The proposal to cooperate was approved, but the terms still need to be discussed. This time, Feng Yu had come to the US to speak to Bill Gates personally.
"Feng, the board of directors had approved our proposal to cooperate with your company. Do you know about this?"
"Of course." Although Feng Yu did not attend the meeting, Ralph had informed Feng Yu about the meeting.
"You will own 67% of the shares, and how much are you going to invest? How much does Microsoft need to invest? "
"I will invest 200 million USD, and Microsoft will also invest 200 million USD."
Bill Gates frowned. Feng Yu had invested 1: 1, but he got 2: 1 shares. This Feng Yu was too much.
Although Bill Gates admits that Feng Yu's technologies are important, the difference should not be so huge.
"Oh, right. This time, Microsoft will not be cooperating with Wind & Rain Electronics. It will be Aiwa."
Wind & Rain Electronics is famous in the global consumer electronics industry because of its VCD, DVD, and Wind and Rain mobile phones. Bill Gates had never heard of Aiwa's Little Tyrant.
Feng Yu had used a company he had never heard of to cooperate with them and not Wind & Rain Electronics. Bill Gates felt he was tricked.
No one can trick him! No one!
"Feng, this is different from what we had discussed. I think you got it wrong."
"No. I am sure it will be Aiwa. This company is the one that Ballmer had inspected. This company has the video game console manufacturing technologies, and I have the controlling stake in this company. The DVD-related technologies you are worried about will also be included. "
"Oh, the R&D team will also be in Hua Xia. We will invest to set up a R&D center there. Microsoft's people will also be working there. Of course, if you want to work there, I don't mind. But I will not provide the office space. "
"Feng! I had given you the controlling stake of the new company. But don't go overboard! "Bill Gates roared.
"Bill, let's think about it the other way around. If Microsoft owns the controlling shares, where will your R&D team work? Furthermore, the hardware aspect is the most important when it comes to developing a home video game console. My people are the best in the world. As for software, can't we just have a computer? "
Since he already had absolute control of the company, he had to follow Feng Yu's instructions.
In Feng Yu's previous life, Microsoft's Xbox received lots of negative reviews after it was launched. The sales were about the same as Sega's console, but the price was lower.
In other words, not many people would be willing to buy it even if it was sold at a discount. At that time, a video game console was selling for 299 USD, and Microsoft's production cost was 430 USD!
That means Microsoft's production cost is the highest in the video game console industry, but their products are the worst. Well, that didn't include Sega, which later withdrew from the video game console industry.
This console sold more than 20 million units worldwide, and Microsoft lost more than 3 billion USD!
This was Bill Gates's ambition. He felt this was a product that could teach Sony and Nintendo a lesson.
After that, Microsoft gained experience and knew how to focus on user feedback. They improved their technologies and produced better video game consoles. But they still lost to Sony and Nintendo. Still, they managed to turn their losses around.
But how did the second-generation video game console turn its losses into profits? It's because the second-generation video game console is using IBM's core.
Microsoft's second-generation video game console had sold more than 80 million units, but the profits could not even make up for the losses of the first-generation video game console.
Microsoft had spent a few billion USD on this game console, including the R&D, website, and operations!
Of course, a few billion USD is nothing to Microsoft. But this investment was a failure. Although Microsoft received many praises in the future, it was not worth it.
More than a decade later, the number of people buying this video game console had decreased. Although Microsoft claims this video game console is an immersive game console, it is nothing compared to the real world.
Bill Gates wanted to say something, but Feng Yu continued. "Bill, how much is the labor cost in the US, and how much is the labor cost in Hua Xia? If we produce in Hua Xia, we can lower our cost and increase the competitiveness of our products. "
Bill Gates kept quiet. He knew it was the right choice to produce this video game console in Hua Xia. They have an existing factory, cheap labor, and mature development experience.
But Bill Gates is not happy with Feng Yu's attitude. Why is Feng Yu the one making all the demands, and Feng Yu did not agree to any of his conditions?
"Even if what you said makes sense, we still need to manage all the departments, including the R&D, production, sales, etc."
"Bill, do you know how to sell electronic products? I am more experienced than Microsoft in this area. My brand and products had grown from nothing to where they are today. My sales team had helped me a lot. That's why I should be in charge of the sales. If Microsoft is willing, I can take charge of the US side. "
"Microsoft had never produced this type of product before and had never set up a factory like this. You all are only producing some system disks. In terms of production, my team is better. I should be in charge of managing the team. If we set up a factory in North America, we can let Microsoft manage the factory there. "
"I will be in charge of the R&D team. Of course, the hardware and software can be separated. Microsoft will be in charge of the software, and my team will be in charge of the hardware. This is reasonable, right? As for the game development, we can discuss it together. "
"There's also the logistics, finance, and other departments. Everyone can manage them together and discuss what to do. I should be the one to appoint the company's CEO. "
Bill Gates looked at Feng Yu in a daze. After talking for so long, why does it feel like he had shot himself in the foot? Feng Yu had taken away most of the company's management rights, and the rest was decided by everyone. What if they cannot reach an agreement? They still need to let the CEO decide. The CEO is appointed by Feng Yu, and that means Feng Yu has the final say in the company.
"Bill, trust me. We will create a better future. We will start a revolution in video game consoles and change people's perception of video game consoles. We will step on Sony, Nintendo, and the rest. This achievement belongs to all of us! "
Maybe Bill Gates was moved by what Feng Yu said about trampling Nintendo and Sony under his feet. In the end, Bill Gates nodded: "Ok. If the first generation fails, I will appoint the CEO. No matter who wants to sell the company's shares, the other party will have the priority to buy the shares. Also, the console must have Microsoft's logo. "
"No problem. Let's work together!"
… …
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.
