Chapter 201 Negotiating with Motorola
Motorola, formerly known as Calvin Manufacturing Company, was founded in 1928. In 1947, the name was changed to Motorola and it was used as a trademark from the 1930s.
Motorola is headquartered in Schaumburg, Illinois, a suburb of Chicago. One of the world's Fortune 100 companies, it is a global leader in chip manufacturing and electronic communications.
In 1928, Joseph Calvin and Paul Calvin established Calvin Manufacturing Company in the United States.
In 1930, Motorola produced the first radio device. The meaning of the brand Motorola in English is running sound.
In 1941, a sales company, Motorola Communications and Electronics Company, was formally established under the leadership of Daniel Noble.
In 1946, Motorola began to get involved in the mobile phone industry, and in January it enabled in-car calls for the first time.
In 1955, Motorola’s formatted “M” logo debuted. In the same year, the Semiconductor Development Department produced germanium transistors for car radios, and at the same time, it built factories for the mass production of radio frequency transistors and silicon rectifiers. A new wireless communication product was developed that can transmit radio information to a designated person. A small wireless receiver called a pager. Many hospitals became the first users of Motorola pagers. This pager replaced the original broadcast system. Motorola was the first to use transistors in commercial car radios, making them smaller, more durable and using less power than previous models. Motorola becomes a commercial manufacturer and supplier of semiconductor devices to various manufacturers. Semiconductor product headquarters was officially established.
In 1956, Motorola launched its first pager, which Motorola called "a new standard in personal communications."
In 1960, technology for low-cost production of silicon rectifiers was developed. This rectifier can be used in automotive alternators and is an economical alternative to less durable DC generators. Motorola's Automotive Products Division, known as a supplier of electronic products under the hood, was also formally established.
In 1964, the Mariner 4 spacecraft used similar equipment to transmit images of Mars back to Earth. Motorola also supplies similar equipment to the Gemini manned spacecraft.
In 1970, Motorola launched its first MC6800 microprocessor.
In 1973, Motorola launched DynaTAC, and modern mobile phones began to develop.
In 1974, Motorola exited the television industry.
In 1980, electronic components required by the automotive industry became the first major market for Motorola's microprocessors. Motorola supplies a wide range of electronic engine control modules to companies such as Ford, General Motors and Chrysler to improve fuel efficiency and reduce emissions.
Bao Zixuan is not completely sure about convincing the communications giant. After all, Motorola is not short of money. This company that can transmit human voices from the moon back to the earth is now very powerful. If people don't care about you at all around 2000; now that mobile phones are not commercially available, this may be an opportunity.
Now Heiyun is cooperating with Motorola with automobile companies. Jeep and Dodge use Motorola's in-vehicle electronic equipment.
The team of Heiyun negotiators received a warm welcome after arriving at Motorola. After all, Heiyun is now a big company. The annual sales are more than those of Motorola, so basic courtesy issues are still required.
First, I visited the Motorola Museum, which has become the norm for these large companies. After each partner arrives, he first goes to the museum to let the other party know how awesome we were.
But when he saw the photos of Armstrong landing on the moon, Bao Zixuan was a little confused. At that time, Armstrong's "one small step for me, one giant step for human aerospace" was transmitted back to the ground through Motorola equipment. It can be said to be a highlight moment in the history of Motorola and an unsurpassed classic.
Robert Calvin said with a smile: "Welcome Mr. Bao and all Heiyun employees to Motorola. You are welcome to visit at will. Today, all places in our company are open to Heiyun employees."
Bao Zixuan: "Thank you Mr. Calvin for your warm hospitality. Motorola is a great company. Heiyun still has a lot to learn from you. This is a vivid learning course for us."
Robert Calvin: "Mr. Bao deserves the award. We still have a lot to do. It only took Heiyun 2 years to develop into its current scale. This is something that many people would never dare to imagine. I didn't expect Mr. Bao to do so." We did it. This is an amazing achievement and something Motorola can learn from."
Bao Zixuan: "You are too polite. You must have known our purpose today. Heiyun wants to obtain mobile phone technology and patent authorization. I know that Motorola is interested in entering many of Heiyun's products, so cooperation is the best way to solve the problem. "
Robert Galvin: "The future prospects of the mobile phone market must be very broad. Motorola cannot monopolize the market alone, and it will not be able to survive in that way, and it may also be investigated by anti-monopoly. It is not impossible for Heiyun to enter. The key is what to take. Something to exchange for.”
After Larry Brown saw Bao Zixuan's eyes, he knew he was going to take action, so he said: "Mr. Calvin, according to Motorola's financial statements, your company invested approximately US$45-50 million in research and development funds in the entire mobile phone project. Heiyun Group can pay this money to obtain technology and patent licensing.”
Motorola is a listed company and its financial reports are released to the public every year. This information is simply defenseless in front of top lawyers, which is also a shortcoming of listed companies. If something is too transparent, it will be difficult to do some hidden projects.
Robert Galvin didn't say anything after Larry Brown spoke, and Martin Cooper next to him would answer the question. Identity issues exist in all walks of life, and the conversation between bosses and employees at this time is a bit out of identity.
Martin Cooper: "You only see the economic cost we paid, which does not include the time cost of joining the engineering team working day and night. Therefore, Motorola will not recognize Heiyun's valuation of mobile phone research and development, and many hidden costs are not included in it. .”
Larry Brown: "Then, Mr. Cooper, as the inventor of the mobile phone, how much do you value it?"
Martin Cooper and Robert Galvin have already valued mobile phones and also valued Heiyun's existing patents. They had already listed the products they wanted and made notes. Motorola is not a company that is short of money. They also want to obtain Heiyun's patent authorization.
Martin Cooper: "We don't need cash, Motorola doesn't know the money. We hope Heiyun can exchange its laptop, digital camera, and flash memory card patents."
Hearing this, Bao Zixuan felt that Motorola was really greedy. If this was exchanged, the media might write about Heiyun Group and arrange Bao Zixuan!
Larry Brown: "This condition is unacceptable to Black Cloud. But you can choose one of them for exchange. After all, some products are not Motorola's strengths. Motorola does not seem to have technical reserves in terms of optical lenses. We proposed another deal. Maybe Motorola would be interested!"
After speaking, he handed over the prepared information to the Motorola negotiator. After seeing the information, Martin Cooper didn't feel anything. He just felt that Heiyun wanted to purchase some products from Motorola, but Robert Calvin looked happy after seeing it. It was revealed immediately.
The number of products purchased by Heiyun Group every year is really astonishing. If a contract is signed based on this purchase quantity, the company's stock price will definitely skyrocket. In fact, this is the result that Bao Zixuan wants. The rise in Motorola's stock price is also of great benefit to him. Blackstone Fund holds a lot of Motorola shares.