My son is a reincarnated soul; I overheard his inner thoughts and became the richest man.
Chapter 110: Son's Inner Thoughts - Shocking Gossip Revealed!
"President Ren, come in quickly." Chen Feng stepped aside to welcome him in.
Mr. Ren said apologetically, "I'm so sorry to bother you on a Sunday."
"You're being too polite. I'm just bored at home all by myself," Chen Feng said with a smile, leading the man to the sofa.
The sound of their voices carried into the bedroom.
Chen Xiaotian pushed open the door and poked his head out to see what was going on.
The young man froze the moment he saw the old man sitting on the sofa.
[Holy crap, isn't that Ren Zhengfei, the CEO of Huawei? What's this big shot doing at my house? Is the company short of money again and he's asking my dad for donations?]
Chen Xiaotian was puzzled, but he didn't move his feet.
Hearing his son's thoughts, Chen Feng's lips twitched, and he simply waved his hand: "Xiao Tian, what are you standing there for? Come over and greet Uncle Ren."
Chen Xiaotian snapped out of his daze, put on a well-behaved expression, and stepped forward to greet him, "Hello, Uncle Ren."
A slight smile finally appeared on President Ren's tense face as he looked him over and said, "President Chen, is this your son? He looks very handsome."
"A mischievous monkey."
Chen Feng casually replied, then instructed, "Xiao Tian, go brew a pot of good tea."
Chen Xiaotian nodded and turned to fiddle with the tea set.
Chen Feng sat up straight, looked at his old partner opposite him, and said directly, "President Ren, there's no need for formalities. What happened after you came all this way?"
After a moment of silence, President Ren sighed deeply, his tone heavy with emotion.
"President Chen, a few months ago when the company was at its lowest point, you invested over 800 million yuan without batting an eye. I will remember this act of kindness in my lifetime."
"But I came to see you today because I want to tell you something in person."
At this point, Mr. Ren paused, seemingly having made a great decision, and said, "We, Huawei, are prepared to be sold."
Upon hearing these words, Chen Feng froze on the spot, thinking that there was something wrong with his ears.
"Sold it? Who are you going to sell the company to?"
Mr. Ren replied with a bitter expression, "It's Motorola in the US. The negotiations are nearing completion, the details are basically finalized, and we estimate that all the procedures will be completed by the end of the year. At that time, the company, including its employees and technology, will be transferred entirely."
Upon hearing the words "Motorola," Chen Feng became even more confused.
He clearly remembered his son saying that Huawei would be incredibly powerful in the future, not only a giant in the communications field, but also with mobile phone sales approaching the world's number one.
This nation's future pride, capable of standing up to American hegemony, is now being sold to the Americans?
Chen Xiaotian, who was pouring tea, trembled and almost spilled the hot water.
However, he quickly realized what was happening.
[Damn, I almost forgot about this shocking gossip!]
[This did indeed happen in history. In late 2003, Huawei almost sold itself to Motorola for $7.5 billion. The contract was even printed, and the top executives from both sides even held a celebration party on a beach in Hainan.]
I originally thought that my dad's 800 million yuan bailout would be enough to shut this up. But I didn't expect the inertia of history to be so strong; Mr. Ren still ended up selling the company.
However, there's no need to panic; this deal is destined to fall through.
Motorola is about to undergo a major reshuffle at the top. The newly appointed CEO is a short-sighted guy who doesn't think much of Huawei, feels he overpaid, and is willing to pay an exorbitant penalty to unilaterally break the contract.
These words were transmitted into Chen Feng's mind without missing a single one.
The astonishment in Chen Feng's eyes vanished instantly, and the heart that had been in his throat settled back down.
Since the deal is unlikely to go through, there's no need for him to worry about it.
Seeing that Chen Feng remained silent for a long time, President Ren couldn't help but continue to complain: "President Chen, you really can't blame me for backing down. Huawei is really on the verge of collapse."
"To put it bluntly, my vision has been outdated in the past two years, and my strategy was wrong. A few years ago, the global Internet crashed, and the entire telecommunications industry suffered. At that time, I acted impulsively and insisted on grabbing territory when everyone was tightening their belts."
"And the result? Research and development expenses were poured in like water. Mr. Chen, the 800 million you provided last time did solve the immediate problem, but the hole was too big, and it was empty again in no time."
"I originally planned to have the company's employees continue to exchange their salaries for virtual shares, so everyone could tighten their belts and weather the storm. But the economic climate has been bad these past few years, and everyone is uncertain, afraid that their shares will eventually become worthless. That's why a large group of veteran employees are clamoring to resign and cash out."
"This is just adding insult to injury! On top of that, those bastards from Cisco in the US jumped in with a lawsuit recently, and our European and American distributors, afraid of getting into trouble, all stopped cooperating with us. Although the lawsuit has now been settled, the company's foundation has been completely emptied."
Mr. Ren wiped his face, his tone revealing an indescribable weariness, "Internal and external troubles have all come at once. I'm really disheartened. I might as well sell the company, distribute the money among everyone, and call it a day."
At this point, Mr. Ren looked up at Chen Feng and said, "Motorola's offer is very reasonable, a full 7.5 billion US dollars! All in cash! Mr. Chen, once this money arrives, I will convert your share, with interest, into cash and return it to you in full."
Chen Feng frowned as he listened.
He tapped his fingers twice on the sofa armrest and asked in a deep voice, "Mr. Ren, is Huawei really at its wit's end and forced to sell? If it's just a matter of cash flow, I can still squeeze out some more money to help Huawei get through this."
Although the son had already foreseen that the deal would eventually fall through.
But the wheels of history sometimes fear small stones. What if something goes wrong and Motorola really swallows up Huawei?
Getting the money back is a minor issue; the real loss would be if the plan to invest in a future mega-giant fell through!
Mr. Ren gave a wry smile: "It's not that we're going to close down right away. If we're ruthless enough to cut a few money-burning R&D projects and close some of our overseas branches, we can grit our teeth and barely survive."
"The key issue is that I can't see where the future lies. Enduring this is like being slowly cut down with a dull knife; there's no hope."
Just as President Ren finished sighing, Chen Xiaotian, who was making tea, slowed down a beat and started muttering to himself again:
Huawei has indeed been struggling in hell mode for the past two years.
[Besides all the messy things Lao Ren mentioned, what probably chilled him to the bone was being betrayed by the apprentice he had personally trained.]
[Li Yinan, a technical genius at Huawei, rose through the ranks at a breakneck pace, highly valued by Ren Zhengfei (Ren Zhengfei's founder), eventually becoming executive vice president. When he decided to leave to start his own business, Ren Zhengfei even threw him a grand farewell party.]
[But this guy, instead of building his business, started by reselling cheap Huawei products. After becoming successful, he turned against Huawei, not only stealing its customers but also going back to his former employer to poach talent. He's really pushing Ren Zhengfei (Huawei's CEO) to the brink.]
[Another issue is that after the acquisition fell through, Huawei, in its desperation, made haphazard attempts to develop 3G technology, resulting in all the money it invested going down the drain.]
In this day and age, smartphones are nowhere to be seen, Apple's app ecosystem isn't even finished, and 3G networks are practically useless except for downloading a few crappy ringtones! Besides, 4G will be out in a few years, so sticking with 3G now is just a complete waste of money.
[Sigh, I can't exactly jump out and teach Ren Zhengfei how to do business, can I? A middle school student trying to teach a business tycoon how to do things? He'd think I'm crazy. Oh well, let's take the detours. Anyway, Huawei is tough; we'll get through this eventually.]
Chen Feng listened intently from the side, and his mind suddenly cleared.
The root of the problem lies in the betrayal of talent and confusion about the technological path.
He picked up his teacup to moisten his throat, stared at Mr. Ren, and said, "Mr. Ren, in business, you can't eat meat every day. Stumbling is a common occurrence. If you think Huawei has no future, then why would those shrewd Americans at Motorola be willing to spend 7.5 billion US dollars to buy it? They're not stupid."
"So, the company absolutely cannot be sold! Once we get through this difficult time, things will be much better. I can't guarantee anything else, but I can spare another three or four hundred million yuan in cash to help Huawei make one last push."
"Since you've said that cutting peripheral projects and shrinking overseas operations will allow us to survive, then let's learn from this painful lesson and undergo radical reform!"
Upon hearing Chen Feng's resounding words, President Ren's eyes clearly flickered with emotion.
Chen Feng didn't give him time to hesitate, and pressed his advantage by revealing his plan: "President Ren, as you know, Fengtian Technology has also entered the mobile phone market. I'm a straightforward person, and I hate being held back in business, so from chips to motherboards, I want to make them all our own."
"Huawei's technological foundation in communications is unmatched domestically. I have a suggestion: let's merge our chip R&D teams and create a separate new company to handle it!"
"This way, Huawei can shed a huge burden of burning through cash, and Fengtian can avoid many detours. Once we actually develop the core chip, we'll share the patent technology. Don't you think this is a good deal?"
This proposal came out.
Mr. Ren fell completely silent.
His brow furrowed, his mind racing as he weighed the pros and cons of a joint venture to develop chips.
When Chen Xiaotian heard his father's actions, he was so shocked that he almost dropped the purple clay teapot he was holding.
[Dad's amazing! Huawei's current integrated circuit design center...isn't that the future famous HiSilicon Semiconductor?]
If we can really convince CEO Ren to spin off this department and merge it with our Fengtian Technology chip team, this would be an absolute game-changer!
With its parent company's substantial financial backing, HiSilicon's takeoff timeline can definitely be accelerated by several years.
However, there are still potential risks...
[Historically, HiSilicon's downfall was that it could only design blueprints and couldn't handle the actual manufacturing. When the US imposed sanctions and TSMC cut off supplies, it immediately faced a deadly situation of being cut off from supplies.]
I need to think of a way to remind my dad that just doing design work is purely for his own amusement; we absolutely need to invest in building a wafer foundry!
[Lithography machines, etching machines, photoresist—the core equipment and underlying materials of the entire semiconductor industry chain must be 100% domestically produced, completely eliminating American influence!]
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