Take a bite of pudding

Chapter 1309 Money Makes the World Go Round

Compared to the profit-generating capabilities of Apple in another world, the Jiangnan Group in this world had even greater earning potential in the terminal sector.

While the Jiangnan Group wouldn't do something as absurd as selling a mobile phone with a manufacturing cost of less than 1,000 yuan for 6,000 yuan... well, the Jiangnan Group sold mobile phones with a manufacturing cost of less than 1,000 yuan for 60,000 US dollars. But that was only targeting the wealthy, and had nothing to do with ordinary citizens.

After all, the Jiangnan Group no longer sold its products in the ordinary terminal market, so it certainly wouldn't target ordinary people. Instead, the Jiangnan Group monopolized the entire upstream supply chain of the terminal system.

From the top-level chip design to the production of various components and the development of various technologies, the Jiangnan Group was deeply involved, continuously extracting various profits from the middle.

Let's not even mention the upstream chip design; the chips for the five-进制 computer system were unique. Apart from the Jiangnan Group, no other company could produce similar chips, as they hadn't even solved the fundamental material issues.

Therefore, in terms of chip sales, the Jiangnan Group's market was unique, and no one could compete.

Although the Jiangnan Group couldn't achieve Qualcomm's feat of selling something with a cost of $50 for $250, it was capable of selling something with a cost of less than $20 for $100.

Similar to chips, storage chips, which became exclusive due to material limitations, were also monopolized by the Jiangnan Group for sales.

However, the Jiangnan Group did not dare to undertake the entire production of all products in the terminal supply chain. Firstly, it was impossible. Secondly, doing so would be too hateful, and what would other electronics manufacturers do?

Therefore, apart from industries that could be exclusively monopolized, such as chips, the Jiangnan Group did not touch any other industries that could not be monopolized, leaving their production entirely to third-party manufacturers.

At first glance, it might seem like there was no profit for the Jiangnan Group here, but the issue was that you had to pay patent licensing fees for the production of these products!

This meant that the Jiangnan Group's Tian Zhou terminal technologies were licensed to others for free.

However, this technological licensing was only for terminal production developers. They could use various technologies for free without paying any technical licensing fees.

But this did not mean that related component manufacturers did not have to pay for technology. Anyone who produced products with Jiangnan Group's patented technology had to pay a technical licensing fee to the Jiangnan Group for each component produced.

Of course, the Jiangnan Group would not be as ruthless as Qualcomm, which charged over a hundred dollars for the entire package of technical licensing fees, which was a disgusting practice.

The Jiangnan Group's technical licensing fees were relatively low. For a terminal, the total technical licensing fees for various components added up to around $30, which was a price that component manufacturers generally accepted.

More importantly, because all component manufacturers had to pay the same fees, these manufacturers could spread this cost evenly into their selling prices. When terminal developers purchased components, they coincidentally paid the licensing fees paid by these component manufacturers, though they were unaware of it.

Furthermore, these technical patents were not truly licensed for free use. After all, there were too many ineffably profound technologies involved, and simply looking at the technical documentation would make it impossible to replicate them.

If you honestly paid the technical licensing fees, the Jiangnan Group would send relevant technical specialists to teach you hand-in-hand how to produce and apply them. This was also one of the main reasons why manufacturers were willing to pay the relevant fees honestly.

Of course, there were some technologies that you couldn't produce even if they were taught to you, because you lacked the relevant equipment.

And the only entity in the world capable of producing this equipment was the Jiangnan Group itself.

In summary, through related technical licensing fees, the Jiangnan Group earned as much from this as it did from chips.

With both incoming and outgoing revenue, for a flagship terminal model with a global retail price of around $600, the Jiangnan Group could pocket about $200 in net profit.

While this profit figure was not as exaggerated as Apple's in another world, Apple was only one company and occupied only about 30% of the global market.

However, in this world, the Jiangnan Group occupied the entire terminal market. Throughout 2012, global terminal sales reached 430 million units. With a profit of $200 per unit, the annual net profit was $86 billion.

But the most curious thing was that market sales data did not represent the procurement data of terminal manufacturers.

After all, many terminal manufacturers invested in producing hundreds of thousands of devices but only sold a few thousand terminals in the end, resulting in a significant surplus in the market.

In the entire year of 2012, the Jiangnan Group actually sold 500 million terminals, directly generating a net profit of $100 billion.

Similarly, like Apple, the Jiangnan Group had also successively developed other products such as smartwatches and smart tablets.

What was even better was that because these electronic products had a large number of technological overlaps, many manufacturers wanting to break through in other categories of smart electronic devices had to obediently pay various patent licensing fees to the Jiangnan Group, or directly purchase the Jiangnan Group's five-进制 chips.

For example, with the recent rise of the smart AI industry, many companies began to proactively position themselves in the entire smart AI field. Due to the overwhelming advantage of five-进制 chips over binary chips in the smart AI field, the entire market was basically monopolized by the Jiangnan Group, which also generated an incredibly vast income.

Finally, coupled with the huge revenue sharing from the 00 online store, the Jiangnan Group's net profit in this area could reach around $200 billion per year.

And this was only the net profit from terminals and related electronic products of the Jiangnan Group. Don't forget that the Jiangnan Group started with blind boxes.

At the same time, the Jiangnan Group's cultural industry was also flourishing globally. With various cultural IPs combined with blind boxes, one could easily imagine the astonishing profits involved.

The Jiangnan Group's ability to generate revenue was several times that of Apple.

Of course, the Jiangnan Group also had one aspect where it was much stronger than Apple: its ability to spend money. To maintain its technological advantage, the Jiangnan Group invested heavily in research and development. Coupled with its vast number of subsidiaries and the enormous annual salary expenses of hundreds of thousands of employees, and so on.

The Jiangnan Group also spent much more aggressively than Apple. Therefore, the funds accumulated by both companies were similar, with both having hundreds of billions of dollars on hand, unsure of what to do with it.

Getting back to the point, when the financial head revealed the enormous cash flow held by the Jiangnan Group, naturally, no executive would be foolish enough to oppose Boss Huang's plan.

With 300 billion on hand, it was acceptable for Boss Huang to spend 20 billion for his own amusement, so why should they try to save money for Boss Huang!

Thus, the entire plan was quickly approved with everyone's tacit consent.

Professor Zhao, who was standing by, was in a state of bewilderment throughout the entire process, followed by disbelief and excitement. He never expected to witness the launch process and news of the domestic super superconducting positive and negative electron circular collider at this meeting.

Therefore, when Boss Huang confirmed the decision to build a new one, Professor Zhao decisively told Boss Huang, "Mr. Huang, please be sure to let me participate in this construction. My mind is completely clear, and I don't want a single penny. I only ask to contribute to this endeavor, allowing me to witness the birth of this behemoth before I die!"

"No problem!" Boss Wang naturally could not refuse Professor Zhao's request. After all, once Professor Zhao recovered from his Alzheimer's, he would be the top expert in high-energy physics in China. Having him contribute his advice to the entire project would be far better than Yang Yunhe, who had been forcefully brought on board by himself.

Of course, Yang Yunhe must be the head of the entire project, and this could not be shaken, as Boss Wang was still counting on Yang Yunhe to gain benefits.

And so, a massive scientific research investment totaling $20 billion was achieved in such a bizarre manner at a meeting originally intended to discuss compensation for work-related deaths.

At the same time, precisely because of the somewhat bizarre nature of the occasion, the news that the Jiangnan Group had decided to build a new super superconducting positive and negative electron circular collider spread like wildfire.

Initially, whispers of such news circulated within relevant scientific research circles, and everyone who heard it found it incredible.

The Jiangnan Group, a company that sold terminals and blind boxes, suddenly announced that it was going to build a high-energy particle collider. Wasn't that a joke?

But upon careful consideration, it didn't seem impossible. After all, the Jiangnan Group had spearheaded the development of the vacuum high-speed magnetic levitation pipeline train technology. Now that they had been slighted in Europe and wanted to build a super superconducting positive and negative electron circular collider, it wasn't entirely out of the question.

Soon, this news, which had originally circulated within domestic circles, spread abroad.

The Europeans dismissed it with a smile, believing that Huang He was merely boasting, and the news was not worth mentioning.

However, the Americans were different. Because Yang Yunhe, acting as an insider, straightforwardly sent the detailed meeting minutes to Goldman Sachs.

Well, given Yang Yunhe's current status, he could directly receive a copy of the meeting minutes. Moreover, the surveillance work had been relaxed, and Yang Yunhe had many opportunities to leave the research center to carry out some tasks.

Especially now that he had taken over the work on the super superconducting positive and negative electron circular collider, he had immediately begun preparing to lead geological survey teams to search for new sites for the collider. This provided him with ample time and opportunities to transmit this intelligence to the United States.