Three days later.
According to the agreement, Jiang Xinlu took the company’s management and technical team to go north to Shanghai. In the conference room of Xingchen Technology, Boss Jiang met many familiar industry peers.
Fenghua, Sanhuan, Torch, Sunlord, Aihua, Jianghai, the bosses of these manufacturers were recruited by Luo Jia. Most of them were big factories, but there were also a few small factories that were not very famous.
In order to pull up the team as soon as possible, Luo Jia has no choice but to relax the entry criteria for partners. In the field of semiconductors, there are really not many capable manufacturers. Most of the time, Star Technology will face the challenge of fighting alone. tough situation.
“Mr. Liu, long time no see.”
“Yeah, I haven’t seen you for more than half a year.”
“Well, the last time should be at the end of last year, at the gathering in Chengdu.”
They are all people in the industry, and everyone is familiar with each other, so they chatted quickly.
Companies are enemies. Although the bosses usually fight lively, today they are extremely sincere, because the giant Xingchen Technology is about to enter the field of passive components. The past grievances are wiped out. From now on, everyone will follow Xingchen Technology. .
People from the Administration Department and the Commerce Department were busy greeting everyone and distributing tea and drinks to everyone.
Not long after, Luo Jia came to the conference room, this time An Ran didn’t show up. Ever since Senior Qi Mengzhou got pregnant, An Ran’s family and work have become very busy.
The one who came with Luo Jia was Shen Lang. He just passed his thirteenth birthday, and now he is an official member of the brainstorming group. He has a staff in the company, and his position is Luo Jia’s personal assistant.
Shen Lang receives wages and bonuses from the company every month. At a young age, he is already a typical gold-collar class. His monthly salary is more than his parents’ combined yearly salary. His parents and family members also agree with this. Very happy, let Shen Lang go to Xingchen University, it is the most wise decision in this life.
“Hi everyone, please sit down.” Luo Jia nodded and greeted everyone.
So everyone sat down one after another, and Luo Jia walked up to the podium, smiled and said to the people who came from afar: “Welcome everyone to Xingchen Technology, I am a person who doesn’t like nonsense, let’s cut to the chase and invite everyone to be our guests , there is no other meaning, I just want to concentrate everyone’s strength and take down the field of passive components for him!”
“Everyone is an expert, so I won’t make a joke. Passive components are a relatively small branch in the semiconductor field, but they are very important. How important is it?”
“There are thousands of passive components in every mobile phone, every computer, and every car, but consumers often don’t know it well. They pay more attention to CPU and memory. It is the communication baseband.”
“However, we are very clear that without passive components, no matter how powerful the CPU can run, take Apple’s iphone7 generation as an example, in each iphone7 mobile phone, there are 890 capacitors, 149 resistors, and 27 Chip inductors, 17 wire-wound inductors, 212 electrodes, 15 duplexers, 51 zero-pass filters, 38 SAW filters, 13 BAW filters, and 8 power amplifiers.”
“And the iPhone 7 is already a very old model. The new mobile phone with more powerful functions has more passive components installed inside. As of 2018, the global sales of capacitors alone exceeded 4 trillion. Only!”
“This is an astonishing number, which is equivalent to 7 billion people in the world. Each person consumes 571 ceramic capacitors. If this number is told to the people who don’t know the truth, I am afraid there will be many people Dumbfounded.”
After listening to Luo Jia’s words, everyone was not surprised, but chuckled twice.
As practitioners in this industry, they already know the data. In this world, the consumption of passive components is many times more than people think. Simply put, as long as it is a power-consuming thing, Regardless of whether it is an electric bicycle or an electric car, an electric gun or an electric masturbation cup, after disassembly, there are a lot of passive components inside.
At this time, Luo Jia took out a PCB board, pointed to the densely packed capacitors and resistors on it and said: “The PCB board is what the public usually refers to as a circuit board. A large number of circuit boards were installed.”
“So far, the cost of passive components has accounted for 80% of the PCB board. With such a huge sales volume and market, it should be quite profitable to engage in passive components, but the fact is that In this way, the profit in this industry is not low, but it is a pity that the profit has been made by foreigners.”
“According to the data in 2018, the two heroes of passive components, Neon Murata and TDK, have all exceeded 7 billion U.S. dollars in sales. Electronics made 160 million US dollars, Yuyang, Fenghua, Torch, all of you are only tens of millions of dollars.”
“This kind of gap really makes people lose their spirits. In this industry, all the manufacturers in mainland China add up, probably can surpass Yageo Electronics in the Bay and Bay Province, and all the manufacturers in the Bay and Bay Province add up, barely To top Vishay in North America, if you combine Vishay and KEMET, the two major manufacturers in North America, you can top a Korean Samsung, and if you add up to four Samsungs, you can top a TDK, and Neon TDK ranks second in the world.”
“Let’s take a look, this is the gap. In front of Neon, South Korea is scum, in front of South Korea, North America is scum, in front of North America, Wanwan Province is scum, in front of Wanwan Province, we are scum Scum.”
“Of course, Samsung’s passive component production line is just a small part of them. This Korean giant is really too powerful. It has been fighting us for several years, and it is still alive. Its vitality is really strong. Tenacious.”
Everyone was still laughing just now, but now they really can’t laugh anymore. Luo Jia said it was embarrassing.
A lot of things in the world are afraid of comparison, especially like Luo Jia, who directly compare sales.
Actually, there are many passive parts made in China, but they can’t bear the poor quality and low price. Murata’s capacitors sell for one cent, while domestic ones sell for twenty. It’s all about promoting sales, not comparing sales, because if it’s based on sales, it’s too ugly and shameless.
Luo Jia said lightly, “Star Technology is determined to develop the semiconductor industry, but the difficulty is much greater than we expected. To be honest, passive components are not considered the core technology of semiconductors, but only peripheral auxiliary systems, but they are peripheral The auxiliary system also needs to be overthrown and rebuilt, so let’s remind us that there are too many pitfalls in semiconductors, and it’s not so easy to deal with.”
“However, it doesn’t matter if we don’t do it, because the opponent has already told us with practical actions, don’t look at passive components as small things, but at critical moments, they can be fatal!”
“Because we were unable to grasp the initiative in the field of passive components, throughout 2017, rival manufacturers were raising prices crazily, and the instigator was not neon manufacturers, nor Samsung, but Wanwan, which is separated from us by a river. Save.”
“First of all, Yageo Electronics, the largest factory in Wanwan Province, announced a 5% price increase. Then in March 2017, the three main factories of Housheng, Wangquan, and Huaxin in Wanwan Province immediately announced follow-up .”
“On April 19, 2017, Yageo Electronics raised its price by 10% for the second time. In May of the same year, not only its counterparts in the Bay and Bay Province followed the price increase, but even neon manufacturers followed suit.”
“On June 19, 2017, Yageo Electronics raised prices for the third time, with an average increase of 25%, and international giants will follow up.”
“On September 8, 2017, Yageo Electronics announced a price increase for the fourth time! The price was raised by another 25%, and the international giants are still following up.”
“On December 1, 2017, Yageo Electronics raised prices for the fifth time within a year! And then on January 10, 2018, April 1, 2018, the sixth and seventh price increases! International giants still choose to follow up.”
“Among them, Murata simply announced on March 2, 2018 that 50% of the old product line would be discontinued, forcing everyone to buy a new generation of expensive passive components. Fifty-fifty, and immediately tripled the ex-factory price!”
“In short, after the operation from 2017 to 2018, the prices of passive components have risen in an all-round way, and the financial statements of major factories are very good-looking, which also made me understand a truth. The peers are also unreliable, only doing it yourself is the most reliable.”
After listening to Luo Jia’s words, everyone couldn’t help but look at each other. The price increase in those two years was really tragic. It should be said that domestic manufacturers can also benefit from such things as price increases.
However, the prices of mid-end and high-end passive components have skyrocketed, while domestic manufacturers produce low-end products that are not on a competitive platform, so Fenghua Hi-Tech has made a little money along with it, and other manufacturers continue to live a miserable life haha.
But having said that, if domestic manufacturers are capable of producing mid-to-high-end products, it would be no wonder if those Wanwan people and Neon people dare to raise prices.
Luo Jia drank a cup of tea, took a break, and continued: “In any case, we have already understood the situation clearly, we know everyone’s difficulties, and we also know where our current needs are.”
“For the capacitors, inductors, and resistors~Soverse.com~ filters that were used in large quantities before, we have made certain technical improvements. The samples have been shown to you. The specific technical details will be distributed to you after the contract is signed. , in terms of level, it should be higher than Murata, which has the best technology in the world, by about 20%.”
“Increase by 20%? Wouldn’t it be possible to achieve more than 600uF!?”
“One step closer to the limit of solid capacitors!”
“Murata and Taiyo Yuden’s limit level is only 500uF!”
Everyone became very excited at once. Everyone in this industry believed that ceramic capacitors belonged to the future. The rest of the tantalum capacitors, aluminum capacitors, and solid capacitors were all facing the fate of being eliminated.
The only problem is that although the ceramic capacitor is very good and powerful, the limit specification is not good enough. The solid capacitor can easily reach 1000uF, while the ceramic capacitor can only reach 500uF.
If the technology of Xingchen Technology is 20% stronger than the current highest grade in the market, with the production cost of Huaxia enterprises, giant enterprises such as Murata may be tossed to death.
However, when everyone was excited about getting the technical support from Xingchen Technology, Luo Jia suddenly said lightly: “Well, you will be responsible for the traditional passive components and the next generation of passive components in the future. We will solve it by ourselves.”
What the **** is the next generation?
In an instant, there was no sound in the conference room.
“Mr. Luo, what did you just say about the next generation of passive components?” A boss asked curiously.
Luo Jia conveniently opened a sealed box beside her, and took out a black one, about the size of a grain of rice, similar to a capacitor.
“This is it, the next generation carbon crystal capacitor.” Luo Jia said lightly.