Chapter 202 Upgrade
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Like Xiao Qiang, there are still a group of people in the Pentagon in the United States who are worried about digital individual equipment.
However, although the two of them both worry about the same equipment, the angles are completely different.
Xiao Qiang’s headache is that after so many years, the company’s production process level is still far behind that of foreign countries. At the same time, since the company now only has small ultra-high precision processing capabilities, the chip production line independently developed can only process at most six-inch crystals, which cannot form an economies of scale.
At this time, the various American military system contractors who were called to the Pentagon for a meeting were anxious about the cost.
The cost of product land cannot be reduced to 40,000 US dollars, and their digital individual equipment cannot be sold at all.
Forty thousand dollars alone is not enough. If you want to win high profits, the cost must be reduced by at least another 30% so that everyone can make profitable.
The problem is that by adjusting production processes and cost control, various manufacturers have tried their best to control the cost to 60,000 US dollars. It can't be reduced by just one cent.
Therefore, they were all very distressed when they received a notice from the Pentagon that Lieutenant General Rosen, who was in charge of the Land Warriors' Program.
The conference room was silent and the atmosphere was very depressing.
It was ten minutes since the meeting started. Except for the opening, each manufacturer reported the R&D progress to Lieutenant General Rosen with two points, but no one said a word, and the venue fell into a deadly silence.
"Gentlemen, why don't everyone talk?" Lieutenant General Rosen tapped the conference table, reminding the sleepy manufacturer representatives to pay attention to the occasion.
"Well," said the representative of the landlord contractor of the project. Looking at the other people, they said with a tough bullet, "General, this cost control is a systematic land project. It takes a certain amount of time and we are..."
"Time! Time!" Lieutenant General Rosen interrupted his perfunctory angrily, "Will the Chinese give us this time? We have put a lot of effort into convinceing Saudi Arabia and other countries to agree to purchase our individual soldier equipment. But you have been unable to produce equipment that meets the requirements. The Chinese digital equipment has achieved brilliant results in actual combat! Now, the Gulf countries, Asia, and South America, our traditional allies, are all flattering the Chinese to buy their cheap and high-quality digital individual soldier equipment! So, I don't want to hear your ruling, but have to get an exact timetable, when will the cost be reduced to an acceptable level!"
The representative of the system subcontractor Motorola Company is unreasonable to the general, and from the bottom of his heart, he can understand it.
Who is not in a hurry?
They are more anxious than the military. These are all green dollars. Every share and every second, there are countless money that slips away from their hands and flows into the pockets of the Chinese. How can they not be jealous?
He explained to Lieutenant General Rosen with a frown: "General. The cost control channel is nothing more than starting from both internal management and hardware technology. Now, our internal process management potential has reached its limit.
The problem lies in the hardware.
In order to ensure the quality of the equipment, we also use a 193-nanometer manufacturing process like the Chinese. Of course, our local technology is much more mature than them. But despite this, there are many problems. The main thing is the difficulty of processing and the yield rate is too low, and it only reaches 25% of the yield rate!"
His words were sincere. The manufacturers in the room were nodding vigorously, indicating that they had indeed done their best.
Lieutenant General Crosen didn't buy it: "Damn it! You said you have made the best efforts, but how did the Chinese people reduce the cost?"
He didn't talk about Chinese people, but everyone was fine. When they talked about costs, everyone in the room started to shout excitedly.
The representative of Leisheng Company was closest to him and the first one called out: "This is the most incredible place! Through some information we learned from the side, China's digital equipment manufacturer, China World Company, is still using six-inch crystals for processing. This is an order of magnitude different from our eight-inch crystal production line!"
Subcontractor Omega Company was also shouting: "From the information feedback from the computer industry, their commercial processing technology is only a pitiful micron level. From the fact that we decomposed the digital individual equipment purchased from the Saudis and analyzed it, they actually used 190 nanometer ground technology on the main control chip!"
"Good! The laboratory dismantled their chips. The internal processing level of the chips was so rough that all scientists couldn't bear to see them!" He also said with a red face when he joined the Land Warriors Plan. "From the situation of this chip, they tried every means to produce such a chip! A super chip! Logically speaking, it was very surprising to be able to produce such a top-quality chip. However, the ten sets of individual equipment we purchased. All chips are like this! What's even more incredible is that the cost of this chip should be so high that it makes people stunned. But the entire set of equipment was only sold for 30,000 US dollars, which made people think they were dreaming!"
Lieutenant General Rosen also frowned and corrected the mistakes of General Motors representatives: "25,000 US dollars! They lowered the offer by another 5,000 US dollars! Now, not to mention those countries without R&D capabilities, even Europe, many countries are moved. I just received a notice that France has decided to use a small amount of domestic equipment to make technical reserves based on spontaneous development, and purchase a large amount of China's digital individual equipment. Establish a division-level digital force!"
"***!" The contractors in the conference room were collectively uproared and cursed.
Chinese companies are simply a bastard! That bastard Xiao Qiang is even more a bastard!
Their quotes are already shockingly low, and they have to cut prices again, which will make people live! Originally, if American contractors work hard to reduce costs and lobby hard, they will have a chance to get a share of the pie. But if they continue like this, they will not eat meat. Even bones, or even soup, don’t think of taking a sip!
In the future, the whole world will use Chinese individual equipment. Can't they gradually penetrate and slowly control the world's weapons market by providing supporting equipment and other methods?
Isn’t this dumping? Use dumping to occupy the market?
And this is absolutely intolerable to the United States!
But it is not a problem that these arms dealers can't tolerate, and it is even more incredible.
The purpose of dumping is to occupy the market at a low price. However, the cost of Universal is definitely extremely high. For every set of equipment sold, they will lose several times the price of USD. When can they sell it at such a low price?
Why hasn't Universal go bankrupt yet?
Lieutenant General Rosen had only a little understanding of the technology and asked the representative of Leisheng Company: "The six-inch processing technology is considered very bad, right? I remember that the local electronics manufacturer in my country used the eight-inch manufacturing technology very early."
"No! General, the so-called processing technology of the ground is not the main basis for measuring technology. This just means that we can process and process silicon crystal slices with an eight-inch diameter. Since the diameter is larger than six-inch, the number of chips that can be produced by a single silicon crystal slice is much more. At the same time, when the yield rate is comparable, the number of chips is relatively large, due to the large number of chips being processed at one time, it saves the processing process and the cost of the land is evenly distributed. It is also much lower." Motorola's representative explained in a simple way.
"Yes, general. The level of semiconductor technology refers to how much process level is used to manufacture it. Its index is usually expressed by how many micron technology and how many nanotechnology are used. For example, our West has switched to 360 nanotechnology for low-level electrical products, and has also been developed in the late 1980s. It has been maturely used in the commercial field. It is also used in 248 nanotechnology for digital individual equipment. It is developed by 193 nanotechnology.
In other words, the smallest unit we can handle is one hundred and ninety-three nanometers.” The representative of Raytheon also patiently explained to Lieutenant General Rosen.
Lieutenant General Rosen pondered for a moment and asked, "Then, as you said, in the current eight-inch crystal production, the potential has reached the highest level and cannot be improved. Can we use a larger diameter crystal chip production line to reduce costs? For example, convert your production line into twelve-inch, thirteen-inch, or even sixteen-inch?"
The contractors, who were stunned for a while, were silent for a while, said by a representative from General Motors: "This, theoretically, is the easiest way to solve costs. But there are also many difficulties. The first difficulty is the production line.
How many inches of production line? It corresponds to the size-level crystal chip. If it is converted from eight inches to twelve inches, the cost is better than investing in a new production line. With the difficulty of technical processing, the total investment of a twelve inches is almost $2 billion!"
The representative of the contractor Hanniweer Company said from another perspective: "General, the crystal rod we want to process has one characteristic, that is, the larger the diameter, the more impurities there will be on the edges. Before the crystal preparation process is improved, our utilization effect of large-sized crystals cannot achieve the ideal effect. To make full use, we must secondary processing the cut crystal sheets to allow the surface to grow a layer of crystal. The semiconductor unit is made on this crystal. Of course, you can imagine that this is equivalent to increasing the cost."
The representative of Motorola also coughed and added: "This cost reduction is mainly due to the yield rate. If the yield rate increases, the cost will naturally drop. Therefore, using mature technology is the key to solving the problem. If we use 248 nanometer technology, the yield rate can reach 47%. The cost can be greatly reduced."
"No need to say anything!" General Luosen pushed the chair and stood up.
He walked around the conference room with his hands behind his back and said angrily: "If the cost cannot be reduced, we cannot produce on a large scale, and it is even more impossible to purchase on a large scale. If you don't want to see us hand over the order to the Chinese, you have to find a way to reduce the cost!"
The contractors gathered together and whispered to discuss it. Finally, they told Lieutenant General Rosen that they would give him a certain cost control plan in a week later.
A week later, all the contractors of the Land Warriors program gathered again at the Pentagon and submitted their joint report to General Rosen.
The Land Warriors Project has a total of seven contractors. Raytheon is the main contractor, six subcontractors Hannivel, Motorola, General Motors, Omega, etc.
Their report submitted in part, partly using Lieutenant General Rosen's suggestion, was divided into two parts:
First, it is also the most critical method to reduce costs, speed up the research of 193 nanotechnology. We strive to make this technology completely mature and applicable within one and a half years.
Second, several companies have carefully calculated and used twelve-inch manufacturing technology, although they have various defects. However, after deducting various additional expenses, the cost is still 30% lower than the original eight-inch production line.
The original cost of 60,000 US dollars. If 30% is reduced, the final cost of each set can be reduced to 42,000 US dollars, barely approaching the minimum requirement of international users.
The new twelve-inch production line will not be put into use in less than a year and a half. With a year and a half, the technology of 193 nanometers can be almost significantly improved. At that time, the yield rate will only increase by ten percentage points. The cost will be reduced to a satisfactory level, leaving profit margins for each contractor.
Moreover, arms trading is a long-term business. If the equipment is bought, it will be broken and will be eliminated. If it is broken, it will be bought from them. If tens of millions of soldiers around the world, if everyone buys their digital individual equipment, this profit will make them faint!
However, high profits also mean high risks!
Because, this requires them to sell the original eight-inch production line and partly lend to the bank to build a new twelve-inch production line. Moreover, after completion, the production capacity will be greatly improved. If there is no sufficient product support, it will definitely be a loss-making transaction.
So, as a return on the reconstruction investment, several contractors asked the Pentagon to sign formal contracts with those customers, after the production line was completed and put into production, and the land price reached a $40,000 sale price. They purchased their land equipment in large quantities.
The Pentagon certainly has no objection.
The US military has placed an order for 200,000 sets of equipment, but because the contractors cannot reduce the price, they only equipped one division. Once the cost is reduced to 40,000 US dollars, they plan to purchase in large quantities.
As for international customers, they have verbally agreed that as long as the price of digital individual equipment in the United States is $40,000, they will use American equipment. Signing a formal intention contract now is just a matter of completing a formality.
With the Pentagon's approval, contractors such as Raytheon took action quickly. All old equipment, as long as it has no use-value land, will be sold as much as it can be sold. It will be a good place to recover some funds.
The original factory building needs to be demolished again. The cost of reconstruction is better than building a new factory again.
American precision equipment and machinery manufacturing companies have received orders to produce new chip production lines for them. The American precision equipment market has begun to become popular because of the arrival of a large number of orders. Their stocks have also begun to become popular in the stock market.
While contractors were making big moves in order to expand their business scale and reduce costs, the Pentagon in the United States was disappointed in front of international customers!
Those customers seemed to have agreed and were not interested in Pentagon sales.
They said in unison: "The Chinese local price has been lowered again, and now the price of a set of equipment has reached 25,000 US dollars. As a equipment that has been tested and has achieved great success after practical trials, this offer is very attractive to us! We believe in American local technology, but if the US equipment price does not exceed half of the Chinese equipment price, we will consider purchasing it."
The price is no more than half of the Universal Company, which means that the price of each set of equipment cannot be higher than 37,500 US dollars!
***.Huanyu Company is not here to sell equipment, but to disrupt the market!
The Pentagon advised these customers with great care, pointing out that the global company's real estate capacity is limited. So far, their monthly shipments have increased by only 15% to reach the monthly production of 950 units. It cannot meet the needs of a large number of international users.
But those customers were unmoved.
Low production capacity is not a big problem. It is low now. Judging from current sales, it will be a matter of time before Universal Company expands its production scale.
When they expand the production scale, the price may be lowered a little further.
Since the international situation does not have the possibility of a world war now, what's wrong with waiting a few more years? In a few years, the equipment launched by Universal Company should be more advanced and cheaper. Of course, it is better than being forced to be a sucker now, right?
The Pentagon went all out and carried out hard lobbying work in all aspects such as economic aid, trade discounts, arms sales, etc. In the end, it even hinted at the cancellation of the most-favored-nation treatment. It used up all means and finally barely got the order from these countries.
Strictly speaking, this is not an order. It is just an intent contract.
Each country only paid a little deposit. It said that if the United States' digital individual equipment is sold for no more than 60% of the Universal Company, it will have the right to refuse to purchase.
More than 60%, this statement is wonderful.
The land price of Universal Corporation is now announced. More than 60% is exactly equal to the US$40,000 price.
In other words, these countries still have psychological expectations that Universal Company's quotations will be lower. In this way, they have enough reason to refuse to purchase digital individual equipment from the United States.
In the Pentagon, it received an analysis report jointly written by American contractors and invited many experts to discuss it. Finally, all local experts came to the conclusion that the actual commercial production technology of the Universal Company will definitely not exceed one micron. Therefore, the best chips they made are theoretically selling at a loss.
The more you sell, the greater the loss.
This also proves from another aspect why Universal Company has only 950 units per month. Perhaps there are production capacity reasons in this regard, but the greater possibility is that they cannot afford to lose!
Universal is using the method of selling land for losses to attract international customers to them!
Therefore, when the twelve-inch crystal production line of a domestic contractor in the United States is completed and put into production, the 193-nanometer production process is mature, it is the death of Universal Company!
By then, even if Universal Company wants to rely on losses to win over customers, it will definitely not be able to support it!
The Pentagon held this analysis report, as if it had been treasured, and was widely publicized internationally. The military officers in every country used this report to convince the governments of their host country, showing that the so-called cheap digital individual equipment of Universal Corporation is simply a scam! Let them wake up and not waste time in impossible waiting.
The American media are also trying hard to sarcastically.
They called Universal Corporation's digital individual equipment "Phantom Equipment". That is, this set of equipment does not exist from beginning to end.
Despite their work, there are always some people in this world who are stupid.
Although most countries are skeptical, they are still indifferent. They are waiting for Universal to produce digital individual equipment for them. Even Britain and France are mocking the so-called low prices in newspapers, which is seeking death. But at the same time, they are also hoping that Universal can continue to be stupid and provide them with cheap equipment in a way that self-loss is a way to lose money.
Universal also held a press conference, saying that their report was purely nonsense.
China's domestic media and the Internet naturally stood on the one hand on the side of Universal Corporation and unconditionally believed in Universal Corporation's statement. It believed that the United States could not eat grapes and said that the grapes were sour, so it had to use slander to slander the reputation of Universal Corporation.
Some netizens with better English also log in to American websites and have fierce battles with American netizens.
The gunpowder smell on both sides became stronger and stronger, and the first cyber hacking war broke out since the launch of Huanyu.com.
A website named China Red Care Alliance issued a mobilization order to its members, provided several fool-style hacking tools on the website, and released a series of websites such as the Pentagon and the New York Times.
The mobilization order of the Red Guest Alliance was immediately forwarded to various BBSs and communities. The fool-like hacking tools they provided were also forwarded by many software download centers. Ordinary netizens in the temporary battle field used the hacking tools they provided to launch an attack on American servers in a way that data blocked. Some senior Red Guests took the opportunity to invade the other party's servers, modify the other party's homepage, and post national flags.
The attacks of Chinese hackers have angered American computer enthusiasts again.
The two sides attacked each other for more than a month before they slowly settled down.
Even at the most turbulent period of hacker storm, the Pentagon and contractors did not relax their attention to Universal.
They are puzzled by the fact that Universal Company uses such an incredible way to produce a top-quality chip that can be produced on a large scale. Therefore, they are always paying attention to Universal Company's actions.
They found that the two small graphics card manufacturers that Universal acquired in Germany and France purchased two eight-inch production lines. Both production lines have 248 nanometer processing capabilities. As a normal business behavior, and the destination is in Europe, the two sets of equipment successfully arrived at the factory.
Under the reminder of the CIA, Germany and France agreed to pay attention to the movements of the two factories and prevent equipment from being lost to China.
But just that night, these two production lines were transported out of the factory by more than a dozen heavy trucks under the noses of police from both countries and headed straight to the airport.
It was not until nine o'clock the next morning that Germany and France informed the United States of this matter. They said that because the police on duty were asleep, they did not find that Universal had secretly transported the production line out of the factory and had already sent it back to China with a large cargo plane.
The United States was furious. This was obviously a joint effort between Germany and France and China, but they all apologized and "hardly punished" the police who were dereliction of duty. What could he do?
When the equipment arrived in Beijing, it was immediately transported to the clean factory in Huanyu Company for installation.
German and French engineers, together with Chinese engineers, have devoted their busy work to put the production line into use as soon as possible. The lithography machine of the key equipment was sent to an ultra-clean laboratory that has been prepared for improvement in its optical parts.
Engineers from the Three Kingdoms are working intensively. On the Universal Company building, Xiao Qiang is signing a secret agreement with the military officers from both countries in China.
In the contract, it is planned in Chinese and German and French texts, one of which reads: "Article 12, Universal Company will provide the German and French Legion with a price of US$10,000 per set of equipment within two years, with a total of no more than 100,000 sets of digital individual equipment and all local service guarantees..."
Xiao Qiang signed with his hand, but his thoughts floated into the laboratory. The two sets of lithography machines that were undergoing transformation.
Although they have tried this new improved technology many times and have confirmed that it is absolutely feasible. But this is not a test, but a contract in black and white. If they can't come up with 100,000 sets of equipment at that time, the huge compensation they face can make Huanyu Company go bankrupt immediately!
Equipment renovation must be successful!
Chapter completed!