Reborn in 2011, 985 missing from two copies

"It's okay, we still have one last trick!"

Wang Yi took a deep breath and spoke calmly: "Have you checked the existing inventory of 40-nanometer chips and the inventory of related model components?"

"Everything has been checked out. Here are the results." Zhu Changlin handed a document to Wang Yi.

Wang Yi looked at it carefully, and then said:

"The situation has developed to this point, which is the worst possible outcome. We have to make a choice."

"There must be no problems with orders from third-party customers. They must be supplied on time. We should get rid of this part of the production capacity first."

"Fortunately, the 1.5 million 40-nanometer chips for customers were delivered starting at the end of December and were all delivered in six months, 12 million per month."

"That is to say, from December to May next year, our monthly 12-nanometer production capacity is 5 million, and we have to give 40 million to third-party customers."

"Excluding these production capacities, there are still 500 million units left each month to produce the 40-nanometer chips we need! But this is definitely not enough."

Everyone nodded, 500 million a month was too much of a difference.

The first generation of Unlimited alone is not enough.

The monthly sales of the first generation of Unbounded are now 1500 million, and even in December it will be over 12 million.

Wang Yi continued: "Fortunately, we still have 1000 million 40-nanometer chips in stock. Fortunately, TSMC can still produce 3000 million 40-nanometer chips in the last month. Fortunately, in November, we can produce another 11 million 3000-nanometer chips without having to give them to third parties."

"This is all the chips we have for our own use, all the 40-nanometer chips, 7000 million in total."

"But it's still not enough. If we continue with the current model, we will only be able to last until December at most, and then all the inventory will be used up."

"By January, there were only 500 million 40-nanometer chips left, which was not enough, not even enough for the first generation of Unbounded."

Everyone's faces became solemn; the gap was too big.

If TSMC's monthly foundry capacity of 2000 million chips is added to its own monthly production capacity of 3000 million chips, the total number of 5000-nanometer chips per month will be 40 million, which is more than enough.

But now, without TSMC's 2000 million chips, there is a gap of 2000 million chips.

There is still a gap of 2000 million pieces every month!

Wang Yi sighed: "There is no other way. No other way will work, and we cannot delay the delivery of orders from third-party customers."

"That's the only last resort!"

"We will cut off most of the 40-nanometer product lines ahead of schedule and upgrade to 28-nanometer production. This will allow us to supply the limited 40-nanometer chip production capacity to a small number of 40-nanometer products!"

Zhu Changlin sighed: "This is the last resort. Instead of stopping production due to a 40-nanometer chip shortage, it is better to take the initiative and fully upgrade to a new 28-nanometer product!"

Wang Yi nodded: "Yes, that's right. Next, cut off the product line!"

"First, the 1st generation of Xingyi Tablet, Xingyi Tablet 1 Pro, and Xingyi Tablet 1 Ultra all use 40-nanometer chips. After the last components are used up, all of them will be discontinued to clear the inventory on Double Eleven. At the same time, the 28-nanometer Xingyi Tablet 2 and Xingyi Tablet 2 Pro will be released. This will reduce the consumption of a large number of 40-nanometer chips and achieve a perfect upgrade of the 2nd generation of Xingyi Tablet."

"Second, the 40nm chip-based Xingyi TV X40, X50, X55, and X60 will all be discontinued after the last components are used up to clear the inventory. Next month, the 28nm Xingyi TV 2nd generation will be released, and all series, except the X40, will be 4K versions."

"The second generation of the Unbounded TV is still under development, the first generation will not be discontinued for the time being and will continue to be sold!"

Xu Mingyi agrees very much: "Once the second-generation 4K version of Xingyi TV is launched, the first-generation Xingyi TV, which has been on the market for a year and a half, will definitely have a big price cut. Instead of lowering the price and affecting the brand image, it is better to stop production directly and focus on selling the second generation! After all, there is still the borderless TV to support the mid- and low-end."

"In addition, the complete suspension of production of Xingyi tablets and Xingyi TVs will save tens of millions of 40-nanometer chips every month! This will greatly alleviate the pressure of chip shortages."

"That's good, but it's not enough. Next is the mobile phone part." Wang Yi continued.

“手机部分，是要换芯升级吗？把xphone2、xphone2pro的40纳米芯片鲲鹏702，全部换芯升级成鲲鹏706？”朱长林问道。

Wang Yi waved his hand: "Instead of upgrading the core, we will directly launch new products and new series!"

"It's not only troublesome to upgrade the chip, but also we can't reduce the price significantly. However, if we don't reduce the price significantly, the sales volume will not be good. After all, they are all old products, and they are inferior to new products in all aspects. Instead of doing this, it is better to stop production of the old models and directly launch new products."

"For example, the sales of Xphone 1 Pro and Xphone 2 are declining. Instead of continuing to cut prices, it is better to stop production directly after the last components are used up to reduce the consumption of Kunpeng 700 and Kunpeng 702."

"At the same time, we launched new 28nm products, the Unbounded Note series and the Unbounded S series, to fill the gap!"

"For example, we have already made the motherboard chipset of Kunpeng 505, and it is about to be successfully developed. We can directly launch a new 505G phone with Kunpeng 4 as the Unbounded Note!"

"As for the upcoming mass production of the Unbounded Note 706 and Unbounded Note 1 Pro equipped with the Kunpeng 1 SOC, they will be renamed the Unbounded S series!"

"From now on, the Wujie digital series will focus on thousand-yuan phones, priced below 1499 yuan."

"Unbounded Note series, positioned as mid-range, 1499-2499."

"Boundless S series, high-end, 2499-3999!"

"Xingyi mobile phone, 4000-8000!"

"In the future, there will be no Xingyi mobile phone models priced below 4,000 yuan, maintaining its high-end pedigree."

"Even if the price of an old model drops to around 4000, we would rather stop production than continue to lower the price. Below 4000 is the market for borderless phones!"

"Next, the xphone1pro and xphone2 will run out of stock components and will be completely stopped for the Double 1 shopping festival. At the same time, new phones will be released, the 1 S and Spro."

"The Wujie Note 706 equipped with Kunpeng 1 is renamed Wujie S1, without fingerprint, 10W fast charging, single Tianlai M1 HIFI chip, 2G+16G, starting from 2999."

"The Wujie note1pro with fingerprint is renamed Wujie S1pro, with press-type fingerprint unlocking, 20W fast charging, dual Tianlai M1 HIFI chips, 2G+16G, starting at 3999."

These two models are the two motherboard chipset design schemes of Kunpeng 706SOC.

It was originally the Unbounded Note series, but now because the 3G models have been discontinued in advance, it has to be upgraded to the S series!

用2999、3999起步的无界S1和无界S1pro，取代xphone1pro、xphone2停产后空出的市场！

"As for the new phone equipped with Kunpeng 505, it is named Wujie Note1, starting at 1499, and is an entry-level 4G phone!"

"Develop as quickly as possible and launch the Unbounded Note 1 after New Year's Day."

“等到明年下半年，鲲鹏505下放给无界2代，鲲鹏508下放给无界note2。鲲鹏902下放给无界S2和S2pro！”

“这样即便40纳米的3G手机xphone1pro、xphone2都停产了，也有无界S1和无界S1pro两款4G手机取而代之。明年一月份，还有无界note，足够了。”

"All other 40-nanometer mobile phones, TVs, and tablets will be discontinued, and only the top-end Xphone 2 Pro, the most popular 1st generation Ultrawide, and Ultrawide TV will be retained."

"In this way, our 40-nanometer products and chips will be sufficient!"

"At least it will last until March next year."

"In March next year, the Xphone 2 Pro, whose sales have been declining, will also be discontinued, and the Xingyi X1 and X1 Pro will be released."

"The 40-nanometer Boundless TV has also been discontinued and upgraded to the 28-nanometer Boundless TV 2nd generation. This will further reduce the consumption of 40-nanometer chips."

"By then, only one 1nm phone, the Ultrasurf 40, will be on sale, which will be enough to last until June."

"After the orders from third-party customers are delivered in June, there will be no pressure on the production capacity of 6-nanometer chips. At that time, we can resume some 40-nanometer product lines depending on the situation."

Everyone nodded.

Zhu Changlin said, "This is the best arrangement. Although it is a bit regrettable to cut off most of the 40-nanometer product lines in advance, it can reduce the consumption of our own 40-nanometer chips to a minimum. With the support of inventory chips, it is enough to guarantee third-party delivery, survive the current crisis, and realize 4G transformation in advance!"

George also said: "4G will be launched in China at the end of the year, so it is undoubtedly the best and most timely to switch to 4G now."

"And we have plenty of 28-nanometer production capacity. Next month, our 28-nanometer capacity will increase again. Our total 28-nanometer capacity will be as high as 9000 million pieces per month, or 10.8 billion pieces per year. After delivering 3 million third-party customer orders, we will have more than enough for our own use, or even more."

Wang Yi looked around at everyone and said: "The transformation process may be painful and tedious, and all aspects need to be adjusted. But as long as we get through the next two months of transformation pain, we will be greeted by infinite light, the infinite light of full 4G and full 28nm!"

"Do you have confidence?"

"Yes!" everyone answered in unison.

"Very good!" Wang Yi nodded with satisfaction: "The next two months will be a critical period for transformation and also a critical period for cutting product lines. All departments must be vigilant, go all out, and coordinate everything. We must minimize the losses."

“Don’t remove a product line and find that there are a lot of unused components that are wasted. That would be stupid!”

"Don't use up all the components, or the after-sales department will have no spare parts for the repaired products! These must be calculated clearly."

"If we cut product lines, there will definitely be losses, but what we can do is to minimize the losses!"

"Each department will set up a special operations team to jointly promote the transformation and reduce losses!"

"Yes!"

Everyone responded one after another.

Afterwards, a series of coordination meetings were held, with everyone performing their respective duties.

For each product series, how many components are in stock, how many products will be produced, and when will they be discontinued...

How many components are left? Give them to the after-sales department...

Everything has to be calculated clearly in order to proceed perfectly.

As for the remaining inventory chips that cannot be digested after certain products are discontinued, it doesn’t matter. They can be directly delivered to third-party customers.

Third-party customers have placed orders for four 3G chips.

Deliver the inventory first, and if there is not enough, mass produce according to the gap.

The remaining excess production capacity will be used to produce Kunpeng 702 for xphone2pro and Kunpeng 500 for unicorn 1.

The reason why xphone2pro is not discontinued is simply because it is too new. It has only been on the market for 7 months and it is still selling well.

"Chairman, won't the xphone2pro have its chip replaced? Upgraded to the Kunpeng 706SOC?" Zhu Changlin couldn't help but ask.

Wang Yi shook his head. "No, there won't be enough time. The Xphone 2 Pro needs to be adjusted with a new chip, and we need to make a prototype and test it. It will take at least two months. There won't be enough time."

"The prototypes of the Unbounded S1 and S1pro have been completed. With a new name, they can be put into mass production immediately and will be available on the market next month."

"Secondly, once the Xphone 2 Pro is upgraded to 706 chips, the sales volume will not explode at the price of 4999. If it is reduced to 4499, a price reduction of 7 in 1000 months is too fast, which will affect the high-end positioning and brand image of Xingyi mobile phone."

"Instead of doing that, it would be better to make it a borderless S1pro and compete in a different market."

"Third, in March after the Chinese New Year, there are still Xingyi X1 and Xingyi X1 Pro. Xphone 2 Pro will not be upgraded with a new chip, and there will be no shortage of 4G flagship phones."

Zhu Changlin suddenly realized: "That's right. If we start changing the chip now, it will be launched after New Year's Day. It's too close to launch Xingyi X1 in March. It's really unnecessary. On the contrary, Wujie S1 and S1pro can be released in November!"