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Comeback 1992 - Chapter 891

Published at 17th of February 2023 06:55:25 AM


Chapter 891: Expansion against the market

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  Chapter 891 Expansion against the market

   As for asking Jingfang Company to distribute dividends? Tang Yan never thought about letting technology companies pay dividends. I'm afraid she didn't figure it out?

  Companies like Jingfang are facing tremendous pressure from competition, and every penny of funds must be used to strengthen themselves.

   Dividends?

  It is impossible to pay dividends.

  Now Tianhuo Hammer Investment is the largest shareholder in Jingfang Company, but Tianhuo Hammer Investment generally does not get involved in the operation of Jingfang Company.

  Tianhuohammer Investment quite trusts the management of Jingfang Company.

  Han Songlin pondered slightly, Jingfang Company developed seven or eight years earlier than in memory, these seven or eight years are really too important.

   "How many panel companies in Taiwan now occupy the total panel market?"

  Tang Yan has a deep understanding of this information: "About 30 percent."

   "The rest are South Korea and island countries?"

  Tang Yan nodded lightly: "South Korea occupies the absolute majority."

  Han Songlin didn't say anything. There is no need to say anything about the presence of South Korea's Four Star Electronics and LG in the panel market.

   On the island country side, the LCD panel industry in the island country will be directly abandoned in the future.

   "There should be weaknesses in the panel industry in Taiwan, right?"

  Why did Han Songlin say that?

  It's a very simple reason, because in the future, Han Songlin has never heard of any panel companies on Baodao.

what does that mean?

   means that its market share becomes unimportant.

  If there is no market for a product, I believe everyone understands what it means to an enterprise.

   "Indeed, the panel industry on Taiwan's side was supported by the island country. It relies on the island country for technology and production equipment."

  Han Songlin: "In the face of such an opponent, shouldn't Jingfang Company be sure to win?"

   Winning?

  Tang Yan and Liu Yuyan looked at Han Songlin in astonishment. How could they come to the conclusion of a sure win?

  Now they still have 30% of the global panel market share, and Jingfang Company only has 10%.

   "The current market price of LCD panels is still very good. As long as they are panel companies, they have made a lot of money. However, a new round of economic crisis is coming soon."

  “With the advent of the financial crisis, the market demand will decrease, but the production volume will not drop immediately. Panel prices will face a collapse.”

  Han Songlin: "At this time, what Jingfang Company has to do is to expand against the market. In crisis, there is opportunity in danger!"

  Four-star companies can play very well in terms of expansion against the market.

  “As long as we survive the economic crisis for a few years, when the economy recovers, the market demand will recover, even stronger than before. At this time, it is time to make profits again.”

  Companies that can play like this are all big companies.

  The reason why big companies are becoming stronger is because they can survive. After they survive, they will find that they are facing a market that has been reshuffled.

  At this time, as long as there is production capacity, you can make a lot of money.

   "Jingfang Company will continue to expand its production capacity in the future."

  Jingfang Company wants to increase production capacity, do you have any questions?

  No, Huaguo can do the production equipment.

  Shenwei cannot be number one in the field of chip lithography machines. There is no problem with a photolithography machine that can produce LCD panels.

  After all, LCD panel production is much worse in terms of technical requirements than chip production.

   Tang Yan said with a smile: "In May of this year, Jingfang Company's new sixth-generation TFT-LCD production line in Hezhou will be officially put into operation, with a monthly production capacity of 120,000 substrates, mainly used for the production of TVs and computer screens."

   "This will be the world's leading LCD panel production line."

  The monthly production capacity of 120,000 substrates seems to be quite small!

   But in fact, it cannot be said so.

  Because the substrate size produced by the sixth-generation line is: 1500*1800mm.

   It can cut 8 pieces of 32-inch substrates and 6 pieces of 37-inch substrates.

   After doing the calculations like this, you will know how powerful this factory located in Hezhou is.

  Produce 11.52 million 32-inch screen substrates a year!

   A 32-inch TV is considered a big screen in 2006.

  Normal family TV is this size.

  Can the 6th-generation line substrate be cut to a larger size?

   Of course it is possible, but manufacturers generally do not do this because it is not economical.

  Han Songlin touched his chin: "I remember, Jingfang Company now has three generations of production lines, right?"

   "Yes, the 4.5-generation line imported from South Korea, the self-developed 5th-generation line and the 6th-generation line that will be put into production soon."

  The substrate area produced by the 4.5-generation line: 730*920mm, and the economical cutting is less than 15 inches.

  The substrate area produced by the 5th generation line: 1100*1300mm, the economical cutting is 8-32 inches.

  The substrates of the sixth-generation line will be mainly supplied to the production of TV sets, and the fifth-generation and 4.5th-generation lines will mainly supply notebook and desktop computer monitors.

   As for the mobile phone display screen, that thing is too easy to produce.

   A substrate can be cut out a lot.

   "Where is the one under construction? I remember that in Rongcheng, Jingfang Company seems to have invested in the construction of a factory, right?"

   "That is the 7th generation line, and the development of the 8th generation line is also being accelerated, and we will try to get it out next year, and then build it as soon as possible."

  7th generation line substrate size: 1870*2200mm, can cut 8 pieces of 42-inch substrates and 6 pieces of 46-inch substrates.

  8-generation line substrate size: 2160*2460mm, can cut 8 pieces of 46-inch substrates and 6 pieces of 52-inch substrates.

  Gen 8 line is also the strongest liquid crystal substrate production line in the world today.

  Of course, the substrates produced by the 8th generation line can basically only be used as TV substrates, and computers don’t even have such a big screen!

  Even if the number of TVs used in households is significantly reduced in the future, if there is not a large-sized TV in every living room, it seems that something is missing.

  52-inch TVs may be popularized in China several years in advance.

   "How long will the 7th generation line be put into production?"

  Tang Yan: "According to what I've learned, Jingfang Company wants to start production this year, but it's not clear whether it can do it."

  Han Songlin grabbed a handful of melon seeds and kneaded them in his hands: "Do you think that the changes in the LCD panel industry on Baodao have anything to do with the pressure from Beijing Company?"

   "There must be. Once the 6th generation line of Jingfang Company is put into production, the market share will continue to increase."

   "Don't worry about the panel companies on Yibao Island. They don't have core R&D technology, and they have to buy production equipment from the island country. Now, the Beijing company should keep an eye on the island country and South Korea."

  Han Songlin has already sentenced the panel company on Baodao to death in his heart.

   Regardless of the current boom, as long as they dare to invest in new production lines now, when the production lines are completed, they will find that the demand for global panels will plummet due to the outbreak of the economic crisis.

   Panel prices will also drop sharply, and at this time the company will inevitably enter a period of loss.

  Whether you can continue to persevere is still a question.

  After the economic crisis in 2008, the island countries began to withdraw from panel production, and the global panel market was dominated by South Korea for a long time.

  Of course, this situation is naturally impossible now.

  Jingfang Company is not a company fighting now.

  (end of this chapter)




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