"Professor Zhao's last wish is also the last wish of our entire Jiangnan Group!" Boss Huang slapped the table excitedly and said, "How can our Jiangnan Group be controlled by others? We can also have what others have. Since the Europeans don't let us use their high energy

Particle collider, then we will build a stronger one ourselves, and after we build it, we will not let the Europeans use it!"

"..." The executives at the scene were all a little numb. Why did it sound like construction was really going to start?

So some executives couldn't help it. Liu Xiangjiang took the lead and asked, "Boss, for these things, wouldn't it be too wasteful to spend huge sums of money to build a high-energy particle collider? And the research and development of high-energy particles is very important to our Jiangnan Group."

As far as the main business is concerned, there is not much positive impact!”

"I heard that the U.S. equipment budget has expanded to 200 billion U.S. dollars, and this was rejected by the U.S. Congress. Even the U.S. cannot afford such equipment. Should we be more cautious?"

"Well, you really need to be more cautious!" Boss Huang nodded, then looked at Yang Yunhe and asked, "How much money do you estimate will be needed to build this equipment?"

"Only 18 billion is needed at most... Forget it, relax a little, 20 billion is enough!" Yang Yunhe said very simply.

"Okay!" Huang He nodded, then looked at the head of the financial department and asked, "How much more does our scientific research budget have for this year?"

"Boss, the original scientific research budget for this year is 9.8 billion US dollars, and there is currently 4.2 billion US dollars left. It is expected that by the end of the year, there will still be about 3 billion US dollars!" the supervisor said.

"Oh, that's still $17 billion short!" Huang He nodded, and then asked, "How much money does the company have on its books? I mean cash that can be used immediately!"

"Not much, a little less than last year!" The financial director shook his head and said, "Currently, the cash we can still use is less than 300 billion US dollars!"

"Plop..." When many executives at the scene heard this number, they spit out all kinds of things in their mouths.

Well, although they are all the top executives of Jiangnan Group, they have never understood the company's financial situation, because Boss Huang is strictly confidential in this regard. Except for the relevant executives in the financial department, no one knows

The specific economic situation of the company.

So this was the first time they heard about the actual financial situation of the group, and they were immediately stunned. The company actually had US$300 billion in active funds. Such terrifying data really confused all the executives.

Okay, is our company already rich enough?

It just feels so unreal. How can a company have so much cash? You can’t even write a novel like this!

But in fact, this data is real. It is even said that the financial director only reported the cash figures, and did not report the funds of some securities and other financial products held by the company. Otherwise, the actual figures would be even more terrifying, because at this moment,

Jiangnan Group has completely brought the entire terminal system under its control.

In another world, Apple was exposed by the media in 2016. The total amount of freely available cash held by Apple was as high as US$600 billion, a figure that beats all companies in the world.

To put it bluntly, if this money were stored in a bank, it would earn US$20 billion in interest every year. However, there are less than 5 companies in the world with profits exceeding US$20 billion. Apple’s cash flow is

There is such horror.

So why does Apple make so much money?

Of course, this is because the profits of Apple’s mobile phones are extremely amazing. In 2016, the model Apple sold externally was the iPhone 7, and the average selling price in the Chinese market was 6,000 yuan per unit.

During this period, the Android flagship model competing with it was Xiaomi 6, with an average selling price of around 2,600 yuan. The price difference between the two was more than double.

So will the manufacturing cost of Xiaomi 6 be lower than that of iPhone 7?

The answer is that the manufacturing cost of Xiaomi 6 is much higher than that of iPhone 7.

This may sound unbelievable. How can the cost of a mobile phone priced at 2,600 yuan be lower than the cost of a mobile phone priced at 6,000 yuan?

But this is the fact. First of all, the global sales of any iPhone starts at 100 million units, which means that all the parts it needs are in units of hundreds of millions. The demand is very strong and the orders are very huge. This is naturally

The cost of each part can be kept to an extremely low level.

On the contrary, even Xiaomi 6, which has the highest sales volume, has sold less than 10 million units in the whole year, and the order demand is less than 1/10 of iPhone 7. This means that its unit price negotiation power is far lower than Apple's, and the purchase price is far lower than that of Apple.

Naturally, it is higher than Apple.

To put it simply, the original price of the same part is two US dollars each, and Apple wants to purchase 100 million units at the same time. It cannot be very domineering and say to the supplier, I will pay up to 40 cents of the purchase price. If you don’t sell it to me,

I'll buy it from someone else.

Although the supplier looked bitter, after careful calculation, although the price of 40 cents was equivalent to a 20% discount, if the total number was 100 million, and mass production was used to reduce costs, then the 40 cents would still be worth it.

If you can earn 10 cents, 100 million is a profit of 10 million US dollars, which is still money after all.

If this order is handed over to a competitor, it will be equivalent to a loss of US$20 million every time it is entered and exported, and this US$20 million is likely to be a fixed loss every year. Who can bear it?

So even though the price was outrageous, the supplier had no choice but to agree.

In the same situation, Xiaomi also proposed 40 cents each, but only 10 million units. In this case, the actual cost of each part can only be reduced to about 60 cents at most, and I have to earn at least 10 cents each.

Just cents.

Therefore, the supplier's price must be set to death. The minimum price is 70 cents or even 80 cents each. Otherwise, you can go to whoever you want. Anyway, I rely on Apple as my father and there is no shortage of orders.

Well, Xiaomi can only accept its fate and purchase the same parts at a price of 70 per ton. As the quantity of each part increases, the cost will naturally increase.

In addition, there are also R&D costs. Although it is a bit depressing to mention this, it has to be admitted that Apple is one of the few companies in the world that can complete the entire mobile phone design independently.

Domestic Android phone brands such as Xiaomi basically play the role of assembly plants.

And this will bring about a huge profit gap.

The most obvious of these is mobile phone chips.

As we all know, almost all mainstream Android phones now use Snapdragon chips developed by Qualcomm, while Apple uses its own A-series chips.

As a result, the cost of chips is completely different. Apple directly completed the design and manufacturing plan of the entire A-series chips, and then threw the entire plan to chip packaging manufacturers such as TSMC, allowing them to follow their own designs.

After completing the manufacturing, TSMC only charges a material fee and processing fee, and the complete cost is less than US$50.

If it is a Snapdragon chip, it is the same as before. Qualcomm completed the design of its own chip and then handed it over to TSMC for foundry.

Unless there is a huge gap between the materials and photolithography machine processes used by both parties, the material and processing costs are basically the same, which is about US$50 per set.

But the problem is that this is Qualcomm's cost, not the level of Android phones such as Xiaomi. In fact, the price Qualcomm sells such a set of Snapdragon chips to Android manufacturers is as high as a terrifying US$250 per set.

This is not fabricated out of thin air, but a product quotation accidentally leaked by TSMC. Their quotation for a complete set of Snapdragon 875 is US$50, while Qualcomm’s quotation for Xiaomi is US$250. There is a full 4% difference between the two prices.

times profit.

And 250 US dollars is almost equivalent to about 1,800 yuan, which is almost half the price of a whole smartphone.

And even if this data is exposed, Xiaomi can only bite the bullet and accept the price of 250 US dollars, because Xiaomi can use the most advanced Snapdragon 875 chip for the first time for its new flagship model, thus leading other competitors.

You must accept Qualcomm’s price, which is almost blackmail.

Of course, after waiting half a year or so, the price of the entire set of Snapdragon 875 will be reduced to around US$150 to US$100, which is considered to be back to the normal price range. But by that time, both Apple and Qualcomm have already launched products with better performance.

A new generation of powerful chips, and Android’s flagship models can only bite the bullet and continue to buy the latest and most advanced Snapdragon chips, otherwise they will fall from the first echelon. This is the vast majority at this time.

The biggest pain point for some domestic Android manufacturers.

So when you see Xiaomi and other domestic mobile phone manufacturers holding launch conferences of their own flagship models, they all say that the price does not make them any money, but they just want to make friends.

They are not lying. If you include the cost of publicity and distribution, as well as other costs, perhaps these mobile phone manufacturers are really losing money to make friends!

On the contrary, Apple looks at these competitors like a joke.

Except for the core component of the chip, the situation of many other devices on the mobile phone is similar. Apple's procurement cost is almost half of that of Android phones.

So when an iPhone 7 priced at 6,000 yuan and a Xiaomi 6 priced at 2,600 yuan are put together, the manufacturing cost of Xiaomi 6 may be 2,500 yuan, but the manufacturing cost of iPhone 7 will never exceed 1,000 yuan. The gross profit of a mobile phone

It can reach an astonishing around 5,000 yuan.

Apple sells at least 100 million such mobile phones globally every year, which is 500 billion yuan, or about 80 billion U.S. dollars in profit.

In fact, if Apple's annual sales of various models of mobile phones are combined, the average sales volume can reach about 150 million units, and the actual annual gross profit may be US$120 billion.

And Apple doesn’t just have one product: mobile phones. Thanks to the drive of mobile phones, Apple also makes a lot of money in other product lines, such as watches, iPads, desktops, notebooks, etc., making more than a few dollars a year.

Ten billion U.S. dollars is not too much, and net profit of more than 150 billion U.S. dollars in a year is not too much.

It only takes 4 years to accumulate US$600 billion in cash, so easy!
Chapter completed!