Tech Giants: Starting from Bankrupt Companies

203: Chapter 203 A New Track Worth 50 BillionApril 13th, Spark Electronic Technology Strategic Meeting.

9:00 AM, Spark Electronic Technology headquarters.

The atmosphere in the meeting room was heavy. Although the company had just gone public and raised 400 billion, the external environment was deteriorating rapidly, and everyone felt the pressure.

CEO Zhang Yang stood in front of the large screen, his expression serious.

”Everyone, you have all seen the data,” he said, pulling up an industry report. ”Affected by the ZTE incident, the market value of the entire technology sector has evaporated by over a trillion. Investors are panicking, consumer confidence is declining, and partners are adopting a wait-and-see approach.”

He paused and scanned the room: ”At a time like this, what should we do? Shrink our battle lines? Operate conservatively?”

Some in the audience nodded.

But Zhang Yang changed the tone: ”No. At a time like this, we should expand.”

The large screen switched:

Strategic Direction 1: AI PC/Laptop

Market Analysis:

Global annual sales: 160 million units

Major players: Lenovo (24%), HP (22%), Dell (16%), Apple (8%)

Pain points: Traditional PC innovation has stagnated, AI functions are weak, and experiences are homogeneous

Spark Electronic Technology’s advantages:

chip: Flint 3 (14nm) performance exceeds Intel’s same generation, with lower power consumption

AI: Starry Sky Large Model (already trained to trillion parameters), capable of localized deployment

Screen: Spark Industry’s OLED screen, with industry-leading color gamut, brightness, and refresh rate

Ecosystem: Spark Electronic Technology already has mobile phones and wearable devices, allowing for multi-terminal synergy

Strategic Direction 2: High-end TV

Market Analysis:

Global high-end TV ($800+) market: Samsung (35%), Sony (25%), LG (20%)

Pain points: Image quality improvement has hit a bottleneck, smart systems are lackluster, and prices are artificially high

Spark Electronic Technology’s advantages:

Display technology: Self-developed OLED + Quantum Dot, contrast ratio of 1,000,000:1, color accuracy Delta E < 1

Image engine: AI real-time optimization, supports 8K 120Hz

Audio: Partnership with Harman Kardon (Spark Electronic Technology has already acquired some of its shares), Dolby Atmos

Content: Currently negotiating the acquisition of a streaming platform

Zhang Yang pointed at the PPT: ”Sanctions are a crisis, but they are also a vacuum period. When Lenovo and Dell shrink due to supply chain worries, and when Samsung and Sony are conservative due to market panic, we expand. By the time the storm passes, we will have already occupied the position.”

In the audience, someone raised their hand to question: ”Mr. Zhang, how much money will this require?”

”50 billion for the first phase,” Zhang Yang said. ”30 billion of which will be used for AI PCs, and 20 billion for TVs.”

”50 billion?!” The CFO gasped. ”The company just went public; burning this much money will cause the stock price to collapse.”

”That is why we are proceeding in steps,” Zhang Yang pulled up the schedule. ”Phase 1: Acquire existing brands to quickly enter the market. Phase 2: Independent research and development to build technical barriers. Phase 3: Brand upgrade to challenge the high-end market.”

He looked at the board members: ”I know the risk is high. But if we don’t do it now, by the time America’s sanctions spread and the industry landscape solidifies, we won’t have a chance. The mission of Spark Electronic Technology is not to be a company that just makes money, but a company that changes the industry.”

Silence.

Then, the first director raised their hand: ”I agree.”

The second.

The third...

Unanimously passed.

April 14th, 2:00 PM, two announcements were released almost simultaneously:

Announcement 1: Spark Electronic Technology acquired 100% equity of the domestic second-tier laptop brand ”Leiting Technology” for 12 billion rmb. Leiting Technology has annual sales of about 500,000 units and possesses complete production lines and channel networks.

Announcement 2: Spark Electronic Technology acquired the TV business division of the veteran TV enterprise ”Huaxia Shijie” for 8 billion rmb. Huaxia Shijie was once the top TV brand in China, and although it has declined in recent years, it has deep technical accumulation.

The media exploded.

”Finance Weekly”: ”Spark Electronic Technology expands against the trend, a 20 billion gamble on PCs and TVs!”

”First Finance”: ”Robbery during a fire? Spark buys the dip on peers amidst the ZTE crisis!”

”Wall Street Insights”: ”The counter-cyclical operation of a Chinese tech giant: Greedy when others are fearful?”

Leiting Technology founder Lei Zhan, 45 years old, posted a long article on the Chinese microblogging platform:

”Today, I sold the company I founded fifteen years ago to Spark Electronic Technology. Many people say I ’sold out for glory,’ and that my ’ideals are shattered.’”

”But I want to say: Fifteen years ago when I founded Leiting, it was because I wanted Chinese people to use high-end laptops made by themselves. I tried, I worked hard, and I invested everything. But we didn’t have our own chips, our own operating systems, or our own screens. We were always assembling, always chasing, and always struggling in price wars.”

”Two years ago, I heard of Spark for the first time. At that time, they had just built a 28nm chip, and many people laughed. But I saw hope—finally, there was a Chinese enterprise daring to chew on the hardest bones.”

”Today, Spark came to talk to me about an acquisition. Mr. Zhang asked me: ’Mr. Lei, if I give you Spark’s chips, Spark’s systems, and Spark’s screens, can you make the world’s best laptop?’”

”I cried. I waited for this sentence for fifteen years.”

”So, this is not selling out, this is fulfilling a dream. I handed the company over to Spark because I believe they can make my dream come true. And I will continue to fight as the General Manager of the PC Business Division of Spark Electronic Technology.”

”Lastly, one sentence: The Leiting brand will be retained, but the core will be Spark. In three months, please look forward to our first AI PC—it may not be perfect, but it is a true ’Chinese chip, Chinese made.’”

This article had over ten million views and over a million shares.

Many people were moved to tears.

That was the resonance of Chinese manufacturing practitioners: Who doesn’t want to make world-class products? But the technical barriers are too high, and capital is too realistic.

Now, Spark has given them a chance.

The former chief engineer of Huaxia Shijie also said in an interview: ”We have accumulated thirty years of CRT technology, LCD technology, and OLED technology, but we lacked chips, algorithms, and an ecosystem. Spark has filled in the final piece of the puzzle. I believe Chinese TV can return to the pinnacle of the world.”

An even bolder move was announced at 4:00 PM:

Spark Electronic Technology announced that it will build three new R&D centers in Shenzhen, Wuhan, and Chengdu, specializing in AI PCs and smart TVs.

Recruitment scale: 3,000 people.

Positions cover: chip design, algorithm optimization, display technology, industrial design, software systems...

Salary: 30-50% higher than the industry average.

The first recruitment requirement: ”Have a dream, dare to challenge, and do not fear failure.”

That evening, the traffic on the recruitment page of the Spark Electronic Technology official website surged tenfold, and over 50,000 resumes were received.

Many were from employees of Lenovo, Dell, Samsung, and Sony.

8:00 PM, Spark Electronic Technology Shenzhen headquarters large meeting room.

The newly established PC Business Division and TV Business Division held an all-hands meeting, with a total of over 800 people, including the teams integrated from Leiting Technology and Huaxia Shijie.

Zhang Yang stood on the stage, with a large screen behind him showing a countdown: 90 days.

”Everyone, from today on, we are comrades-in-arms,” Zhang Yang began. ”We must use 90 days to accomplish what others take a year or even longer to complete.”

The large screen switched:

Days 1-30: Product definition and architecture design

Complete AI PC prototype design

Determine TV image engine architecture

Supply chain negotiation and locking

Days 31-60: Prototype development and testing

Manufacture 100 engineering prototypes

Conduct extreme environment testing

Initial software system integration

Days 61-90: Mass production preparation and release

Production line debugging

Establishment of quality control system

Global launch preparation

”I know this schedule is almost crazy,” Zhang Yang said. ”But that is how Spark has come this far—using crazy speed to do impossible things.”

He pulled up the historical record:

16nm chip: Industry average 18 months, Spark 12 months

Electronic Design Automation tool: From project initiation to commercial use, 24 months

Red Flag E-MINI: From design to mass production, 10 months

”Now, it is the turn of AI PCs and smart TVs,” Zhang Yang raised his voice. ”We must use Spark Speed to let the world see—sanctions will only make us stronger and more independent.”

In the audience, the old engineers from Leiting Technology had moist eyes.

They had waited for this day for too long.

Lei Zhan stood up: ”Mr. Zhang, I represent the PC Business Division in taking this military pledge: 90 days, without sleep or rest, we will definitely complete the mission!”

The chief engineer from Huaxia Shijie also stood up: ”The TV Business Division, the same!”

Over 800 people said in unison: ”Guarantee to complete the mission!”

The sound was so loud that the ceiling was trembling.