Chapter 689: I am already making money without conscience (please order 2 more)
HTC attaches great importance to the mainland market. As a very important technology company in the Wanwan region, HTC has very frequent exchanges with the Xiaguo mainland region.
They also realize that Xia, with a population of 1.4 billion, will definitely become the country with the largest electronics consumer group in the near future.
Therefore, when HTC is operating its mobile phone business in the Wanwan region and the United States, it will also focus some resources on Xia Guo.
For example, some of HTC's feature phones (Dopod) and the first-generation Android phones have already landed on the Xiaguo market in 2009.
Although sales are still unsatisfactory, HTC firmly believes that as Xia's economic conditions improve and people become more and more wealthy, buying smartphones will become a major trend.
HTC has also seen that the current smartphone competition market has entered a fierce stage.
Various brands and various mobile phone systems are competing for layout.
Competition is not cruel.
Whether Android can break through the encirclement will not only require HTC's own efforts but also depend on luck.
The Xiaguo market is the most important link.
Changtian Technology is now publicly selling carbon crystal storage, which is an opportunity for HTC.
Android phones are currently far inferior to Apple's iOS in terms of fluency and stability, and there are some gaps compared to the already quite mature Symbian.
Developing Android in this era requires great courage.
Especially for this Android phone released by HTC in 2009, some consumers will experience lags in the phone after using it for a few months or half a year. This has caused Android to suffer a lot of negative public opinion.
How can we solve these stuck problems? There are two methods.
One is to start from the underlying code of the Android system to make the system smoother and have less redundant data.
However, this method takes a long time and is expensive, and it is not known what effect it will achieve.
Android is an open system that is not very mature yet. Such a system can only be improved through constant use, constant feedback, and constant modifications.
This is a long-term process and cannot be completed in a month or two or a year or two.
The second way is to start with the hardware and find ways to increase the memory and storage capacity.
Increasing the capacity of both can make the phone's computing speed faster and have more space to accommodate redundant data, which will delay the phone's lag.
For a long time in the past, neither South Korea's Samsung nor Toshiba's Elpida memory and storage could solve the problem of size and performance.
That is to say, the more powerful the performance, the larger the size.
This is an inherent flaw in storage technology.
And according to current technology, if the storage capacity is doubled, the cost will more than double.
Therefore, regardless of the actual size of the mobile phone or the cost conditions, it is impossible for HTC to purchase larger-capacity memory and storage from companies such as Toshiba and Samsung.
But Changtian Technology gave HTC a different choice.
Carbon crystal storage is small in size, light in weight and large in capacity. Its storage logic is completely different from existing storage devices.
If it can be used on mobile phones, it will definitely bring a better experience to the Android system, which will also help HTC expand its market.
It is better to sell to overseas companies than to sell to your own companies.
Regardless of whether HTC agrees with A Xia Guo from the bottom of his heart, for the sake of profit and his own development, he sent a large team of representatives to Nagasawa Island.
Wang Xiang received HTC's vice president and veteran Zhou Ming and his party at the Moon Moon Hotel in Changzezhou.
This time HTC is here to talk business.
Therefore, after Zhou Ming and his party visited the relevant technical principles and indicators of carbon crystal storage, they quickly entered the negotiation stage.
Zhou Ming hopes to purchase the first batch of 100,000 pieces of 256M carbon crystal memory, as well as 50,000 pieces of 4GB and 50,000 pieces of 8GB carbon crystal memory to prepare for HTC's new mobile phone.
HTC still dares not purchase 16GB and 64GB carbon crystal storage.
After all, no mobile phone has used carbon crystal storage so far, and no one knows what the effect will be.
Therefore, if you only purchase basic models, HTC will have more room for advancement and retreat.
When talking about price, HTC is still quite nervous.
Currently, most of the flash memory used by HTC is from Samsung. 4GB Samsung NAND flash memory costs 24 US dollars and 8GB costs 48 US dollars. Samsung's NAND flash memory uses MLC (multi-layer storage unit) technology, although this technology can be compared to SLC.
(Single-layer storage unit) stores more information, but consumes more power than the latter.
The memory, that is, DRAM, also uses Samsung, Hynix or Micron. The cost of 256MB is about 11 meters.
These costs are quite expensive, second only to touch screens and chips.
Carbon crystal storage is smaller and lighter. Even if the capacity purchased by HTC is the same as that of Samsung and other brands, Zhou Ming is worried that the price will be more expensive.
At present, what HTC hopes to achieve is that if it can purchase Changtian Technology's carbon crystal memory and carbon crystal storage at the same cost or about 10% more expensive, then it will be satisfied.
Wang Xiang felt a little regretful after hearing Zhou Ming's appeal.
Changtian Technology has put out so many products at once, and some of them have strong performance.
For example, 512 MB carbon crystal memory, such as 64GB segment carbon crystal storage.
However, HTC sent such a large negotiation team and only purchased the basic model of Changtian Technology's hardware. This must be a pity for Wang Xiang.
Wang Xiang smiled and said to Zhou Ming: "Mr. Zhou, HTC is the first technology company in the world to use the Android system to produce mobile phones."
"Mr. Chen of our company is very optimistic about the Android system. He has talked many times that Android will definitely replace Symbian and become one of the most successful mobile phone systems in the world."
"Currently, in the mobile phone market, Nokia's Symbian mobile phone dominates the mid-to-high-end market, followed by rising stars Samsung and Apple."
"Isn't your company willing to improve the hardware performance of its mobile phones and bring a better experience to users?"
That being said, both Zhou Ming and other high-level executives at HTC are just “destined to be in this mountain.”
They are not from the future, and they cannot clearly see the direction of the future. Chen Xiao is optimistic about Android. Who knows if this is Chen Xiao's polite words or a fascination for doing business?
If you purchase a large number of high-end hardware products from Changtian Technology in one go, the performance after putting them in your mobile phone will not be as ideal as you imagined.
Then HTC will definitely lose all its money, and in the mobile phone market where everyone is chasing each other, it will definitely fall behind.
This time, both parties in the negotiation were open and honest, so Wang Xiang also said: "This aspect is not a problem. The price of carbon crystal storage will definitely be cheaper than the price of existing storage on the market."
After Wang Xiang said this, the HTC team was very surprised.
Because the technology of carbon crystal storage is obviously much more advanced than traditional storage, with small size, light weight and large capacity, how can the sales price be cheaper than traditional storage?
Wang Xiang said: "This is our quotation list. Mr. Zhou can take a look at it first."
Because Xia Guo's RMB has not yet been internationalized, when discussing cooperation with multinational companies, it is inevitable to use rice knives as the price.
Zhou Ming was in disbelief when he looked at the price list.
The price of 256MB carbon crystal memory is 5 meters.
The price of 4GB of carbon crystal storage is US$10, and that of 8GB is US$20.
The price of carbon crystal memory is half cheaper than Samsung's memory, and the price of storage is more than half cheaper.
Seeing Zhou Ming's surprised expression, Wang Xiang felt a little guilty.
Is the price too expensive for HTC to afford?
The reason why Wang Xiang has this idea is that he personally feels that the price of carbon crystal memory and carbon crystal storage is still too expensive.
Because the 256-megabyte carbon crystal memory is basically made from leftover scraps of carbon crystal from computers.
There is no cost to produce these things at all. If we really want to talk about the cost, it may be tens of cents.
Selling it for 5 meters at a cost of tens of cents is definitely making money without conscience.
The same is true for the cost of carbon crystal storage. The production cost of 4GB carbon crystal storage and 8GB carbon crystal storage is about the same, which is about 1 meter.
Now the sales of 10 meters and 20 meters have increased 10 times and 20 times. This is definitely making money without conscience.
This is the benefit of Changtian Technology's technological and industrial progress.
Whenever a technological product makes progress in its production process and reaches mass production, its cost will be significantly reduced, even to less than 1% of the initial cost.
With such advanced production capabilities, this is one of the reasons why Chen Xiao hopes to open up the market and sell carbon crystal storage to mobile phone manufacturers.
Wang Xiang watched Zhou Mingzai swallowing his saliva. He felt that his sales price was still too high and he could give a discount on this basis.
So Wang Xiang said: "Mr. Zhou, we set this price in a hurry. According to the current market, this price may..."
Before Wang Xiang finished speaking, Zhou Ming thought Wang Xiang was going to increase the price, so he quickly said: "Mr. Wang, we completely believe in Changtian Technology. Since you have already set the price, we will follow the instructions above.
Purchase first at this price.”
This shows that Wang Xiang was caught off guard by these words.
What does this mean? The price of Changtian Technology has been lowered?
Wang Xiang: "Cough cough cough!"
Calculated in this way, the total contract amount is 2 million meters.
The contract amount of US$2 million is a very small amount for both Changtian Technology and HTC.
For such a small contract, Wang Xiang and HTC's vice president and veteran Zhou Ming personally took the initiative. This shows that behind the 2 million yuan, there is the development trend of this industry.
HTC's internals are clear.
As long as carbon crystal storage and carbon crystal memory are effective, all HTC mobile phones in the future will purchase Changtian Technology hardware, and the amount involved is not just a few million dollars.
Wang Xiang took back his words about lowering the price. He stood up and reached out his hand and said, "It's a pleasure to cooperate."