Rebirth of the Wild Age

Regarding Mr. Ren, there is such a joke inside Huawei:

Mr. Ren's first car was a second-hand Peugeot. In the summer of 1998, in order to accompany IBM President Gerstner, he changed to a brand new BMW.

President Ren personally drove on Shencheng Street. He opened the sunroof and turned on the loudspeaker. He quickly surpassed Gerstner's car and yelled, "Have you ever driven a BMW?"

Gerstner: "?"

Mr. Ren asked again: "Have you ever driven a BMW?"

Gerstner: "..."

When asked for the third time, Gerstner finally responded: "What on earth are you trying to say?"

Mr. Ren asked: "Where are the BMW brakes?"

Regardless of whether this joke is true or false, but the time and background of its occurrence was indeed in the summer of 1998.

In 1997, Huawei's annual sales exceeded 8 billion yuan. Due to the rapid expansion of the company's scale, the organization and management problems have become more and more serious, the department's internal consumption, inefficiency, and wastefulness. Mr. Ren has nothing to do with this situation, so he personally led a team to the United States to learn from it.

After investigating American companies for many years, Mr. Ren decided to worship IBM as his teacher.

IBM agreed to accept the student, but the tuition fee is 2 billion yuan... This is not a joke, it is true. At the end of 1997, President Ren did not bargain, and directly agreed to the sky-high tuition fee of RMB 2 billion!

How is the 2 billion yuan tuition calculated?

From 1998 to 2003, IBM sent 70 senior consultants to Huawei, each charging between US$300 and US$680 per hour, plus round-trip air tickets, board and lodging, and other expenses. It would take 5 years to add up. 2 billion yuan.

Perhaps it was Mr. Ren's attitude of non-bargaining and won the respect of the president of IBM. Gerstner actually came to China in person this year, and he handled some problems hand in hand.

After more than ten years, Huawei has been learning IBM, from management to research and development, fully IBM.

IBM’s President Gerstner is also a cruel man. He was ordered to be the president and completed IBM’s comprehensive reform in just 5 years. He spent more than US$8 billion in severance pay, cut 150,000 employees, and laid off more than One-third of the total number of employees. In his hands, IBM has increased its annual sales by $10 billion and the market value of its stock has increased by four times.

Today, Huawei’s capital flow is extremely tight, but the 70 consultants dispatched by IBM have stayed at Huawei, spending an average of 400 million yuan in tuition each year.

And Huawei's research and development expenses this year will definitely exceed 800 million yuan!

This is unbelievable in China in 1998. Jianlibao's market value is estimated to be about 4 billion yuan, and it has already taken the top spot in the beverage industry. Huawei's consulting fees and R&D fees this year add up to 1.2 billion!

Song Weiyang said it was awesome, but with his personal assets, he was a little brother in front of Huawei.

Of course, with the rapid development of China Technology Corporation, Song Weiyang will not be left too far. PHS is like a money printing machine, which makes the total assets of China Technology Company change every month, and it is now valued at 3 billion yuan by the investment company.

...

Deep city.

When Song Weiyang saw Mr. Ren, the other party looked tired and shook hands with him in a strong spirit.

"Hello Boss Song, welcome!"

"Mr. Ren just calls me Xiao Song, you are a senior, and I am a junior."

Mr. Ren rubbed his face, seemed to be more energetic, and said with a smile: "Then I will lean on the old man and call you Xiao Song. I'm sorry, I just came back from a business trip this morning and only slept for two hours, and now I am still a little sleepy."

Song Weiyang said, "Why don't I come back in the afternoon and you will sleep for a while?"

"No, I just drink two sips of tea." Mr. Ren said.

Song Weiyang didn't talk nonsense, and asked directly: "Huawei's funds are very difficult?"

Mr. Ren said: "It can last a while, and when the GSM R&D project produces results, the funds can be returned to the market."

In fact, the results are useless.

Because from the day Huawei started to develop GSM technology, it has faced all-round encirclement and suppression by foreign companies. Huawei's GSM technology can produce its first results at the end of this month, but it cannot be sold at all. One aspect is that foreign companies’ monkey-style price cuts are one aspect. What’s more important is that they play insidious tricks, which prevents Huawei from receiving orders for half a year, including orders for fixed-line equipment.

Until next spring, Mr. Ren asked his friends to directly approach the central leadership and convey his opinions. It probably means: "Now there are many false accusations from Huawei, and there are also rumors about Huawei in the society. Please the central government immediately investigate Huawei. If the situation is true, I plead guilty and I can go to jail. If the situation is not true, please help Huawei clarify. , We can't hold it anymore."

The central government soon set up an investigation team. After more than a month of investigation, there were only minor problems. So two leaders of the central government successively issued instructions to clarify Huawei's grievances, and Huawei was able to receive orders normally.

Regarding those false accusations and rumors, not only did Huawei fail to sell its products, but it also prevented Huawei from obtaining loans from banks. Those foreign companies simply resorted to extinction!

Mr. Ren was very sincere and did not hide anything. He briefly introduced Huawei’s situation and said: “Huawei’s GSM project is progressing very smoothly. I believe that results will be produced soon. But now the funding is really tight, so it needs to be carried out. Financing. The risks are great and the returns are great, Xiao Song, you have to think carefully about it yourself."

Huawei's research and development on the GSM project can be said to be difficult to overcome, or it can be said to be a dead end.

In order to research and develop the GSM technology with unknown prospects, in the case of financial difficulties, Huawei directly cut off the mature technology but relatively backward CDMAIS95 R&D team. Other R&D teams have also been cut to seven or eighty-eight, or temporarily suspended. It is really insufficient R&D funds and can only choose one of them to go to the black.

It can still last now, and after two or three months, Ren always really feels like jumping off the building. In order to relieve the financial pressure, he fudged his employees' wages into the company's internal bank, and fudged his employees' dividends and bonuses to buy company shares, because he could not get a penny from the outside.

In history, Mr. Ren has looked for many companies to pull investment. But with rumors flying in the sky, everyone feels that Huawei is going bankrupt. Who would dare to vote?

Song Weiyang said: "I don't have much money in my hands."

Mr. Ren said: "Huawei has no bad debts and its finances are normal, but it lacks working capital."

Song Weiyang said: “I personally made a fortune in Hong Kong City’s futures speculation. Converted into RMB, it’s about 50 million yuan. I can also mobilize 80 million to 100 million funds for investment at any time. It is not enough, and China Technology Corporation can also invest money. How much does Mr. Ren need? I will help."

This is very beautiful. In fact, Song Weiyang values ​​Huawei's development prospects.

But Mr. Ren didn't know, he was already moved by Song Weiyang. After running so many relationships and looking for so many friends, I couldn't get investment. On the contrary, Song Weiyang, a stranger ~www.wuxiamtl.com~, agreed to help raise funds without saying a word.

See the truth in adversity!

President Ren thought for a while, and said, "One hundred million."

"No problem, I personally invested 50 million yuan, and Jinniu Capital invested 50 million yuan." Song Weiyang said.

After resolving the financial pressure, Mr. Ren was in a good mood and asked with a smile: "Xiao Song, do you trust me that way? Believe that Huawei can get out of the predicament?"

Song Weiyang asked, "How much is Huawei's research and development expenses this year?"

Mr. Ren said: "Up to now, more than 700 million yuan has been used."

Song Weiyang said: "Can we find a second company like this in China?"

President Ren was stunned, then laughed and joked: "Oh, when the Telecom Bureau asked me to cooperate with PHS, I should agree to it. Now I don't need to find you to invest."

"This is true." Song Weiyang also laughed.

Huawei is not so lofty, it's strange that it doesn't use backward technology.

Historically, Huawei saw the high profits of PHS, and it also made PHS phones following the trend. Mr. Ren probably regretted his death in his heart.

Song Weiyang suddenly said, "By the way, Mr. Ren, I have formed a Taurus Club. The members are all industrialists. We meet regularly for three days a year and do not talk about business. They just talk about some topics and exchange ideas with each other. Business experience and ideas. If you feel unhappy, you can withdraw from the Taurus Club at any time. I want to invite Mr. Ren to join. I wonder if it is feasible?"

Mr. Ren asked: "Who are the members?"

Song Weiyang reported the names of the members of the Taurus Club, and Mr. Ren immediately said: "I know a few of them, and I've met each other. Since they are there, and you initiated the establishment of Xiao Song again, then I promised to join the Taurus Club. "

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