Chapter 538 Head-on conflict? (Part 2)
Chapter 538 Head-on conflict? (Central)
Although Yang Yiwei and others guessed the content of Intel's press conference, and most media also guessed that one was about the same, Intel's press conference still caused a huge sensation. Although Yang Yiwei shut down the TV, Intel's press conference will naturally continue afterwards. Just as Xiaoxi guessed, the new i9 series CPU is only priced at $299. The i73770k, which was previously sold in the United States, was directly reduced to around $200, and the i5 series was directly reduced to the same price standard as the new CPU.
This price is already very cheap, which means that Intel has not only adopted the latest policies in the high-end market, but has also taken out a new series of CPUs and also reduced the original CPU prices, starting to impact the mid- and low-end markets. Since the i5 series has begun to reduce prices, the price of the i3 series CPUs will undoubtedly be lower.
Although countries outside the United States have taxes, by the same token, prices will still drop by 30% or 40%, and it is possible that some countries may even be close to half. Therefore, the impact caused by Intel's press conference is undoubtedly huge. First of all, the market value of Amd has risen to about US$30 billion, and has begun a new round of decline. The decline is not large enough, but it has also fallen by nearly US$10 billion, retaining it at a market value of around US$20 billion.
Intel's market value began to rise. However, unlike companies like Amd, which have a low starting point, Intel's market value growth is not large, and it only increased by about ten dollars per share. However, even so, the increased market value is not considered a small number of i.
The US stock market is very sensitive. Generally speaking, things like this will always have a chain reaction. However, the shares of Xingnuo Communications, which rose slightly due to Xingzhu Group's acquisition of Amd, did not fall. The main reason is that Amd is not even enough for Xingnuo Company, and Xingnuo Communications' main profit does not come from Amd, so this cannot affect the shares of Xingnuo Communications in the slightest.
However, Xingzhu Group's acquisition of Amd can increase the shares of Xingzhu Communications Company because, except Xingzhu Communications, other companies are not listed companies. Even if these investors want to buy Xingzhu Group's shares, they can only buy this. Moreover, Xingzhu Communications Company's current stock is not inflated. Although the actual amount of total share capital is relatively large, the profit ratio per share is not low.
Even companies like Apple may not be able to compare. Intel now has a gap in market value with Xingzhu Group, but it is still considered a top-notch big group in the world to cross the company. Now the frontal confrontation between the two companies is undoubtedly beneficial to the entire market! After attending Intel's press conference, reporters from major media immediately described this incident as head-on confrontation between two new and old CPU companies.
As for the previous amd, everyone ignored it because the previous amd was not qualified to confront Intel head-on, and now it has the capital only after being acquired by Xingdou Group. Not long after the Intel press conference ended, Yang Yiwei received a call from Shi Chongtang.
"Mr. Yang, are you sure our CPU can keep up with Intel's latest CPU performance? And it's still in the event of a price war between the other party." Shi Chongtang felt guilty, after all, Intel is still famous in this field. Companies like Shi Chongtang's Asus who have been struggling in this field for many years can naturally feel it.
"Mr. Shi, don't worry. Regardless of whether our CPU performance can surpass him, even if it cannot surpass Intel. But don't worry, I promise you that there will be no impact on your company. There is no way to discuss the cooperation projects between you and Intel? Will Intel push big customers like you out? I think Lenovo will stand on the united front with me. Since this is the case, do you think Intel will give up your two major customers?" Yang Yiwei smiled slightly.
Of course, Shi Chongtang doesn't have to think about the answer. Intel is not an idiot. For example, Asus, Dell, and Lenovo, these complete machine sellers are their big customers. Although the sales volume of assembling personal PCs themselves is also expensive, such retail requires several channels, and the profits they get may not be higher than those obtained by manufacturers such as Asus! What's more, cooperation with manufacturers such as Asus can also be repaid in one lump sum.
It’s not that there are multiple angles that Intel will not make such idiotic mistakes. "Okay, actually, I just ask how tomorrow’s press conference is planned to be held?" Shi Chongtang thought about it, but did not continue, but changed the topic with a smile. If Amd had not been cooperated by Xingdou Group, Shi Chongtang would not have signed a cooperation with Amd. Although the motherboard he was talking about still has motherboards that support Amd's CPU production, the problem this time is not as simple as producing motherboards.
Although it has damaged Asus' interests, at least they have also given compensation. After all, if Xingzhu Group authorizes other motherboard manufacturers to also produce motherboards with Xingzhu Group's independent wireless network cards, then this one-on-one food will not be that delicious! This is a huge benefit.
Is there any monopoly benefit in this world? Shi Chongtang has never forgotten that Xingzhu Group does not have multiple authorizations, so what does it mean to choose the authorization of Asus?
"It's very simple. We can just drive Intel, right? As for the price war, have you forgotten that although our company can't be called a diversified enterprise, it has a lot of resources." Yang Yiwei said with a smile, not giving Shi Chongtang an accurate answer. As soon as he heard Yang Yiwei's explanation, Shi Chongtang knew that Yang Yiwei was not going to tell him, but just asked him to watch the press conference tomorrow. In desperation, Shi Chongtang could only exchange greetings for a few words, then hung up the phone, waiting for tomorrow's press conference.
Not only Shi Chongtang was waiting, but all the media reporters were waiting. Even the group of reporters who attended Intel's press conference rushed to the near the headquarters of Amd Company after issuing the press release and waited for tomorrow's press conference to be held.
The confrontation between two super-large companies, one company has made a move now. What about the other company? All reporters are waiting for Amd's move.
The next day, there was more than an hour before the press conference. The amd press conference venue was already crowded with companies from major media, and some media had even started to hold live broadcasts. I don’t know how many people are following this matter. Yesterday, the stock fluctuations of the two major companies made many people on Wall Street make a lot of money, and today countless people are still watching this matter.
Not only the people on Wall Street are not stupid, but even ordinary people are not stupid. With the lessons learned yesterday, don’t you know that stocks will fluctuate today? If you react immediately, you will at least make a lot of money. The proportion of American stock speculators is much higher than that in China.
The press conference is about to be held in a few minutes. Thomas looked through the information in his hand again. Looking at the information in his hand, Thomas couldn't help swallowing. Is this really the case? This information is the latest from Xingdian Group. Although he knew it last night, Thomas still couldn't help but feel excited. In fact, it seems like the cost of a CPU, although it is not cheap. But it is definitely not much higher! Even the most advanced CPU is like this.
Even labor costs are higher than its material costs. Of course, if the depreciation cost of the factory production line is included, although it will increase partly, the increase is definitely not as much as I thought. The latest i7 3770k is priced at around 2,100 in China, but its cost is up to 50rmb! You are not mistaken. It is indeed only 50rmb, and perhaps Intel announced the cost more than that.
But it contains R&D costs and brand value! The R&D costs and brand value must account for more than 90% of the cost announced by Intel! In the middle of this 90%, these two costs are almost half the same. As for the production line, that thing is a one-time investment. It can produce a variety of CPUs, and it is flat, and its cost is not much.
But for Yang Yiwei, is there a R&D cost? No! Brand value... Well, this thing actually has it for consumers, and for the company itself, isn't the brand value also profit? Even if the new materials given by Yang Yiwei are a little more expensive than the original raw materials such as silicon, aluminum, and copper used in CPUs, it is extremely expensive. More importantly, this material is synthesized by Xiaoxi, and it consumes less energy. Even if it is not difficult to synthesize with earth technology, it is just that it is difficult for other companies to get the synthetic formula of this material.
So its cost is pitifully low. Unless Intel wants to completely destroy the order of the entire circle, the first thing that cannot be sustained in a price war is Intel, not Amd. So after seeing these bottom lines, Thomas didn't know how much spit it swallowed. At least he knew that Amd's profits would be terrible. Of course, when it was announced to the public, the R&D cost and brand cost must also be calculated.
Otherwise, if so much profit is made, most of the profits will be distributed to other shareholders, right? Amd is not a wholly-owned subsidiary of Xingzhu Group. Although Thomas also has Amd shares, he is not stupid. Of course, he knows that it is impossible to tell other shareholders that this news.
Because for Xingzhu Group, these materials have no cost, but for other shareholders of amd, these are there.
After the host above gave a brief speech and asked Thomas to come on stage, Thomas secretly clenched his fists, then took a deep breath and walked onto the rostrum. From his initial experience in Amd from a department, to senior vice president, and now the president, Thomas never thought about how to suppress Intel. Now that he finally has this opportunity, can Thomas not be excited?
Originally, Thomas thought he would be excited and a little incoherent, but after standing on the rostrum, he found himself surprisingly calm down. Looking at the dark reporters below, Thomas smiled slightly and said, "Hello everyone, friends of reporters, I know everyone is here to watch the fun." Thomas is not a humorous person, but for some reason, he said a cold joke at this time.
Thomas' cold humor made the reporters below laugh. When the laughter stopped below, Thomas continued to speak: "But I think everyone should not return disappointed. Now, I will announce the first news first. The reporters and friends who are doing this news already know. Of course, if you don't know it yet, I think you should resign. The journalist industry is not suitable for you."
Thomas did not pause this time, and after making a joke, he continued: "First of all, Xingdian Group acquired 55% of Amd's shares for US$1.5 billion, becoming Amd's holding company. Starting today, Amd will officially become one of the subsidiaries of Xingdian Group."
Everyone knows this news, but Thomas officially announced it to the public on behalf of Amd, so the reporters still gave applause.
After the applause from the reporters dissipated, Thomas continued: "The second news, I think it may disappoint the reporters' friends. I think you should be waiting for Amd to launch a new product after Amd was acquired to fight against Intel's two new CPUs that have just been launched and their price reduction policies. But you are going to be disappointed. First of all, our new products will probably not be available for a period of time. This time it will take about half a year, because our new product is a new, new concept, and new architecture CPU."
"We named it Photon i type. Its architecture and even its materials are brand new. Of course, it is definitely different from the CPUs on the market now. But don't worry, although its architecture is different, it can still support the existing Microsoft system. You only need to choose a dedicated version when installing the system. We have communicated with Microsoft. They will soon open the download of the new system version." Although the new CPU will not be available in a short period of time, Thomas still introduced the situation of the new CPU.
"As for its specific performance, it is a new honeycomb architecture inside, so it is not used to describe the single-core and double-core of the traditional CPU, but to describe its performance according to the complexity of the internal honeycomb. In addition, this new CPU will not require a fan, because the new material will make it not exceed 35 degrees Celsius even in the highest computing state." Thomas roughly introduced it, but these simple introductions made the reporters below start to make noise.
Chapter completed!