Love in the Courtyard: Starting with Engineers
Chapter 175 Internal Division
In the command center of the Longxing plant, Vodafone's operational data is displayed on a split screen.
Looking at the data, Li Yu said, "Vodafone, as the largest telecommunications operator in Europe, has always been suppressed by the Rockefeller family in the Western alliance, and its profit share is only 15%."
"But they have to bear 60% of the base station operating costs in Europe, so they must have been harboring a lot of resentment for a long time."
He turned to Lou Zhenhua and said, "Send this agreement on the preferential treatment of the Western alliance and our exclusive European cooperation plan to Vodafone CEO Mark Reid."
"Longteng provides a complete set of mature 3G technologies, shares 4G reserved patents, increases the profit sharing to 20%, and does not need to bear the cost of base station construction; we are responsible for free upgrades and modifications."
"Chief Engineer Li, will Vodafone be worried about retaliation from the Western alliance?" Lou Zhenhua asked with some concern.
"revenge?"
"Alexander is now focused entirely on 4G and has no time to attend to the European market."
"Moreover, Vodafone's core demand is profit, and the conditions we offer are something the Western alliance can never meet."
"This, coupled with the preferential treatment in the agreement, was enough to make him decide to turn against us."
As expected, Mark Reid made a decision within just 24 hours of receiving the information.
Vodafone Group in London suddenly held a global press conference, where CEO Mark Reid announced with a serious expression:
"Effective immediately, Vodafone is officially withdrawing from the Western Communications Alliance and terminating all cooperation agreements."
"In the future, we will establish an exclusive strategic partnership with DragonTech Group and fully adopt DragonTech's 3G communication technology to provide European users with better services."
The news instantly set the global telecommunications industry ablaze.
The stock price of Western Communications Alliance plummeted, falling by 27% in a single day. Retail investors who had previously flocked to the company began to panic sell, and the stock prices of investment banks such as Morgan Stanley and Citigroup also came under pressure.
At the headquarters of the Western Communications Alliance in New York, Alexander had just received a report from the 4G research and development team about a technological breakthrough when this news poured cold water on his enthusiasm.
He smashed the coffee cup on the table, then dialed Mark Reed's number, only to hear a cold busy tone.
"A bunch of traitors!"
Even the representative sent by Rockefeller Sr. couldn't sit still: "Vodafone is the core of the European market. If they withdraw, our European-customized models will become a target without any support!"
"An emergency meeting must be convened immediately to reassure the other European members!"
During the emergency video conference, representatives of the European members were in an uproar.
The CEO of Deutsche Telekom slammed his fist on the table and questioned, "The Rockefeller family only thinks about the American market, leaving us with the burden of European operating costs."
"Now that Vodafone has turned against us, our base station operation and user maintenance are facing problems. You must provide a solution!"
"Solution?"
A representative from AT&T countered, "The group's core focus right now is 4G development; issues in the European market can wait!"
"You should fully cooperate with the promotion of 4G. Once the technology matures, are you still worried about not being able to regain the market?"
"Postponed?"
The France Telecom representative laughed in anger upon hearing this, saying, "We are losing customers, and the penalties for breach of contract by the operator have accumulated to tens of billions of US dollars."
"If we delay any longer, we'll go bankrupt! Either the US injects funds to subsidize the European market, or we withdraw from the alliance!"
Both sides stuck to their own versions of events and argued incessantly.
Alexander attempted to mediate: "Gentlemen, this is a crucial moment. Infighting will only benefit Long Teng!"
"The US could initially provide $100 billion in subsidies to Europe, and once 4G is successful, we'll share the profits!"
A representative from Country D's telecommunications company scoffed, "100 billion? A drop in the ocean!"
"What we need is long-term support, not temporary subsidies! You simply don't care about the survival of the European market!"
The meeting lasted from early morning until late at night, and ended in discord.
European members have indicated they will reassess their partnership with the alliance, while American companies have accused European members of being short-sighted, leading to a complete split within the Western Communications Alliance.
All of this was within Li Yu's expectations.
The DragonPass plan was an instant hit with European operators.
Compared to the inferior 3G technology of Western telecommunications alliances, Longteng's 3G technology offers stable signal, a low-priced package deal, and a promise of free upgrades to 4G in the future.
Within just one week, almost all major European operators signed cooperation agreements with DragonPass.
Longteng's engineering team flew to Europe on a chartered plane and quickly deployed the base station equipment that had been stored in European warehouses.
On a communications tower in London, DragonTech technicians are dismantling substandard base stations from the Western Alliance and replacing them with DragonTech's core equipment.
The backdoor chip originally embedded in the Western base station was quietly recycled. The new base station not only had better performance, but also connected to Longteng's global communication network. The communication lifeline of the European market was completely in Li Yu's hands.
At the Longxing factory, Lou Zhenhua excitedly reported on recent achievements: "Chief Engineer Li, operators from 12 European countries have already signed contracts."
"We have already monopolized the European 3G market!"
Li Yu nodded and turned his gaze to the stock price chart of Western Communications Alliance on the screen.
After being hit by Vodafone's withdrawal, the split among European members, and Dragon's monopoly in Europe, its stock price has fallen below the issue price, and its market value has evaporated by more than 800 billion US dollars. The funds previously invested in 4G R&D are also at risk of being trapped.
Just then, Li Yu's encrypted phone rang, and the caller ID showed Alexander.
The moment the call connected, Alexander's roar came from the other end: "Li Yu! You're despicable!"
"You knew perfectly well that Vodafone was a core member of the Western alliance, yet you still tried to turn them against us and sabotage our cooperation! This is a betrayal of your trust!"
Li Yu leaned back in his chair and said calmly, "Mr. Alexander, you can't say that."
"Our cooperation is a technical cooperation. I provided you with 3G technical blueprints, and you obtained the so-called 4G core framework. The cooperative relationship has always been very solid, hasn't it?"
"Technology cooperation?"
"You're trying to turn Vodafone against you and seize the European market—is that what you call technological cooperation? You're clearly targeting Western telecommunications alliances!"
"Mr. Alexander, in the business world, profit comes first."
"Vodafone chose to partner with DragonPass because our technology is more advanced and our terms are more favorable. This is a normal business choice, and I did not force them."
"Besides, I never said that technological cooperation cannot involve commercial cooperation with other companies, did I?"
He paused for a moment, then continued, "Our technical cooperation is ongoing. If you encounter any difficulties in your 4G research and development, my team can provide guidance."
"As for the European market, it was won by Longteng through its own strength. You can only blame your own internal problems, not me."
"You...you wait!" Alexander angrily hung up the phone, but there was nothing he could do.
In the command center of Longxing Factory, Lou Zhenhua couldn't help but laugh and said, "Chief Engineer Li, your move was brilliant! You captured the European market without damaging the technical cooperation with the Western alliance, and you even left them speechless with bitterness."
"This is just the beginning."
"The Western alliance's 4G research and development has reached a dead end, and the $800 billion they have invested will soon be wasted."
At the headquarters of the Western Communications Union in New York, Alexander sat in an empty conference room.
He couldn't understand why, having acquired the core technology and attracted global capital, he had ended up in this situation.
The representative sent by Rockefeller Sr. also lost his usual composure: "Mr. Alexander, our most urgent task now is to stop 4G research and development and do everything we can to win back the European market."
"Otherwise, our cash flow will completely dry up in another month."
"Stop 4G research and development?"
Alexander abruptly looked up. "No! We've already invested 800 billion US dollars. If we stop now, all that investment will be wasted!"
"Moreover, we have already mastered the core framework of 4G; if we just persevere a little longer, we will succeed!"
He stubbornly believed that as long as 4G products were launched, the market could be salvaged.
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