Reborn Technology Upstart

Chapter 469: Finally Realizing the Distress of Spending Money

The government software business operated by Baihe Software Company has not made much progress so far, and it is difficult to make a difference in the international market. After all, government business and data are sensitive, and it is impossible to entrust foreign companies to do it.

The domestic government software market is still difficult to open, and government functions seem to have not changed much, only sporadic reforms have been carried out in individual areas, and this process is still spontaneous and small in scale.

Therefore, Baihe Software's revenue last year was really negligible, with a total of only 200 million yuan. It can only be said that it can maintain its own operations, not to mention profits, and it is lucky not to lose money.

Unlike Baihe Software Company, which wants to do something but can't achieve it, Phoenix Special Effects Company is a true Buddhist system. As long as it can maintain its own business, it basically doesn't bother to expand, and waits for the business to come to its door automatically.

If it weren't for knowing that the boss had acquiesced in their state, Lei Jun would probably be in a hurry to die. He has advanced special effects technology, but he still developed like this. He must hate iron for steel.

However, Phoenix Special Effects Co., Ltd. has a pretty good life. It works when there is work. If there is no work, it works on its own internal projects and builds its own virtual world. It is extremely busy.

At the same time, they also cultivated a lot of animation talents for Shengshi Film and Television Company. In fact, they did a lot of work, but they didn't have much business with quick money.

Originally, this is a niche field, and it is very difficult to earn hundreds of billions of dollars like other companies, so Ye Zishu's requirements for them are not so high.

As long as they can maintain their own operations and cultivate more talents for the country, they can also accumulate technology and experience in the process, laying a solid foundation for future outbreaks.

In fact, they have produced quite a few animated series. Last year alone they produced 10 different animated series, but they couldn't sell them at a good price.

Coupled with the current situation of the domestic economy, it is difficult to obtain huge profits from operating copyrights. The annual operating income is only 400 million yuan, and there is no profit to be handed over. Such a small profit cannot be taken away.

Of course, they are not completely salty fish mentality, and they still have a lot of positive plans, especially with the emergence of artificial intelligence, whether it is film and television special effects production, or animation production, the efficiency has been further improved.

Coupled with the emergence of higher-performance GPU and other chips, the super graphics computer they used before has been updated, and the special effects produced are more realistic, and it is difficult to see the difference from the details.

So they plan to make a full bsp; some of the character images are designed by themselves, and some of them buy the portrait rights of the actors. The actors themselves do not need to be on-site to shoot, and the cost is not high.

This all-CG movie story is a story from their virtual world story line, and is going to test the market acceptance and popularity of the virtual world.

If the market responds well, the following things will be easy to handle. According to their production speed, there is no problem in producing 10 films a year, as long as the market can accommodate them.

In fact, they can do a lot of things, such as full virtual TV series can also be produced, if you really want to be desperate, rely on their efficient production speed, low production cost, and real world construction ability.

Movies and TV dramas produced in traditional ways can't compete with them at all. Regardless of whether the story can attract people, this belongs to the category of cultural creation.

It's terrifying that the world's film and television dramas can be overwhelmed just by the quantity and the ability to produce blockbuster special effects.

Naihe holds the artifact but dare not be too presumptuous, otherwise they will become public enemies of the whole people. It is not that they cannot achieve rapid expansion, but they know the consequences of doing so.

The Internet companies under Phoenix Technology are currently in the stage of continuous investment. It may take several years before they want to obtain income and realize profitability.

Now their main purpose is to seize the market, and they have never thought about making a profit, and as the market expands, the cost of investment will become higher and higher.

They are the only industry under the Phoenix Technology Company that only eats but does not vomit.

If it wasn't for Ye Zishu knowing that this is the logic of developing the Internet industry, Lei Jun might not be able to sit still.

Fortunately, compared with the revenue of the entire group, these losses of Internet companies are not so conspicuous. The loss of the entire Internet business last year was only 30 billion yuan.

Among them, the purchase of copyright and investment in fixed assets accounted for a large proportion, followed by personnel salary costs. After all, their overseas business requires many overseas employees to maintain, and personnel costs are much higher than domestic ones.

Then there is the investment in equipment such as servers. As the number of users continues to rise, the investment in this area will continue to increase. It is an investment that cannot be omitted anyway.

On the whole, Phoenix Technology's total revenue last year was 652.4 billion yuan. After deducting the investment part last year, the net profit was 460 billion yuan, making it the most profitable group company under his umbrella.

Seeing this data, Ye Zishu was silent. He predicted that Phoenix Technology might make a lot of money this year, but he didn't expect to make so much money.

And their investment scale is often not very large, mainly the purchase of servers, personnel salaries and office equipment, and the purchase of business premises is also a relatively large investment.

But compared with their revenue, these investments are nothing at all. Last year, the total investment was only about 40 billion yuan, of which a large number of supercomputers were invested.

Therefore, he does not plan to distribute the profits in the same way as the real industry. If only 50% is taken away for the development of other industries, they will not be able to use up the remaining funds, and it will be a waste to put them in the account.

Most of their investment this year is the server investment required by the cloud computing platform. As for the software used by the cloud computing platform, they are all developed in-house by themselves, and there is not much cost.

Given that the current scale of the global Internet is not very large, it is enough to leave them 160 billion yuan for their own needs, and he is going to borrow all the remaining 300 billion yuan for use.

The reason why so much money is reserved for them is that they will start to build a logistics system and a warehousing network this year, which will cost a lot.

The e-commerce company has not made any big moves, not because they don't want to, but because they really didn't have much money for them before, so they can only develop the software part of the e-commerce platform internally.

Now that there is no shortage of funds, a global warehousing system needs to be established, and a logistics system should also be built according to the situation. These two investments are expected to reach 100 billion yuan.

The investment cost of intelligent warehousing is very high, but once it is built, it can speed up the delivery efficiency of goods, reduce the error rate of goods delivery, and the overall cost will still drop a lot.

The same is true for investment in intelligent logistics. The purchase of transportation means is not small. In addition, the logistics industry requires a large number of employees, and the personnel cost is very high.

However, the main task this year is the construction of intelligent storage. On the one hand, the technology accumulation in this area is relatively strong, and the research and development tasks have long been handed over to relevant companies.

On the other hand, the storage construction period is long, and it must be established before the actual business is carried out. It is necessary to build in advance.

He has never liked the slow development. When there is no shortage of funds, he will not be stingy with the necessary investment. Anyway, he will invest in it sooner or later, but it is only a matter of time.

Smart logistics may not invest much this year, mainly because he wants to use the logistics and transportation vehicles of Huanyu Group to absorb part of the production capacity for Huanyu Group.

On the other hand, intelligent logistics covering the world must be supported by advanced positioning and navigation systems. Now there are no electronic maps, and the infrastructure is not complete.

Therefore, before the large-scale construction of intelligent logistics, the necessary infrastructure needs to be built, and when it is actually built, it can get twice the result with half the effort.

The reason why we still need to invest in logistics on a small scale is mainly because we need to establish the skeleton of the logistics system first, and when we really want to develop, we will be much more relaxed.

More importantly, he wants to enter the physical sales network field, which seems to be in conflict with the e-commerce platform, but in fact this is a two-line business.

Although online shopping will affect offline sales channels, it is impossible to completely replace offline channels. What's more, if the two are integrated, a lot of infrastructure can be shared, and the cost will be further reduced.

For example, the warehousing system and logistics system mentioned above, there is no problem at all with online and offline sharing, and even offline channels can support the development of online channels.

Calculated in this way, the three companies, Phoenix Technology Company, Qinglong Technology Company and Xuanwu Technology Company, can provide him with 620 billion yuan of funds.

Although Shengshi Culture Company also made a lot of profits last year, the main source of income is Shengshi Film and Television Company, and all five films have achieved good results.

But the investment in their new project is not small, and many businesses also need funds to develop, Ye Zishu has no plan to use their profit funds.

In the past, there was no way but to move left and right from various enterprises, and even the smallest mosquito meat had to be carefully considered, but now there is no need for this at all.

In addition, Taiji Group’s revenue last year was 450 billion yuan, and its net profit was 315 billion yuan. Half of the profit can be used, which is 150 billion yuan.

This fund has been agreed before, and it will be invested in Wancheng Foundation, so that they can use it to purchase land resources on a large scale and prepare for large-scale construction in the future.

In fact, a considerable part of this part of the funds has already entered the account of Wancheng Foundation, otherwise the funds needed for their construction industry will not be enough.

The places that need to spend a lot of money now are Wancheng Foundation and Kirin Industrial Group's business development. These two can be said to be bottomless pits, and any amount of money can be swallowed.

However, in view of the limited size of these two companies at present, giving them too much money at once may not be able to absorb it.

Therefore, he planned to invest 150 billion yuan from Phoenix Technology in Wancheng Foundation in addition to Taiji Group's investment in Wancheng Foundation. This part of the funds was not borrowed, but an investment.

In this way, Wancheng Foundation has obtained investment funds of 300 billion yuan this year, most of which should be used to purchase land, and a small part of the funds should be used to continue to expand the construction of the industrial chain.

The remaining funds will be invested in the construction of Lujiazui Financial City and other buildings. In his opinion, if he works hard, he should be able to spend this money.

Of the remaining 470 billion yuan, 200 billion yuan is used for the development of Kirin Industrial Group, mainly because they can't spend it if they give too much. The industry has just started, and there are still limited places to spend money.

There is still 270 billion yuan that I don’t know how to spend. If there is too much money, spending money becomes a kind of distress. Ye Zishu finally realized the pain of spending money.

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