189: Chapter 189 San Sang's New Methods
Lin Bin stood beside him, at a loss for words. He figured Old Lei was suspecting Big Mouth Yu or Shen Fei of stealing his plan again.
Once might be theft, or perhaps a coincidence.
But now...
They are a major corporation with a very mature industrial chain and greater leverage in the supply chain; it's perfectly normal for them to drive prices down...
Besides, if Lei Jun, an outsider, could think of this plan, couldn't the industry insiders think of it too?
He sighed silently, only hoping that Lei Jun could quickly climb out of the rabbit hole he'd dug for himself, otherwise Xiaomi would head toward an absolute extreme.
Finally, Lei Jun spoke with a dull look in his eyes.
"Old Lin, do you know?
I actually have an idea in my heart: our Xiaomi series will be responsible for reaching the high-end, and then we create a sub-brand to target the hundred-yuan market.
This brand doesn't need to make money; it can even lose money.
It only has one metric: to boost Xiaomi's user base while cultivating users, allowing us to quickly become a major international brand.
Annual sales of at least 60 million units...
This is also the main reason why I dared to promise that sales would rise rapidly when I was raising funds."
Lin Bin slapped his forehead; he had guessed right.
The plan really had been stolen; no wonder he had such an uncharacteristic outburst just now.
However, this plan is indeed excellent—cultivating users in the hundred-yuan market and building their loyalty. Once they have income, they will definitely choose higher-value products.
Seeing Lin Bin nodding repeatedly, Lei Jun knew he understood the implication and continued to explain:
"1999 occupies the mid-range market, while 699 and 799 secure the low-end market.
As long as we have the first-mover advantage, even if there are other imitators, we have nothing to worry about."
"I know," Lin Bin said consolingly.
The plan is great, but unfortunately, it's a step behind.
Lei Jun shook his head again: "I prepared this plan for a long time, over half a year.
To prevent leaks, I haven't told anyone. I haven't even started talking to the supply chain yet."
The expression on Lin Bin's face shifted slightly; it had been in preparation for half a year, yet he hadn't known anything about it.
This... this meant he didn't even trust him.
Lei Jun had already had the last shred of passion in his heart extinguished by that Enjoy Smartphone with the Huawei logo; he had completely lost any drive.
He stared at the number 799 on the screen, not noticing the expression on Lin Bin's face.
He continued to speak to himself:
"However, this plan can only be executed by large enterprises; we really can't afford to play this game. We wanted to wait another year or two.
Now, Huawei has beaten us to it.
Could Shen Fei really be a reincarnator? He knows all my plans, which is why I've always felt my shadow in his schemes."
This remark actually made Lin Bin laugh; it seemed Old Lei had indeed taken a huge blow this time, to the point of talking nonsense.
He gently patted Lei Jun on the shoulder: "Old Lei, we can do it too. With our fan base, the results won't be any worse than theirs.
Just like you said, the costs are high right now, it's not necessary..."
Lei Jun shook his head once more and explained to Lin Bin: "It's not a matter of cost."
He looked at the other man's face: "It's a matter of timing. Huawei has already released theirs. Whether we follow now or in the future,
it's all just following the trend.
And what I'm curious about is, how did they know I wanted to set this price point and build this product?
After all, this was just an idea in my heart; no one knew about it."
Lin Bin became completely serious now.
He had already picked up the prices calculated by the logistics department.
According to Xiaomi's procurement costs, these two phones were definitely not profitable; in fact, they would lose 80 and 150 yuan per unit respectively.
The overall revenue was negative.
But based on supply chain tiers, the final conclusion from the logistics department was: without subsidies from above, Huawei wouldn't make money on this phone, but they definitely wouldn't lose money either.
But why do such a thankless task? There is one logic that explains it: they are promoting the Taishan System.
If one thinks about it more deeply, the possibilities continue to expand.
Especially considering the treatment Motorola received in the United States, it's estimated that the higher-ups have already prepared a corresponding counterattack...
As soon as they make a move over there, this side will follow.
But regardless of which one it is, it's more important than Lei Jun's plan being stolen.
"Old Lei, don't obsess over who stole your plan; it's better to hurry up and consider the system issue.
Should we switch to the Taishan OS?"
Lei Jun fell silent once again. He understood the implications, but developing a custom system based on Taishan OS?
Choosing Android for development was, first, because it's a foreign product, and second, because it wouldn't be constrained by domestic manufacturers, giving us higher autonomy.
But if the Sword of Damocles really exists...
Then... then there's no choice.
"Old Lin, don't worry about the system for now; we can drag it out for a while longer. After all, there's no policy yet.
But do you think this man, Shen Fei, might have the ability to foresee the future?"
Seeing Lei Jun still stuck in this rabbit hole, he knew the other man had recovered, but he still said with a bitter smile:
"Old Lei, don't scare me. I don't want to fight against a reincarnator. Let's just find a solution first."
...
Yangcheng, Transsion Building.
Shen Fei looked at the sales data for Huawei's Enjoy, and the smile on his lips never faded.
This plan is indeed good; someone's plan is indeed good.
No advertising is needed; the media are all free labor. With the efforts of all parties, sales (including pre-sales) have exceeded 3.5 million in less than 24 hours. This is the lethal power of a hundred-yuan Smartphone.
"President Shen, this move is ruthless enough."
Shen Fei nodded: "That's the effect I wanted. 799, eat up the entire low-end market.
If others want to enter in the future, they'll have to ask if Huawei agrees first?"
Huang Tianya asked: "But isn't one phone too few? Should we also make a re-skinned phone?
Change to a younger-looking exterior, and our two companies can join forces to eat up this market. Completely block out the copycat manufacturers..."
"Re-skinned..."
This plan hit the mark for Shen Fei; after all, the development of technology isn't primarily about changing skins.
The global supply chain is tight right now, and no one will enter the hundred-yuan market in the short term, but in the future...
"Do it. But not in the domestic market. Re-skin the Enjoy series and move it to the Africa market.
Price it at 199 USD..."
"Then what about our transsion s2? The Africa version uses the same chip."
"Just leave it to Chen Hai; he'll handle the 'knife work'... The people in Africa don't need to consider so much."
...
Time quickly arrived at the end of April.
Just as domestic factories began rotating shifts and preparing for the May Day holiday, Samsung, which had been slow to receive large orders, realized that something was wrong.
So they launched a new round of attacks in Lagos.
President Choi personally came to Africa to hold a press conference. He stood on stage with a row of phones behind him, all of which were products specifically developed for the Africa market.
"Today, we return reorganized, bringing you brand-new products. There are three Smartphones and three feature phones.
The cheapest one only costs 69 USD. For just 69 USD, you can buy a phone from the world-renowned brand, Samsung."
Hundreds of distributors sat in the audience, but the applause was sparse.
After all, they had been sold out once before; Samsung had pulled out, but they, the agents, had been left to starve, living hand to mouth...
This time, upon their return, although there were guarantees, the other audience members around... probably weren't much better off.
President Choi's face darkened when he saw this reaction, but he had no choice but to continue the introduction.
"Our Smartphone features a 3-megapixel ultra-clear camera specially designed for the people of Africa; no matter how you take the shot, it will capture your truest skin tone..."
🔊 Text To Speech
Listen while reading