Chapter 294 Creating Advantages

Chapter 294 Creating Advantages

Chapter 294 Creating Advantages

Compared with the last time, Yu Xing discussed more practical issues regarding trams with Wang Chuanfu this time.

He did not hide his considerations. He hoped to enter the mid-to-high-end market with the help of technological advances. He preferred the extended-range route because it circumvented the difficulties of the gearbox and could shorten the technical research and development time. If he could succeed in the first step, he would have more resources to develop pure electric technology.

Wang Chuanfu does not quite agree with this route choice, and the reason he gives is quite direct. He believes that the extended-range technology has a simple structure and a low threshold, and will lack a moat, so it can only be a transitional technology. BYD's current research and development of plug-in hybrid vehicles will integrate four modes: fuel, plug-in, extended-range and pure electric, which is an all-round technology route covering all scenarios.

In addition, this route also has good performance in terms of fuel consumption.

Yu Xing and Wang Chuanfu had a slight argument about the positioning of the user group, but it was not too heated.

After all, one is only in the verification stage and the other has just suffered a major market setback.

"Anyway, no matter what, the improvement of the supply chain is the most important, Mr. Wang, that's what I think." Yu Xing revealed his own way of thinking when he said goodbye, "I don't think it can be done in a short time, but I also don't think it can't be done."

"Now we need to create positive factors."

"The supply chain problems I'm facing now are small benefits waiting to be created, such as the millimeter-wave radar project we're going to talk about tomorrow. If it's done, it will not only advance my ideas, but also promote progress in this area in China."

“Every time you solve a problem, you create a small benefit.”

"When many small benefits are piled up and integrated, it will become a big benefit."

Yu Xing smiled and concluded: "If there is no good news, create one."

Wang Chuanfu admired Yu Xing's optimistic spirit. After thinking for a while, he shook his hand and gave advice: "Mr. Yu, don't be impatient. Since you have broken down the problem in this way, then see how to solve each small problem one by one. At least there is a solution route, and then increase investment to establish the project. Otherwise, if you get the banner out first, you will be under greater pressure from all aspects."

Yu Xing thanked Wang Chuanfu for his advice, sent him downstairs, and watched the car drive away before returning to the hotel.

There were only four people at today's dinner. Wang Chuanfu brought a director, and Yu Xing brought his secretary Zhang Yangxu, whose role was to record the key parts of the communication between the two sides.

At ten o'clock in the evening, Yu Xing sat on the sofa in the hotel room, drinking bitter coffee and thinking, while watching Zhang Yangxu improve the records.

After a moment, he took the document handed over by his secretary and said with emotion: "In fact, using a mobile phone or a recorder will be more effective, but it is a bit disrespectful. I was not like this before."

Zhang Yangxu uttered an "eh", not sure whether he should join in his boss's self-criticism.

Yu Xing glanced over the contents and found no omissions in his memory. He shook his head and handed the document back.

Zhang Yangxu also made himself a cup of coffee. Seeing that his boss was lost in thought, he carefully read the content he had sorted out.

After a long time, he noticed that Mr. Yu got up from the sofa and asked carefully, "Mr. Yu, Mr. Wang has been in the car business for several years, and now it has become such a situation. This is really difficult."

Yu Xing hummed, as if he was lost in thought again, and after a moment he replied, "It's not that simple, but it's not as difficult as you might imagine."

Zhang Yangxu didn't know what the difficulty level his boss was talking about was.

Yu Xing walked a few steps, stretched his body, and shook his head, saying, "The problems that are presented now are all opportunities. This road can be taken. You go to sleep. I need to think about something else."

Zhang Yangxu responded, stood up and left.

"Leave your cigarette here." Yu Xing shouted when he saw his secretary was about to walk to the door.

However, when he saw the secretary taking out a cigarette, he regretted it and waved his hand: "Forget it, no more cigarettes, go ahead, and if I don't find you at nine o'clock tomorrow, call me to wake me up."

There was only one person left in the room.

Yu Xing felt that his hesitation in quitting smoking was a bit like his feelings towards Wang Chuanfu's suggestion. It seemed that it made sense not to rush to raise the banner. The supply chain was not mature enough, the progress would not be that fast, and the expectations of investors and the pressure of the capital chain were both problems.

He could feel that Wang Chuanfu's words were quite sincere, which conflicted with his previous considerations.

Yu Xing thought about it for a long time but could not come to a conclusion yet. He sat back at the desk and casually wrote the word "radar" on the document.

In fact, the millimeter-wave radar we are going to talk about tomorrow is not the earliest expected.

When Yu Xing formed a new energy project inspection team after the New Year, one of the key directions he proposed was "laser radar".

Just as he discussed with Wang Chuanfu, the empowerment brought by technological progress in the electric vehicle field is the key to improving competitiveness. In addition to the three major electric vehicle components of motors, batteries, and electronic controls, what comes to Yu Xing's mind are two secrets to enhancing product strength.

One is the improvement in body strength brought by one-piece die-casting, and the other is the improvement in driving safety brought by laser radar.

Both of these points have been tested by the market, especially the latter, which brings immediate effects to users. It is like as long as you can deal with an unexpected situation like a "ghost poking its head", the price of the car may be worth it.

As for future intelligent driving, the role of lidar is also critical. The multi-sensor fusion solution with lidar as the core and the pure vision solution relying on cameras are at least on par with each other.

However, although the idea was wonderful, the reality was that we encountered big problems after preliminary research.

There is definitely no sign of laser radar yet. What we have learned so far is that major foreign manufacturers are exploring it, but it will take time for it to be put into practice. What really surprised Yu Xing was that there was no millimeter-wave radar, which he thought was very common.

Using adaptive cruise control when driving on the highway is not considered a high-end product in Yu Xing's opinion. However, the core component millimeter-wave radar that realizes this function is currently only used in cars such as the Mercedes-Benz S-Class and BMW 7 Series.

Yu Xing was very sure that this thing would be domestically produced later.

So...if we accumulate resources at this time, we can always catalyze it in advance, right?

Once it is catalyzed, this will be considered a small positive, right?
Yu Xing intuitively thought that there was no problem, and the rational action was to find a reliable team and technology. As he made inquiries and contacts, people came up to him from the not-so-large circle.

On March 15, Internet public opinion was discussing a new round of bloody competition between Alibaba and Penguin, and Yu Xing met Zhang Yong, who asked him to talk about millimeter-wave radar.

Yu Xing had read Zhang Yong's information in advance. He came from MediaTek and has been immersed in the field of automotive electronics since leaving in 04. Judging from the information alone, he is relatively reliable.

Zhang Yong already knew that Mr. Yu was young before he came, but when they actually met, he couldn't help but sigh at his age. He then became a little worried about his continued interest in the automotive industry.

Yu Xing chatted for a while and got the gist of it. He didn't want to dwell on this issue any more, so he said directly, "Mr. Zhang, I want to know if you have the ability to promote the research and development and application of millimeter-wave radar. Don't worry about what I want to do. You just need to know that I have money. If someone else's 100 yuan is 100 yuan, then my 100 yuan is not 100 yuan, right?"

Zhang Yong was a little surprised that the pleasantries would end so quickly. Yu Xing continued to communicate directly and efficiently: "Mr. Zhang, what is the current situation of your team? Who else is starting a business together? What is the technical guarantee?"

Zhang Yong was not a rookie who had just entered the society, but it was indeed his first time to experience this kind of inquiry from investors, and this represented the possibility of getting money, so it was inevitable that he would sweat.

He took two sips of tea, calmed himself down, and answered honestly: "Mr. Yu, I'm alone now."

Yu Xing did not respond and waited for the next step.

Zhang Yong did follow up: "But if there is money to invest, I can set up a research and development team in a short time. My friend Sun Hao and I have always believed that there is an opportunity for localization in this field. Sun Hao used to work at MediaTek. He graduated from the University of Electronic Science and Technology of China and has very good technical capabilities."

He emphasized: "As long as there is funding, the two of us can be there immediately, and then form a preliminary R&D team within 1-2 months."

When Yu Xing heard the destination of tomorrow's trip, "University of Electronic Science and Technology of China", he did not agree, but asked: "Mr. Zhang, your idea is a little too nascent. You said you can quickly recruit people, but there is no one at all now. I have to invest money, and there is no market research, right?"

Zhang Yong licked his lips and said seriously, "Mr. Yu, we know the market very well. We don't need to do too much research. Millimeter-wave radar is blocked. Mainstream models are now equipped with ultrasonic radar for reversing. The technology is mature and the cost is low. Although millimeter-wave radar is high-end, it actually came out ten years ago. Now it is at the stage where the technology has not yet been decentralized."

Yu Xing asked: "When will it be transferred?"

Zhang Yong shook his head: "If we can't make this kind of money-making stuff ourselves, they won't delegate it to others. If we make it here, they will probably delegate it to others immediately."

Yu Xing nodded, this logic was correct.

"Millimeter wave radar is dominated by Europe and the United States. Even Japan used to use 60-61GHz, but has only switched to 77GHz in recent years." Zhang Yong listed them all. "Nissan's Infiniti EX35 was first equipped with 08GHz radar in 77. Honda just introduced it in its Legend model last year. It is estimated that Japanese cars will make a comprehensive switch in the next few years."

He continued: "If we want to do it, we have to start with 24GHz and make short-range radar first. Only after accumulating experience can we continue to make 77GHz radar. We also need policy support."

Yu Xing frowned when he heard this and asked, "Wait, you said we should start from 24 GHz? Can't we start from 77 GHz?"

He looked down at the team's information and asked after confirming it, "Isn't Huayu Automotive working on 24GHz?"

HUAYU Automotive is a subsidiary of SAIC and an important supplier to it.

"Huayu is working on it, but it should be slow." Zhang Yong pondered, "24GHz also has good applications, such as blind spot monitoring and lane change assistance, which will be marketable. As for whether the 77GHz project can be established... this, this... I dare not say it easily, it needs to be demonstrated."

Yu Xing stared at Zhang Yong's expression, thoughts kept turning in his mind. He had industry experience, judgment of the future, a cautious start, no empty promises, and talk about certificates... His initial feeling was that there would be no problem.

After thinking about it, he asked, "Mr. Zhang, if you can start the millimeter-wave radar project from 77 GHz, I would be interested in investing. Of course, today we are just trying it out. You need to demonstrate it, and I also need the team to investigate it. Suppose, based on the current situation, if you recruit people to start from 77 GHz, how much money will you need for this round?"

Seeing Zhang Yong in deep thought, Yu Xing added: "If you want to do 24GHz, you also know that Huayu Automotive is developing it. I will just wait for them to finish it. Why would I invest in you?"

Zhang Yong said in embarrassment: "R&D requires experience accumulation. Moreover, the 77 GHz frequency band has to wait for domestic policies to be opened up. It is difficult to start directly."

"I'll find someone to help with the policy. I have a good relationship with Xu Xin, CEO of Capital Today. She has connections in this area. We can solve them one by one. It doesn't have to be this year or next year, right?" Yu Xing said. "Since you came to me, you should have a rough estimate, right?"

Zhang Yong had a number in mind, but it was for 24 GHz. Now he was asked to evaluate from 77 GHz...

He gritted his teeth, exerted his strength, and shouted out a number: "1000 million!"

Then, Zhang Yong saw that Mr. Yu opposite him frowned.

Yu Xing pursed his lips, calculated the funds for a while and said slowly: "For 1000 million US dollars, your team and technology will need..."

Zhang Yong was startled and quickly corrected: "Mr. Yu, it's not US dollars, not US dollars, it's 1000 million Chinese yuan!"

Yu Xing looked at Zhang Yong, and Zhang Yong looked at Yu Xing.

Five seconds later, Yu Xing sighed and said, "This is such a hard job."

Zhang Yong: “…”

Yu Xing stopped talking about numbers and said, "Mr. Zhang, then you should find someone to discuss it. You mentioned Sun Hao just now and said that he is from the University of Electronic Science and Technology, right? I will go there tomorrow. Please give me a confirmed intention as soon as possible."

Zhang Yong listened to Mr. Yu's voice, which had obviously become more cheerful, and felt a little complicated. He was obsessed with confirming the number: "Mr. Yu, if the demonstration is promising, can this money be invested?"

"Yes." Yu Xing was very sure, and then said, "But the money will be received in installments. Your team needs to give me the goals and progress of different stages. Only when each stage is roughly achieved can we continue to transfer the money."

Zhang Yong was silent for a while, then expressed his objection: "Mr. Yu, isn't your investment too much of an interference in the team?"

Yu Xing sighed, "Mr. Zhang, this is what I said earlier. I have a good relationship with Mr. Xu of Capital Today. She taught me how to understand investment. Her style of being able to strongly influence the company has been proven to be effective, so I also follow her way."

He continued, "In addition, as long as the progress is good and the source of funds is guaranteed, I will try my best to help you find anyone you need. Let's understand each other. Look at me, I'm so young, and I'm also afraid of encountering scammers."

Zhang Yong lowered his head and thought, feeling somewhat helpless. Mr. Xu only needed to invest in Mr. Yu, why would he teach him how to invest...

He finally said, "Okay, Mr. Yu, let me find someone to discuss it first, and let's see if it can be done."

Yu Xing stood up and shook hands, and said sincerely: "Mr. Zhang, I really hope that this money can be invested."

Zhang Yong felt both relieved and heavy-hearted. He nodded and ended the meeting with the investors.

Yu Xing sent Zhang Yong away, thinking about the information he had obtained today, and instructed his secretary Zhang Yangxu: "Xiao Zhang, call back and don't look for technical personnel from Rongcheng to investigate and verify. Find someone from Jinling to work on Zhang Yong's project, and then contact the people from Today Capital and ask them to send someone to help me look at the business prospects of the fruit operation."

Zhang Yangxu was not surprised by the former, as the boss was probably worried that technical demonstrations in the same region might be easily sloppy, but the latter was a bit strange.

He asked, "Mr. Yu, aren't you going to ask IDG to help with this?"

"It's not a big deal, and they don't have to pay for it. This kind of small favor is not really a favor, it's just an interaction between us." Yu Xing rubbed his face, "Otherwise, if I talk about big things as soon as I get to their door, it will be difficult to start."

Zhang Yangxu felt that Mr. Yu was not the kind of person who was difficult to talk to, but perhaps Mr. Xu was indeed suited to the recent difficult projects.

(End of this chapter)