Chapter 138 If we can't reach an agreement, then we'll fight Ke Xiaopeng's negotiation skills are far superior to Liu Ye's. Uc must have set up a lot of contingency plans. But Ke Xiaopeng would not directly tell Lu Shan his bottom line. Instead, he would kick the ball to Lu Shan and ask Lu Shan what his opinion was. As long as Lu Shan agrees to cooperate, any conditions can be proposed. Ke Xiaopeng further said: "We admit that Jiyue Browser has a very advanced algorithm, which is far superior to our UC push algorithm." "But Jiyue Browser also has its inherent flaws. The first is that the current market size is not large enough. It only relies on cooperation with Huawei and China Unicom to allow some non-smartphones to pre-install the browser. The number of users is too small and the quality is not high." "The second one is Jiyue Browser. Without an advanced management team, Jiyue Browser is likely to face various user problems as the number of users increases." "Relying solely on Mr. Lu to fight alone is very inefficient." "Similarly, we at UC have many advantages that other levels do not have." "For example, our large technical and marketing service team."
"For example, we have good cooperative relations with many mobile phone manufacturers, such as Nokia and Motorola." "We have better quality users. The consumption level of users who buy smartphones is higher than that of feature phones..." "At the same time, I believe Mr. Lu should also know that we are in the process of negotiating the third round of financing with overseas financing institutions." “If we can cooperate, I believe Jiyue will have a better future.” The negotiation method is actually very simple. That is, both sides reveal their chips. Obviously, Ke Xiaopeng feels that UC currently has more chips. But the future is uncertain. After all, as time goes by, if Jiyue Browser gains recognition from more and more users. Then Jiyue will also have everything that UC has now. Don’t think that many venture capital institutions have invested in UC before. They can invest in UC, and of course they can also invest in Jiyue. The purpose of capital is to make money. Making money is not shabby. Ke Xiaopeng also hopes that Lu Shan can figure it out and cooperate with UC so that he will have a brighter future. Lu Shan just lowered his head and drank his tea. Ke Xiaopeng kicked the ball to Lu Shan, but Lu Shan didn't have to accept it. Who says you have to reply? This confused Ke Xiaopeng.
Ke Xiaopeng was a little embarrassed. He took a sip of tea and had to give a relevant plan for Uc. "We have carefully considered Mr. Lu's proposal for technology investment last time, and we can discuss this matter." "UC agrees to Mr. Lu to invest in technology. We will give him of the shares. After the third round of financing, the shortfall after dilution will be made up by our company's option pool. What do you think, Mr. Lu?" After two rounds of financing. Ke Xiaopeng still holds approximately 45% of the shares. However, the third round of financing will obtain the largest amount of funds, which is expected to dilute 3% to 25% of the shares. By then, Ke Xiaopeng may have less than 30% of the shares. Moreover, Ke Xiaopeng had previously estimated that the third round of financing would raise more than 3 million US dollars. That is to say, Lu Shan will obtain 300 million shares of Midao. If UC IPO is successfully listed overseas in the future. Then there is a good chance that the 300 million meter knife will become 600 million meter knife or even more. Ke Xiaopeng is testing the waters for landing on the mountain, and a stake is not a small amount. This condition has made many UC executives dissatisfied. After dilution, many executives only hold 2% of their shares, or even less. Of course, they were very wary of Lu Shan, the outsider. But everyone is also very clear that UC has now reached a critical moment. If they cannot negotiate with Lu Shan, the funds represented by the only equity in their hands will shrink significantly. So even though everyone was dissatisfied, they kept silent. Everyone looked at Lu Shan, thinking that with such generous conditions, Lu Shan should agree. Lu Shan put down the teacup and looked at Ke Xiaopeng. Of course we can cooperate. Lu Shan can ensure that the algorithm of his browser is absolutely leading. Even if the existing algorithm is sold to UC. The algorithm after Jiyue's iteration will also ensure that it is one era ahead of UC. Moreover, Lu Shan has many creative ideas. As communications enter the 3G era and even the 4G era in a few years, these creativity and ideas can be monetized and can also widen the gap between them and UC. I can sell you technology, but what I sell you is outdated technology. Lu Shan has the confidence to do so. But Lu Shan was unwilling to cooperate. Without it, UC has no value.
Lu Shan said: "I am very grateful to Mr. Ke and all the leaders of UC for attaching so much importance to Jiyue Browser." "When I accidentally created the Jiyue Browser, I also hoped that the browser could bring a good experience to users. Now it seems that Jiyue Browser can basically meet my previous expectations for it." “I also think that a good work should not only be measured from the perspective of money, but also its market value and user experience.” "I think the most important thing is emotional value." Lu Shan glanced at everyone at the conference table, showing his full confidence. “The time each person has from birth to death is fixed and cannot be increased or reversed.” “When a user is willing to spend his time on a product, it shows the user’s highest respect for the product.” "So when we make browsers, we should treat users with our heart, rather than just talking about market share or technical indicators." Lu Shan said this series of words slowly, not knowing whether Ke Xiaopeng could understand them. But this made Liu Ye and other senior executives extremely anxious. They came here today to discuss cooperation, not to listen to Lu Shan's lecture. What Lu Shan talked about, emotional value and treating users with care, has nothing to do with the browser. The browser is just a tool. Everyone was extremely anxious. But Ke Xiaopeng still smiled, he had to respond to Lu Shan. "So Mr. Lu, what are your conditions?" Who knew that Lu Shan didn't even mention any conditions. Lu Shan said apologetically, "Mr. Ke cannot meet the conditions I proposed." "Similarly, I cannot accept the conditions proposed by Mr. Ke." "So I think there is no need for us to continue the discussion. The reason is that our concepts and corporate cultures are different." "Sorry, Mr. Ke, I have an appointment with my roommate to play games at the Internet cafe later, so I'll excuse you today." After Lu Shan finished the tea in the cup, he apologized to everyone and left the private room. At this moment, everyone in the private room went crazy. "Boss Ke, this Lu Shan is really too arrogant." "We offered of the shares, and it wasn't a complete deal, but he didn't even want to bargain and directly rejected us." "Does this mean that he thinks UC's market share will be completely given to Jiyue?" "What confidence does Lu Shan have to do this? He is just a one-man company." "He has China Unicom and Huawei backing him up now, but does that mean he can be fearless?" "He said he was busy in a while, and I thought he was busy with something, but he turned out to be busy playing games in the Internet cafe!" Ke Xiaopeng was so angry that his face turned black, but he didn't say a word.
This time he hurried from Yangcheng to Yanjing, then from Yanjing back to Yangcheng, and once again went to Jiangzhou, all in order to save UC's third round of financing. He is a CEO with a net worth of tens of millions, but the fact that he came to Jiangzhou in such a humble manner to meet a student already shows his sincerity. Little did he know that Lu Shan would not give him any face at all. We didn't meet at first. Later, I asked the school leaders to mediate and they were finally willing to meet with me. The meeting lasted no more than 20 minutes from the time we entered the room. Most of them are statements from Ke Xiaopeng. Lu Shan said no more than 10 sentences. They were even unwilling to discuss the conditions and directly said that they could not cooperate because of different corporate cultures. What is corporate culture? A college student started a business with only one employee and a crappy corporate culture. Ke Xiaopeng felt that even if he begged everyone for the first and second rounds of financing, he would not be so helpless. If he gave Lu Shan another chance to negotiate, he would be really unmanly. Ke Xiaopeng said to Liu Ye with a dark face: "Buy a flight tonight and we will go back to Yangcheng." Liu Ye's heart skipped a beat, knowing that the negotiations had definitely failed. Liu Ye had more or less come into contact with Lu Shan several times and knew Lu Shan's character. He absolutely did not believe that Lu Shan was the kind of student who was arrogant and conceited in the eyes of other executives. Lu Shan may have his reasons for doing this. Liu Ye believed that the reason why Lu Shan did not negotiate terms with UC was that the conditions offered by Ke Xiaopeng were rather humiliating. Uc is now in a very critical juncture, and Ke Xiaopeng only gave it of the equity. Isn't this a humiliation? Liu Ye quickly said, "Boss Ke, how about I go find Professor Zhou Wei from the School of Computer Science at Jiangzhou University? Professor Zhou Wei has a close relationship with Lu Shan, so we can discuss this." As expected, Liu Ye's statement was met with collective opposition from all senior executives. Everyone is criticizing Liu Ye for being capitulationist. What else is there to talk about with a arrogant little brat? Looking at the expressions of the crowd, Liu Ye just sighed deeply, not knowing what to say. After that, UC’s third round of financing really failed, and some people cried. Ke Xiaopeng was really angry on the way to the airport. The other executives took a business car, while Ke Xiaopeng called the head of the technical department, Wu Xiaodong, and the two of them took a Mercedes-Benz. When Liu Ye saw this scene, he felt very uneasy. In Liu Ye's opinion, any Internet company is guilty of original sin when it gets its first pot of gold. The original sin of UC lies with Wu Xiaodong. Ke Xiaopeng asked Wu Xiaodong to ride in the same car with him.
That would certainly require unconventional technical approaches. Some methods, if successful, are of course beyond reproach. If it fails, UC may be doomed. Liu Ye was in a very confused mood and felt very uneasy. While in the car, Wu Xiaodong called the technical team at the headquarters directly. (End of this chapter)