Rebirth of the Wild Age
Text Volume 287 [Big Market]
Song Weiyang hadn't gone to Japan yet, but Xu Fuxin, director of Yuhang Telecom Bureau, came to Shenghai. This person graduated from Nanyou Post and Telecommunications Bureau, and worked as the director of grass-roots post and telecommunications for nearly 20 years. During this period, he was the general manager of a communication company.
Tall and thin, wearing glasses, he looks more like a teacher than an official. In fact, Xu Fuxin did become a teacher later, a professor at Linzhou Dianzi University.
Xu Fuxin's affairs are in a hurry, and when they meet, they ask: Boss Song, are you really willing to do the phs project?
Not bad. Song Weiyang nodded and smiled.
That's great, Xu Fuxin said happily, I talked to you on the phone a few days ago, and I couldn't explain a lot of things, so I came here to explain clearly in person.
Song Weiyang said: Please tell me.
Xu Fuxin said: Don't look forward and backward, and don't be afraid that China Mobile will interfere with it. I have already contacted the General Administration of Telecommunications. The General Administration told me to let go. If something happens, someone will take care of it. If we can't get a mobile license, we can get a fixed-line license. As long as Boss Song is willing to invest, we will get the license for you, and we will contact you with Ribenzene!
Can you tell me what's going on? Song Weiyang really didn't understand.
Xu Fuxin is only the director of the grass-roots telecommunications bureau in Yuhang District, Linzhou City. How did he bypass the municipal leaders and directly get instructions from the General Administration of Telecommunications?
It's like this... Xu Fuxin began to explain.
Xu Fuxin visited Japan last year and learned about phs technology by accident. Although this thing is a telephone, it uses a fixed-line telephone network. It just so happens that China Telecom and China Mobile are separated, and China Mobile has taken away the mobile communication license, so the telecom bureau can use phs technology to compete with China Mobile for business.
Xu Fuxin himself graduated from Nanyou Post, and many of his former classmates were high-level post and telecommunications departments. So, after returning to China, he immediately contacted his former classmates. The General Administration of Telecommunications attached great importance to it, but he didn't know if it would work, so he immediately gave Xu Fuxin an instruction: let it go!
No more, just let go and do it.
To put it bluntly, let Xu Fuxin do it himself, and do a pilot in Yuhang District of Linzhou. If there is a market for this thing, then it will be promoted nationwide; if there is no market, or the Ministry of Posts and Telecommunications gets angry, it is also the fault of the local telecommunications bureau.
With the promise of letting go and doing big things from the General Administration of Telecommunications, Xu Fuxin was satisfied and immediately looked for cooperative companies everywhere.
Huawei in China, Ericsson in foreign countries, and Xu Fuxin have all been in contact. However, Huawei and Ericsson believed that phs technology was backward, and they were playing the sidelines of the Ministry of Posts and Telecommunications. The market prospects and policy risks were worrying, so they decisively rejected Xu Fuxin's request for cooperation.
The only one interested was actually UT Starcom, and this company was already recruiting people to understand the technology.
By the way, UT Starcom, the boss of this company is Wu Ying, who came from a peasant family. He went to the United States to study abroad at public expense, dropped out of school halfway to join Bell Labs, and became the CEO of UT Starcom (a Chinese-funded American company). Relying on the concept of communication + China, utStarcom received US$30 million in financing last year. Investors are probably familiar with it: Sun Zhengyi!
In the first ten years of the 21st century, Wu Ying and Ma Xiaoyun were on equal footing, the so-called Ma Xiaoyun's circle, Wu Ying's bureau, PHS was made by him with an annual revenue of more than 20 billion!
The investors standing behind Wu Ying and Ma Xiaoyun are Sun Zhengyi. This ancestral home of Hu Jian Putian, with a Chinese name and a Korean ancestry from Japan, does not know how much money he has made in China, and his vision is terribly sharp.
So, you decided to cooperate with UTStarcom? Song Weiyang asked.
Xu Fuxin said: Not yet. UTStarcom has too little money, insufficient funds, and the support from the General Administration of Telecommunications is not strong.
Song Weiyang asked: How much is Starcom willing to invest?
1 million. Xu Fuxin said.
utStarcom is an American company. Although it received an investment of 30 million US dollars last year, its main business is still in the United States. As for China, it mainly makes a living as an agent of cordless phones and other products for Motorola and other companies. The biggest competitor is BBK, and they dare not rush to focus on phs PHS.
It is too risky!
Although Wu Ying was very optimistic about the PHS project, he couldn't convince other high-level executives, so he could only temporarily invest 1 million yuan as an early stage fund. If the project fails, the loss is only 1 million; if the project is successful, then immediately increase the investment!
Song Weiyang handed over a cigarette, lit it for Xu Fuxin, and said with a smile, If I invest 10 million, can I buy out the phs project and do exclusive business with the telecom bureau?
Boss Song is really willing to spend 10 million? Xu Fuxin was quite excited. He was really rejected by companies such as Ericsson, Motorola, Nokia, and Huawei. The only UT Starcom that was willing to cooperate only invested 1 million. Now someone directly invested 10 million. How could he be unhappy?
Song Weiyang said: The 10 million funds can arrive at any time.
Xu Fuxin said: Then I can also guarantee that I will give you a business buyout for at least five years.
How do you guarantee it? Song Weiyang asked.
Xu Fuxin explained: I have contacted Japan Benzene, and they are also sparing no effort to promote the global market of phs, and very much hope that China can introduce relevant patents. As long as Boss Song promises an initial investment of 10 million, the General Administration of Telecommunications will dare to introduce phs technology Come on. Within five years, the Telecom Bureau will cooperate exclusively with Boss Song, and I will get this matter done through my relationship!
Song Weiyang said: That is to say, instead of going to Japan to buy patents, the telecommunications bureau will buy the patents. I just need to cooperate with the telecommunications bureau?
Yes. Xu Fuxin said.
Five years is not enough, I want to have a unique business for ten years. Song Weiyang said.
Xu Fuxin said: That 10 million is not enough, lack of sincerity, it is difficult to impress the General Administration of Telecommunications.
Song Weiyang said: I will invest 30 million in advance.
Xu Fuxin smiled and said: Yes, the 30 million will be put into a special account, which will be supervised by the telecommunications bureau, and can only be used for the manufacture and promotion of phs PHS. Within three years, this money cannot be used in other places.
Okay, let's talk about the cooperation plan. Song Weiyang said.
Xu Fuxin said: My original plan was to develop the phs PHS business with UTStarcom in Yuhang. It's just a small area. After all, Starcom only invested 1 million yuan, and the mobile phones that can be produced are not many. The scope is too wide. There are not so many goods. Since Boss Song is willing to invest 30 million, we will promote it in the whole Linzhou City, and even the big cities in Zhejiang Province! There is also Guangdong Province, which is a big market for mobile communications. Willing to bloom there. 30 million is enough to open up the situation in Zhejiang and Guangdong provinces!
Then we've made a deal! Song Weiyang laughed.
Just do what you say! Xu Fuxin said in a hurry, I will immediately go to the capital to find my old classmates, lead a team to Japan for investigation, and introduce the phs technology!
Historically, because Wu Ying only planned to contribute 1 million yuan, other big companies were reluctant to invest. As a result, the General Administration of Telecommunications has little confidence and has been reluctant to support the PHS project. Relying on Xu Fuxin's personal work, until the autumn of 1997, he finally convinced the General Administration of Telecommunications. Immediately afterwards, Xu Fuxin, as the head of the Chinese expert training group of the Ministry of Posts and Telecommunications, went to Japan to investigate the phs project, and introduced it to China for a pilot project in Yuhang District, Linzhou City.
A district in a city, a small market, quickly opened up the situation.
This made both China Telecom and UTStarcom very excited, and the two sides immediately increased their investment, creating a whirlwind of PHS across the country.
How could it not be hot?
Mobile calls cost 4 cents per minute, and China Unicom charges 6 cents per minute. The PHS only costs 20 cents per minute, and the monthly rent is 20 yuan. It is still a one-way fee, and there is no charge for answering the phone.
Ten years of exclusive business, a business with an annual revenue of more than 20 billion, was placed in front of Song Weiyang like this.
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