To be precise, it is not Jester that owns 70% of Mars Entertainment's shares, but Jester Holdings, a holding company registered in the Cayman Islands, which is also the reason why Mars Entertainment was officially established three days after Jester returned to Costa Mesa. He needs to spend time finding a professional agency to help him apply for a company in the Cayman Islands.

As for the reason that is known, it is tax exemption.

In this way, Mars Entertainment became a subsidiary of Jester Holdings, a company located in the Cayman Islands. In this way, the federal government has no right to collect corporate taxes from Jester Holdings, because Jester Holdings is not an American company, but can only collect business and sales taxes from Mars Entertainment, a subsidiary of Jester Holdings. Even some other heavy taxes can avoid a considerable amount of it.

Later institutions have done statistics. Around 2014, according to regulations, the federal tax rate for a company was about 35%, but after most companies used various tax avoidance methods, the federal government could collect only 12.5%.

Not to mention, companies that carry out high-tech in California can also receive government tax cuts, with the lowest being less than 10%.

Jester has no idea of ​​tax evasion, because tax evasion in the United States is no different from dying.

There is a very famous saying in the United States that there are only two things in the world that are inevitable: death and tax payment. However, tax avoidance, Jester thinks that this should be something that a qualified capitalist must learn.

The first board meeting of Mars Entertainment since its establishment was held at Jester's home - the living room is the conference room.

This is understandable. After all, Mars Entertainment has only four shareholders, of which the three Jesters still control 95% of the shares.

Essentially, Jester didn't even need to hold a board to make any decision because it owns an absolute majority stake in the company, but to show respect for Mark Seney and to indicate that Mars Entertainment is a real company, not a casual workshop-style studio, he decided to hold this board.

Jester, Mark Seney, Jester's parents gathered and sat down, talking about some topics casually, without a sense of seriousness in holding a tens of millions of dollars in spoils.

Yes, the board of directors proposed by Jester was to discuss how to distribute the profits of tens of millions of dollars brought by the company's huge sales last month. In fact, it is a bit unreasonable to say that the company's monthly sales are a bit unreasonable. This is just an advance payment from the agency sales companies. If you want to complete these production tasks, Jester's current production capacity estimates will probably be until the end of August.

So, essentially, this should be about two and a half months to three months of sales.

But after all, it was a huge sum of nearly 100 million US dollars. After deducting taxes, the necessary expenses for the company's establishment, the funds paid to the OEM factory, and the necessary funds for the subsequent operation of the company, there was also a huge sum of more than 70 million US dollars.

According to regulations, all of this money can be used for dividends.

Of course, Jester cannot withdraw all the funds. It is undoubtedly necessary to fill the development of Mars Entertainment.

But the two hardware development teams he set up are two bottomless pits that cost money. Now it’s okay to say that the products developed are all mature technologies in the market. When we really start the research and development of products that are not available in the market, such as 16-bit arcade substrates, 16-bit home machine circuit architectures, and 8-bit handheld machines, the funds required will be extremely large. For example, Capcom spent a full 50 million US dollars on developing CPS1.

"Give out 50 million to distribute dividends, and the remaining 20 million is used as the company's operation funds." Jester simply said his opinion.

In fact, he himself doesn't want to withdraw so much money at once, but the problem is that he has needed too much money recently, such as acquiring Vision Studio, establishing a display chip research and development company, investing in Michael Dell, who is still struggling in Texas warehouses, investing in building factories in China, and setting up a issuing company, etc.

Yes, Jester did not intend to count the distribution company on Mars Entertainment. In his mind, he had a specialty in his profession. The game company only needed to concentrate on making games, while the distribution company only needed to sell the games.

In the future, his distribution company will not only release Mars Entertainment games, but also release a large number of third-party games. Jester knew that the cake in the game market was too big, and even Ren Hell could not eat it in one bite, so it was absolutely impossible for him to do it.

The prospects for third-party games are extremely broad, otherwise it would not have been possible to give birth to third-party distribution giants such as EA, Ubisoft, and Activision.

Including the game CG company he will set up in the future, the toy production company for game peripherals, etc., they will be an independent individual and will not belong to Mars Entertainment. All these companies are born with Mars Entertainment. Mars Entertainment is an egg incubator, and these companies are catalysts to earn the highest profit for Jester.

In order to completely control these newly established companies, it is impossible for Jester to directly use the money from Mars Entertainment. If he does this, then the ownership of the newly established company belongs to Mars Entertainment, not himself. The equity is clear, which he must be clear from the beginning. It is not that he cannot trust his parents, but that the future of Mars Entertainment cannot be just the four shareholders.

In the future, each of their shares will be diluted to win over the best producers.

Jester, who knows the history of later generations, knows that these most excellent producers cannot be willing to work for a certain game company for a long time. As long as they make a successful and sensational work, they will try every means to leave the game company to build their own studio and leave their best works here.

After all, making money for yourself is the most motivated.

Therefore, Sony's classic creation in later generations, the global studio plan to establish or acquire studios around the world, is the best choice for Jester.

This plan is completely different from the one from EA's who will buy which studio is popular when they see.

Sony does this not just to make money like EA, but to share and reputation, and a deeper meaning. As long as you don’t let your enemies get it, you will make money.

The biggest difference between Sony and EA is that except that Sony owns its own console and is the so-called first-party game publisher, Sony owns shares in this studio, but only makes a part of the profit. Moreover, they will never interfere with what games their game studios want to make.

For most excellent filmmakers, their thoughts are almost the same as those of Hollywood film directors. They all think they are dream builders. They are creating a new world and telling a brand new story. What they hate the most is the fingers of an outsider.

What EA likes most is to do whatever I ask you to do until you squeeze out all the surplus value of the studio, and then throw it away like a broken shoe - such as the famous West Wood Studio, and the disbanded and reorganized Need for Speed ​​Design Team.

Sony is different. They will not interfere with what games their studios want to make and how to operate them. What they want is that you want to make a good game for my platform.

Although this is different in business philosophy between the two parties, the most important thing is that first-party games are not allowed to lose their reputation.

The first-party games allow for low sales, but they must not be criticized because this is the biggest weapon used by a console manufacturer to seize market share and cannot be missed.

Why do players buy your game console instead of another one? It’s not based on third-party games, because third-party is on the entire platform, and it’s based on your exclusive attraction!

The biggest difference between Jester and Sony Games is that Sony Games itself is a publisher and the game studio is controlled by publishers. However, the company that Jester wants to establish not only wants to be a first-party publisher, but also wants to be a third-party publisher.

Mars Entertainment is the first party, while other game companies are the third party.

The distribution company he wanted to establish not only had to publish his own games, but also had to publish other people's games, even if it was not his own.

Jester makes exclusive games because he is the boss of a game company. He has to do it. He is responsible for his company, but his thoughts on games are that all players should enjoy the fun of every game, that is, he essentially supports the entire platform.

That's why he had this plan. Those who make games only make games, and those who make distributions only make distributions. These two form a symbiosis of interests, and the owner still himself.

According to shares, Jester, to be precise, Jester Holdings, which is completely controlled by Jester, will receive 70% of the 50 million US dollars, a total of 35 million US dollars. Moreover, because the dividend entity is a company, Jester does not even need to pay that considerable amount of personal income tax.

No one opposed Jester's proposal, so his parents naturally need to say, and the 2.5 million US dollars obtained by Mark Seney's 5% of his shares was a large amount of money after excluding the taxes, so he naturally had no reason to object.

In fact, Jester hasn't heard of any board members who would object to dividends.

The next proposal is to move Mars Entertainment, but now the board of directors is basically Jester's one-man show. Even if Mark Seney opposes it, it will not have any impact on Jester. If Mars Entertainment becomes bigger, shareholders will become more and more, and interests will be complicated, it will be very difficult to do it again. After all, this is the naked cut from Mars Entertainment.

Even if it is forced to pass, it will make everyone disunited.

What is the most important thing for a gaming company?

Anyone who knows the game industry will tell you the right to issue it directly.

What Jester wants this time is the issuance rights of Mars Entertainment.

"My second suggestion is that I want to sell the Mars Entertainment's right to Jest Holdings for one million US dollars." As soon as Jest finished speaking, Mark Seney's face changed, but he didn't say anything objection. After all, he just received a dividend of 2.5 million, which for him was basically equivalent to the joining fee that Jest gave him. This also made him admire Jester in addition to his admiration for the game design, he also had a kind of favor of knowing.

Before Jester, even himself did not think he could be worth millions of dollars.

Therefore, he unconditionally supported all Jester's proposals.

Jester's parents are not stupid either. After handing over the issuance rights of a game company, the company will completely become a vassal of Jester Holdings, but what does that matter?

After all, Jester Holdings is a company that his son owns completely.

They naturally raised their hands to agree.

As for some other small issues, Jester and the other four also discussed it, but Jester's father was not very interested in how to manage the company. He was only interested in developing a certain product. Now that the 8-digit arcade motherboard project is over, the research and development of 16-bit substrates has also begun formal project establishment. The entire arcade substrate research and development team has no experience in research and development of 16-bit substrates, so his current work is very heavy. Seeing that there is nothing important to discuss, he directly proposed to return to the company.

Before his father left, Jester specifically told his father that he would continue to recruit more outstanding hardware designers and start pre-development of a brand new product.

When Jester's father asked Jester what product it was.

Jester took out a GAME-WATCH that had been prepared long ago and handed it to his father.

"Handle-hand machine!" The moment he saw GAME-WATCH, Jester's father called out in surprise. He understood what the new product Jester was referring to.

GAME-WATCH is the world's first handheld machine, and it is also a cross-age work that Yokoi Junhei established his position as a hardware god. Its vision comes from Yokoi Junhei's sudden idea of ​​seeing an office worker fiddling with an electronic calculator when riding the Shinkansen. Its names are derived from the electronic game GAME and digital quartz watch WATCH.

At that time, Ren Dijiu was in a bad situation, because Ren Dijiu invested everywhere before, which caused them to suffer serious losses, especially the home machine called TV-GAME6, which was developed with Mitsubishi Trading Company, called TV-GAME6, a counterfeit Atari 2600. Although this counterfeit product, which was much cheaper than Atari, sold 350,000 units at the first launch, the problem was that this was a console sold at a loss for the share. The original plan was to use the games he produced to earn the difference, but unexpectedly, several of the early counterfeit Atari works were all disappointed.

This has caused a phenomenon, that is, the more you buy this game console, the more Ren Die loses. When Yokoi Junhei's GAME-WATCH plan was submitted to Hiroshi Yamauchi, Ren Die was already dragged down by this TVGAME6 and was almost on the verge of collapse.

Then it was Yamauchi Hiroshi who put the last weight on this GAME-WATCH by Yokoi Junpei, allowing Hell to win in the last battle and resurrected himself.

Yokoi Junhei also established his position in Renhe. Before he left Nintendo in the 1990s due to the failure of VB, Yokoi Junhei was unquestionable. The existence of everyone in Renhei and above Hiroshi Yamauchi, even Shigeru Miyamoto, the head of Nintendo Intelligence Development Headquarters, would respectfully bend down and shout to his master when he saw Yokoi Junhei.

Because Miyamoto had the opportunity to transform from an artist to produce the palace-level game "Donkey Kong", thanks to Yokoi Kohei's recommendation to Hiroshi Yamauchi.

Regarding the lesson that Nintendo was almost dragged down by TVGAME6 this time, Hiroshi Yamauchi set a rule that hell could never be broken for this. This rule was also hated by later players, but Jester agreed with this rule very much - this is the biggest lesson learned by a person who had already stood on the edge of a cliff.

"Every hardware sold on the market must also be profitable!" This is also why in later generations, Sony, Sega, Sony and Microsoft would rather lose money in order to compete for platform share, while Nintendo would never lose money in buying hardware no matter how low its share.

They had played this trick decades ago.

This is also the belief that Jester has always followed. He always firmly believes that the platform share of gaming consoles is certainly related to price, but the most important thing is to exclusively occupy the quality of the game on this platform.

Each hardware sold is profitable, which is responsible for the company and respect for the hardware R&D team.

No one wants the product he has worked hard to develop for several years to become a vassal of anything else.

Even if it's for the overall situation.

Ren Diyu was able to maintain a not-too-unsighted share of the hardware level behind Sony and Microsoft's two eras, and even took the lead in making somatosensory innovations in WII, so that in the early days of the console era, sales of PS3 and XBOX360 were greatly increased. Although it was weak in the later period, in the statistics of console sales of PS4 and XBO after the release of PS4 and XBO, WII still beat PS3 and ranked first.

It is worth mentioning that the best-selling single-platform game in history is WII Sports, with a total of 80 million sets shipped. Of course, this is a bundled WII sales.

Another thing worth mentioning is that the most important and greatest design in GAME-WATCH is the cross key.

This design spans almost the entire history of the game and influences almost all manufacturers and players. From the moment it was born, it laid the rules for direction key design, making people feel that the direction key should be set like this. It is foreseeable that before the so-called virtual helmet in the novel appeared, the cross key design was still unique and irreplaceable.

And not only that, Yokoi Junhei is not only a hardware god, but also a very outstanding game designer. When he designed GAME-WATCH, he also specially made a game for this work of his hard work. This is the "Firefighter", the 100 greatest works in the history of electronic games in the last century that was later selected by IGM.

The gameplay is that two firefighters carry rope nets and continue to support residents who jumped out of the fire building. The residents who jumped out of different heights and speeds are different, which requires the player's reflex nerves to be highly concentrated.

Although the picture of "Firefighter" is simply unsightly from the current perspective, it already contains all the basic elements of modern action games. The subtle adjustments of the operating system to maximize the fun has become Ren Hell's consistent game production philosophy.

In the decades of history of the electronic game industry, people like Yokoi Junhei have made great contributions to both software and hardware.

GAME-WATCH was released in 1980s. It has a simple game built in it. It is as small as a palm. It is playing in a posture like holding a book. Because it is small in size, light in weight and suitable for the customer base, it was once praised by office workers and children at that time. After it was introduced to the United States, it triggered a sales frenzy.

However, GAME-WATCH has a big disadvantage, that is, because the technology was immature, its games were installed in the handheld console, so you can only play one game when you buy a handheld console. If you want to play other games, you have to spend some money to buy a new one. Therefore, the popularity of GAME-WATCH only remained in the early stages of its release.

But the prototype of this modern handheld still has a large number of fans. Jester remembers that when he watched the video of the Spray God JAMES in his last life, JAMES highly praised the GW handheld, saying that when he was a child, GW almost had one.

"It's not just a simple copycat version of GAME-WATCH." Jester said his idea to his father, "I have some ideas about handheld consoles. I think the handheld console has a very obvious name that reflects the characteristics of this kind of game console, which is to be played in my hand."

Hearing Jester's words, his father kept nodding.

"So, there are four conditions for this type of game console that must be met." Jester talked freely and directly mentioned the four basic characteristics that Yokoi Junhei said in an interview with later generations about the design of the handheld console should be in line with. "That is, the handheld console we designed must be as short as possible, as small as possible, as light as possible, and as thin as possible."
To be continued...