Warship of Great Power - Chapter 771
Chapter 771 cut off the supply of photoresist?
Meyer would never have thought that Qin Tao would actually come to receive him in person!
For him, this is a great honor!
If Sanders came over, Mr. Qin might come. Mayer’s status is not high enough, and he was flattered to be interviewed by Qin Tao in person.
“I am very happy to hear that AMD is looking for cooperation.” Qin Tao said: “Now, everyone is full of hostility towards us, thinking that we Easterners should not develop high technology, let alone be inferior to the West. Apart from slander, there is no other action. Even if we Dongfang is full of sincerity, they just ignore it. However, you AMD company bravely took the first step and came to Dongfang to seek cooperation in person. We are very happy , welcome, Mr. Mayer.”
Qin Tao’s words were full of sincerity. When the two sides held hands together, Mayer’s heart became inexplicably excited.
”Mr. Qin, technology knows no borders. We are all high-tech companies, so we naturally hope to cooperate more closely with each other.” Mayer said.
“Yes, we have long felt that the chip design unit and the production unit should be separated.” Zhang Rujin said from the side: “The design unit is only responsible for design, and the production unit is responsible for production. Technical problems can also be solved well, and the cost can be spread through mass production. Professional things must be handed over to professional people.”
This is actually the reason for the rise of foundries. Each chip factory builds a car behind closed doors, and it may stumble on a certain technical problem, and it is handed over to a unified production unit. Due to the huge production capacity and recruiting heroes, of course it can be done in the shortest time. Problem solved.
It’s just that, in this way, the chip design unit will be controlled by others.
“We solemnly promise that the OEM products for each chip design unit will be kept strictly confidential and will never be leaked.” Qin Tao said: “Please rest assured that SMIC is a professional foundry and will consider everything carefully. .”
“Boss Qin, we trust you very much, otherwise we wouldn’t come to seek cooperation. Next, let’s talk about the details.”
“good.”
“First of all, in terms of production, we estimate that the production demand per quarter is one million pieces.” Mayer said: “All are built using a 0.13-micron process.”
“Okay, no problem.” Zhang Rujin nodded, they can still eat this order.
Mayer was afraid that the other party would not agree, one million yuan! Give them AMD to produce one million yuan, which means that Godson will produce one million less! Even if the other party counter-offers to 100,000 yuan, it is understandable.
Now, the other party actually accepted everything?
Seeing the strange expression of the other party, Qin Tao smiled: “This is the time for us to show our sincerity. Since you have come here with sincerity, of course we have to show our sincerity. We sincerely want to enter the United States. In terms of the market, although our Godson is advanced, many of you are wearing colored glasses and are unwilling to accept the fact that we are stronger. Therefore, we are more optimistic about the prospects of AMD in the US market, and we can build a million yuan for you. , that means that your AMD company will become the leader in the US chip market, and we have achieved a win-win situation through cooperation.”
What your side thinks, the other side knows it! Mayer was very shocked, but Mayer admired the other party’s mind even more. Mr. Qin’s ability to bring Mingzhou Group to its current scale was not due to luck.
“Then let’s talk about the foundry cost of the chip. Let’s talk about the price directly in the scale of one million yuan. I don’t know how much you plan to ask for?”
“How much are you willing to pay?”
It was the first time that Mayer asked the price like this. After thinking for a while, he said: “Fifty dollars per piece, this is the highest price we can offer. However, if you can’t deliver the goods to us within the stipulated time , we demand triple compensation.”
The chip business is profitable. The retail price of the K7 processor is around US$150 to US$200. Now they need OEM, and they only pay the price of US$50. After deducting the design cost, they can earn at least US$50 per piece. , one million yuan, that is fifty million dollars! And they are only responsible for design and sales, no need to worry about production.
“We can accept this price. It is an FOB price, and we are not responsible for the transportation.” Zhang Rujin nodded: “However, we cannot accept triple compensation.”
“This is the practice in our industry. If we can’t make it within the stipulated time, it will affect our listing and sales. At that time, our market will be taken away by competitors. Since you have the ability to place an order , then you should be able to finish it on time, as long as you can finish it on time, then the compensation doesn’t matter.” Mayer spread his hands.
“We only accept the proposal of double the compensation at most.” Qin Tao said: “This is our rule, if you want to hire us to do the work, but we can’t finish it in time, we can give you double the compensation. “
“Well, I need to ask the company for instructions. How about we talk about the next item first?”
After more than two hours of detailed negotiations, Qin Tao didn’t intervene because he couldn’t understand those techniques.
The chip is really high-tech.
Talking about the latter, Mayer kept nodding, shouting OK, OK, he was already impressed by Zhang Rujin’s professionalism.
After the talk, it was already noon, and several people went to the restaurant to eat together. The whole restaurant was very tidy, almost like a chip production workshop, and Mayer admired it very much.
“No wonder you were able to mass-produce 0.13 micron technology first. With your meticulous attitude towards life and work, you will succeed in everything you do.”
“Thank you for your compliment. When the order is officially signed, you will have the opportunity to see our production line with your own eyes.” Zhang Rujin said.
“That’s really great.” Mayer nodded: “It’s a pity we can’t get this level of lithography machine, otherwise we can produce it in our own factory!”
“Our lithography machine output is still very low, and we cannot supply it to you at present. When the production capacity increases in the future, we will give priority to supplying you.”
AMD went to the East to seek cooperation without being able to solve the chip technology problem. This incident quickly spread internationally, and this incident finally became the last straw that crushed BHP.
”What are the Americans going to do? They asked us to challenge the Orientals, which resulted in a sharp drop in our company’s orders, while they themselves flirted with the Orientals.”
“Yes, we were betrayed!”
“If we don’t want the company’s turnover to drop by more than half, then we have to resume cooperation with Orientals!”
The big guy really couldn’t hold it anymore.
I thought I had mastered the lifeline of the Orientals, but what happened? Without the iron ore from the Kangaroo Country, the Easterners are still living a good life. They took the lead in storing a large amount of iron ore, and they expanded other cooperation channels. The share of the iron ore from the Kangaroo Country was lost to other countries. It’s filled!
Ander’s face was gloomy: “Now, China Iron and Steel Association is conducting a long-term contract bidding for iron ore. We can’t sit still, we must participate!”
“However, they will definitely lower the price.”
“Bidding is required to lower the price. We must occupy a certain share of the iron ore imports from the East, otherwise we will get nothing! We will export a large amount of low-priced iron ore so that the Orientals will give up their cooperation with Damao and the grasslands. Let them be treacherous villains, and we will raise the price when we have the opportunity in the future!”
If you don’t take advantage of this opportunity to win the iron ore export share of the East, then once the gap is filled by other iron ore suppliers in the future, it will not be easy to break in. Plus, they have an imminent threat: if they don’t cooperate, they’ll have to lay off their staff! The business has to go downhill!
Since American companies can go to Mingzhou Group to cooperate, what choice does their BHP company need to make?
In the mall, even enemies can sit down and discuss interests, not to mention that they only have some small frictions.
January 5th, at the iron ore long-term agreement meeting organized by China Iron and Steel Association in the eastern capital, BHP company of Kangaroo Country appeared.
“Mr. An De, welcome to the East, you can come to our meeting, we really make us flourish.” The leaders of China Iron and Steel Association warmly welcomed the BHP company, which made An De feel much better. up.
“We have always attached great importance to the Eastern market, and hope we have a better cooperative relationship.”
“Of course, we also attach great importance to your side, and hope that we can reach a long-term mine agreement at this meeting.” The leader said: “We can only achieve a win-win situation if we cooperate!”
“In this meeting, we negotiated a total import of 100 million tons of iron ore, which is a huge quantity. Please provide the most favorable price.” The leader began to preside over the meeting.
100 million tons! This number stunned everyone present, Dongfang’s appetite is too big, right?
Can they eat it?
“Excuse me, is this a year’s demand?”
“That’s right, it is the demand for one year. We made a summary based on the demand of domestic steel companies. When this data came out, we were also shocked.”
The 100 million tons must have been reserved by various iron and steel companies, just like the Mingzhou Group, which wants to import more iron ore, so as not to change, but for iron ore suppliers Said, this is a good opportunity, they can sell more iron ore!
“Our BHP company can meet your needs, and the price is the same as before!”
“Our Vale company is quoting fifty dollars a ton, and we want to order all of them!”
“Our Da Mao Metal Investment Company quotes forty dollars a ton!”
When the price of iron ore was at its lowest, it was only more than a dozen dollars a ton, but that was all in the past tense. Now the price of iron ore is maintained at 70 to 80 dollars a ton. This meeting can bargain to such an extent that it was absolutely impossible before. I dare not even think about it.
The representatives of the steel companies who attended the meeting were all stunned. If they knew this would happen, why would they hesitate? If they unite as soon as possible, they will be able to obtain low-priced iron ore as soon as possible!
The meeting went smoothly. Vale Company obtained the long-term agreement of 40 million tons of iron ore at a price of 48 US dollars per ton, and BHP Company obtained 50 million tons of iron ore at a price of 45 US dollars per ton For the long-term iron ore mining agreement, Damao Metal Investment Co., Ltd. received an agreement for the remaining 10 million tons at a price of forty dollars per ton.
This is not only about the price, but also about the grade of iron ore.
The meeting was over, and Ender walked out of the conference room, looking at the sky above his head, for some reason, he felt very aggrieved, if he had known, he would not have done this, and would it be okay to follow the original method?
However, what do they have to do? If they hadn’t seen AMD looking for an Eastern partner to produce processors, they would still have to wait and see. Now, they are confident.
However, when they returned with the order, they were scolded by Wayne.
“What are you doing? You are exporting your own iron ore at a low price. This behavior is simply helping the Orientals!”
“You can find Easterners to cooperate, why can’t we?”
“We are looking for Easterners to cooperate, that’s to cheat Easterners, you **** idiots!” Wayne was speechless, he was not in Kangaroo Country these few days, he has been busy with AMD’s plan, heard about the China Iron and Steel Association After the meeting, I came back in a hurry, but it was too late.
The agreement has been signed, and the iron ore cannot be supplied at that time, so the loss must be compensated.
“Killing the Orientals? How? Don’t cheat the Orientals, but you yourself!” Ender also got angry.
Huating.
Sanders, the person in charge of AMD, came in person and signed an OEM agreement with SMIC in the office building of SMIC. When he wrote his name, Sanders let out a long sigh: “We believe that this is a new beginning for us. We are looking forward to the first tape-out of your production line. We are looking forward to the K7 processor built with a 0.13-micron process. How powerful the performance is, maybe It is comparable to your Godson III.”
“Of course, we are also full of expectations. Now, you can go to our production line to see.” Zhang Rujin said.
“Well, we are honored to visit the most advanced chip factory in the world.”
A group of people changed into dust-proof clothes, passed through the dust-proof workshop, and visited the factory. They were full of praise for the advanced equipment, and were fooled by Zhang Rujin when they asked questions about various processes. After the visit, the next step was time to eat.
However, just as everyone left the workshop, the manager of the purchasing department rushed to find Zhang Rujin.
“Mr. Zhang, something happened!”
“What’s up?”
“JSR sent us a telex, saying that due to their production line adjustment, they will stop exporting photoresist to us in the near future. They asked us to find a replacement as soon as possible to avoid delaying our production.”
Zhang Rujin’s heart was shocked. Sure enough, it was exactly the same as Mr. Qin’s guess!
Before accepting the order from the Americans, Mr. Qin said that this may be a trap, and they will find a way to prevent their own side from producing it after receiving the order, so that they can get high compensation.
They didn’t come to cooperate sincerely at all, they came to dig a hole!
“Mr. Zhang, what happened?” Seeing Zhang Rujin’s face changed drastically, Saunders immediately asked with concern.
This was just a polite inquiry, and he didn’t expect to get any answers. There are always various unsatisfactory things in a big company. He would never have thought that this matter would have anything to do with him.
“Mr. Sanders, a very strange thing happened.” Zhang Rujin said: “Just after you signed the agreement with us, JSR, which provided us with photoresist, cut off the supply of products to us. You are also engaged in chips. Yes, you should know how powerful photoresist is. Without it, we can’t produce chips.”
Photoresist is not a kind of glue, it is not sticky, nor is it used for bonding, but it is a viscous substance, so it is called photoresist.
In the process of chip manufacturing, one of the important steps is to transfer the circuit pattern on the template to the silicon wafer. This process uses photoresist, which is pasted on the silicon wafer, so that it enters the photolithography machine and is coated. The layer will be exposed, developed, and then a part will be left and a part will be dissolved, so that the chip circuit will be made.
With the continuous development of chip manufacturing technology, the technology of photoresist is also developing, especially when entering the 0.18 micron production process, a new photoresist is required. The photoresist used in the previous 0.25 micron process contains benzene rings. structure, after the wavelength of the photolithography machine is shortened, the absorption is too high, and it cannot provide sufficient corrosion resistance in the etching process after photolithography.
Therefore, it is necessary to introduce a new photoresist. Generally speaking, groups such as adamantane and polycyclic lactone are introduced into the acrylate system as protective groups or fused cycloalkenes are introduced into the polymer chain as copolymerization units to improve its resistance. corrosion ability.
Currently, only the JSR company in the island country provides this level of photoresist. They asked SMIC to find other alternatives, which is simply nonsense.
Sanders’ complexion changed, and he shook his head again and again: “Mr. Zhang, please believe in our sincerity. We didn’t do anything. We really want to find you as an OEM.”
No wonder he went to the White House to lobby. At first he thought it would take a lot of effort, but he didn’t expect that all the people there gave him the green light. It turned out that he wanted to trap SMIC, so let’s trap you, don’t trap yourself. ah!
BHP company played a disgraceful role, the result? It’s not like now to obediently come to the East to invite bids, continue to export iron ore, and greatly reduce the export price.
In the future, will your side be targeted by the Mingzhou Group?
“Of course I am willing to believe you, but this happened so suddenly that it is easy to think of it together.”
Sanders’ face darkened, he was tricked, by those politicians! He gritted his teeth and said: “I said we didn’t do anything, that means we didn’t do anything. If we really want to do something, then we will never agree to the double compensation plan. We will definitely insist on three times the compensation.” plan!”
If it was just to get compensation, then they would definitely try their best to demand three times the compensation when they signed the agreement. In the agreement signed now, it is only double the compensation.
“Mr. Sanders, we believe in your sincerity. Now, facing this situation, can you come up with some solutions for us?” Zhang Rujin continued.
solution?
Sanders thought for a while: “Our chip factory has a batch of photoresist in stock, which is photoresist that can produce 0.18 micron chips. If it can adapt to your 0.13 micron chip, we can send it to you. In the future , we can still purchase it in our own name and send it to you, is this enough to show our sincerity?”
JSR will cut off the supply of photoresist to SMIC, but it will not cut off the supply to other factories, especially those in the United States. Therefore, it is the most appropriate way to change hands through AMD.
For American businessmen, this is nothing at all. During World War II, American businessmen would still sell various strategic materials such as steel and oil to island countries even if they knew that they would go to war with the island countries. It is to tear the face off with Parthia, or there are businessmen who sell the parts of Tomcat fighter jets to Parthia.
The other party’s statement can be regarded as whitewashing them. In this matter, they are indeed ignorant.
In fact, even if the contract cannot be completed in the end, SMIC will never lose money. According to Mr. Qin’s arrangement, a force majeure factor has been added to the terms of the contract, such as earthquakes, floods, fires and other disasters. I didn’t say that it’s force majeure for friends to cut off supply, but when the time comes, it’s a big deal to set a fire. Our factory caught fire and couldn’t produce. This is force majeure!
Of course, that’s just the worst possibility. Now, it’s just the problem of photoresist, and we can still solve it.
“Mr. Sanders, I’m very sorry. I was overthinking just now.” Zhang Rujin said: “You can support us so much, which is enough to show your sincerity. Please rest assured, we will definitely complete the production on time. It’s just photoresist , still can’t stop our production. Also, since your cooperation with us is very sincere, we also sincerely inform you that if you want to purchase a 0.18 micron lithography machine so that the entire line For the production line, we are willing to provide related products, and we will also send people to help you master the 0.18 micron process.”
“Really? That’s really great!” Sanders nodded again and again: “Unfortunately, it’s not 0.13 micron. I wonder when you can provide us with 0.13 micron production equipment?”
“This level of production equipment is too advanced, so production is difficult. It just meets our needs at present. We will increase production capacity as soon as possible.” Zhang Rujin said.
This is also the plan arranged by Qin Tao. Since AMD is the first customer to come to cooperate, of course we must give them enough benefits. The entire 0.18 micron production line can also be exported to them. Anyway, if they don’t export, they themselves Yes, it’s just that the technology is immature. The only one in the United States that has matured the technology is Intel.
In this way, more chip factories will come to SMIC for cooperation, and the path of foundry will be broader. More importantly, their production lines are exported in large quantities. How can Nikon and ASML sell lithography machines? If they don’t sell lithography machines, they will have no money to continue research and development, and they can only lose out in this competition. If only SMIC can produce these equipment, then other chip factories will have to listen to SMIC!
This idea is very naive, but you have to work hard step by step.
(end of this chapter)