Chapter 170 Are You Crazy?

Li Xiaofan continued to ask: "Mr. Yang, let me ask Mr. Moritz from Sequoia Capital, has his company signed a formal investment contract with you?"

Jerry Yang replied: "Not yet, it's just a preliminary intention at the moment. To be honest, if Sequoia Capital invests in our project, it will break the precedent of their company never investing in any project that provides free services and products. , so Mr. Moritz still needs to convince other partners and management of their company, and it will take time..."

"Mr. Yang, I would like to know how Mr. Moritz from Sequoia Capital currently values ​​your project, and how much do they plan to invest?"

At that time, Jerry Yang was still a complete engineering man with no sense of business confidentiality. He replied casually: "Currently, Sequoia Capital's initial valuation of our project is US$4 million, and they plan to invest US$2 million. 50 shares..."

"Oh, then I understand. Mr. Yang, let me ask again, your current Yahoo website search engine services are free, so how will this project make money in the future?"

“Since Marc Andreessen helped point online searches on Netscape browsers to our Yahoo website in January this year, the number of visits to our Yahoo website has increased at an alarming rate, and now we have to spend a lot of money and energy on maintaining it. website and server. I believe that these visits from all over the world are valuable resources and huge wealth. We refer to the experience of the hotline magazine publishing online advertising last year, so in the first stage we envisioned this project. Yes: Hoired’s hotline magazine hopes to make money through advertising..."

On April 15, 1994, American Hotline and AT&T signed a contract to complete the first online advertising transaction. In October of the same year, American Hotline launched the online version of Hoired, which became a milestone in the history of online advertising and marked a milestone in the history of online advertising. The official birth of online advertising.

Hoired's banner ad for AT&T said: "Have you clicked, your oe right here-you will" (Have you tried clicking here? I know you will.) It is said that it ended up with 44 visits Someone from this website clicked on this ad.

It seems that Jerry Yang was also the first person to think of monetizing through advertising.

So Li Xiaofan continued to ask: "Mr. Yang, does the company have advertising revenue now?"

Hearing this, Yang Zhiyuan became a little shy: "I'm ashamed to say that we are all engaged in technology, not in the market. At present, we have hardly received any big online advertising business, so the current company's accounts are ugly, only investment, almost There is no output... This is also the huge difficulty for Mr. Moritz of Sequoia Capital to convince their company to invest in our project!”

Li Xiaofan said coldly: "Mr. Yang, we came to you from Singapore this time because we want to cooperate with you in the online advertising business of your Yahoo website!"

Hearing about the business cooperation in online advertising, Jerry Yang immediately became energetic: "Okay, that's great. So what do you think about cooperation?"

"My idea is to buy the right to use banner ads on your website for one year for $100,000!"

Banner ad is called banner advertisement in Chinese. It is the earliest form of online advertising. It is a rectangular bulletin board across the web page. When users click on these banners, they can link to the advertiser's web page.

Li Xiaofan's proposal surprised Yang Zhiyuan: "One hundred thousand dollars, did I hear that correctly?"

Even Tang Xinyi was shocked and pulled Li Xiaofan's sleeve, meaning: Guy, are you right?

"Well, yes, it's one hundred thousand dollars to buy the right to use your Yahoo website banner ads for one year!"

"Mr. Li, that's great, you really help me in times of need!"

"But, Mr. Yang, I have an additional condition..."

"Tell me about it?"

"My condition is that I invest another one million US dollars to invest in your Yahoo company together with Sequoia Capital!"

Tang Xinyi pulled Li Xiaofan's sleeve again, meaning: Guy, where did you get so much money? Crazy? Invest in such a smelly RV office project!

After hearing this, Jerry Yang was a little surprised. After thinking for a few seconds, he replied: "Mr. Li, thank you for this suggestion. However, I have already made some verbal agreements with Mr. Moritz of Sequoia Capital, although they have not been signed. The final investment agreement. Or, can I communicate with Mr. Moritz first and then reply to you? "

"Okay, no problem!"

"Mr. Li, when do you plan to leave San Francisco?"

Li Xiaofan smiled and said: "Mr. Yang, after I finish talking with you about this project, I will go back to Singapore. I just arrived in San Francisco today. We are currently staying at the Fairmont Hotel in the city. Anyway, I also have my mobile phone number on my business card. , if you have communicated well with Mr. Moritz, you can contact me at any time!”

"Okay, then I understand. Thank you, Mr. Li! I will contact Mr. Moritz as soon as possible!"

"Okay, Mr. Yang, let's take our leave now! I hope to get your good news as soon as possible..."

"Okay. By the way, how did you get here? Do you need me to drive you back?" Jerry Yang gave Li Xiaofan the impression that he was very polite and courteous, and he was also very humble.

"Mr. Yang, you're welcome. We rented a car and drove here. No need to bother!"

Li Xiaofan then asked: "Mr. Yang, do you have plans tonight? If not, can I invite you to have dinner and continue chatting?"

"Mr. Li, you came all the way from Singapore. If I have to treat you, it should be my treat. How can I let you treat me!"

Li Xiaofan smiled and said: "My girlfriend's sister opened a very delicious Chinese restaurant in the city. If you have time, I can invite you to try it!"

"What's the name of this Chinese restaurant?"

"Tangyuan Chinese Restaurant, do you know it?"

"Wow, Tangyuan Chinese Restaurant, of course I know it! This restaurant is in our San Francisco It is very famous in the Chinese community. Before doing this project, I often went there with my friends on weekends for dinner. I really like the Cantonese cuisine there. It turns out that the boss lady is your relative. It's a small world! "

"Are you free tonight?"

"Maybe not tonight. I have some chores to deal with. Now the server is down from time to time. I'm waiting for the server supplier to come to solve the problem. Mr. Li, how about we make an appointment after I communicate with Mr. Moritz?"

"No problem, then we'll go first..."

Before leaving the Yahoo office car, Li Xiaofan and Tang Xinyi also invited Yang Zhiyuan to take a group photo in front of the car.

Li Xiaofan's heart: This photo is too precious. I can brag about it for the rest of my life after Yahoo goes public!

Driving back to the Fairmont Hotel, Tang Xinyi asked worriedly: "Fan, are you crazy? You just asked for $100,000 to buy ads on their website and invest $1 million in this crappy company! Is this crappy company so valuable? And where did you get so much money?"