SFS Chapter 510 The 3rd Meeting, Clearance Sale
Chapter 510 The 3rd Meeting, Clearance Sale
"Are we panicking a bit too much? Transsion's monthly production capacity is only 1500 million units. Even if it operates at full capacity, it will only produce 1.8 million units a year, which is less than one-fifth of the global flash memory shipments."
They cannot shake our market position at all.
"By the time their production capacity is up and running, our Triangle Zero will also be in mass production. There's no need for us to lose money now and just gain publicity."
"You think they're reporting their actual production capacity?"
"Don't compare our production ramp-up speed with Transsion's; that would be humiliating."
The two factions immediately started hurling insults at each other in the office.
Since Lee Jae-young didn't stop it, it means there's no problem.
The sales department believes that market share is more important than short-term profits, and once Transsion forms an ecosystem based on customer orientation, it will be difficult to return.
The finance and R&D departments, however, felt that the price reduction was too costly; lowering their own value for a product that hadn't even gained traction yet was not worth the risk.
Instead of wasting money on R&D, they should use it to develop their own 3.0 version and compete head-on.
They argued for more than half an hour, but Li Zairong remained silent.
Because he knew that both factions were acting in the best interests of the group, and that both sides had their reasons.
What he was really worried about was never the gains or losses in the flash memory market.
"Enough! What kind of behavior is this? Do you think this is a vegetable market?"
He pointed at everyone present and cursed them one by one, using the most offensive and offensive language imaginable.
"You are executives, not a bunch of idiots!"
When facing other competitors like fruit and blackberries, you guys never acted like this.
Now, the mere mention of telepathy triggers a panicked reaction, like a shrew. Is this still our Third Mistress?
Everyone present lowered their heads. It wasn't that they were overreacting; it was because they genuinely felt a physiological fear when it came to telepathy.
Indeed, Transsion has been imprinted in their minds, and it seems that every product they produce... will have a huge impact on the industry.
Then these pioneers were forced to lower their prices.
Kim Ki-nam observed Lee Jae-yong for a while and noticed that the other man's anger had indeed subsided. Then he offered his own perspective:
"Mr. Li, I think we should lower the price."
However, we cannot admit defeat. We introduced tiered price reductions to lock in their production capacity for two years in advance.
Even if we earn less, we have to win over our customers.
Seeing that the head of the storage department didn't seem particularly flustered, Li Zairong nodded in satisfaction.
"Following this method, the entire UFS 2.0 series will see a global price reduction of 15%, and for those willing to sign long-term contracts, the price reduction will be up to 30%, or 5% per year, effective immediately."
Mobile devices, consumer-grade storage, and memory modules are all seeing price reductions simultaneously.
Although the person was mentally prepared, they were still taken aback when they heard the price.
"Mr. Li, this project is too big. We can't explain it to the board of directors."
"You don't need to worry about the board of directors; I'll handle the persuasion."
The so-called loss of over a billion dollars is just a little less profit, but if we don't lower our prices and let our competitors take the lead, then we will have truly failed.
"You've only seen flash memory so far. What if they release RAM modules and hard drives next...?"
What will we use to retain our customers then?
"The price reduction now is not just for market share, but also to retain customers."
Let them know that the Sansheng is still cost-effective and worth waiting for.
Don't let them jump right into the telepathic camp.
Lee Jae-yong stared intently at the engineers, experiencing for the first time the terrifying power of telepathy.
The finance department never expected that such a small choice would push them to the brink of a life-or-death crisis.
The researchers also felt a sense of pressure at this moment. After all, Transsion had laid out the path to the future in front of them, and how they proceeded was up to them.
Sure enough, while they were pondering, Li Dairong had already fixed his gaze on them, and his attitude softened slightly:
"President Kim, I am quite satisfied with your research capabilities. You are at the forefront of the world in 32-layer stacked flash memory. I hope you can overcome the challenges of 64, or even higher 128, as soon as possible..."
At this point, Li Zairong glanced at the engineers present; this technology…
But people can unleash their immense potential if they are pushed.
What happens if it fails?
Why not just replace it with a different batch?
"I know this will be difficult, but with the prototype of the telepathic communication method... I believe this path is far less difficult than before."
Throughout his words, Li Zairong consistently pointed out the direction for the R&D manager.
That's borrowing, that's copying!
But Jin Qinan sighed. Plagiarism of telepathy... he didn't have that kind of guts.
After all, the last person who dared to do something like that... is probably already starting a new business.
"Mr. Li, it's fine if it's a regular company, but if it's Transsion, they would have blocked the patents long ago."
Moreover, their legal department has been keeping a close eye on us, and if this isn't handled properly, it could be catastrophic for the company.
Hearing this, Li Zairong also sighed. He knew that Transsion was not an ordinary company, but he did not expect it to be so troublesome.
"How about this!"
I'll give you a longer deadline. Within two years, you can develop the strength to reach the level of their youth version...
"Mission accomplished!"
Seeing that Lee Jae-yong had taken a step back, Kim Ki-nam dared not push his luck any further, because if he went too far, he could really lose his life.
After the meeting, he immediately convened a meeting with the team to discuss the next steps. After all, if the 128 problem couldn't be solved, the 64 product had to be developed.
At the very least, we need to be one step ahead of companies like Micron!
…………
In the afternoon, Sansang Electronics' official account simultaneously released an announcement globally:
"To promote the popularization of storage technology and give back to consumers worldwide, Sansang has decided to adjust the prices of all its storage and memory products, reducing the prices by 15 percent across the board."
The above applies to the private sector. As for long-term contracts, we welcome all manufacturers to come to our company to discuss procurement matters. We will offer the most competitive prices in the entire industry.
We guarantee that none of our partners will suffer losses.
"As expected of an international partner, they are truly generous. Once production capacity increases, they will start to benefit the world."
"As expected of a storage leader, they proactively offer discounts to consumers; that's incredibly conscientious."
"I was originally planning to wait for the domestically produced one, but now that the price of the Sansheng has dropped, I decided to buy the Sansheng. After all, the domestic one has a lot of hype, but we are still unsure about its technological maturity."
Big brands are more reliable, after all, RAM sticks should last for several years!
Big brands are more reliable, after all, RAM sticks should last for several years!
"Upstairs, you're so shameless!"
This is clearly a case of taking advantage of the rise of domestic technology and then resorting to price cuts to undercut domestic competitors.
"Don't worry, their trick won't work."
We suggest you fast forward to the next step: Sansheng's clearance sale! You thought 15% was the end, but it turns out this is just the beginning.