Reborn Entrepreneurial Giant

Qu Li discussed many things with them in Jumei. The focus of Jumei this year is logistics. In order to better serve customers, Tongda Network Company arranged in Shanghai.

This is because e-commerce retail accounts for a high proportion in Jiangsu, Zhejiang and Shanghai, followed by Guangdong Province. Now that Jumei Logistics has settled in Yangcheng, Shanghai is the strategic center of gravity and another talent center in China. How can we not lose it?

Letting "Tongda Network" have a close contact with "Four Links and One Access" has many advantages, but the disadvantage is that it increases the difficulty of management. Thinking that he is not worried about it anyway, Qu Li feels relieved. ByteDance can have no "headquarters", why can't Jumei open the company all over the country?

Although there are still many things to do, Qu Li stayed in Yangcheng for a few days before flying to Beijin, where he convened a board of directors of Glory, and went through the final internal procedures for this acquisition.

The "Vest" company invested 12.5 billion to acquire Motorola and was responsible for the aftermath of layoffs. Among them, Honor invested 4.5 billion U.S. dollars to obtain 3,000 Motorola Mobile patents, retaining the company as a whole, including about 3 billion U.S. dollars in cash and debt; Google invested 8 billion U.S. dollars to acquire the remaining 14,000 patents Patent and set-top box business. The patents held by both parties will be mutually authorized, and the thousands of patents that are still under review will be distributed according to the proportion of capital contribution...

Although this acquisition is important, the US$4.5 billion is less than 5% of Honor's market value, so it does not need the approval of the general meeting of shareholders, and such conditions are not bad at all. The board of directors is quite satisfied with this.

The main reason is that Qu Li is satisfied. In the media, the serious possibility is that Honor only spent 1.5 billion US dollars to acquire Motorola and 3,000 patents, and Google is not losing money. You must know that professional media in the previous life evaluated this acquisition, and Google spent 9.5 billion US dollars to acquire patents. , Motorola is only worth $3 billion. After all, this is a loss-making company with a lot of debt, and subsequent layoffs will cost hundreds of millions of dollars.

The transfer of billions of dollars of funds and the handling of Motorola's 19,000 employees required Qu Li and Lei Jun to come forward and sign. So, they flew to the United States soon.

Unlike the acquisition of a certain idea, which focuses on the acquired company, Glory's acquisition must be "mainly based on me", and it can only insist on "mainly on me". As for whether the original management should be retained, Qu Li has not yet made a final decision.

The current Motorola CEO Sanjay Jia is an old acquaintance of his. It can be said that he was the one who facilitated the cooperation between Qualcomm, Google, and Honor. After Motorola poached him, he began to switch to Android. Underestimated the internal resistance. Motorola understands hardware, but does not understand software. It is not as big a gamble as Honor. It is unwilling to hand over its fate to Qualcomm and chooses more distant suppliers, including Spreadtrum's baseband.

Hardware is the foundation, and software determines the user experience. So, Motorola sold 1 million units in three months, which is their best-selling model. Honor only has 1 million units except Magic, and the other models seem to have exceeded 10 million units.

Qu Li met with Sanjay Jia, asked him his views on the acquisition, discussed Motorola's future development strategy, and internal adjustments. Qu Li wouldn't dare to trust those veteran employees who didn't go through a big shakeup and get rid of them.

Sanjay Jia is an Indian. Many of them have become CEOs of high-tech companies in the United States. Some domestic self-media said that India has a "obedience culture", so...

It cannot be said that it is unreasonable, but to be able to climb to the position of CEO in a world-renowned "big factory", is the individual's comprehensive ability poor? The one-sided emphasis on the so-called "obedience culture" cannot be proved to be true or false, but it is actually self-consolation.

The most typical example is Nadella, the next CEO of Microsoft, who promoted this "monopoly" to enter cloud computing and mobile Internet, successfully invested in openai, and launched new bing, which may subvert Google search. How many CEOs of this level are there in China?

The ability of the Indian CEO is not bad. From the analysis of public reports, Sanjay Jha made all kinds of decisions without problems. Why did Motorola still fail?

"The current lazy work style must be changed..." Sanjay Jia, "However, I want to know whether Honor wants Motorola to follow the high-quality route, or continue the machine sea strategy?"

"Of course it's a machine sea tactic, I hope to cover all price ranges." Qu Li

Google doesn’t know how to make mobile phones, and thinks that both Apple and Honor can succeed through the high-quality strategy. This is the basic game rule of the smartphone industry, but the success of Samsung and Huami OV relies on the tactics of the sea of ​​machines.

According to a normal logical analysis, there are only a few iPhones in a year, but their number of programmers and engineers is no less than that of Huami OV. In the same industry, if Huami OV Samsung can surpass it, it can only be said that a miracle has happened.

Therefore, we can only do differentiated competition, and if the overall experience cannot catch up, then it will surpass the IPhone in some aspects, such as the signal of the Chrysanthemum Factory, Samsung’s screen, and the price-performance ratio of coarse grains.

With billions of people around the world, there are too many personalized needs, even if they want to be "different", some people will deliberately buy other brands of mobile phones. Qu Li's approach is to have multiple brands, Honor to make high-quality mobile phones, Motorola to take the strategy of mobile phones, and pay attention to the expansion of offline channels.

Sanjay Jia, Lei Jun, Qu Li and others discussed a lot. For example, in order to reduce costs, supply chain procurement must be integrated. The factories in Tianjing and Brazil can be retained, but Glory will be deeply involved in the management, including Digital transformation.

These business measures are easy to talk about, but the most important thing is the distribution of benefits, how to ensure the salary and treatment of the management, how to streamline the team, how to lay off employees, and how to improve efficiency.

The salary level of Glory exceeds that of Chrysanthemum Factory in China, and the equity incentive Lei Jun received exceeds one billion US dollars, far surpassing Sanjay Jia, but it does not mean that the average salary level of management exceeds that of Motorola. For example, if Sanjay Jia wants to leave, Will get more than 50 million US dollars in compensation.

"We will adopt a model of high wages and low benefits to increase the proportion of flexible income and risk income..." Glory does not even have a private jet, so how can it be possible to provide Motorola's management with various enjoyment benefits. It is also impossible for Motorola to lose money for a long time, and the management's income exceeds Honor. However, in the short term, it is certain that Sanjay Jaa's income level will exceed that of Glory, and sometimes this difference must be accepted.

Several people discussed for several days, and the guiding ideology was "benefit sharing" and "risk sharing", which is in line with the idea of ​​"asymmetric risk" that Qu Li said in his first New Year's Eve speech.

Unexpectedly, some people were screened out. Those who are willing to take risks will naturally continue to discuss the transformation of Motorola by Honor. Based on their discussion this time, give them time to make plans and determine who will be the main one. Big companies are like this. Although Sanjay Jha is the CEO, he doesn't agree with him too much.

Simple and straightforward, returning to the essence of business, Qu Li's persistence has won the recognition of many old fritters, or this group of "losers" left Motorola, and they will never find a better opportunity. Therefore, Qu Li, who has repeatedly created miracles, Li and Glory hope.

Talking with Sanjay Jia and other Motorola executives, and also talking with Google, the previous cooperation framework has basically remained the same, and various details such as patent allocation are incomprehensible to Qu Li, so he can only trust the strength of the team.

The sales volume of Honor mate X in this month is less than 1 million units, which is considered a failure. Google Android’s vigilance against Windows Phone system has declined. The relationship between the two parties has become harmonious again because of their respective concessions.

Thank you Mo Wen who is the reward