Rebirth 99 to become a car giant.

Chapter 252 Are you done yet?Bosch is worried!

In the era of traditional fuel vehicles, the ECU is definitely a very important part.

When people buy a car, they often pay attention to three major items.

These three major parts are nothing more than the engine, gearbox and chassis.

Among engines, the ECU is the most important.

Even the TCU functions on some OEM gearboxes are integrated into the ECU.

An ECU, although it looks like electronic components, only costs a few hundred yuan in total.

But in the end, when the OEM buys it back, it will cost 800 to 1000 yuan.

The profit margin here is obviously very considerable.

The most important thing is that up to now, all the ECUs used by Volkswagen in Shanghai are now produced by United Electronics, which is a joint venture of Bosch.

It is very difficult for Volkswagen to change manufacturers, and it has not found a good opportunity.

Now that Nanshan has taken the initiative to provide bullets to Li Jianfeng, his interest has naturally increased.

Regardless of whether the proposal is successful in the end, as long as Volkswagen's purchasing department and R&D personnel advance the project, Bosch will definitely receive relevant rumors and feel pressure.

Then whether it is price reduction or other business matters, the degree of cooperation will be improved.

"Mr. Cao, the 1.5T turbocharged engine produced by Nanshan is excellent. A large number of parts are produced by your own factory, so I believe you when you say that your company can produce ECUs."

"But you also know that the ECU is not a simple part. It looks like an inconspicuous small assembly, but it contains the CPU, expanded memory, expanded IO port, CAN/LIN bus transceiver controller, A/D and D/ A conversion port also needs to consider the cooperation of PWM pulse width modulation, PID control, voltage control, watchdog, heat sink, and other electronic components.”

"Its software design is also very complex. It needs to consider various functions such as calculation, control, detection and diagnosis, management, and monitoring, and has signal exchange with other modules such as TCU, ESP, and ABS."

"The difficulty of switching the ECU to Nanshan production is many times higher than that of generators and starters."

Although Li Jianfeng really wanted to promote this project, he also wanted to understand the situation and make Nanshan aware of the difficulty of this matter.

Otherwise, if the project is pushed very hard and fails in the end, Nanshan will not remember his goodness at all, and it will be a huge loss.

"Manager Li, what you said is very professional and makes sense."

"As the most important part of the engine, and even the core part of the entire vehicle, the ECU has a very high technical content."

"However, the structures of ECUs are actually similar. It's just that the control logic of the software is different. The designs of some circuit boards are different, and modifications are not that complicated."

"If the public is interested, we can arrange a group of people to go to Wolfsburg to do coordinated development. Based on our current ECU, we can make some modifications and it can be finalized in up to half a year."

Cao Yang smiled and gave a very positive answer.

At the beginning, Nanshan worked hard on parts such as ECU and TCU.

In the past two years, a lot of people have been recruited to research control parts, which can be regarded as some preliminary talent accumulation for the future research and development of intelligent network and automated driving components.

"If you are really interested, you can put together a plan and come over and report it to our purchasing department and technical department. Then I will formally submit the proposal to Volkswagen R&D."

Li Jianfeng thought for a while and felt that this matter could be done.

Anyway, if the lawsuit failed, he would have nothing to lose.

If it succeeds, it will achieve cost reduction, and also give United Electronics and Bosch a slap in the face, making them more obedient in the future.

……

For ECU to break into the public supply system, it is definitely more difficult than any other part.

It is even more difficult than getting a gearbox into Volkswagen's supply system.

However, since the ECU of Nanshan Automotive Parts has already been mass-produced, the performance of the 1.5T turbocharged engine is very excellent.

So as soon as Modu Volkswagen proposed this plan, Bosch knew about it immediately.

If Bosch knows it, United Electronics must know it.

"Mr. Li, if Nanshan's ECU successfully passes Volkswagen's verification, there is a high probability that it will be used in domestically produced engines first, which will directly have a very adverse impact on us."

"The ECU is one of the company's core products. I think it is necessary to find a way to make this incident in Nanshan dirty."

As the sales manager of United Electronics, Tang Zimu attended Bosch's information sharing meeting with Li Jia.

At this meeting, Bosch shared with United Electronics the proposal that Nanshan Auto Parts was advancing.

Bosch can be the world's number one in the auto parts industry, and it must be said that its level in all aspects is quite strong.

Domestically, they have a number of companies that are joint ventures.

The joint ventures with Spring City Automobile Group, the joint ventures with Modu Automobile Group, and United Electronics are even more powerful.

Therefore, Bosch's supporting facilities in the domestic automobile industry are very comprehensive. Almost all OEMs use Bosch products to a greater or lesser extent.

That is to say, Korean and Japanese car companies only use less parts in this area.

In this case, they definitely don't want any spoilers to break this rule.

In the past, Nanshan directly produced engines, which was more difficult to handle, but they could still stop it.

But now that Nanshan wants to supply engine parts to the engine factories of various automobile giants, it's different.

"From Volkswagen's standpoint, they definitely hope that more suppliers that meet the technical requirements can be included in the candidate list, so that they can force us to lower prices."

"It would be very difficult for us to keep 100% of all parts."

"However, the threshold for control parts such as ECUs has always been relatively high, and we must maintain it."

"Otherwise, everyone will think that any parts produced by Bosch are replaceable."

Li Jia was also thinking hard about how to deal with this situation.

With the rapid development of China's automobile industry, more and more international auto parts giants have invested and built factories in China.

The competitive pressure faced by United Electronics is definitely increasing.

How to deal with this situation, he, the sales director, needs to think carefully about how to deal with this situation.

"According to the information shared by Bosch and what we learned from Modu Volkswagen, the previous ECU of Nanshan was not included in this VA review plan."

"But because the Bosch headquarters did not agree to cooperate in the technical verification of Nanshan's starter and generator, Volkswagen was unhappy, so the ECU issue came up."

Tang Zimu reported everything he had learned.

In this way, it gave Li Jia a new idea.

"Although the threshold for generators and starters is not low, relatively speaking, there are still more manufacturers that can produce them."

"I heard that Denso has set up factories in China to produce these parts. Nanshan wants to come in and grab the market. If we blindly block it, we probably won't be able to stop it."

"Let's communicate with Bosch and ask their ECU development department not to mess with Nanshan's starter and generator verification."

"Otherwise the VA program will become bigger and bigger, and our situation will become even more passive."

"Anyway, Nanshan's generators and starters have passed technical verification, but that doesn't mean they can be installed on the engines of Modu Volkswagen and Spring City Volkswagen."

"At that time, we can put pressure on the Chinese employees of Modu Volkswagen through shareholders, and cooperate with a certain degree of price reduction. Nanshan's wishful thinking will probably come to nothing."

Li Jia quickly weighed it and made a decision in his heart.

"That's okay. If we block it over there, the result might be even more unfavorable to us!"

"However, I think Nanshan still needs to be fully vigilant if it wants to enter control parts such as ECUs."

"Until now, China's suppliers have mainly made parts with relatively low technical difficulty. Except for Nanshan, no one is good at control parts."

"If this situation is broken in the future, we will be under much greater pressure."

Tang Zimu has lived a good life for so many years and does not want his future work to become difficult.

Nowadays, the profit margin of each product of United Electronics is very good.

This is still the case where the Bosch headquarters made a lot of money through the purchase of technology royalties, chips and other components.

Otherwise, the profit margin can be higher.

According to his judgment, as long as Chinese suppliers enter a certain field, prices will drop significantly.

This is something United Electronics absolutely does not want to see.

"ECUs and other control parts around the world are mainly in the hands of us and several manufacturers such as Denso and Delphi. I believe no one wants to see a disruptor like Nanshan appear."

"We really need to think of a way to see how to seize Nanshan's weaknesses and let them honestly make the current parts."

"Even for their engines, we'd better find a way to cause them problems, otherwise domestic independent brand car companies are using their engines, which is equivalent to a large number of their ECU and other parts entering the market."

Li Jia's current emphasis on Nanshan has obviously been raised to a relatively high level.

The market that has been almost monopolized for nearly ten years is finally facing competition and challenges.

At this time, it was time to show his abilities as a sales director.

……

Bosch's business scope covers gasoline systems, diesel systems, automotive chassis control systems, automotive electronic drives, starters and generators, power tools, household appliances, transmission and control technology, industrial technology, energy and construction technology, etc.

If Nanshan wants to become the world's largest auto parts company, it is impossible not to compete with Bosch.

Now that Bosch has taken the initiative to attack Nanshan, Nanshan has also begun to fight back.

However, Cao Yang's actions were obviously more than that.

"Mr. Liu, thank you very much for Bosch's previous efforts, but your price is too expensive."

"We have to consider other manufacturers for the ESP of this new model."

Geely Automobile, Purchasing Department Minister Hou Liang is talking to Liu Zhenbo from Bosch about the annual price reduction in 2004.

As one of the means, the fixed point of the new model project must be put to good use.

Bosch only plans to reduce prices by 1% this year, which Hou Liang cannot accept.

Therefore, the results of the newly designated ESP project for new models were revealed.

Sure enough, when he said this, Liu Zhenbo's expression immediately changed.

Although most models of Geely Automobile are not equipped with ESP, only a few high-end derivatives are equipped with it.

But this is not a good sign.

"Bu Hou, in 1995, Bosch became the first supplier to mass-produce electronic stability program ESP."

"Until now, no supplier in the world can produce ESP that can match ours. Not even Denso."

"ESP is a revolutionary advancement in the field of driving safety. It is hailed by safety experts as the most potential automotive safety technology since the seat belt. It protects the driver's safety by determining whether the vehicle is in danger of sideslip and reacting in time. "

"If substandard products are used, not only will they not be able to protect safety, they will most likely have the opposite effect."

"Does Geely Auto need to carefully consider this issue?"

Liu Zhenbo never thought that he would lose an order in the ESP project. This was simply impossible.

But now this impossibility seems to be becoming possible.

So his tone of voice became a little anxious.

"Mr. Liu, you are right and very reasonable."

"However, our development team has fully verified other ESPs (normally, only Bosch's system can be called ESP, and Bosch has registered a patent; similar products from other manufacturers need to be renamed; but for the sake of better understanding, we will continue here It’s called ESP) and it fully meets our needs, so you don’t need to worry about safety issues.”

Hou Liang's tone was also a bit bad.

Feeling: If we don’t use your Bosch products, will there be safety issues?

BYD's F6 is running fine now, with no problems at all.

BYD dares to try something new, and Geely Automobile has no reason not to.

Not to mention that the paper performance of Nanshan ESP is much better than that of Bosch, but the price alone is 30% cheaper, which is more convincing than anything else.

A set of Bosch ESP actually costs 1200 yuan. This is simply a money grab.

"House, can you tell us who we lost to?"

Liu Zhenbo was very unwilling. He wanted to know who had stolen his cake.

It is absolutely intolerable to have something taken away from your mouth.

"It doesn't matter if I tell you, the supplier we use is the same as BYD F6."

Hou Liang saw the change in Liu Zhenbo's attitude and became more confident in the upcoming annual price reduction negotiations.

"Nanshan?"

"Bu Hou, Nanshan's ESP has not been fully verified by the market. Is Geely Auto too risky?"

Liu Zhenbo still wanted to pour some dirty water on Nanshan, but the effect was obviously not great.

"There is no need for Mr. Liu to worry about this. Let's get back to the topic and see how we respond to this year's annual price reduction."

Hou Liang picked up the teacup and took a sip.

Bosch also has its moments of failure, which is rare.

"If your company is willing to give us another chance, at this ESP price, we can also consider applying separately with the headquarters for a preferential price to Geely Automobile?"

Even if the order volume is not large, Liu Zhenbo does not want a new supplier to appear in ESP.

This will set a very bad example for other car companies.

When BYD F6 was launched before, many people didn't pay attention to it because it was BYD's first model.

Even before it was launched, no one knew that F6 high-derivative models were equipped with ESP.

It's different now.

Geely Automobile still has a relatively large influence among domestic independent brands.

"Mr. Liu, the ESP project has been finalized, and we have no way of going back on our word."

"However, if the parts provided by Bosch are competitive, we can continue to cooperate on other new models."

"Otherwise, we are already internally proposing to review and switch the mass-produced ESP to Nanshan supply. The cost reduction pressure on our purchasing department is really too great."

Hou Liang will definitely not let go at this time.

Negotiation is a game.

If you don't let the other party feel the deterrence of your own methods, the effect will never be that strong.

"Bu Hou, if our annual price reduction this year meets your company's requirements, can we support the new model?"

Liu Zhenbo felt like he had been stuffed with shit and felt uncomfortable all over.

This situation was something he had never imagined.

"Competition in the domestic automobile industry is becoming increasingly fierce."

"We want to provide consumers with models with higher configurations, but there is no way to raise the price."

"So looking for cheaper parts suppliers is something we have to consider."

"For new model orders, we still need to see your company's quotation before we can consider it."

“But I believe Bosch’s QCD level is absolutely top-notch in the industry.”

Hou Liang refused to let go.

How could you give up so easily after finally taking control of someone?

"For our annual price reduction, the headquarters approved 1% of the budget."

"If more review is needed, it will need to be re-reported internally."

"But don't worry, Mr. Hou, I will definitely push forward with all my strength and strive to achieve your company's goals."

Although Liu Zhenbo was very unhappy, he could only do this for now.

However, as soon as he left Geely Automobile, he immediately shared this information within the company.

As a result, each sales manager naturally inquired about the customers he was responsible for, whether any similar situations had occurred.

Soon, some information came back one after another.

"Mr. Liu, Great Wall Motor's ABS system is also preparing to use ABS produced by Nanshan Automotive Parts. It is expected to be officially mass-produced by the end of this year."

"It is very likely that new models in the future will not use our ABS."

"As for ESP, although we haven't received accurate information yet, the other party's hesitant attitude towards procurement seems to mean that we may be replaced in the future."

After Ren Cai reported the news to Liu Zhenbo, a sales manager next to him also said, "I heard some rumors from General Motors in Shanghai. It is said that the General Motors Headquarters R&D Center has now received samples of Nanshan ESP. Nanshan is preparing to open an office in Detroit to assist Ford and General Motors with technical verification of some parts."

“At that time, they may also use Nanshan’s ESP.”

When Liu Zhenbo heard the news, none of it was a good thing, and his frown became deeper and deeper.

Why did the situation suddenly become like this?

Although a lot of work has just begun, it will take time to officially enter mass production.

But this is definitely not a good sign.

"Is this Nanshan still over?"

“Why are we all competing for our Bosch parts?”

"Do they really think they can compete with Bosch?"

"Can they, China's number one auto parts company, compare with us in terms of value?"

Liu Zhenbo was a little angry.

Nanshan's comprehensive recommendation of its products to various OEMs may not necessarily succeed in the end, but it will definitely put a lot of pressure on Bosch.

Don't be afraid of [-], just be afraid of what happens.

"Mr. Liu, could this matter be related to the previous verification of the starter and generator that was blocked by the headquarters in Nanshan?"

"After this incident, I heard that Nanshan and Magic City Volkswagen proposed a VA proposal to also verify the ECU."

"So much new news came out immediately. I think there may be a certain correlation between these things."

Ren Cai sorted out the events of the past six months and gave his own judgment.

"Invite the people from United Electronics and discuss it together to see what the next step should be."

"We can't let Nanshan act like this!"

Liu Zhenbo felt that what Ren Cai said made sense.

If the source is the ECU development team targeting Nanshan, then it makes sense that Nanshan would start to retaliate.

However, no matter what he wanted, he couldn't accept it.

Bosch has always bullied other manufacturers. When will it be the turn of Chinese suppliers to bully Bosch?

……

"Everyone, the above is the introduction information related to Nanshan. What do you think?"

At a special meeting for Bosch China's sales system, sales managers in neat suits who looked like elites gathered in the conference room to discuss how to deal with Nanshan.

The entire Bosch's turnover in China last year was just over 100 billion.

But what about Nanshan?

It has reached 300 billion!

It was okay if they were not sorted out, but once they were sorted out, Bosch's sales elites immediately became nervous.

"Nanshan, as China's local parts supplier with the highest level of technology, has made great achievements in engines and gearboxes."

"Especially the 6AT automatic transmission, it completely fooled Aisin and ZF and won orders from many car companies."

"And their 1.5T turbocharged engine began to be installed on BYD F6 models last year, and now has a production record of more than [-] units."

"It is said that Chinese independent brand car companies such as Geely Automobile, Great Wall Motor, Changan Automobile and Chery Automobile will also launch models equipped with this engine this year."

"This means that Nanshan has the ability to produce all parts on the engine, forming a very strong competitive relationship with us."

When Ren Cai said this, everyone's expressions became more solemn.

How should we break this situation?

"Previously, Nanshan's machine tool CNC system won the first prize of the China Science and Technology Progress Award, which means that their technical level in the control field is still very solid."

"Otherwise, they would not be able to produce ECU, TCU and other parts themselves."

"Even parts such as ABS and ESP are now being recommended to various OEMs on a large scale."

"I think everyone still needs to pay full attention to it, otherwise Nanshan will take away more and more market share in the future."

Tang Zimu also expressed his views beside him.

During this period, he could fully feel the pressure brought by Nanshan.

"Nanshan can produce even ECU parts, and it still wants to pass Volkswagen's technical verification. This is absolutely unacceptable."

"Other Chinese companies generally only make car body stamping and injection molded parts. Even if they produce some functional parts, they are all parts with relatively low technical content."

"But Nanshan is different. They want to make almost every part now, and many key parts have been made by them."

"This sign must attract everyone's attention, and it may even be necessary to unite with some other colleagues to jointly deal with this change."

Li Jia said this from the side, and the others couldn't help but nodded.

Everyone was sharing the cake well, and now someone came and flipped the table.

Who can stand it?

"What Mr. Li said makes sense. We really need to pay close attention to Nanshan's actions."

"This time we just stuck with them through the ECU, but they turned out to be good people like Volkswagen, saying that they can also make ECUs, and they can do it better than us, and the price is lower than us."

"This is simply chaos and will completely disrupt the market order."

"We have to find a way to put a tight spell on Nanshan, especially in terms of control system parts."

Liu Zhenbo thought about the scene he encountered at Geely Automobile a few days ago, and his resentment towards Nanshan deepened.

Whether Bosch can continue to live a good life in China depends on whether it can hold Nanshan down.

"Nanshan is now the most valued private enterprise in Yangcheng and has won many awards from China. The company has nearly [-] employees."

"In this case, if we apply pressure through normal means, or through some of our partners, it may not be very effective."

"Especially when they are also engaging in a price war with us, the effect of these measures is even worse."

"It's best for everyone to find Nanshan's weaknesses and directly target some of its core components to limit their development."

"Even if there is no way to kill them, their development must be full of uncertainty, so that OEMs will not dare to use Nanshan's products easily."

"Especially control products such as ECU and ESP."

Li Jia naturally fully recognized Liu Zhenbo's views, so he put forward a more direct view on this basis.

However, it is easy to put forward a point of view, but it is not so easy to come up with a plan that everyone thinks is feasible.

Discussions went on and on until it was almost time to get off work, when Ren Cai had an idea and a very special idea suddenly came to her mind.

"I thought of a plan that may be able to fundamentally limit the development of Nanshan control parts!"

As soon as she said these words, everyone present immediately turned their attention to her.

After thinking about it for so long, I still haven't thought of any good method. Now that Ren Cai is so surprised, it is worth looking forward to.