Siheyuan, Shazhu: I have both parents in this life

Chapter 447 The first goal

Since they were going to take action anyway, He Yuzhu planned to go for something drastic. Of course, whether it would succeed depended on the official reaction from North America, and he couldn't guarantee it.

As Xiaoman began making his plans, he made a phone call to Chen Sheng.

“Ah Sheng.”

"Boss, please speak." Chen Sheng's voice was as steady as ever.

"How much do you know about Nvidia?" He Yuzhu asked.

Chen Sheng quickly recalled relevant information about Nvidia on the other end of the phone: "Boss. After the dot-com bubble burst, their stock price fell a lot from its peak. Currently, their market capitalization fluctuates around $1.5 billion. The company's main business is focused on PC graphics chips, which competes with our AMD, but there's also room for cooperation. What are you thinking?"

"Is it possible to bring them under our control?" He Yuzhu asked.

“We need to evaluate this,” Chen Sheng said.

"How much time is needed?"

"About two weeks," Chen Sheng said.

"Then do one more thing, and evaluate another company as well."

“Boss, please speak,” Chen Sheng said.

Qualcomm.

"Uh, okay." Ah Sheng was taken aback. The boss really knew how to pick a good one.

"What? Is it difficult to deal with?"

“Qualcomm does have an advantage. They are a local company and are competitors with NeoComm. Since they are in the communications industry, as you know, the government here will…” Chen Sheng said.

"You should write the analysis report first, and we'll discuss the specifics after I've reviewed it."

“Okay, if you don’t have anything else, boss, I’ll arrange it right now,” Chen Sheng said.

"Nothing for now, you can make the arrangements."

"Yes," Chen Sheng replied.

About ten days later, Chen Sheng sent an email, which was, of course, from the internal email system, so the encryption of the email was still guaranteed.

Then Chen Sheng called.

"Boss, the preliminary assessment report is out."

"For Nvidia, there are both opportunities and risks. The company has a very unique technology in the field of graphics processing units (GPUs), but its market prospects have been dragged down by the dot-com bubble, and it is indeed currently undervalued. The founding team is clearly technology-oriented, but they value control of the company very much, and their relationship with giants such as Intel is delicate. Launching a direct acquisition would be extremely difficult and could easily trigger strong political and business backlash."

"Qualcomm's situation is more complicated. They have extremely high patent barriers in CDMA technology and are one of the core players in future 3G and even subsequent mobile communication standards. The company itself is still profitable, and although its stock price is affected by the overall environment, its foundation is solid. More importantly, it has been regarded as one of North America's strategic assets in the field of communications technology. Any acquisition attempt from outside will almost certainly be rejected by CFIUS (the Committee on Foreign Investment in the United States) on the grounds of national security."

He Yuzhu listened quietly on the other end of the phone, his face showing no disappointment, but rather as if it confirmed some kind of guess.

"In other words, Qualcomm can't force the issue, nor can it do it openly."

“Yes, boss,” Chen Sheng confirmed. “Following the normal business merger and acquisition path, the success rate is extremely low, and the risks are uncontrollable.”

"What about Nvidia? Let's ignore Intel and Microsoft. Can we acquire them?"

“The chances aren’t great either,” Chen Sheng replied cautiously. “Nvidia’s founding team values ​​control of the company very much and considers it their life’s work. Even with the current low stock price, their determination to resist a hostile takeover will be very strong. Moreover, once we show any intention to acquire the company, it could alert other competitors and even prompt them to seek a ‘white knight’ to intervene. The result could be a situation where the two sides fight while a third party benefits, and we pay a huge price but may not succeed.”

He Yuzhu's fingers tapped lightly on the desk, making a rhythmic tapping sound.

He then asked, "What if we change our approach? Instead of pursuing direct control, what if we use market mechanisms to weaken them to the greatest extent possible while strengthening ourselves?"

Chen Sheng immediately understood his boss's intention: "Boss, do you mean to take advantage of this financial turmoil to exert pressure on both the capital market and the business at the same time?"

“Hmm.” He Yuzhu responded, “AMD’s graphics processing division, I remember you said in your previous report that after several years of investment and integration, it has caught up with or even surpassed Nvidia in some areas in terms of technology, and its market recognition and ecosystem development are also above theirs.”

"Yes, boss. Our Radeon series has established a good reputation in professional fields and high-performance computing, and its market share has indeed surpassed Nvidia's."

"Then let's get AMD's graphics division moving. First, concentrate resources and launch a price war against Nvidia's main product lines over the next two quarters. Their stock price is low right now, and their cash flow is tight. I'll give you the authority to do whatever you want, as long as we don't lose money. Second, increase our partnerships with game developers and PC manufacturers, especially those who previously had close ties with Nvidia. Leverage more competitive pricing and better technical support to attract them. Third, and crucially, let our North American investment arm quietly acquire Nvidia's scattered shares on the secondary market while the stock price is low. We don't aim for controlling stakes, but we want to become a significant shareholder, someone with a voice on the board in the future, or at least someone who can cause them some trouble at critical moments."

Chen Sheng quickly processed He Yuzhu's instructions and immediately understood the strategic intent: "I understand, boss. This is like cutting flesh with a dull knife; we want to make them feel pain, but we also want to prevent them from resorting to desperate measures. I will personally handle the arrangements on the AMD side, and the market operations will proceed simultaneously."

"Yes, make sure you get the balance right," He Yuzhu instructed. "What we need is to weaken it, not to immediately push it into a corner to find a 'white knight'."

"What about Qualcomm?" Chen Sheng asked. "This one is even more troublesome; it's almost impossible to acquire it directly through commercial means."

“Qualcomm.” He Yuzhu murmured the name, his tone hardening. “Since we can’t take it all, we can’t let them have it too easy. Aren’t they making money off CDMA patents? Let’s shake their foundation.”

He issued clear and concise instructions: "First, get NeoComm's legal and patent teams moving immediately. Conduct a comprehensive review of all the communication patents we possess, as well as those we can acquire through cross-licensing. Look for any possible opportunities to launch invalidation challenges against Qualcomm's core CDMA patents, or file antitrust lawsuits. They probably don't have as many patents as we do, right?"

"Yes, NeoComm does have more."

“Second,” He Yuzhu continued, “we have informed our traders on Wall Street to begin gradually building short positions in Qualcomm stock. Although their stock price has fallen from its peak, its valuation is still not low relative to its profitability. Once news of our patent lawsuit is released, or if there are any unfavorable developments in mobile communication standards in the future, market confidence will inevitably be affected.”

Chen Sheng added, "Boss, we can also take advantage of the industry's sentiment. Qualcomm's high patent licensing fees have long aroused dissatisfaction among many mobile phone manufacturers, but they dare not speak out."

"Then I'll ask you why you haven't taken this market share?"

“Boss, they have government support. Although NeoComm has a European license, it is still an outsider here.”

"Alright, stop complaining to me. You still haven't done a good job. Ah Sheng, you've regressed in recent years and lost your drive."

"Yes, the boss is right."

"I don't want to say this a third time. Microsoft did it for the first time, Qualcomm did it for the second time. If there is a next time, you should step down and give way to ambitious young people."

"Understood." Chen Sheng's forehead was already beaded with sweat.

"The strategy for Qualcomm is to make it stumble and fall more often on its way forward, thus slowing down its technological iteration and market expansion."

"it is good."

"Make arrangements immediately, develop a detailed operational plan, and send it to me."

"Yes."

He Yuzhu hung up the phone, leaned back in his chair, and closed his eyes to think.

Chen Sheng had followed him for many years; he was capable and truly steady.

In his early years, he expanded his territory in Hong Kong and North America, experiencing many bloody battles along the way.

But over the years, as his business has grown and his position has become more stable, that initial drive and ambition seem to have been worn down.

In the past two years, the company has not been decisive enough in responding to competition from Microsoft; it has also been somewhat hesitant in dealing with potential threats such as Qualcomm, always emphasizing objective difficulties.

This is not He Yuzhu's style of employing people.

What he needs is a pioneer who can pave the way through mountains and build bridges over rivers in the direction he has set, not a conservative general who seeks stability in everything and is timid and hesitant.

The North American market, especially in the high-tech sector, is a top priority in the Group's future strategy and a front line in the battle against competitors. The leader here must be both astute and tough.

With that thought in mind, he no longer hesitated, picked up the encrypted satellite phone, and connected to Bai Yifeng's line.

"Boss," Bai Yifeng's voice came through.

"Old Bai, I'm giving you two things," He Yuzhu said.

"Your command."

"First, use your people to thoroughly investigate Chen Sheng's situation over the past two years without alerting him. Focus on his work performance, decision-making tendencies, coordination with headquarters and other branches, and any abnormalities in his personal finances and social interactions. Be quick and thorough."

There was a moment or two of silence on the other end of the phone, revealing his shock, but Bai Yifeng quickly responded: "Understood, priority?"

"Highest."

"Yes, the second thing?"

"Second, compile a list of resumes for all promising managers aged 35 to 50 at the director level or above within the North American branch and affiliated companies that you have on hand. Be sure to attach your personal evaluation, especially regarding their pioneering spirit, resilience under pressure, and understanding of the group's strategy."

"Should I take care of it?" Bai Yifeng asked again to confirm.

"Correct."

"Does that scope limit it to companies we directly control, or does it include affiliated companies like AMD and New-Vision?"

"Anyone who can take on a major role in North America is within the scope. Of course, it would be best if they were of Chinese descent. If there are no suitable candidates, then I will consider other candidates."

"Understood, boss. I'll get it done as soon as possible."

"Keep this confidential."

"do not worry."

After ending the call, He Yuzhu put down the satellite phone and looked out the window at the lush green courtyard.

He knew in his heart that investigating Chen Sheng would most likely not uncover any major issues of principle.

He could trust Chen Sheng's loyalty.

What he really needed to assess was whether Chen Sheng was still suitable to remain in the key position of head of North America.

The search for a successor was both a precautionary measure and an implicit warning to Chen Sheng.

He turned on his computer, opened the email, and began reading the report. He flipped to the comparison of market share between AMD and Nvidia, and the brief summary of the patent dispute between NeoComm and Qualcomm. He Yuzhu read it very carefully.

At the same time, I made a decision in my mind: North America really needs a sharper knife.

A few days later, Bai Yifeng's report arrived.

As He Yuzhu had predicted, no evidence of corruption or betrayal was found regarding Chen Sheng.

The report points out that Chen Sheng is diligent in his work, has a regular lifestyle, and his loyalty to the group is impeccable. However, his work style is indeed conservative, especially when facing giants like Microsoft and Qualcomm who have strong political lobbying capabilities. He tends to avoid direct conflict and responds more through business negotiations and limited market competition, lacking the boldness he had in his early years to dare to test the boundaries of the rules or even actively shape them.

In collaborations with affiliated companies such as AMD and New-Vision, it has played more of a "coordinator" than a "driver" role.

The accompanying list of candidates included information on more than a dozen middle managers and key technical personnel. Bai Yifeng provided concise comments in the evaluation section for each candidate, highlighting several who demonstrated strong aggressiveness and execution in developing new markets, responding to patent litigation, or promoting technology integration.

He Yuzhu spent an afternoon carefully reading these materials.

He put down the report, having already made up his mind.

Chen Sheng can no longer remain as president of North America. It's not that he's incompetent, but at this stage, North America needs a stronger, more aggressive leader. However, the adjustment needs to be carried out prudently, without causing internal turmoil or letting outsiders, especially potential rivals, notice the strategic shift within Yellow River.

He picked up the internal phone and connected with Ho Yiu-cho in Hong Kong.

"Yaozu, it's me."

"Dad, tell me."

“In North America, the business is growing larger and larger, and the technology and market competition involved are becoming increasingly complex. I’m considering making some adjustments to the management structure there to strengthen strategic synergy and execution.” He Yuzhu’s tone was calm, revealing little emotion. “Chen Sheng has been with me for many years and has made great contributions. I plan to transfer him back to the group headquarters to serve as senior vice president, responsible for coordinating global technology patents and standards. This is an important position, and it needs a reliable person to oversee it.”

He Yaozu was silent for a few seconds on the other end of the phone, then he immediately understood his father's intention.

Transferred away from frontline work, a promotion in name only, a demotion in reality.

"Dad, can Uncle Chen accept this?" He Yaozu asked cautiously.

“He will understand,” He Yuzhu said calmly. “Make preparations and go to North America soon, ostensibly to inspect the business. I will inform Chen Sheng first. After you arrive, you will be in charge of the overall work in North America for a period of time, and at the same time, you will evaluate the people on the list.”

He Yaozu felt a chill run down his spine, knowing that this was his father's test for him, and also a way for him to stabilize the situation.

"Understood, Dad. I'll handle it."

"Remember, a smooth transition is key. Externally, Chen Sheng is being promoted and given important responsibilities. Internally, you need to quickly familiarize yourself with the situation and implement the new strategic intentions."

"Yes."

After hanging up the phone, He Yuzhu pondered for a moment, then dialed Chen Sheng's direct line.

"Ah Sheng, it's me."

"Boss," Chen Sheng's voice came through.

"There's something I want to discuss with you," He Yuzhu said bluntly. "The group is going to invest more resources in global technology standards and patent strategy. This is a complex and multifaceted task, and we need someone trustworthy with a holistic perspective to lead it. I've thought about it for a long time and I think you're the most suitable candidate. I'd like to transfer you back to headquarters as a senior vice president to oversee this work. What do you think?"

There was a long silence on the other end of the phone.

Chen Sheng wasn't stupid; he certainly knew what this meant.

The North American president is a powerful regional official with immense authority. Being transferred back to headquarters may seem like a promotion, but in reality, it means he has been stripped of his direct command authority.

His throat was a little dry, and he felt a mix of emotions, including disappointment, confusion, and a vague sense of relief.

In recent years, facing the increasingly complex situation in North America, he has indeed felt exhausted. "Boss, I will obey the group's arrangements," Chen Sheng finally said in a deep voice, his voice slightly hoarse.

“Okay.” He Yuzhu’s tone softened a bit. “Asheng, I remember your achievements in North America. This new position is equally crucial, even more important, as it relates to the group’s technological moat for the next ten years. Yaozu will temporarily take over your work. You should hand over the work to him properly and mentor him.”

"Understood, boss. Don't worry, I will stand guard until the very end and fully cooperate with Yaozu," Chen Sheng stated.

"Yes, thank you for your hard work. The official appointment documents will be issued soon."

After ending the call, He Yuzhu leaned back in his chair and sighed softly.

Personnel adjustments, especially those involving meritorious officials, are never a pleasant thing.

But for the sake of the group's future, he had to do it.

A few days later, the group issued an internal personnel appointment notice: Chen Sheng was promoted to Senior Vice President of Yellow River Group, responsible for global intellectual property, technical standards and strategic cooperation; He Yaozu temporarily served as President of North America, and was fully responsible for business in North America and surrounding areas.

The news caused some discussion within the group, but the overall situation remained calm.

The outside world generally believes that this is a normal personnel change by the Yellow River Group to strengthen internal integration and enhance its technological strategic position.

He Yaozu soon flew to North America.

Chen Sheng demonstrated excellent professionalism, actively cooperating with the handover and providing He Yaozu with a detailed introduction to various business operations, personal connections, and important ongoing projects.

In a private conversation between the two of them, Chen Sheng frankly told He Yaozu, "Yaozu, the situation in North America is more complicated than it seems. In some areas, we may have been too cautious before. The boss has high hopes for you by sending you here. You are young and energetic, so go for it, but you also need to pay attention to your methods. The rules of the game here are sometimes not so simple."

He Yaozu listened attentively and nodded, saying, "Uncle Chen, thank you for your reminder. I will act cautiously, but I will never let my father and you down."

During the handover, He Yaozu also interviewed the candidates one by one, based on the list provided by his father and Bai Yifeng's assessment.

He carefully observed these people's speech, thinking, and understanding of the business, and gradually formed a plan in his mind.

A month later, the handover was basically completed, and Chen Sheng set off with his family to return to Hong Kong.

From then on, Ho Yiu-tsu officially took command of the North American command.

The first thing he did was to reconvene a meeting with the heads of core companies such as AMD, New-Vision, and NeoComm to clearly convey He Yuzhu's new strategic intentions: while maintaining necessary restraint, we should be more proactive and take the initiative in competing in the market, especially in the fields of graphics processing and mobile communications, and dare to challenge the core interests of our competitors.

The atmosphere in the meeting room was extremely serious. This was the Crown Prince. Chen Sheng needed to ask permission before he could take any action against them. This man was the one who could act first and report later.

Several foreign CEOs who were used to Chen Sheng's steady style clearly felt the different aura brought by He Yaozu, the young president.

He Yaozu didn't explain the reasons for the personnel changes in detail, but instead steered the conversation directly to specific business matters: "Regarding the price war and ecosystem competition against Nvidia, AMD needs to come up with a more aggressive plan. As for Qualcomm's patent challenges, NeoComm's legal team must receive the strongest resource support from headquarters. Don't be afraid to litigate; if necessary, we can also utilize the media campaign."

"Yes," everyone responded in unison.

As for Chen Sheng, he only stayed in Hong Kong for three days after returning before going to Beijing.

The incident stemmed from a conversation between Xiaoman and He Yuzhu after Xiaoman learned that Chen Sheng had been transferred back. After all, Chen Sheng had originally been Xiaoman's subordinate and was quite adept at finance.

The car that picked up Chen Sheng stopped at the entrance of No. 95 Courtyard, and he went in alone with his simple luggage.

The gate to courtyard number 95 was ajar. He gently pushed it open, and the familiar courtyard scene came into view.

Upon entering the courtyard, Xiaoman was coming out of the main house, holding a pair of scissors in her hand, as if she had just finished trimming the flowers and plants in the yard.

Upon seeing Chen Sheng, she smiled genuinely, put down her scissors, and came to greet him.

"Ah Sheng is back? Come in quickly, you must have had a long journey?" Xiao Man's tone was familiar and caring, like an older sister, as if he had just returned from a long business trip.

"President Qiao." Chen Sheng bowed slightly, his voice carrying a hint of barely perceptible restraint and emotion.

Although Xiaoman is over sixty years old and has become increasingly calm and gentle, the clarity and sharpness in her eyes have not diminished in the slightest with the passing years.

He had fought under her leadership in Hong Kong's financial markets and knew well the decisiveness and skill of this seemingly gentle Ms. Qiao at crucial moments.

"It's nothing, it's all what I should do," Chen Sheng replied.

“The chairman is in his study. He knows you’re here today.” Xiaoman led him into the room. “It was my idea to bring you back. The business in North America is getting bigger and bigger, and the technology and patent issues involved are becoming more and more complicated. The group needs someone who is absolutely trustworthy and knowledgeable to take charge of the overall situation. The chairman also thinks you are the most suitable candidate. No one else can handle the situation.”

Her words were natural and appropriate, both indicating her trust in him and casually characterizing the personnel adjustment as a necessity for the group's development and a sign of his importance.

Chen Sheng understood that Xiaoman was giving him a way out and also trying to appease him.

He nodded gratefully: "I understand. My job is to meet the needs of President Qiao's Group."

"It's good that you think that way." Xiaoman patted his arm with relief. "Go see the chairman first. He's been talking about you several times. Have dinner at home tonight. Your chairman will cook for you personally to welcome you back."

"Thank you, Mr. Qiao." A warm feeling welled up in Chen Sheng's heart.

He walked to the study door and knocked.

"Go in." He Yuzhu's steady voice came through.

Chen Sheng pushed open the door and entered. He Yuzhu was standing in front of his desk practicing calligraphy. He looked up when he heard Chen Sheng's voice. He put down his brush and a smile appeared on his face: "You're back? Was the journey smooth?"

"Smoothly, boss," Chen Sheng replied, his gaze sweeping across the desk, where the four characters "Still waters run deep" on the Xuan paper, their ink still wet, seemed to penetrate the paper.

"Sit down." He Yuzhu gestured to the sofa next to him, then walked over and sat down, picking up a purple clay teapot to pour Chen Sheng a cup of tea. "Do you have any ideas?"

Chen Sheng accepted the teacup with both hands, pondered for a moment, and said frankly, "It's a bit sudden, and I'm also a little reluctant. After all, I've spent more than ten years in North America. But thinking about it carefully, Mr. Qiao and the boss's considerations are correct. Global patents and standards are indeed a strategic area for the future, related to the foundation of the group. I will familiarize myself with it as soon as possible and get the job done."

He Yuzhu nodded, expressing his satisfaction with his attitude: "Yaozu is still young in North America and needs more experience. You've been operating there for many years and have laid a solid foundation. If there's anything that needs coordination later, you'll need to put in more effort."

“This is my duty,” Chen Sheng immediately assured him.

"Hmm." He Yuzhu took a sip of tea, then changed the subject, his tone calm yet weighty, "Asheng, you've been with me for so many years, I know your abilities and loyalty. The reason I'm bringing you back isn't because you're incompetent, but because times have changed, and the opponents have changed. Some battles can no longer be fought as steadily as before. North America needs a faster blade, and headquarters needs a more stable ballast. You and Yaozu, each fulfill your duties."

This statement is quite insightful.

The last bit of hope and lingering resentment in Chen Sheng's heart dissipated, and he solemnly said, "Boss, I understand. Don't worry, I know what to do."

“Okay.” He Yuzhu smiled genuinely. “I’ll cook for you tonight, and we’ll have a good drink together. Lingyi hasn’t talked to you in years. You two were a golden duo in the financial markets back in the day.”

That evening, at the He Family Restaurant, He Yuzhu called Hong Lang back to keep him company with drinks.

The meal was plentiful, consisting of home-style dishes, but the taste was excellent. The ingredients were prepared by Xiaoman, showing that she had put a lot of thought into it.

The atmosphere at the table was harmonious. Xiaoman would occasionally serve food to Chen Sheng, ask about his children, and chat about everyday life, but never mentioned his job transfer.

After the meal, as they moved to a teahouse, Xiaoman casually brought up the topic: "Asheng, you're back just in time. I've been sorting out the group's global financial assets and investment portfolio lately, and some of the hidden lines laid out years ago have become a bit unclear over time. You've handled quite a few of these before, could you help me sort them out when you have time?"

Chen Sheng immediately understood that this was not a simple act of helping, but rather Xiaoman's way of reusing his financial experience and connections to involve him in a much larger and more secretive global operation.

He felt a surge of energy, as if he had returned to the days when he followed Xiaoman and dominated the Hong Kong scene.

“Just give the order, Mr. Qiao, and I’m ready to start anytime,” Chen Sheng agreed without hesitation.

Xiaoman and He Yuzhu exchanged a glance, a hint of a smile flashing in their eyes.

He Yuzhu picked up his teacup and said calmly, "Alright, we can talk about work tomorrow. Today is just to welcome you home. Ah Sheng, now that you're home, relax."

“That’s right, Ah Sheng, the boss is right.” Ah Lang chimed in, actually trying to smooth things over for his old partner.

Looking at He Yuzhu, Xiaoman, and Alang in front of him, Chen Sheng was filled with emotion.

He knew that Qiao Lingyi might have spoken on his behalf, and that he was not marginalized, but rather given a new, perhaps more crucial, mission.

This home, which he left more than a decade ago, remains his strongest support and the harbor where he will set sail again.

"Thank you, boss!"

"Come and try the dishes made by the eldest!"

"Eat, this is delicious." Ah Lang also helped Chen Sheng pick up some food.

In the end, Chen Sheng got drunk and was taken back by A Lang.

Leaving aside the fact that Chen Sheng stayed behind to help Xiaoman with financial matters, He Yaozu in North America, after becoming familiar with the situation, ordered an attack on Nvidia.

One month later, in Santa Clara, California, North America, at Nvidia headquarters.

The atmosphere in the conference room was like the weather in the Bay Area: seemingly sunny, but with a chill lurking beneath the surface from the Pacific Ocean.

CEO Sir Huang frowned as he looked at the draft of the latest quarterly financial report and the urgent report from the sales department on his desk.

"Here we go again? Has AMD gone mad this time?" A vice president in charge of marketing couldn't help but complain, pushing a newly received channel briefing to the center of the conference table. "They've offered prices 15 percent below our cost for our mainstream GeForce 4 Ti series models! This isn't competition, this is dumping!"

“It’s not just about price,” added another director in charge of game partnerships, his face grim. “Several major game developers we had almost finalized deals with, including those with whom we previously had exclusive agreements, have all received very attractive new offers from AMD—no, it’s called ATI Technologies now. They’ve bundled deals, on-site technical support teams, and much more favorable revenue-sharing terms. Activision has made it clear that their next big title will be optimized for both ATI and our graphics cards, but promotional resources will be tilted towards ATI.”

"Our cash flow situation is not optimistic." The CFO's voice was a little dry. "The inventory clearance of the previous generation products is not as good as expected, and R&D investment is increasing. If AMD continues this suicidal pricing strategy, our profit margin will be eroded. The capital market has already reacted, and the stock price has been declining for the past few days."

Mr. Huang listened in silence, his sharp gaze sweeping across the faces of every executive present.

He knew this was no accident.

AMD's graphics division (ATI) has made a remarkable comeback in the past few years with its R300 series, and the technology gap is indeed narrowing.

But such an organized, targeted, and almost cost-insensitive attack must have a stronger driving force behind it.

"What's the reaction from Intel and Microsoft?" he asked in a low voice, trying to find external help. Nvidia has a collaboration with Intel in the chipset field and is also closely related to Microsoft's DirectX standard.

The vice president in charge of business development shook his head, his tone tinged with helplessness: "I contacted them separately. Intel's attitude was ambiguous. They're happy to see AMD expending resources on its graphics division, which could weaken its competitiveness against us in the CPU field. They just said they would monitor the situation closely, but made no substantial commitment to support. As for Microsoft, their consistent stance is to maintain hardware neutrality, only emphasizing that they will ensure DirectX provides fair support for all hardware. They don't want to be drawn into a price war among hardware manufacturers."

The path to seeking outside help seems to have been blocked.

A brief silence fell over the conference room, broken only by the faint hum of the air conditioning system.

"We can't follow them into a price war," Huang Sir finally spoke. "Our foundation is technology and innovation. We need to adjust our strategy immediately: First, accelerate the development of the next-generation NV40 architecture; I need a concrete timeline. Second, concentrate resources to ensure our performance and user experience advantages in high-end flagship products and maintain our brand dominance. Third, strengthen communication with core partners, especially those professional customers who value our CUDA general-purpose computing potential. In the consumer market, we'll adopt a defensive stance for now, preserving key channels and market share, but we will never let them drag down our profits."

He paused, his eyes turning cold: "At the same time, the legal department is mobilized. They are carefully examining all relevant products from AMD—no, from the ATI group—searching for any possible clues of patent infringement. Since they dare to play this game, they should be prepared to pay the price."

Although the order was issued, the effect was not good at all. Their funds ran into problems, which in turn affected research and development.

This made them realize that they were no longer facing just a technology follower, but a complex entity backed by massive capital, with clear strategic intentions, and beginning to exhibit greater aggressiveness. AMD (ATI)'s blade was faster and more ruthless than ever before.

At AMD headquarters, Ho Yao-tsu, who had just received a report, did not show any relief on his face.

“Keep the pressure on. I want them to feel suffocated but without enough breathing room to seek external intervention. Also, how's the secondary market acquisition going?” he instructed the head of ATI.

"It's progressing steadily, Mr. He. We've been operating through multiple offshore accounts and have already accumulated about 3.7% of the circulating shares, which hasn't triggered the announcement threshold yet."

“Very good, continue the acquisition, but be sure to hold shares in the companies that are safe.” He Yaozu nodded.

"clear."

Initially, Ho Yiu-cho was skeptical about targeting Nvidia, because Wong Sir was, after all, Chinese, and it wasn't easy for a Chinese person to achieve this level of success in North America.

Before taking action, He Yaozu had a long discussion with his father.

“Dad, Nvidia’s Mr. Huang is Chinese after all, and it wasn’t easy for him to make a name for himself in Silicon Valley. Could we try to reach out first and see if there’s any possibility of technical cooperation or cross-licensing? Wouldn’t it seem a bit aggressive to take such a fierce competitive approach directly, and might it easily cause controversy in the Chinese community?”

On the other end of the phone, He Yuzhu chuckled and said directly, "Yaozu, your thinking is typical of a good businessman, believing that harmony brings wealth, which is not wrong. But you need to understand that what we are facing now is not a simple business competition, but a battle for the future technological high ground."

"Who says that sharing the same blood guarantees friendship? In business, we're talking business, but on a larger scale, we need to consider positions and interests. It's true that Mr. Huang is Chinese, but first and foremost, he's the CEO of Nvidia. His company is registered in the US, governed by US law, and its core technologies are subject to US export controls. His success is inseparable from the US technology ecosystem and market. If you want to cooperate with him, will the capital behind him and the market he relies on allow it? When it comes down to it, will he stand on the side of the Chinese, or on the side of Nvidia and the US?"

He Yaozu opened his mouth, wanting to refute, but found that he could not find a more compelling argument.

His father's words were like a needle, piercing the warm illusion in his subconscious based on shared cultural origins.

He Yuzhu continued, “I’m not saying you should condemn them outright, nor am I saying there’s absolutely no room for cooperation in the future. But at this stage, Nvidia’s technological lead in graphics processing is an obstacle we must overcome. AMD’s graphics card division (ATI) is our own team. We’ve invested so many resources, and now that we’ve finally caught up in the technology and stabilized our market position, it’s time to press our advantage. If you don’t hurt them, if you don’t weaken them, how will they be willing to sit down and talk about cooperation with you on an equal footing? And even, how will we have the opportunity to intervene in a more advantageous way at some point in the future?”

“I understand, Dad.” He Yaozu took a deep breath, his eyes hardening. “I misunderstood. The business world is like a battlefield; there’s no room for sentimentality. I know what to do.”

“Hmm.” He Yuzhu’s tone softened a bit. “Remember, the strategy must be ruthless, but the methods must be clever. Our goal is not to destroy it, but to weaken and restrain it, to buy time and space for our development, and to lay the groundwork for possible future changes. As for the specific scale, you can flexibly determine it based on the situation in North America. My idea is that if we’re going to fight, we should fight until it can’t recover.”

"clear."

After hanging up the phone, He Yaozu sat alone in his office for a long time, repeatedly pondering his father's words.

He realized that his previous management approach had focused more on the steady expansion of the Yellow River Group's own business and internal synergy, and that his understanding and execution of this kind of "unrestricted warfare" with its strong aggressiveness and strategic pressure was not deep enough.

His father was giving him a lesson—a practical lesson on how to break with conventional thinking and use comprehensive methods to achieve strategic goals in global competition.

That's why the previous business war happened, and it was a business war that showed absolutely no mercy.

However, he didn't know how his father could possibly tell him what role Nvidia played after the rise of AI in his previous life. Since Huanghe now had the capability, he couldn't allow such a company to grow.

Nvidia is just the beginning. Even if we can't defeat the others, we will continue to suppress them until the balance of power in the world tilts.

Chen Sheng had actually asked He Yuzhu this question after he returned, and He Yuzhu's answer was even more impolite. After the conversation, Chen Sheng really wanted to slap himself a few times; he really had a sharp tongue.

(End of this chapter)