deep Blue Battery, the cost of the 400-kilogram battery pack alone would be $9.6.

Thinking of this, Peter Carlson and Wang Chuanfu couldn't help but gasp.

Deep Blue batteries are great, but they are indeed expensive!
Sitting in the audience, Chen Yansen smiled slightly. The cost per kilowatt-hour was only 140 US dollars, but that did not prevent him from selling it for 400 US dollars.

New energy vehicles in 2013 were not cheap. The standard version of the Model S was priced at $67400 in North America, while the top-of-the-line 85 kWh version was $77400.

Mr. Chen believes that a battery pack costing 20,000 to 30,000 US dollars only accounts for 30% of the total vehicle cost, which is just right.

Are these batteries expensive?
If Tesla is dissatisfied, then Musk should reflect on whether users in the United States have worked hard.
Yuki Yamada secretly breathed a sigh of relief. The Deep Blue battery was priced 60% higher than the Panasonic 18650, which would most likely discourage Tesla from purchasing it.

Otherwise, with the same range, the price of the Model S would have to increase by another $6000 to $10000.

Simply raising prices will only drive customers away.

To his surprise, as soon as Peter Carlson sent the quote to Musk, he received a reply agreeing to the purchase. Musk even offered to add another $2 million to buy the exclusive purchasing rights for North America.

In other words, none of the electric vehicles from GM, Ford, and BMW can use Deep Blue batteries.

While the audience below had their own thoughts, Gao Weilin on stage paid no attention and continued to explain DeepBlue Battery's cooperation model and pricing standards in a clear and organized manner.

The purchase volume is a performance-based agreement. If the annual order amount is less than US$5 million (i.e., 125 million kilowatt-hours), the difference must be compensated at a price of US$50 per kilowatt-hour.

Reverse engineering is prohibited, with penalties starting at $5 million for breach of contract.

Tiered supply: the larger the contract amount and the higher the payment ratio, the more goods will be supplied to that party first.

Bundled services require the use of a matching battery management system, thus locking in the software ecosystem.

Gao Weilin smiled and spoke more gently and politely than anyone else, but the arrogance in his words was stronger than anyone else's.

He then went on to introduce the pricing principles for mobile phones, digital cameras, and electric vehicles.

There are many brands that appeal to me, but many others think they are too expensive.

But Chen Yansen didn't care at all; his original intention was to eliminate small roles with few orders.

The first batch of goods must be sold to the richest sucker!

After acquiring a few more raw material mines and optimizing and maturing the production process, we will gradually reduce the supply price.

After all, a price of $400 per kilowatt-hour is indeed not suitable for the future electric vehicle market.

Only by reducing the price to $300 or even $200 can large-scale shipments be achieved.

Half an hour later, Gao Weilin gracefully stepped down from the stage and returned to sit down next to his boss.

Chen Yansen stood up again and said slowly, "Friends who agree with the DeepBlue Battery cooperation model, please stay. Buyers who cannot accept it can leave."

Mr. Chen is a kind and honest man, well-educated and courteous, and he usually keeps unpleasant words to himself.

But his expression at this moment clearly revealed an unyielding toughness.

Yamada Yuki straightened his clothes, snorted coldly, and left the conference room with his entourage.

"Blacklist Panasonic and eliminate any form of business cooperation for three years."

Chen Yansen lowered his voice and spoke to Gao Weilin.

The sound was neither too loud nor too soft, just enough for everyone to hear.

The LG purchasing representative was about to stand up when he heard this, so he quickly sat back down.

You son of a bitch Chen Yansen, what kind of businessman are you?

The owners of Yadea and Aima electric vehicles, who originally wanted to negotiate a lower price, immediately changed their minds upon seeing this situation.

Keep your eyes focused on your nose, and your nose focused on your heart, without uttering a sound.

On the other side, Yamada Yuki walked out of the conference room looking completely bewildered.

He thought that with his lead, other company representatives would also leave, thus putting pressure on DeepBlue Battery to achieve the goal of lowering prices.

But he waited for more than ten minutes and still couldn't see a single person.

Did they mess it up?
Yuki Yamada stood there, at a loss. After a moment of hesitation, he turned back.

"Is Mr. Yamada unable to find the exit of the park? Boss, find someone to take him out," Chen Yansen jokingly remarked.

The domestic and international colleagues present all looked at Yamada Hiroki with smiles, their expressions as if they were watching a clown.

It would have been fine if Yamada Yuki had just left, but now he's forced himself to come back; it's really embarrassing.

"The park exit? Mr. Chen, I think you've misunderstood. I just needed to urinate, please forgive me."

Yamada Yuki leaned forward, a fawning smile plastered on his face, and quickly bowed to explain.

After saying that, he returned to his seat without waiting for Chen Yansen to react.

The speed of their actions and the audacity of their actions are astonishing.

Chen Yansen sneered and ignored the other party.

Subsequently, more than a dozen companies, including Tesla, BMW, Shanxing, LG, BYD, Aima, and Yadea, signed procurement contracts with DeepBlue Technology.

Chen Yansen rejected Peter Carlson's exclusive purchase offer outright, remaining unmoved even when the price was raised to $2 million.

Since Emma and Yadea's purchase amount did not meet the requirements, they had no choice but to make joint purchases.

The deep blue battery with its ultra-long range can help Aima and Yadea enter the high-end electric vehicle market and gain access to higher profit margins.

They can simply pass the costs onto the buyers!

Zeng Yuqun of CATL wanted to obtain the patent license for Deep Blue Battery from Chen Yansen, but was rejected.

The entire battery production process, from equipment to technology and raw materials, can be replicated and copied. With the strong support of Shenzhen City, DeepBlue Battery can enter the production phase in 2 to 4 months.

Chen Yansen will not be licensing his patents to any third party in the near future.

The procurement negotiation meeting did not end until 5 p.m., with 70% of the buyers being eliminated. In the end, 11 contracts were signed, with a total contract value of US$57 billion.

In the evening, Chen Yansen hosted a dinner in the rooftop garden, but Zeng Yuqun was distracted throughout.

Fortunately, the high price of deep blue batteries means CATL still has room to survive, but what about the future?
The following morning, Ma Zhiao, the newly appointed CEO of DeepBlue Battery, announced that the first phase of DeepBlue Battery's project had been fully put into production, and the second phase would be put into production in October.

Ma Zhiao is a management talent cultivated by Orange Mobile Phone Factory itself. He is 39 years old this year, graduated from Shanghai Jiaotong University, and was originally a PhD in Engineering from Shenzhen Institute of Chemical Physics.

He understands both technology and management.

Two weeks ago, Chen Yansen had a personal interview with him and found that his resume, abilities, intelligence, and emotional intelligence were all good. After careful consideration, Chen Yansen abandoned the idea of ​​hiring someone from outside the company and gave "one of his own" a chance.

After all, Ma Zhiao had been working at the Orange Mobile phone factory for two years, so he had a stronger sense of belonging.

"With a total value exceeding 350 billion yuan, DeepBlue Battery has achieved an initial victory!"

"A multi-billion dollar order! Lithium-sulfur batteries are in high demand!"

"A decisive move! DeepBlue Battery secures orders from companies like Tesla, Sansung, and LG!"

Shocking! A massive energy storage deal in the Middle East is on the way, potentially exceeding 500 billion!

In no time, the entire internet was flooded with trending topics.

The frequent procurement orders worth hundreds of billions have shocked netizens.

Wang Chuanfu, who was just about to set off back to Shenzhen, suddenly had tears in his eyes, filled with envy.

He thought for a moment, then took out his phone and started trying to find connections.

He knew perfectly well that DeepBlue Battery's production capacity was definitely not enough to handle so many orders.

Zeng Yuqun shared the same idea as him.

Both of them, without prior arrangement, mobilized their connections, hoping to get a share of the profits.

at the same time.

Upon learning of the contract signing, Musk, who was far away on the other side of the ocean, immediately took a PowerPoint presentation and announced the Model S Long Range version, also known as the extended-range version.

Equipped with a 160 kWh deep blue battery pack, it has a range of up to 1200 kilometers.

"160 kilowatt-hours? That battery must weigh a ton! Can this thing even run?"

“The energy density of Deep Blue batteries is three times that of Panasonic batteries. A 160 kWh Deep Blue battery pack weighs less than 300 kilograms, which is 120 kilograms lighter than the original 60 kWh version.”

"A price tag of $15.9? That damn Musk, go rob him!"

North American netizens are discussing this extensively in the comment sections of Facebook and Mimo.

But would users who dared to buy a Model S in 2013 still care about the price?
$15.9 USD, with a range of 1200 kilometers.

$7.7 USD, with a range of 500 kilometers.

The wealthy people in North America didn't hesitate at all and placed orders immediately.

Of course, for price-sensitive users, Musk also launched corresponding 60 kWh and 80 kWh versions, which are only $9000 to $12000 more expensive than the previous Panasonic battery packs, but with a 15% increase in range, making them excellent value for money.

Before Tesla even entered the Chinese market, Chen Yansen used Musk to ruthlessly exploit the Chinese people.

(End of this chapter)