Rebirth: I just wanted to study hard, but I became a scumbag

Chapter 488 MediaTek’s Dilemma



Chapter 488 MediaTek’s Dilemma

"Mr. He, what do you think of TSMC?"

Su Ze asked abruptly.

Hearing these words, the smile on He Ming's face disappeared instantly.

They are both among the top technology companies on Wanwan Island, and both are involved in chip-related industries. Naturally, the two of them have their grudges.

In fact, in his early years, He Ming worked under Sun Zhongmou, the founder of TSMC.

It's just that at that time, Sun Zhongmou was in a high position, an executive of North American General Instruments, and the third-in-command of the company.

On the other hand, He Ming is just a struggling young man who has just graduated, full of ambitions but penniless.

Although he gave Sun Zhongmou many forward-looking suggestions, they were not immediately adopted.

When Sun Zhongmou later left General Instrument and started his own business, he almost completely followed the business model mentioned by He Ming.

But He Ming didn't get any practical benefits from the whole thing, so he took the opportunity to join forces with the company's major shareholders and forced Sun Zhongmou to resign as chairman of MediaTek.

Later, Sun Zhongmou turned his attention to running TSMC.

In order to eliminate them all, He Ming also entered the field of wafer foundry to compete with TSMC.

Changes occurred in 2000.

At that time, IBM, a well-known technology company in North America, issued a cooperation request to both of them at the same time.

However, TSMC missed this opportunity due to substandard technology.

MediaTek took the opportunity to reach a strategic partnership with this world's top technology company.

Later, whenever He Ming recalled this incident, he would always laugh at his naivety.

He thought that with the support of IBM, MediaTek would be able to dominate the competition and leave TSMC far behind.

But after actually cooperating with IBM, the problem was immediately exposed.

It turns out that the reason why IBM wanted to find someone to cooperate in manufacturing new chips was because it was not confident in its own technology.

Facts have proved that there is indeed a problem with their chip design.

The yield rate of the produced wafers is extremely low, which makes the chips very expensive and cannot be safely mass-produced.

This result made He Ming's eyes darken.

They not only spent a lot of capital investment, but also consumed huge human costs.

These people were supposed to be involved in the research and development of cutting-edge chip technology, but all was wasted.

As a result, TSMC, which was originally slightly behind in technology, successfully overtook others in corners and has been unparalleled ever since.

This has become an eternal pain in He Ming's heart. Whenever someone around him mentions these three words, he will feel an inexplicable sadness.

"No opinion."

He Ming said expressionlessly: "I don't want to know a word about this company."

"If you want to continue talking here, please don't mention it again."

Su Ze had already anticipated He Ming's reaction.

Striking while the iron is hot, he continued to ask: "Mr. He, since you have such strong opinions on TSMC, why not cooperate with them and run the business together."

boom!

He Ming slammed the table.

Fortunately, He Qiong was there to comfort him, and he was already about to issue an expulsion order to Su Ze.

"If I work with someone like Sun Zhongmou, then I might as well just go home and retire!"

"Mr. Su, I don't care what you think, but I don't like your proposal."

"This is my last warning, I swear."

Su Ze was not anxious at all.

Even though He Qiongpin next to him gave him a wink, he continued calmly.

"Mr. He, as the leader of MediaTek, you should be very aware of the company's situation."

"Do you want to digest the billions of chips in the warehouse by yourself?"

As soon as these words came out, He Ming's whole person's momentum weakened.

Yes, MediaTek is in big trouble.

financial crisis.

The financial crisis of 08 is still not over.

Although beautiful overseas countries have temporarily suppressed the crisis through forced rescue measures.

But for MediaTek, the crisis has always been there.

They produced tons of chips but couldn't sell them.

Not only mobile phone chips, but also chips for other electronic devices are also slow to sell.

The reason is very simple.

With the economic downturn, everyone's willingness to consume has decreased, their purchasing power has declined, and electronic equipment cannot be sold.

Correspondingly, MediaTek's chips are naturally even less marketable.

Now, what He Ming is thinking about every day is how to quickly get rid of the inventory chips in the warehouse.

Otherwise, it is still unknown whether they can survive this without TSMC taking action.

"How did you know?"

He Qiong next to him covered his mouth and asked in surprise.

He Ming originally thought that He Qiong told Su Ze about this.

But judging from her daughter's reaction, it seemed that she didn't expect Su Ze to know about the unsaleable chips.

"Mr. Su, stop beating around the bush."

He Ming simply made his position clear: "The high inventory of chips is indeed a problem on my mind."

"But no matter what, it is impossible for me to cooperate with TSMC."

Although it is said that there are no eternal enemies in business, only eternal interests.

But the grievances between MediaTek and TSMC cannot be summed up in this simple sentence.

If they have to cooperate, it can only be that one of the companies is completely acquired by the other.

However, MediaTek's current situation has not yet reached this point.

"Give me 10% of the shares and I will help you solve the chip problem."

"Also, I can help you deal with them at TSMC."

Su Ze said to He Ming confidently.

He Ming looked at Su Ze suspiciously. According to his understanding, Zesheng Technology's industry does not involve the semiconductor industry.

"Why should I believe you?" He Ming asked.

"In one month, the development of smartphones will usher in explosive growth."

Su Ze smiled and said, "By then, you should have changed your mind."

As we all know, the core of a smartphone lies in the chip.

Chip technology is directly related to the life and death of a semiconductor company.

So if smartphones really become the mainstream of the market, it will not be good news for MediaTek.

"alright!"

He Qiong urged: "We've almost finished chatting, it's time to eat!"

He Ming also smiled and said, "Eat first. It would be a pity if such a good meal is cold."

After all, he is a veteran who has been in the business world for so many years, and has already developed the ability to remain calm even when the mountain collapses.

Although Su Ze's words made him feel very moved.

But He Ming is not a hasty person, and he cannot act rashly just because of someone else's words.

Anyway, a month is nothing to him.

If what Su Ze said really happens, then it will be too late to continue talking about cooperation.

After drinking and eating, Su Ze and He Qiong left the He family villa together.


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