For capital, sufficient concepts and prospects were equivalent to sufficient value. Li Mu had experienced the golden period of the rapid development of the Internet industry for more than a decade, and he had a very deep understanding of this principle.
Based on this understanding, he knew how to create a win-win situation in front of the capitalists. Whether it was a win-win situation or a triple-win situation, as long as the trader's vision was big enough, foresight enough, and control of the market was firm, all could be achieved.
The concept that Li Mu gave to Google was: the world's largest search engine, except for non-Chinese search engines. It was the undisputed No. 1 in any language field, and it had no rivals in the world. The only one capable of defeating it, Makino Technology, had become its godfather. With Makino Technology as its backing, whether it was Microsoft, Yahoo, or any other company, they could not threaten Google's position. Google would be invincible in the search engine field;
The concept that Li Mu gave to Baidu was: the world's largest Chinese search engine, also with the backing of Makino Technology. Even Google could not cause a substantial impact on its core business. It would share the world with Google and coexist peacefully under the coordination of Makino Technology. This would ensure its position in the Chinese search engine field. Compared to before, its prospects were much better now. Moreover, it owned 3.33% of Google's shares, which was a huge boost to its market value. From the looks of it, although Baidu might lose the future overseas market, the capital market did not expect it to snatch overseas market resources from Google. In the eyes of the capital market, if Baidu could hold the Chinese search market, it would be the greatest success;
The concept that Li Mu left to himself was: Makino Technology had become the shareholder of the world's two largest search engines, locking in the search engine market in advance. A considerable part of Google and Baidu's mission in the next ten to twenty years was to make money for Makino Technology, and Li Mu did not pay any substantial price for this. He only sent the search needs of his users to Google and Baidu. For Li Mu, this was not a loss of resources, but a deep development of resources;
Three different companies, three completely different but non-conflicting concepts, could form a complementary concept. This established the foundation of a triple win in the capital market for the three companies, which had a huge attraction for capital.
Soon, the capital market conducted in-depth analysis on Google's acquisition of Muye & Baidu. Their estimation of Google's future is almost the same as Li Mu's. In fact, they are even more optimistic than Li Mu. They think Google's valuation will reach 20 billion USD by the end of the year, and it will double by the following year. Google's IPO will not encounter any obstacles.
They were even more optimistic about the future of Makino Technology because Li Mu's current "godfather" identity had begun to emerge on a global scale.
Makino Technology owned the shares of Baidu and Google search engines, and it controlled the traffic and sticky users at the source. Even if Makino Technology did not engage in any search engine business in the future, the dividends in this area had been steadily eaten. Based on the capital market's estimation of the search engine market, Makino Technology may create a market value of hundreds of billions of US dollars in the future with this part of the shares alone.
It was terrifying to think about it.
Not to mention the businesses that he owned, just the businesses that he held a stake in had the potential market value of hundreds of billions of US dollars. A company like Makino Technology was simply a super giant in the Internet industry.
Because of this understanding, the capital market's valuation of Makino Technology had exceeded 100 billion US dollars. If Makino Technology decided to carry out a new round of financing now, the capital could at least give more than 12 million US dollars. If Li Mu planned to carry out an IPO next year, as long as it was announced, the capital market would definitely give a higher premium in order to catch up with the last opportunity. 150 billion US dollars would not be a problem.
If it wasn't for Li Mu, Google's valuation had fallen to within the range of 5 billion US dollars, and it might continue to fall in the future.
After being cheated by Li Mu, Google's valuation could not only return to more than 10 billion US dollars, but it might even break through 40 billion US dollars next year. This huge contrast gave those doers and technology geeks a huge stimulus.
The capitalists were optimistic about Google's prospects again, and it suddenly dawned on these doers and technology geeks. It turned out that the capital operation was not the addition in their minds, but the multiplication in Li Mu's way. Originally, it seemed that Google suffered a big loss, but because of Li Mu's manipulation, Google gained great benefits when it was put on the capital market!
Google's "lucky experience" made many companies start to look forward to sacrificing part of their shares to join Li Mu's big ecosystem and become the next Google.
After YY landed in the United States with the momentum of a dragon crossing the river, Paradise Town and Plants vs. Zombies swept the world like a storm, YYtunes integrated the world's music lovers into one, and Apple was bought by Makino Technology, Li Mu once again shocked the entire Silicon Valley and Wall Street.
This time, Li Mu used the overt plot left by Hua Xia's ancestor to stage an unparalleled capital operation for Silicon Valley and Wall Street.
The capital market heard a lot of conventional operations such as acquisitions, mergers and acquisitions, investments, shares, spin-offs, mergers, and other unconventional operations every day, such as monopolies, malicious competition, and malicious mergers and acquisitions. However, "malicious mergers and acquisitions" involving large amounts of money rarely happened in the world's capital market.
Li Mu made Google finally accept the acquisition of Muye & Company at a huge price. In fact, it was a successful textbook case of "malicious mergers and acquisitions."
Reports on this acquisition in Silicon Valley and Wall Street were almost all over the headlines, but everyone's opinions were seriously biased. One side felt that Li Mu's operation was unparalleled and impeccable, and it could even be used as a classic case in the financial field. The other side felt that Li Mu's operation was really a bad precedent for the capital market, and in the future, such "malicious mergers and acquisitions" may be endless.
However, a report in the Wall Street Journal analyzed Li Mu's approach from another angle. The author of this report was named Rui-Liu, and he seemed to be a Chinese. In the article, he commented on Li Mu's "malicious mergers and acquisitions":
"The Westerners have their own philosophy of life, and the Easterners are the same. The two cultures are very different, which is destined to be difficult for the Westerners to learn the strategies of the Easterners, and it is difficult for the Easterners to learn the logic of the Westerners. The Easterners, especially the people of Hua Xia, have always paid attention to planning before taking action. This makes Hua Xia's way of doing things more complicated than the Westerners. In the eyes of the Westerners, there are only one or two solutions, but in Hua Xia, there are many solutions because of strategies."
"Among them, the most representative is the solution to the debt. In the West, there are basically only two ways to solve the debt. Either you pay it back or you don't. In the eyes of the Westerners, there is no third solution, but in Hua Xia, there are countless solutions. For example, Li Mu's" malicious mergers and acquisitions "of Google are not common in the West, but in Hua Xia, especially among the people of Hua Xia, such cases happen almost every day."
Rui-Liu gave the Western readers an example in the article: "Suppose A and B are business partners, and A owes B 500,000 yuan, but the two parties are still working together. Moreover, the amount of the cooperation and the profits generated are far more than 500,000 yuan, so B's appeal for the 500,000 yuan debt will become weak and lack confidence. Unlike the Westerners who do business, all the accounts are sorted out clearly, and one thing is another."
"Although A will not directly repudiate the 500,000 yuan debt, he will try hard to think of a solution that is more suitable for himself. At this time, he remembers that he has an Audi A6L that he has been driving for five years. This car was bought from Hua Xia for 500,000 yuan five years ago, but the current market price is at most 200,000 yuan. So he says to B, 'I'm sorry, I'm a little tight on money recently, so it's not convenient for me to give you the 500,000 yuan debt for the time being. However, I bought this A6L for 500,000 yuan. Why don't you drive this car away and we'll settle the debt?'
"What A really wants to tell B is that B can either accept the car to offset the 500,000 yuan debt, or wait indefinitely, and there's a possibility that you won't get a single cent of the 500,000 yuan in the end. Such a solution is incomprehensible and unacceptable in the eyes of the Westerners, but in Hua Xia, most people like B will choose to accept this seemingly unsuitable deal because, for them, this is the best solution that will not hurt the relationship while also minimizing the loss as much as possible.
"Therefore, the final practical solution to this debt is: A gives a car that is worth at most 200,000 yuan to B, offsetting the 500,000 yuan debt between him and B. It may seem that A is very shameless, but there's no denying that this is indeed a legal, consensual transaction. From this point of view, A is successful. He has successfully legally settled the 500,000 yuan debt with an actual value of 200,000 yuan. This is what the people in Hua Xia call 'being acquired maliciously'."
This article caused a lot of repercussions in Silicon Valley and Wall Street. Many people were discussing the cases mentioned in the article, discussing the Eastern strategy, and using it as a standard to measure Li Mu's "being acquired maliciously". Many people were surprised to find that the method Li Mu used to sell Muye & Baidu to Google was very similar to the method of using the car to offset the debt mentioned in Rui-Liu's article. Both of them used strategies to reasonably act shamelessly, using strategies instead of violence to make the other party willingly accept an obviously unreasonable and unfair cooperation.
However, there was another paragraph in Rui-Liu's article that the Western elites strongly agreed with. He said, "In fact, strictly speaking, any business transaction is unfair. The actual material cost of a bottle of Coca-Cola may only be a few cents, but in the United States, it can be sold for almost one dollar. A difference of dozens of times, is it fair? Is it fair for a middleman to buy a certain product from a supplier at a price of one dollar and then sell it to the user at a price of several dollars? "
You've already exceeded your reading limit for today. If you want to read more, please log in.
Login
Select text and click 'Report' to let us know about any bad translation.
