Global Monopoly of Technology

Yao Jianhong returned from North America and was officially promoted the next day. He was appointed as the global executive vice president of Cote d'Azur, becoming the second person in the company's core management after Luo Sheng.

Originally, according to his treatment, 0.2% of the equity of the Cote d'Azur company would have to wait for some years to be converted into real shares, but due to his outstanding contribution, he was made a special case to become a real shareholder of the company in advance.

In addition, he also entered the board of directors of the Cote d'Azur company and became a director. In the core management positions, he became the executive vice president, general manager of supply chain, global president of sales and service, director of semiconductor business department and other important positions. .

Côte d’Azur currently has no major new plans, and initially opened the situation. The first task is to consolidate the market and do a good job in sales. Earning money is the first task, and then the company’s debts are repaid, and the remaining profits will be invested in new ones. R\u0026D program.

Especially in the semiconductor business sector, which requires tens of billions of budget investment, it is really impossible to play without money.

Regardless of the high profits of the Azure series of smartphones, if you want to avoid being stuck by foreigners in core technology and key supply chains in the future, you must embark on a road of technological independence. This road requires countless funds at all costs. Only when the price goes forward can we walk a road of independent research and development that is not controlled by others.

Such a development path requires high profits to maintain and support, and it is not achieved overnight.

In the days to come, Cote d'Azur will operate as planned, and the R\u0026D team has already entered the stage of project demonstration and R\u0026D of the next-generation products. The considerable sales have brought about the continuous return of funds, and financial filling will naturally not let money lie in the account. It does not move, but invests in the research and development of new products.

...

Time came to August, Bluestar Technology Headquarters.

"Mr. Luo, the company's semi-annual report (second quarterly report) has been audited." Zhang Bowen came to Luo Sheng's office and handed a document to him for approval.

"How's the income? How much impact has the subprime mortgage crisis had on the company's performance?" Luo Sheng took the materials and said, opening them for review.

Zhang Bowen replied: "Basically, the stock market is screaming, and the European stock market has plummeted across the board, but it has not had much impact on the IT industry. After all, the relationship between the two is not large. The company's performance in the second quarter Good, even strong."

According to the results of the global business audit of Bluestar Technology Group, in the second quarter of 2007, the total revenue of the group company was US$7.39 billion (￥56.2 billion).

A year-on-year increase of 199% and a month-on-month increase of 13.2%; this quarter's net profit was US$1.817 billion, a year-on-year increase of 325.5% and a month-on-month increase of 11.27%, in line with Wall Street analysts' expectations.

The company has a cash flow reserve of $15.7 billion.

"Not bad, let's publish it in the afternoon."

Luo Sheng quickly completed the approval of the title and sealed the book, closed the documents and handed it to Zhang Bowen again, adding: "The subprime mortgage storm in North America will not affect the IT industry, but if the subprime mortgage storm triggers a global systemic No one can stay out of the financial turmoil, and large-scale multinational companies like us are no exception.”

Zhang Bowen nodded: "Understood, the operation department has already done a good job in risk prevention in this regard."

In fact, the way of prevention is very foolish, reserve cash.

The family has surplus food, so don't panic.

Bluestar Technology's second-quarter audited financial report was subsequently announced. The company's stock rose sharply on the second day, and its market value in after-hours trading hit a record high of $168.3 billion.

In the wailing environment of the financial industry, the trend of IT technology stocks has not been dragged down by the broader market, but has risen surprisingly against the trend. Most of the IT giants are rising in market value, and the only exception is to sit firmly in the IT industry. Microsoft, the top-ranked company, is in decline.

Among the top five listed IT companies in the world, Microsoft continues to dominate the list with a total market value of US$269.4 billion, followed by Cisco, which has soared to US$193.4 billion, and Bluestar Technology, which ranks third with US$168.3 billion.

Google is close behind, with a market cap of $151 billion.

Intel Corporation ranked fifth, with a market value of $150.4 billion.

IBM has dropped out of the top five.

During this time, even Amazon has doubled its market value to $33 billion.

It can be said that IT technology stocks are in stark contrast to the current stock market conditions, but Luo Sheng is very clear that the entire world economy will collapse soon, and the IT industry will not be spared. Basically, whether it is Microsoft, Google, or Even Bluestar Technology is powerless in the face of such a general trend, and its market value will be cut in half.

However, for Bluestar Technology, which has a cash reserve of more than 10 billion US dollars, it is a good thing. Luo Sheng is thinking about a wave of repurchases when the stock price falls to a trough.

Only with cash in hand and enough cash can we get through this difficult period smoothly, otherwise, even if we are not destroyed by this financial turmoil, we may be hunted for the bottom.

...

New York, a successor hedge fund.

When Michael Barry came to work at the company on time, the employees sitting in the cubicle in the office area all looked at him, and Michael's assistant suppressed his excitement and said: "BOSS, Bear Stearns' two mortgage loans Hedge fund collapsed, AHM filed for bankruptcy protection…”

"The prelude to the harvest has already begun, and we still won after all... It seems that the economy is about to collapse, so let's start selling, $4.2 billion." Michael said this lightly and entered his office, during which he couldn't help but feel Looking at the whiteboard hanging on the wall, it was written a series of negative numbers:

-19.9%

The succession fund has hit a loss of nearly one-fifth so far. Michael silently glanced at the negative numbers on the whiteboard and ignored them. The negative numbers written on the whiteboard were outdated.

Sitting in the desk, pulling out the keyboard and typing on it for a moment, the landline phone rang, Michael picked up and connected the phone, and there was a voice inside:

"I'm Dibble Winston from Goldman Sachs evaluating your credit default swap, and I want to make sure the value is reasonable."

"Wow, you're saying you guys have jumped in and bought the short positions yourself? Great, I can finally evaluate my credit default swap, it's good for Goldman Sachs after all." Michael said quietly, but after he said When I finished this, the corners of my mouth couldn't help twitching. Now everyone has to buy default swaps to protect themselves. The market has completely tilted towards him, and this is the best time to cash out and leave the market.

"I don't understand what you want to hear..." Dibble Winston replied with a puzzled look.

"OK...I think you already said it." Michael replied with a smile, then ended the communication, and then showed a bright smile.

He is not in a hurry, Goldman Sachs can survive, Michael firmly believes that Goldman Sachs can definitely survive this crisis and is very nourished, because during this storm, Goldman Sachs shorted its own subprime mortgage assets, and also drained other investment banks. blood to fill the gap.

Moments later, Michael redialed a call to Regan: "This is a successor hedge fund, and I'm going to sell default swaps."

"Which default swap?"

Michael: "Collateralized debt obligations of AA-rated asset-backed securities."

"What is the nominal value?"

Michael: "The book is three hundred million dollars."

"Well, we'll pay you sixty million dollars."

Michael: "No no, I want $150 million."

"We may not agree, and it's difficult to reach consensus."

Michael: "OK, $145 million."

"$120 million."

Michael: "$140 million."

"$120 million."

Michael: "$137 million."

"$120 million."

Michael: "$133 million, that's my bottom line."

"Well, $133 million."

The communication ends soon, the deal is actually very complicated, but to put it simply, Michael bought a credit default swap for $1,500, and the current notional value is $300 million. He is now selling it for $133 million, and what he gets is the real deal. Real money, profit explosion.

Michael proceeds to dial the next bank's contact details.

"This is the successor fund, we are going to sell credit default swaps..."

"What is the nominal value?"

"$208 million."

...

In the next few days, the successor hedge funds, including the Paulson hedge fund, began to trade credit default swaps one after another. This is also a heart-beating link. These big shorts are about to leave the market. The transaction has to be done before the bank goes bankrupt, or they'll blow up in place with the bank.

Once the bank goes bankrupt and loses money, Michael's investment will go to waste.

However, these big shorts are very careful about their timing. Although some of them will be missed and lost, it will not hurt to lose one or two, because the contract is more than one or two points, and it is not a bet with a bank.

In the end, he left the field safely and made a lot of money.

...