Chapter 794 Market No. 1

"What! Is this an electronic system order from the four major banks?" Jiang Yong screamed when he saw the contract handed over by Qin Feng, and then hugged Qin Feng tightly.

"Haha, Qin Feng, you are so awesome! You can get this contract, and the price is so high!" Jiang Yong was going crazy.

All this time, the Internet company he led had never been able to make money. Although there is advertising income, the monthly turnover is only 200,000 to 300,000 yuan.

To ordinary people, this was truly astonishing in January 1998. How can I spend all this money?

However, for the company, especially for Jiuzhou Network Services Company, the income of 20,000 to 300,000 yuan a month is nothing. It's just enough to cover wages. You know, they only have more than 500 employees in all aspects.

These are all college students who graduated from prestigious universities. This money is just enough to start salary now.

The company's daily expenses, such as electricity bills, water bills, catering fees, Internet rental fees, etc., all cost a lot of money. Although, in terms of expenditure, it is far from comparable to Jiuzhou IT Technology Co., Ltd. led by Lei Jun.

But it’s also a big expense. The company has always been in a position where it spends money but does not make money. If this goes on for a long time, if you can't get a loan, you will have to look for venture capital. Neither Jiang Yong nor Qin Feng are happy for venture capital companies to come in.

The only goal of venture capital investment is never to build a valuable company. Rather, to make money.

Generally, when a venture capital joins, he needs to see results in the shortest possible time, or see the hope of making money. In this case, the company's management will be forced to change its operating strategy and become eager for quick success.

This sometimes happens, maybe all of a sudden. After all, with venture capital, the company can survive. But sometimes, in most cases, good projects are ruined due to eagerness for quick success.

For VCs, they don’t care. They have always invested a small amount of money to achieve high returns. Usually, venture capital firms invest in dozens or even hundreds of companies at one time.

As long as a company can eventually go public successfully, all the money they invested can be recovered and even make a profit. If two or more companies are successful, they will make a lot of money.

However, for many company founders who are forced to change their original intentions, if the success rate of these venture capital companies is one percent, their failure rate is 99 percent.

But it doesn’t matter to venture capital companies. If you cast a wide net, you will always succeed. All you lose is money.

And these founders lost not only their hard work, but also their lives.

Therefore, Qin Feng, Jiang Yong and others are determined not to allow venture capital to come in.

Now that we have received contracts from these four major banks, it is really great news.

The whole company was filled with cheers.

"Once you get the contract, you must do it well. I paid a lot to get this contract. Don't embarrass me!" Qin Feng said.

"Don't worry. If anyone dares to do something bad and embarrass you, see how I deal with him!" Jiang Yong saluted.

Qin Feng shook his head with a smile, then went to Lei Jun and handed the contract for the U-shield to Lei Jun.

"You are so awesome!" Lei Jun sighed like Jiang Yong when he saw the contract.

"What a great thing, it's just that everyone gets what they need!" Qin Feng smiled faintly, "This thing is very simple, you just need to get a password chip. The serial number inside can match the bank's. As for production, it's just Leave it to Foxconn!"

"Don't you do it yourself?" Lei Jun asked doubtfully.

They have now built a CPU production line and are currently building a second production line. In terms of funds, with the guarantee from the Shanghai Municipal Government, there will be no shortage of money. So why not build it yourself.

"No. When we do such a small thing, we not only need to build a production line, but also recruit workers. It also involves management, Internet of Things and other trivial matters.

These all require time to explore. By the time we figured it out, we didn’t know how much it would cost and how much time it would take. We only need to do the most important things, and leave the rest to other companies! Foxconn is currently the best. "Qin Feng explained.

Lei Jun thought for a while and nodded in agreement.

As the saying goes, every line is like a mountain. If you have to do anything, it will consume a lot of your time. In terms of efficiency, it is very inferior.

"How about this second production line?" Qin Feng asked.

"It has been installed and is undergoing debugging and testing. However, we don't make money at all. The more we produce, the more we lose. Is this appropriate?" Lei Jun asked worriedly.

The ex-factory price is 360 yuan. This theoretically earns 10 yuan. It is the price after excluding all labor costs and production costs. This can still earn 10 yuan, so normally the company is considered profitable.

However, due to the need to fight against Intel, the logistics costs are now borne by the company instead of the many merchants before. This increases costs. Of course, you can still make a little money. On average, the logistics cost of each CPU is only a few cents.

However, if Qin Feng wants to go out of the country and go overseas. Then the logistics cost will be high.

This CPU cannot be shipped by sea like other items. If this CPU were shipped by sea, it would be doomed.

This shipping can take two or three months at a time. By the time you get there, the CPU market price will have changed drastically. Therefore, the only option is air transport. If shipped by air, the cost would be too high.

At that time, I am afraid that not only will I not be able to earn a penny, I may even have to subsidize a little.

This does not include the horrific scientific research expenses.

As for Qin Feng's U-Shield orders from the four major banks, compared with the losses, they are really a drop in the bucket.

"Do it!" Qin Feng nodded, "Let's take a long-term view and spend money to buy the market! This time, since I can get orders from the four major banks, it will not be a problem to get huge loans from the four major banks in the future. .”

If before, Qin Feng would still be a little worried if there was only the endorsement of the Shanghai Municipal Government. However, now that Qin Feng has become more confident because of the third-party payment platform and his relationship with the four major banks.

In terms of funding, with state support, it will never be a problem again.

Of course, there are also hidden dangers. That is the possibility of falling into a deeper vortex.

However, Qin Feng did not hesitate to build Huaxia U.

After all, once this opportunity is missed, there will be no chance to enter again in the future.

In this future world, Huawei is so powerful, but it is extremely difficult to enter. Qin Feng will never miss this opportunity now.

Therefore, even if you lose money, you still have to win back part of the market.

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