Chapter 415: Casting the Hook

After the *Huashang Daily*, *Beijing Business Daily*, and *Economic Daily*, many more newspaper media jumped out to stoke the fire. They weren't invited by Dongling High-Tech, but ran out to join in the fun themselves.

The *Yangcheng Evening News*, *Southern Weekly*, *China Youth Daily*, *Industrial and Commercial Daily*, *Beijing Youth Daily*, *Hanxi Provincial Daily*, and other influential media in the country reported one after another. There were also media that analyzed the future prospects of Little Smart in the overseas market in a serious manner, which was adding fuel to the fire, stimulating countless companies to turn red-eyed!

Previously, PHS was considered a non-mainstream communication technology. Including the Chrysanthemum Factory, Ericsson, Nokia, and many other global communication technology developers and mobile phone manufacturers, they all thought that even Japanese mobile phone manufacturers were unwilling to develop PHS mobile phones. Watching the PHS business that had no money-making prospects actually explode into such a large market was something no one expected.

"Dongling High-Tech announced its revenue performance this year. Compared to last year, revenue increased by 78%, almost equivalent to an increase of one-fold, and it has officially become the most profitable company in the domestic technology field.

Today, including media from Hong Kong, Macao, and Taiwan, as well as media from Japan, Singapore, Malaysia, and other places, there have also been reports on Little Smart mobile phones. It is considered a miracle in the mobile phone industry. How do the two guests present today view Mr. Li Dongling and Little Smart?"

Compared to inland TV stations, coastal areas are in the rolling tide of reform and opening up, with economic levels soaring rapidly, and coupled with being adjacent to overseas, media in coastal areas are more focused on the economy and technology industry.

And as the hottest news at the end of the year, Little Smart naturally became the focus of media pursuit. A financial program on Guangdong TV Station had the theme today of Dongling High-Tech's Little Smart.

"We have to admit that Li Dongling, the founder of Dongling High-Tech, is the person with the most vision and courage in the domestic technology industry now!"

The guest sitting on the host's left was Wu Gaofan, who held the title of professor at a university's School of Electronic Information Engineering. The predecessor of this major was the Radio major.

The Radio major is no longer popular. Now, major domestic universities have basically renamed the Radio major to the Electronic Information Engineering major.

Chairman Li of TCL, Chairman Huang of Skyworth, the founder of Konka, including Li Dongling, all came from the Radio major, which is now the Electronic Information Engineering major.

And at the very beginning, Wu Gaofan flattered Li Dongling, which was actually also speaking out for the entire Electronic Information Engineering major.

"PHS technology didn't just appear this year. Japan Telephone and Telegraph Company began researching it several years ago, but there has never been a mobile phone manufacturer willing to research mobile phones with PHS technical standards. Dongling High-Tech became the first to eat the crab, introducing PHS technology into the country, and also letting mobile phones truly begin to enter the hands of thousands of households!

It is no exaggeration to say that the development of mobile phone products represented by the Big Brother (Brick Phone) in the past ten years since entering the country is not as good as the changes brought by Little Smart to the domestic telecommunications and mobile phone industry in one year!"

After hearing Wu Gaofan's evaluation of Little Smart, the TV host asked him, "Professor Wu, do you think Little Smart is very important to the domestic communication market?"

"Little Smart will definitely be the most important communication technology and mobile phone product in the domestic communication and mobile phone market in the next few years!"

Wu Gaofan said affirmatively. But before he could continue, another technical expert in the communication technology industry sitting on the host's right hand side, hearing Wu Gaofan keep flattering Little Smart, was unwilling.

"But PHS is a backward technology. It is behind GSM and CDMA. After entering the 2G and 3G communication era in the future, PHS will definitely be the first communication technology to be eliminated!"

Zhong Chengdong couldn't help but say, "Anyone who has used a GSM standard mobile phone knows where the gap between GSM and PHS technology really lies!"

"If the country bets on PHS technology now, it is destined to let domestic communication technology fall behind overseas companies by one or even two generations!"

Zhong Chengdong almost angrily sprayed Wu Gaofan. This was wanting to destroy the domestic communication industry. The development potential of PHS technology visible to the naked eye, as well as call quality, call stability, etc., were all far inferior to GSM or CDMA. Spending so much money to research backward, and even destined to be eliminated, technology—what for?

"PHS technology is also still developing. Japan Telephone and Telegraph Company, which researched PHS technology, is also continuously improving this technology!"

After Wu Gaofan finished speaking, he himself felt a bit guilty. As long as it was related to the communication industry, everyone knew that a technology with fatal flaws from birth, no matter how it was changed, the flaws would still exist.

Not to mention, Japan is famous for eating alone. Japan Telephone and Telegraph Company tightly held onto PHS technology and was unwilling to let other companies intervene. Even as Japan Telephone and Telegraph Company's "closest" partner, Dongling High-Tech, which made great contributions to PHS development, was also guarded against by Japan Telephone and Telegraph Company and not allowed to intervene.

This made PHS technology's development not very good. The problems of poor signal and unstable signal were also still not solved. And as for the second-generation communication technology represented by GSM or CDMA, such as Internet access, don't even mention PHS; the phone signal wasn't even good, and you still want to access the Internet?!

Now, Japan Telephone and Telegraph Company has just begun research on the second generation of PHS technology, preparing to improve stability and call quality, and additionally add Internet access functions, etc.

Coughing, Wu Gaofan said, "But now, including the next few years, Little Smart and PHS business are the most suitable for the domestic market and situation.

The technical cost of GSM or CDMA is too high, the base station cost is also high, and the price of mobile phones based on them is also far more expensive than Little Smart!"

"But if you only look at immediate interests and give up researching GSM or CDMA technology, you will regret it even more in the future!" Zhong Chengdong couldn't help but say.

Wu Gaofan was silent for a moment. "Perhaps in the future, after GSM or CDMA technology matures, they will be popularized in the country, but now, it must be the era of Little Smart mobile phones!"

"The future must be the era of GSM or CDMA technology. The rise of Little Smart is just an accident. After Nokia, Motorola, Ericsson, and other manufacturers react, Little Smart's sales volume globally will definitely fall next year!" Zhong Chengdong finally still "predicted."

Shenzhen, in an office of the Chrysanthemum Factory, the TV was still playing the dialogue and argument between Wu Gaofan and Zhong Chengdong just now. One person was talking about the future, and one person was talking about reality. Who was right and who was wrong, only time could prove.

"Currently, including ZTE, UTStarcom, BBK, Hisense, Panda, and other more than ten manufacturers, they have obtained patent authorization from Little Smart's parent company, Dongling High-Tech, to enter the PHS mobile phone market. It is expected that more manufacturers will enter next year, and the global PHS market scale will be further expanded!"

And the host's final words made Ren, the boss in the office, as well as Zheng Baoyun, Li Yinan, and other high-level executives of the Chrysanthemum Factory, feel a bit silent.

Boss Ren had previously decided not to let the Chrysanthemum Factory enter the mobile phone industry, and now, the Chrysanthemum Factory was dead-set on GSM technology, but the progress wasn't great.

R&D is too money-burning. This is not transferred by will, nor is it a problem that can be solved by hitting chicken blood. The Chrysanthemum Factory earns quite a lot from switches, but engaging in GSM communication equipment R&D still felt strenuous.

Wanting to catch up with GSM technology overlords Nokia and Ericsson is not an easy thing. Additionally, there is one more point: the Chrysanthemum Factory's attempts to get domestic GSM base station orders were also frequently sniped.

Ericsson and Nokia were staring at the Chrysanthemum Factory and hitting it. As long as the Chrysanthemum Factory launched a certain product, they would immediately lower the price. Even if they lost money, they wouldn't let the Chrysanthemum Factory get the order.

The opponent's technology was better than the Chrysanthemum Factory's, and the products sold were cheaper than the Chrysanthemum Factory's. How could the Chrysanthemum Factory grab the order? Even in its own lair, the GSM base station order in Guangdong Province, the Chrysanthemum Factory couldn't grab it.

After taking a final look at the news on the TV, whether they regretted the decision not to enter the mobile phone market, only the Chrysanthemum Factory knew.

But Boss Ren knew that this wasn't the time to regret. Once the bow was drawn, there was no turning back. Now the Chrysanthemum Factory could only dead-set on GSM. Regardless of success or failure, they had to bite the bullet and rush forward. If they retreated this time, then when the Chrysanthemum Factory encountered problems in the future, would they have to retreat?

This is like a person, a person who has lost the spirit of progress and retreats when encountering problems—can you expect him to accomplish great things?

"The Chrysanthemum Factory will continue to remain unchanged. No matter what, we must develop GSM communication equipment with technology on par with Nokia and Ericsson within these few years!" Boss Ren cheered for his subordinates. "In the future, the global communication industry will definitely have a place for the Chrysanthemum Factory!"

"Little Smart mobile phone sales exceeded 11 million units?"

Japan, Nakamura Vi-fu, the president of Japan Telephone and Telegraph Company, couldn't help but show a smile after hearing Little Smart's sales volume.

The more Little Smart machines sold, the larger the PHS market represented. Similarly, as the developer of PHS, Japan Telephone and Telegraph Company would be more famous, have greater influence, and earn more money.

"That founder of Dongling High-Tech should thank our Japan Telephone and Telegraph Company. Without us, could he have sold so many machines and become the world's fourth-largest mobile phone shipper?"

Nakamura Vi-fu couldn't help but show off to his confidants on the left and right, thinking that Little Smart could sell so many, all because of his credit.

"Unfortunately, Little Smart is not a product of our Japan Telephone and Telegraph!"

In the end, Nakamura Vi-fu said with regret. If he could get Little Smart's mobile phone business and patents, then Japan Telephone and Telegraph Company could dominate the global PHS market alone.

As for another company in Japan, inside Kyocera, it was a bit of a mess.

"We, Kyocera, are a company that developed PHS technology together with Japan Telephone and Telegraph Company. We were the earliest to research PHS mobile phones, but now we let a mainland company become the overlord of PHS mobile phones?"

Nishiguchi Yasuo, the new head of Kyocera who had just taken over from Inamori Kazuo, questioned Tanimoto Hideo, who was in charge of Kyocera's mobile phone department.

(End of chapter) ===== CHAPTER 416 =====