207: The answer from Sugon Technology, the loyalty of the slow cooker

Motorola's chip factory not only has an 8-inch wafer fab, but also other large and small ancillary factories.

It also possesses the capacity for large-scale mass production of 180nm and 350nm chips. Of course, most importantly, that chip factory has many skilled workers and chip production technologies.

And this is exactly what Zhongxin International needs, so it's no exaggeration to say that if Zhongxin International were to acquire Motorola's chip factory in Tianjin at this moment,

Then Zhongxin International would be like marrying a wealthy and beautiful woman, directly saving years of struggle, and its rise would be even faster!

"I am very sorry, and I appreciate your company's sincerity, but we at Shuguang Technology believe it is better to control our own destiny."

Upon hearing Lin Chen's words, the negotiation team from Shuguang Technology immediately breathed a sigh of relief, while those from Zhongxin International frowned. Academician Wang, in particular, couldn't help but interject:

"Mr. Lin Chen, although your Shuguang Technology has designed its own high-performance mobile chips, which can be said to have broken the foreign monopoly on mobile chips,

The problem is that while mobile chip design and production are both in the chip field, they are actually two completely different areas.

We at Zhongxin International are the professionals in chip production; it won't be easy for you to join midway and survive.

You should also be aware of Motorola's situation. In 2002, Motorola lost $284 million in its chip production business.

The reason is that while Motorola is skilled at designing chips, many of their general-purpose processors, such as the 6800 and 68000, are quite classic general-purpose processor chips.

However, chip design is chip design, and chip production is chip production. Motorola is not good at chip production, and ultimately, they lost $284 million last year."

Academician Wang stopped here and did not continue, instead staring intently at Lin Chen.

Although Academician Wang's words did not continue, everyone present understood their meaning.

What did this mean? Undoubtedly, it meant that Motorola lost $284 million last year, so how many hundreds of millions of dollars can your Shuguang Technology afford to lose by entering the market now?

At this point, letting Zhongxin International take over is the best option, allowing Shuguang Technology to have a stable rear base for chip production.

There's no need to spend a lot of money buying a chip factory and then continuously losing money to support such a factory. This is the most cost-effective choice.

"Academician Wang, my mind is made up. Our Shuguang Technology must have its own chip production capabilities. Putting our destiny in others' hands is not my style.

Furthermore, although Zhongxin International is a Daxia enterprise, its absolute controlling stake is firmly held by foreign capital. It's impossible for you to sell the control to us, and Shuguang Technology cannot afford it.

Under these circumstances, even if our Shuguang Technology becomes a shareholder with a significant stake, without absolute control, the stable supply of chips is merely a word from foreign capital."

"Alas!"

Academician Wang deeply sighed as he saw Lin Chen's resolute gaze.

Academician Wang could not guarantee against Lin Chen's concerns, because Zhongxin International's absolute controlling party is foreign capital.

If multiple shareholders of foreign capital hold a board meeting and ultimately reach a consensus not to continue contract manufacturing chips for Shuguang Technology, then it really would just be a matter of a board meeting.

So, facing the resolute Lin Chen, Academician Wang truly didn't know what to say or how to dispel Shuguang Technology's concerns.

"In that case, there's nothing that can be done. It seems Motorola will benefit next."

Faced with Lin Chen's firm attitude, Academician Wang could only respond helplessly.

"This is unavoidable. We at Shuguang Technology must acquire Motorola's Tianjin factory."

"Must?"

Academician Wang murmured, his eyebrows deeply furrowed.

He already felt that for the upcoming acquisition of Motorola's chip factory, a decision to make a significant financial sacrifice would be necessary.

"Academician Wang, my time is limited, and I have a heap of research and development tasks to complete. I'll head back to work now."

"Mm, alright."

Facing Lin Chen, who directly expressed his intention to leave, Academician Wang did not ungraciously invite him to stay for a drink or anything else.

He knew that with Lin Chen's resolute attitude, any further attempts to persuade him would be futile.

Since that was the case, it would be better to have a good drink with his old friend Ni Guangnan, discuss their experiences, and enjoy their old friendship.

Lin Chen hesitated slightly at this, then still spoke:

"Academician Wang, although you might think I'm boasting, I want to say that my dream is to change the world, to change our situation where our chips lag behind others.

Although Zhongxin International is currently developing well, this is truly not sustainable in the long run. So, when Zhongxin International encounters major setbacks in its future development, I hope Academician Wang can consider our Shuguang Technology.

Because our dreams are the same: to make Daxia's chips rise, to no longer be controlled by others, and to no longer be disgusted by the Wassenaar Arrangement!"

Having said that, Lin Chen ignored the stunned Academician Wang and turned to leave without looking back.

At this moment, his words were actually subtly hinting at a small prophecy of future events, predicting Zhongxin International's future defeat.

Of course, this small prophecy would not be considered a prophecy by others, but rather Lin Chen's lack of optimism for Zhongxin International's future.

However, Lin Chen also knew that what he said at this moment was somewhat of a slap in the face, as it was somewhat awkward to say such a thing now, when Zhongxin International was heading towards glory and becoming the world's fourth-largest chip factory.

So, Lin Chen did not give others a chance to speak, but instead left after planting a seed in Academician Wang's heart.

In his previous life, in 2005, during the lawsuit between Zhongxin International and TSMC, Zhongxin International lost due to patent infringement.

As a consequence of the defeat, the founder, Zhang Rujing, also reluctantly left as per TSMC's demands.

After the lawsuit defeat, the shareholders also fully realized Zhongxin International's insufficient foundation. Furthermore, with the tightening of the Wassenaar Arrangement, they were unable to procure more advanced chip production equipment and technology.

Ultimately, after that lawsuit defeat, Zhongxin International instantly went from being a hot commodity to a Cinderella.

Under these circumstances, Zhongxin International's stock price collapsed, and its strength progressively weakened, becoming utterly dismal by the 2010s.

Had it not been for the later intervention of state-owned capital, which directly provided large sums of money to support Zhongxin International's operations and survival, Zhongxin International would have long gone bankrupt.

Under these circumstances, Academician Wang, who took over as Zhongxin International's second CEO after the 2005 lawsuit defeat, actually had his talents somewhat wasted.