Chapter 965 Intention

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Simon was on the East Coast playing golf with GE chief Jack Welch, accompanied by executives from both Daenerys and Time Warner, when the Vivendi team made a big noise in Los Angeles.

In March, through the merger and acquisition review of major government departments, GE began to implement the merger and adjustment of Time Warner. In three months, the two companies were basically integrated. After several games, Terry Semel, the former CEO of Time Warner Group, successfully took the position and became the general manager of the media and entertainment business of General Electric Group. He was in charge of assets such as Time Warner and NBC TV networks. Network chief Bob White serves as Terry Semel's deputy.

Jack Welch, who was well aware of the chronic illnesses within the Time Warner Group at the time, resolutely swept out Gerald Levin, Robert Daly and other executives this time to ensure that GE's media and entertainment business would not be compromised to the greatest extent possible. It will affect development again because of infighting.

If a company wants to develop, it often needs a strong enough leader. In Simon's view, it is mainly Jack Welch who replaced Steve Ross this time. Otherwise, it is obviously impossible for the newly appointed Terry Semel and Bob White to be too harmonious.

This time, Welch took the initiative to propose that the two executives play together to communicate their feelings.

Different from the situation in which GE has been pressing Westinghouse in recent years, Welch clearly knows that in the field of media and entertainment, all relevant assets of GE are integrated, and it is impossible to compete with Daenerys Entertainment, or even, Not to mention just media and entertainment assets, the market value of the entire GE group is not as high as that of Daenerys Entertainment.

It just so happened that Simon also showed some kind of intention to juxtapose the two powers, and it was also clear that this situation was beneficial to both sides. Welch was very active in promoting this situation, including this selection and Daenerys Entertainment was very close Terry Semel, who controls GE's media and entertainment assets, is all about that.

Inside a golf course near a wealthy area in the northern suburbs of Greenwich.

While playing, everyone chatted about various current political and economic topics at will. Jack Welch is a senior golf enthusiast who has almost reached a professional level. Everyone on the scene, Simon, who only knows the general rules, has the lowest ability in golf. , However, neither Welch nor the accompanying Terry Semel, Robert Iger and others have any comments on Simon's skills, but they can accommodate Simon's rookie level.

This is rare among professional golfers.

In related circles, people with too much difference in golf handicap index can’t play together at all. If they try to get together, they will only be ignored or ridiculed. Therefore, many people want to enter some circles and spend huge sums of money to invite professional coaches and consume them. Plenty of private time dedicated to practicing golf skills.

All in all, the disparity in status is less than a certain level, and you don't even think that others will accommodate you.

On the golf course, Jack Welch watched someone swing a shot in a casual manner, watched the golf ball slanted off the hole not far away, smiled and walked over with Simon, saying: "I Recently, I have carefully read the Foreign Corrupt Practices Act that you have sent to me, and I am quite inspired, but if you use this method too much, it will inevitably lead to backlash."

Simon held the club in his hands, subconsciously trying to test the feel, but he did not expect this expensive titanium alloy club to bend directly in his hand. Seeing Welch's eyes was slightly surprised, he just smiled, and it was not far away. The beautiful girl caddie changed a club and said, "Actually, what I want to express is a concept, Jack, not just the bill, the next few decades will be an era of high-speed globalization, the global economic integration As one, but each country has different rules, to be as victorious as possible, we need to drag our competitors into our own rules as much as possible, and then use the rules to beat the other side.”

Jack Welch was thoughtful, then smiled self-deprecatingly, and said, "I'm 61 years old, and I've already started planning my retirement. I may not have the opportunity to participate in these games in the future."

Simon shook his head slightly: "I'm sorry about that too."

Jack Welch felt the strangeness in Simon's tone, his mind moved slightly, and asked, "Simon, what do you think of General Electric after my retirement?"

Simon glanced at Welch: "Jack, do you want to hear the truth?"

"certainly."

Simon said: "I am very, very not optimistic."

Seeing that Simon used two 'very' in a row, Welch's footsteps subconsciously slowed down, and he said seriously: "Why?"

"Because of what I just said, globalization," Simon slowed down and said, "Under the trend of globalization, many of GE's current businesses, such as electricity, lighting, transportation, water, etc., will inevitably be more cost-effective. Low-cost Asian, Latin American and even Eastern European companies are replaced. In the end, only a few cutting-edge aviation, nuclear power and other businesses can be retained. Oh, by the way, there is also media and entertainment, which is a relatively strong cultural industry in the Federation. As long as it operates properly, It never goes out of style."

Jack Welch simply stopped, stood on the spacious lawn, and also attracted the attention of Robert Iger and others who were divided into a ball not far away, thinking that there was something wrong with the two of them. However, the two bosses didn't summon, and the others didn't come over ignorantly.

After thinking for a moment, Welch said: "Simon, I think you are a bit serious. The global economy has already shown the characteristics of globalization in the realization stage, and GE can still maintain its own strength."

Simon is actually on golf

Not interested, saw Welch stop and pointed to the sidelines: "Jack, why don't we go and have a rest."

Welch, eager to know the answer, nodded.

The two called a bottle car, and soon came to the hospitality villa outside the stadium, sitting in a cafe, waiting for the waiter to deliver coffee and desserts to leave, Simon continued: "What I just said, globalization is just one of them. The reason. In addition, there is the question of your successor, Jack, I won't explore this matter too much, but without any exploration, I can be sure that a bunch of them, no matter how carefully you choose, your successor is It is impossible for GE to have the prestige and control over GE you have now. This will inevitably lead to another result, lack of strong control, and GE's operations will inevitably be disturbed by external factors."

"external factors?"

Simon pointed to himself: "Like me."

Welch couldn't help but have some vigilance: "Simon, what do you want to do?"

Simon smiled and shook his head: "Jack, as the major shareholder who currently controls 5% of GE's stock, you should believe that the interests of me and GE are the same."

The expression on Welch's face still did not relax.

Simon had to shrug and said: "Well, this is the third and most important reason after the trend of globalization and weak successors. Federal financial capital is becoming more and more powerful. Capital has been in decline for decades because of the hollowing out of the industry in this country. With your control of GE, Jack, nothing will happen as long as you are in office. However, once you retire, driven by various factors, Financial capital will soon become a dominant force in the development of GE. As for what financial capital will do, you can look at what Wall Street has been doing since the 1980s, and you should understand. Well, actually AT-T in recent years The change is the most obvious reference.”

What are the changes to AT-T?

Since it was split in the 1980s, although the federal government has been increasing its efforts to control telecommunications in recent years, AT-T has been continuously stripped and dismembered over the years. The fundamental reason is that the financial capital of the United States controls AT-T. Therefore, through financial means such as continuous splitting and integration, more benefits can be obtained in the short term.

This trend for AT-T will continue for years to come. Even Simon has quietly taken a fancy to some of the business in AT-T and is waiting for the right time to take action.

As for whether these actions will hurt the foundation of AT-T, and whether it will affect the long-term development of the telecom giant, who cares?

The same is true for the fate of General Electric in the post-Welch era in memory.

The huge GE empire has been split and sold continuously for more than ten years after Welch retired. The market value during the downturn was less than one-tenth of the market value of 600 billion at its peak in 2000.

Jack Welch's face changed several times after hearing Simon's remarks. The legendary high-ranking official of General Electric was so smart, he soon realized that what Simon said was the truth, and even an unstoppable industry trend. , couldn't help being a little disappointed, but still asked: "Simon, why are you telling me this?"

Simon took a sip of coffee, leaned back in the chair, and said, "You can take this as a kind of introspection, Jack, in fact, you don't have to lose, anything, birth, growth, prosperity, decline, demise, these are all Inevitably, and standing in my current position, I can't help but think about a lot of things in private, and it turns out that there is really very little we can change."

Jack Welch looked at the lazy young man opposite, and suddenly smiled again: "Simon, I didn't expect you to be older than me."

"It's the same if you've lived hundreds of years and lived through many lives."

"Oh, this is a joke, isn't it?" Jack Welch smiled more and said, "In fact, everyone has been very curious about you over the years, and so am I, but Simon, I believe you are a miracle, But definitely not a miracle."

Simon just smiled.

Jack Welch paused, picked up the coffee in front of him slightly, put it down again, obviously hesitated for a moment, and said again: "Simon, in fact, you want to control GE in the future, right?"

Simon is noncommittal: "Why do you say that?"

"Your intentions are too obvious," Welch simply released the coffee cup in his hand and said, "I have paid attention to the three companies you have established recently, FusionTimes, SolarCity and SpaceX, nuclear energy, solar energy and aviation. Speaking of, GE has a deep accumulation in these three fields, and can provide a lot of help for your three companies. Although you acted indifferent just now, I can realize that you still hope to change some things. If you want to change, Of course, the more resources that can be used, the better. Moreover, you judge that my successor cannot have the prestige I have now. It just so happens that you have this, and you are also a major shareholder of GE. Finally, and most importantly, You are young enough."

Feeling Welch's piercing gaze, Simon's smile did not change, he paused for a moment, and nodded slightly.

Seeing the young man on the opposite side admit it, Jack Welch also leaned back in his chair relaxedly, pondered for a moment, looked up at the opposite side again, and said seriously, "Simon, I will seriously consider this matter."

"I look forward to your decision."

The topic came to this point, neither of them continued, Welch instead mentioned another thing: "Regarding the negotiation between the DC Cinematic Universe team and the Batman actor Adam Baldwin, Simon, I think, $15 million base salary, plus 10% of the global box office gross profit share, like this

Not too demanding, don't you think? "

It has been rumored in Hollywood for a long time that Daenerys and Time Warner are quietly negotiating additional deals with Batman star Adam Baldwin.

In fact, this is the intention of both parties.

Compared with Brad Pitt, who has been designated by Simon as the actor of "Face Change", Adam Baldwin is very shackled by the role of Batman, and his attempts to play Bruce Wayne and other movies over the years are basically bleak. At the end, the actor gradually corrected his mentality and began to seek more benefits from the "Batman" series.

The basic salary of Hollywood has been successfully locked at $15 million by Simon over the years.

The focus of the negotiations between the two sides is still divided.

For such a long time, Adam Baldwin no longer seeks to distribute profits to peripheral channels, but insists on getting a share from the global box office, which is not the local box office that the producers prefer.

Simon didn't expect that Jack Welch would talk about it himself.

Not surprisingly.

The GE head not only lacks the macro vision of running the business, but also frequently participates in various micro-management personally.

In the original time and space, as one of the pillars of the NBC TV network "Seinfeld", starring Jerry Seinfeld really didn't want to continue until the end, it was Jack Welch who personally came forward to meet Jerry Seinfeld, and finally paid 100 million. The astronomical price of the dollar was renewed for an additional season, and NBC did not suffer. The last episode of "Seinfeld" created a viewership miracle of 75 million people watching at the same time.

Jack Welch spoke in person, and Simon also confessed: "I also don't think this price is outrageous. The current dispute is a matter of several contracts. Here I hope Adam will sign three more movies, and the DC movie universe can be deployed at that time. When it comes to Justice League 2, there's hope for one signing, and I don't want to see that uncertainty."

According to the global box office volume of 1 billion US dollars, the studio can probably get 400 million box office. The total production and publicity cost of the DC Cinematic Universe series in the future will probably be about 200 million US dollars, and the gross profit will be about 200 million US dollars, 10% The global box office gross profit share is 20 million.

For a movie with a volume of 1 billion US dollars, Simon does not think it is too much for the star to take a total of 35 million US dollars.

Jack Welch saw that Simon didn't bother about the price, but hoped to sign three films at one time, and also expressed his approval. I won't say more. The DC movie universe continues to this day. He also understands that this series wants to remain strong and the main creator stability is crucial.

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