Take a bite of pudding

Chapter 788 Billion Dollar Subsidy

"240 dollars, how is that possible!" Everyone showed expressions of utter disbelief upon hearing the price.

If the previous price of 480 dollars could be understood as Zhong Mi, a newly born brand, fiercely determined to capture market share by sacrificing most of its profits and setting the sales price at 480 dollars to seize a large portion of the market, then this price of 240 dollars was already incomprehensible.

To put it in perspective, the cheapest mobile phones on the market currently generally hover around 200 dollars, seemingly even lower than 240 dollars. However, these phones were all from the 90s. Forget color screens and cameras; they didn't even have phonebooks or calculator functions. They were merely tools for making calls, with no other functions, inferior even to phones for the elderly.

This was what a phone at the 200 dollar price point should be like. Yet, Zhong Mi 1, a top-tier flagship model with a large color screen, a rear camera, and powerful computing capabilities, instead of competing in the 800 dollar segment, was descending to the 200 dollar tier. What were they trying to achieve? Were they just trying to offer benefits to the public?

"Don't ask me why the price is so low; I don't know either. But I asked their sales representative, and they said that this 240 dollars is indeed due to Atari Mobile Communications subsidizing it with tens of billions of dollars!"

"Firstly, these subsidized phones are locked to specific SIM cards, only able to use Atari Mobile Communications SIM cards, and unauthorized unlocking is prohibited. Doing so would be a violation of the law!"

"Therefore, this is a subsidy policy launched by Atari Mobile Communications to expand its user base. However, they have also promised that only the SIM card is restricted; all other services are normal. If users are willing, they can opt for the minimum monthly plan of just 1 dollar, with no other fees charged."

"The charging will be entirely according to normal rules, and users can also sign up for other plans, none of which are restricted."

"Alright, that's all for now. I'm leaving. 88!" With that, Jerry Guo's video finally ended. The viewers, after watching the entire video, first pondered in place, then without a word, grabbed their wallets and rushed out the door.

However, most people, not long after leaving the entrance, rushed back in, reopened their computers, and began searching for the nearest Atari sales outlet. They then dashed out again.

It was no joke; a flagship phone selling for just 240 dollars, such a great deal, where else could you find it? If they were a step too late, they might not get anything.

By the time these customers finally arrived at the Atari sales outlets, they found the entire place swarming with people. The queue stretched for hundreds of meters, with hundreds of individuals. Such a terrifying crowd was usually only seen on Black Friday. They never expected to see it at a mobile phone sales outlet.

However, the outlets seemed to have anticipated this. There were dedicated Black staff members responsible for maintaining order in the queues, and personnel guiding newly arrived customers to join the lines. They also used megaphones to announce, "Customers, please be patient. We have specially opened a sales channel for Zhong Mi 1 phones!"

"Our current stock is 432 units. The number of people currently queuing is 237. Whether it's a contract phone, a bare phone, or a subsidized phone, each person is limited to purchasing one unit. Everyone can queue with confidence; you can all buy the phones you want!"

My goodness, they even had the numbers tallied! Upon hearing these announcements, the customers' minds were instantly put at ease. Their biggest fear was queuing for hours only for the phones to be sold out. Fortunately, with the assurance from the sales staff, waiting didn't feel that frustrating.

However, only this batch of buyers was so fortunate. About 10 minutes later, the number of people queuing exceeded 432, and the staff began to dissuade customers from behind, telling them it was full and not to queue further.

These people naturally weren't having it. Some of them would definitely leave, and then they would have a chance to buy. In response, the staff did not obstruct them, to avoid conflict, merely informing them that if the stock ran out by the time their turn came, the outlet would not be held responsible.

Concurrently, a store employee, wearing a firearms license badge and carrying a large gun on their back, continuously patrolled the entire queue, perfectly suppressing the scene. Yes, according to the law, as long as one possessed a firearms license and carried a visible firearm, they could legally walk around on the streets. So, this was perfectly reasonable and not to be questioned.

Since processing contract plans required time, even with three employees working simultaneously, it took nearly 8 hours to sell all 400-plus phones. These buyers hardly asked any questions. As long as they heard that they could buy a subsidized Zhong Mi 1 phone for only 240 dollars, they would pay without hesitation.

"When will your next batch arrive? Will it take a long time?" Users who reached the end and missed the chance, glanced at the large gun on the employee's back and asked pitifully.

"Three days! The second batch will be sold uniformly in three days!" the employee replied without hesitation.

"Only three days?" Many were delighted to hear this. After all, when encountering items that required frantic purchasing, the interval between batches often lasted at least a week, and even four to five months was normal. Yet, it would only take three days for the second batch to arrive, which was unexpectedly quick!

"Yes, our supply is very sufficient. All of China is producing phones for us. In three days, 800 phones will arrive at the store. We're worried you won't have enough people to buy them all!" the employee said proudly, but as it turned out, they were proven wrong.

Three days later... no, by the dawn of the third day, over 100 people were already queuing at the entrance of the sales outlet. By the time it officially opened at 8 AM, the number of people queuing had reached 800. Meanwhile, employees were already dissuading others who still wanted to queue from doing so... because these individuals had come to queue before 8 AM, meaning they were highly unlikely to give up their spots for any other reason. To be reasonable, even if their houses exploded, they probably wouldn't want to leave.

And this scene was not limited to just one sales outlet. In fact, all Atari sales outlets in the United States presented the same astonishing scenario. All 1135 Atari sales outlets in the US saw such unimaginable crowds at their entrances.

Such terrifying scenes naturally shocked all the media. Some media outlets then began to investigate and interview, wanting to know what had happened. However, these media outlets were all latecomers. Truly powerful media had already flooded their newspapers and magazines with Zhong Mi 1 phones. After all, a flagship phone selling for only 240 dollars, and the subsequent terrifying queues on the first day, were reporting topics that the media simply couldn't refuse.

Although it was rumored that on the second day, Motorola and Nokia jointly warned some media outlets they cooperated with, urging them to report cautiously, it was of no use. If other media outlets were reporting, and their own media outlets weren't, wouldn't that mean losing their livelihoods? Under passive circumstances, all media outlets were drawn into this seemingly crazy mobile phone frenzy.

These media outlets naturally dug up every detail about Zhong Mi phones. Various performance data, as well as its various pricing policies and contract plans, were all directly splashed across their front pages.

Upon seeing these reports, the viewers were first taken aback, then directly took out their wallets and rushed to the nearest Atari Mobile Communications sales outlet. They then saw the terrifying crowds of thousands of people and could only helplessly give up buying. However, they still found the staff, inquired about the next sale time, and firmly noted it down in their minds, deciding to come and queue at dawn to be sure to buy this phone.

Meanwhile, the media continued to report on the explosive sales figures of Zhong Mi phones in their magazines.

September 22, 2004: The video began to be broadcast, Zhong Mi phones went viral on the first day, selling 1.2 million units in a single day.

September 25: The second batch was sold, selling a staggering 2.2 million units in one day.

September 29: The third batch was sold, selling 2 million units in one day.

October 1: The fourth batch was sold, with a daily sales volume of 1.11 million units.

October 5: The fifth batch was sold, with a daily sales volume of 2.7 million units.

November 10: The sixth batch was sold, with a daily sales volume of 3.2 million units.

In less than 20 days, Zhong Mi phones in the United States had already surpassed 12 million units in sales. In just 20 days, they had become the sales champion of 2004 and an industry legend. All professionals in the mobile phone industry watched this world like stunned individuals, seeing Atari Mobile Communications sales outlets with tens of millions of people queuing every few days, followed by their own deserted sales points.

Both the various specialty stores and the sales points in department stores were all empty. The number of customers who came to buy phones each day did not exceed 100, and half of them would even return to ask for refunds a few days later. When asked for the reason, they glumly stated that their friends, upon learning they had spent hundreds of dollars on a Motorola or Nokia phone, called them complete idiots with severe intelligence deficiencies. Humiliated beyond measure, they could only come back to return the phones.

That's right, with phones available for 240 dollars, anyone who still bought phones from other brands was indeed an idiot.