Many Intel directors expressed their incomprehension as to how prices could be reduced so drastically.

"The media outside are exaggerating and saying that China is poor. There may be political reasons for that. But you are all well-known people in society and people with extraordinary knowledge. How can you have such a shallow understanding!" Grover

He scolded, "China was indeed very poor once, but since they opened the city, China's economy has been booming!"

"Last year, China's computer market transaction volume was 7.9 million units! We sold more than 5 million chips in China! In the future, I believe that the number will double exponentially every year! China has a population of 1.3 billion. This is

A very huge market. If we give up, what we will give up is not just a mere two to three billion US dollars in net profit this year, but maybe tens of billions or even hundreds of billions of US dollars!"

Grove said seriously.

"Are you serious?" Many directors were shocked.

"I'm very serious!" Grove said seriously, "Don't underestimate the Chinese market. This market is very huge and incredible. We must take it seriously!"

Everyone looked at Grove and fell into deep thought.

If all this is true as Grove said, then it really needs to be treated with caution. There is no harm in even giving up profits.

After all, life should be viewed in the long run, not in the immediate moment.

"China has a population of 1.3 billion, and its GDP last year was US$863.7 billion! Although compared with the United States, it is only one-tenth of the United States, but it ranks seventh in the world!" Grove said.

Everyone was really shocked this time.

Unconsciously, China's GDP ranks seventh in the world.

With the seventh-largest GDP in the world and such a large population, the market is huge!

"We support price reduction!" Many directors nodded.

For the overall situation, these directors are not ordinary people after all, and they are not stupid and ignorant people. They also feel sorry for the profits from the price reduction, but if they leave it alone, if the entire market is occupied by Loongson, even the low-end market, they will

The losses are huge.

In particular, this is not just China. If Loongson is firmly entrenched in China and then enters other markets, you will be in trouble. They will have the emergence of a formidable opponent.

Therefore, danger must be nipped in the bud.

Therefore, the market responded quickly.

After the Celeron 2 processor was launched, the price was immediately reduced to an extremely low price of 480 yuan. This price is 100 yuan cheaper than the Loongson 1 generation.

Although it is said that Loongson 1 generation has 300mhz, which is better than Celeron 2 in performance. However, the price difference is 100 yuan, which is very tempting. Moreover, Intel also plans to change the chip processor frequency of Celeron 2

Increase to 300mhz to cope.

However, due to inventory pressure, Grove decided to sell out the 233, 266mhz and other chips currently on the market first.

Otherwise, if you directly transition to 300mhz now, the previous chips will be in vain. Qin Feng will take them back and modify them. But for Intel, the price is too high.

After all, once Intel takes it back, it will be a global market. The chips involved will be tens of millions.

This is what the old saying goes: a small boat is easy to turn around.

Qin Feng can recycle it at any time, but Intel can't.

"480 yuan!" Qin Feng was shocked.

This price is a bit beyond Qin Feng's expectations. He didn't expect Intel to be so ruthless.

"Qin Feng, are we following?" Lei Jun's tone was a little uncertain.

"Follow up! Since they want to play a price war, then keep up!" Qin Feng snorted coldly, "Isn't it just a price reduction? Who is afraid of whom?"

"We sell it for 460 yuan, and then the shipping price is also reduced to 360 yuan!" Qin Feng said.

"360 yuan! Then we will earn 10 yuan!" Lei Jun took a breath.

This is really not profitable. You must know that this price is a price calculated by the company based on land cost, machine equipment cost, labor cost, etc.

This does not include the huge scientific research expenses. This is excluded.

As a result, the company now only earns 10 yuan from selling CPUs. How can it make money? This is less than what those vendors earn.

Vendors can earn dozens of yuan by purchasing goods, but CPU mainframe manufacturers only earn 10 yuan. This is no longer considered making money, it can even be said to be losing money.

After all, if you add the terrifying research expenses, you will lose money.

"Qin Feng, if this continues, there will be no profit. We still need scientific research, and the funds will not last long!" Lei Jun calculated, "Not counting the investment in expanding production, our funds can last for one year at most!"

Before this, if the CPU made 50 yuan, that was okay. As long as you sell a lot, small profits but quick turnover was no problem. But if it becomes 10 yuan, it won't be okay.

If this product sells 10 million pieces, it will only make 100 million. It is far from being able to supplement the investment in scientific research and other projects.

"Let's lower the price first! As for the funds, we'll find a way later!" Qin Feng said in a deep voice.

No matter what, we must hold on first.

"Selling it for 460 yuan!" Many bosses at SEG Plaza were also a little shocked by the price. This was a complete avalanche of prices.

Although these small traders do not have much experience, they also understand that Intel is a giant with great wealth and power. In such a price war, Qin Feng has no chance of being his opponent.

If this continues, sooner or later Qin Feng will be unable to make ends meet.

Finally collapsed!

However, this kind of thing is something they cannot interfere with. There is nothing they can do. All they can do is help Qin Feng sell more CPUs.

The price war has officially begun!

Qin Feng’s Loongson 1 sells for 460 yuan, and Celeron 2 sells for 480 yuan!

Between the performance of the two, the Celeron 2 233 is 50% worse than the Loongson 1 300. The price is almost the same.

Under such a choice, consumers will undoubtedly choose Loongson.

However, Intel soon lowered the price again, this time reaching the freezing point, with Celeron 2 233 selling for 430 yuan!

"Qin Feng, what should I do?" Lei Jun was already trembling, completely unable to control the fear in his heart.

Intel only cut prices a little bit, but it completely killed Loongson's survival space.

The Celeron 2 is sold for 430 yuan. How much did you sell the Godson?

If it sells for 420 yuan, will the merchant make money? How much do you give the merchant?

"Currently, merchants can still make a profit of 20-30 yuan when purchasing Celeron 2 CPUs from third- and fourth-tier cities. For second-level dealers, the price is about 380 yuan, while for first-level dealers, the price is probably only 360 yuan.

It’s about 100 yuan. If we lower the price, I’m afraid there will be no profit at all!” Lei Jun said, “Shall we follow up?”

Is this still going to be followed up? The entire Jiuzhou IT Technology Co., Ltd. is filled with sorrow.
Chapter completed!