Chapter 1095: 1095
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Obviously, considering the legal risks, the article that accused the Internet industry of Ponzi scheme did not name it directly, but listed a series of detailed data. Even so, discerning people can see at a glance which company the "industry giant" refers to.
After all, many short capitals and the power of the Mellon family can not be underestimated. A large number of media all over the United States made concerted efforts, which inevitably caused huge social repercussions.
Even if the westrow system made many timely responses, the NASDAQ index fell on Monday, January 27. Igritte, the first company to bear the brunt, fell by 1.3% in the first hour, with a Book loss of more than $10 billion.
Finally, on Monday, the NASDAQ index closed down 69 points, or 1.1%. As a leading stock, igritte's share price also dropped by 0.7% in a single day, and its market value dropped to 746.6 billion US dollars from 751.9 billion US dollars on Friday. Other companies such as Cisco, AOL and Microsoft also saw their share prices fall to varying degrees.
Even if it doesn't meet expectations, such a "good start" has inspired some people.
So, that night, later, they called out.
In the evening news program of CBS TV station under the control of Westinghouse Electric, which is closely related to the Mellon family, a former Republican government official of the U.S. Department of justice strongly criticized the delay and perfunctoriness of the Clinton Administration's anti-monopoly investigation on igritte in an interview, calling on the federal Congress and the U.S. states to unite to put pressure on the White House to dismember igritte, an obstacle to the new era The "monopoly giant" in the development of science and technology industry.
Not only that, on Tuesday, the NASDAQ fell sharply again.
Compared with Monday, the Nash index's one-day decline widened to 1.6% on Tuesday, and igrit's share price also expanded to 2.1% on the same day from 0.7% on the previous day. The one-day market value evaporated more than $15 billion.
The mountain rain is coming.
Although the bad news for two consecutive days has not triggered a large-scale selling frenzy, no one knows that if it continues like this, it will only lead to collapse. As a result, the technology stocks led by the westero system also made the most decisive and practical counterattack.
In an interview with ABC evening news on Tuesday night, Federal Reserve Chairman Alan Greenspan personally stated that in order to maintain the current prosperity of the U.S. economy, the Federal Reserve has no plan to raise interest rates in the short term.
Then it's Wednesday.
With the propaganda articles of major portals and major newspapers on the East and west coasts about igritte's huge subsidies for e-commerce through advertising, software and other profitable businesses, which has created at least 100000 long-term jobs for the Federation inside and outside igritte with huge losses of US $1.7 billion in the past year, we faced the questions of reporters at the White House press conference in the morning? The White House spokesman made a public statement? Considering the close relationship between igritt's many businesses and the large number of jobs created for the Federation? The Justice Department will carefully consider the split plan of igritt? It will only urge igritt to improve its market strategy against some small businesses and consumers.
On the same day after the White House's announcement, igritte responded almost at the same time.
On the morning of the west coast, igritte signed a technology licensing and compatibility sharing cooperation agreement with IBM, Microsoft, HP and other technology companies that also provide data center services in the San Francisco headquarters park, focusing on increasing the compatibility of igritte's Internet infrastructure software with other data center platforms.
It is obvious that igrit did so in response to the accusation that igrit bundled its own software with data center services and forced them to sell to users in an investigation launched by the Ministry of justice at the end of last year. Not only that? On Wednesday afternoon? Igritte announced again? In order to support the development of many small enterprises? Igritte comprehensively reduced the price of its own data center services by 15%, which took effect immediately.
It's still not over.
On Thursday morning, igritte executives held a press conference at the upcoming Amazon warehousing and logistics center near Miami, Florida, announcing that they would start the recruitment plan of 2000 employees ahead of schedule. At the same time, after the formal opening of the logistics center near Miami, in addition to its own employment scale will increase again, it will also bring no less than 10000 jobs to the surrounding areas.
At the press conference, a judge of Florida prosecutor's office in charge of igritte's anti-monopoly investigation personally affirmed igritte's move, and publicly said that the settlement negotiation between Florida prosecutor's office and igritte on last year's anti-monopoly investigation had come to an end.
For two days in a row, a series of news that almost turned upside down has attracted fierce criticism from the short power controlling the public opinion platform, but the market feedback has an immediate effect.
Igrit's losses on Monday and Tuesday ended abruptly on Wednesday and began to rise. In addition, because of Greenspan's personal statement, the NASDAQ also recovered its lost ground quickly, easily returning to the high above 6300 points at the close of last Friday, driven by the rebound of igritte's share price.
The rapid reversal of the whole thing, in the eyes of some intentional spectators who know a little bit about the inside story, is completely crushing.There is a huge gap between the strength of both sides.
The short capital can only use some local media or small network platforms and some ex politicians who are out of office to make public opinions, while the long side directly moves out of the White House and the chairman of the Federal Reserve, and controls the mainstream media with national influence, such as igritte portal, ABC TV network, the New York Times, etc.
On the other hand, igritte's further opening-up measures and the promotion of local employment have also brought a big step forward for the Department of justice and the state prosecutor's offices. People with clear eyes can see that last year was an anti-monopoly investigation initiated by the White House in order to grasp the initiative. After igritte broke the situation, it was bound to end again soon.
It is determined that igritte will not be split. Even though the price reduction in data center services and technology licensing to other peers will have some impact on igritte's revenue and monopoly advantage, in the end, the good will be far greater than the bad.
Finally, January 31, Friday.
After a hot and noisy week, the final closing of the NASDAQ index, not only did not turn to collapse, but also increased by 1.8% to 6437 points compared with last Friday.
The most dazzling is igrit.
On Wednesday, Thursday and Friday, the company continued to rebound. By the end of Friday, the market value of the company had reached 773.1 billion US dollars, up 2.8% in a single week.
It seems like a single digit percentage increase, but at this time, the volume of NASDAQ market and igritte company is still a huge number. Correspondingly, in the first two days of this week, the short capital whose book floating loss narrowed slightly ended up with continuous loss expansion.
February 2, Sunday.
Simon came to New York yesterday and spent the day with Irene Lauder. Grace was given time this morning.
At noon, amancio Ortega, the founder of INDITEX from Spain, was invited. Although the Spanish businessman who created Zara brand was later the richest man in Spain, and had once been the richest man in the world for a short time, it was nothing to Simon at this time.
No way.
Simon is no longer as rich as anyone.
After lunch, they happily decided on a plan to invest in INDITEX, Zara's parent company, with Westeros as the main body. Simon came to Chen Qing's and Lin Su's residence on the upper west side in the afternoon.
Just enter the door, Chen Qing rushed to come over: "boss, you are really great."
Simon stood in the porch, smiling and letting the maid change her shoes, and said, "what a coincidence, I always think so."
"Oh, but on Wednesday, I signed a cooperation agreement with IBM in the morning, and announced the big price reduction of YWS in the afternoon. It's too damaging. Boss, although igritte can certainly survive the price war, it's unnecessary. I think it's enough just to sign a cooperation agreement?"
Two people said already entered the living room.
Simon didn't answer immediately. Instead, he asked, "where's ASO?"
"She's just out shopping. We're going to make you something delicious in the evening."
Simon nodded, and they sat down on the sofa in the living room. Seeing Chen Qing staring at herself with bright eyes, they said, "this is the original plan. Our YWS, if you pay enough attention, should understand that it is very different from some other traditional data centers."
Chen Qing pasted on Simon's side and said, "I know, cloud computing."
"Yes, cloud computing, in addition to maximizing the benefits of data center resources, has another advantage: the larger the scale, the lower the relative cost. In fact, from the beginning, compared with other companies providing similar services, igritte has a huge profit margin in this area. It was only because we initially set a higher price in order to avoid peer vigilance. Now, the scale of igrit's data center is constantly expanding, and the relative cost is getting lower and lower. Even if it is reduced by 15%, our gross profit space is still far more than other peers. "
"Does that mean that there will be price cuts in the future?"
"Of course, in the final analysis, compared with technical barriers and the like, low price has always been the most direct and effective moat in business competition. As long as your price is low enough, you don't need to worry about competitors. Cloud computing technology, although igritte is ahead of time in research and development for some years, it is not very difficult to overcome this technology which has been put forward in the 1980s. If igritte wants to ensure its first mover advantage, the most effective way is to reduce the price. Other competitors are unprofitable. Forced competition will only make itself lose money, so it is difficult to shape igritte It's a threat. "
Chen Qing's side thought, said, "well, let me guess, after the collapse of the Nasdaq, igreat will definitely reduce the price of YWS again, when the bubble burst and price competition, other industries will no longer be able to catch up with I Gerrit."
Simon nodded: "neat."
In fact, the reason why Amazon used to occupy half of the global cloud computing business is that the leading technology research and development is not the key. In fact, Google is the first to develop a mature cloud computing solution in order to save costs.The key to Amazon's success in cloud computing business is price. Even without competitors of the same level, the company realized that its profit margin was too large, so it took the initiative to reduce the price and then reduce the price. As a result, when its body size was large enough and the cost was getting lower and lower, it created an insurmountable business moat for itself.
Other follow-up enterprises, because their business volume can't be compared with Amazon and their relative cost is higher, can only compete with Amazon with long-term losses. As a result, it can be imagined that although they can finally obtain part of the market, they can't be compared with Amazon in the end.
Referring to my memory, Simon personally intervened in igritte's YWS business and finalized the same strategy.
This 15% price cut is just the beginning.
is now 10 times the volume of data centers of other peers, and neither Microsoft nor IBM can compete. Even after the new technology bubble burst, other competitors can survive in the winter of the Internet industry, which is a big problem.
In the living room, after talking about this matter, Chen Qing asked curiously: "boss, Nazhi is now 6400 o'clock, how high do you think it can go in the end?"
Simon can only shake his head: "I really don't know that."
How high the Nazhi can go is probably something that all people who pay a little attention to new technology are curious about at this time.
This time, even Simon can't be sure, compared with the collapse of the NASDAQ index around 5000 in March 2000.
In fact, Simon has thought about this problem for a long time.
First of all, we can make sure that the high 6400 of the NASDAQ is still not too out of control.
This time, compared with the past, the new technology market has more igritte, which is still a big Mac with a market value of $770 billion. In addition, tincobail, another company listed on the Nasdaq market, also has a market value of $321.7 billion at the close of this Friday.
These two companies, which have never appeared in history, together have a market value of more than US $1 trillion, which is enough to support the 1000 point NASDAQ index.
On the other hand, the Internet industry is still in its infancy when the NASDAQ index collapsed around 2000. Simon has spared no effort to promote the Internet industry with the strength of the whole westero system in recent years. This time, the Internet industry, whether in terms of user scale or enterprise development, is at least five years ahead of schedule, or 10 years ahead in some aspects It's not too much.
said that when YAHOO had broken down in the 2000 when the Internet bubble burst, it only had a total revenue of $two hundred million or three hundred million for the company's $100 billion market capitalization. Now it's just the igritts, with revenues of more than $30 billion.
Others, such as Cisco and AOL, are far ahead of what they used to be.
actually means that, compared to the previous bubble, this industry has a solid performance support, and the bubble is far from the original time and space. Therefore, after crossing the previous 5000 points, how high the Nazhi can go this time, regardless of other people, Simon himself has no eyes at all, and can only go one step at a time.
Please report us if you find any errors so we can fix it asap!
Obviously, considering the legal risks, the article that accused the Internet industry of Ponzi scheme did not name it directly, but listed a series of detailed data. Even so, discerning people can see at a glance which company the "industry giant" refers to.
After all, many short capitals and the power of the Mellon family can not be underestimated. A large number of media all over the United States made concerted efforts, which inevitably caused huge social repercussions.
Even if the westrow system made many timely responses, the NASDAQ index fell on Monday, January 27. Igritte, the first company to bear the brunt, fell by 1.3% in the first hour, with a Book loss of more than $10 billion.
Finally, on Monday, the NASDAQ index closed down 69 points, or 1.1%. As a leading stock, igritte's share price also dropped by 0.7% in a single day, and its market value dropped to 746.6 billion US dollars from 751.9 billion US dollars on Friday. Other companies such as Cisco, AOL and Microsoft also saw their share prices fall to varying degrees.
Even if it doesn't meet expectations, such a "good start" has inspired some people.
So, that night, later, they called out.
In the evening news program of CBS TV station under the control of Westinghouse Electric, which is closely related to the Mellon family, a former Republican government official of the U.S. Department of justice strongly criticized the delay and perfunctoriness of the Clinton Administration's anti-monopoly investigation on igritte in an interview, calling on the federal Congress and the U.S. states to unite to put pressure on the White House to dismember igritte, an obstacle to the new era The "monopoly giant" in the development of science and technology industry.
Not only that, on Tuesday, the NASDAQ fell sharply again.
Compared with Monday, the Nash index's one-day decline widened to 1.6% on Tuesday, and igrit's share price also expanded to 2.1% on the same day from 0.7% on the previous day. The one-day market value evaporated more than $15 billion.
The mountain rain is coming.
Although the bad news for two consecutive days has not triggered a large-scale selling frenzy, no one knows that if it continues like this, it will only lead to collapse. As a result, the technology stocks led by the westero system also made the most decisive and practical counterattack.
In an interview with ABC evening news on Tuesday night, Federal Reserve Chairman Alan Greenspan personally stated that in order to maintain the current prosperity of the U.S. economy, the Federal Reserve has no plan to raise interest rates in the short term.
Then it's Wednesday.
With the propaganda articles of major portals and major newspapers on the East and west coasts about igritte's huge subsidies for e-commerce through advertising, software and other profitable businesses, which has created at least 100000 long-term jobs for the Federation inside and outside igritte with huge losses of US $1.7 billion in the past year, we faced the questions of reporters at the White House press conference in the morning? The White House spokesman made a public statement? Considering the close relationship between igritt's many businesses and the large number of jobs created for the Federation? The Justice Department will carefully consider the split plan of igritt? It will only urge igritt to improve its market strategy against some small businesses and consumers.
On the same day after the White House's announcement, igritte responded almost at the same time.
On the morning of the west coast, igritte signed a technology licensing and compatibility sharing cooperation agreement with IBM, Microsoft, HP and other technology companies that also provide data center services in the San Francisco headquarters park, focusing on increasing the compatibility of igritte's Internet infrastructure software with other data center platforms.
It is obvious that igrit did so in response to the accusation that igrit bundled its own software with data center services and forced them to sell to users in an investigation launched by the Ministry of justice at the end of last year. Not only that? On Wednesday afternoon? Igritte announced again? In order to support the development of many small enterprises? Igritte comprehensively reduced the price of its own data center services by 15%, which took effect immediately.
It's still not over.
On Thursday morning, igritte executives held a press conference at the upcoming Amazon warehousing and logistics center near Miami, Florida, announcing that they would start the recruitment plan of 2000 employees ahead of schedule. At the same time, after the formal opening of the logistics center near Miami, in addition to its own employment scale will increase again, it will also bring no less than 10000 jobs to the surrounding areas.
At the press conference, a judge of Florida prosecutor's office in charge of igritte's anti-monopoly investigation personally affirmed igritte's move, and publicly said that the settlement negotiation between Florida prosecutor's office and igritte on last year's anti-monopoly investigation had come to an end.
For two days in a row, a series of news that almost turned upside down has attracted fierce criticism from the short power controlling the public opinion platform, but the market feedback has an immediate effect.
Igrit's losses on Monday and Tuesday ended abruptly on Wednesday and began to rise. In addition, because of Greenspan's personal statement, the NASDAQ also recovered its lost ground quickly, easily returning to the high above 6300 points at the close of last Friday, driven by the rebound of igritte's share price.
The rapid reversal of the whole thing, in the eyes of some intentional spectators who know a little bit about the inside story, is completely crushing.There is a huge gap between the strength of both sides.
The short capital can only use some local media or small network platforms and some ex politicians who are out of office to make public opinions, while the long side directly moves out of the White House and the chairman of the Federal Reserve, and controls the mainstream media with national influence, such as igritte portal, ABC TV network, the New York Times, etc.
On the other hand, igritte's further opening-up measures and the promotion of local employment have also brought a big step forward for the Department of justice and the state prosecutor's offices. People with clear eyes can see that last year was an anti-monopoly investigation initiated by the White House in order to grasp the initiative. After igritte broke the situation, it was bound to end again soon.
It is determined that igritte will not be split. Even though the price reduction in data center services and technology licensing to other peers will have some impact on igritte's revenue and monopoly advantage, in the end, the good will be far greater than the bad.
Finally, January 31, Friday.
After a hot and noisy week, the final closing of the NASDAQ index, not only did not turn to collapse, but also increased by 1.8% to 6437 points compared with last Friday.
The most dazzling is igrit.
On Wednesday, Thursday and Friday, the company continued to rebound. By the end of Friday, the market value of the company had reached 773.1 billion US dollars, up 2.8% in a single week.
It seems like a single digit percentage increase, but at this time, the volume of NASDAQ market and igritte company is still a huge number. Correspondingly, in the first two days of this week, the short capital whose book floating loss narrowed slightly ended up with continuous loss expansion.
February 2, Sunday.
Simon came to New York yesterday and spent the day with Irene Lauder. Grace was given time this morning.
At noon, amancio Ortega, the founder of INDITEX from Spain, was invited. Although the Spanish businessman who created Zara brand was later the richest man in Spain, and had once been the richest man in the world for a short time, it was nothing to Simon at this time.
No way.
Simon is no longer as rich as anyone.
After lunch, they happily decided on a plan to invest in INDITEX, Zara's parent company, with Westeros as the main body. Simon came to Chen Qing's and Lin Su's residence on the upper west side in the afternoon.
Just enter the door, Chen Qing rushed to come over: "boss, you are really great."
Simon stood in the porch, smiling and letting the maid change her shoes, and said, "what a coincidence, I always think so."
"Oh, but on Wednesday, I signed a cooperation agreement with IBM in the morning, and announced the big price reduction of YWS in the afternoon. It's too damaging. Boss, although igritte can certainly survive the price war, it's unnecessary. I think it's enough just to sign a cooperation agreement?"
Two people said already entered the living room.
Simon didn't answer immediately. Instead, he asked, "where's ASO?"
"She's just out shopping. We're going to make you something delicious in the evening."
Simon nodded, and they sat down on the sofa in the living room. Seeing Chen Qing staring at herself with bright eyes, they said, "this is the original plan. Our YWS, if you pay enough attention, should understand that it is very different from some other traditional data centers."
Chen Qing pasted on Simon's side and said, "I know, cloud computing."
"Yes, cloud computing, in addition to maximizing the benefits of data center resources, has another advantage: the larger the scale, the lower the relative cost. In fact, from the beginning, compared with other companies providing similar services, igritte has a huge profit margin in this area. It was only because we initially set a higher price in order to avoid peer vigilance. Now, the scale of igrit's data center is constantly expanding, and the relative cost is getting lower and lower. Even if it is reduced by 15%, our gross profit space is still far more than other peers. "
"Does that mean that there will be price cuts in the future?"
"Of course, in the final analysis, compared with technical barriers and the like, low price has always been the most direct and effective moat in business competition. As long as your price is low enough, you don't need to worry about competitors. Cloud computing technology, although igritte is ahead of time in research and development for some years, it is not very difficult to overcome this technology which has been put forward in the 1980s. If igritte wants to ensure its first mover advantage, the most effective way is to reduce the price. Other competitors are unprofitable. Forced competition will only make itself lose money, so it is difficult to shape igritte It's a threat. "
Chen Qing's side thought, said, "well, let me guess, after the collapse of the Nasdaq, igreat will definitely reduce the price of YWS again, when the bubble burst and price competition, other industries will no longer be able to catch up with I Gerrit."
Simon nodded: "neat."
In fact, the reason why Amazon used to occupy half of the global cloud computing business is that the leading technology research and development is not the key. In fact, Google is the first to develop a mature cloud computing solution in order to save costs.The key to Amazon's success in cloud computing business is price. Even without competitors of the same level, the company realized that its profit margin was too large, so it took the initiative to reduce the price and then reduce the price. As a result, when its body size was large enough and the cost was getting lower and lower, it created an insurmountable business moat for itself.
Other follow-up enterprises, because their business volume can't be compared with Amazon and their relative cost is higher, can only compete with Amazon with long-term losses. As a result, it can be imagined that although they can finally obtain part of the market, they can't be compared with Amazon in the end.
Referring to my memory, Simon personally intervened in igritte's YWS business and finalized the same strategy.
This 15% price cut is just the beginning.
is now 10 times the volume of data centers of other peers, and neither Microsoft nor IBM can compete. Even after the new technology bubble burst, other competitors can survive in the winter of the Internet industry, which is a big problem.
In the living room, after talking about this matter, Chen Qing asked curiously: "boss, Nazhi is now 6400 o'clock, how high do you think it can go in the end?"
Simon can only shake his head: "I really don't know that."
How high the Nazhi can go is probably something that all people who pay a little attention to new technology are curious about at this time.
This time, even Simon can't be sure, compared with the collapse of the NASDAQ index around 5000 in March 2000.
In fact, Simon has thought about this problem for a long time.
First of all, we can make sure that the high 6400 of the NASDAQ is still not too out of control.
This time, compared with the past, the new technology market has more igritte, which is still a big Mac with a market value of $770 billion. In addition, tincobail, another company listed on the Nasdaq market, also has a market value of $321.7 billion at the close of this Friday.
These two companies, which have never appeared in history, together have a market value of more than US $1 trillion, which is enough to support the 1000 point NASDAQ index.
On the other hand, the Internet industry is still in its infancy when the NASDAQ index collapsed around 2000. Simon has spared no effort to promote the Internet industry with the strength of the whole westero system in recent years. This time, the Internet industry, whether in terms of user scale or enterprise development, is at least five years ahead of schedule, or 10 years ahead in some aspects It's not too much.
said that when YAHOO had broken down in the 2000 when the Internet bubble burst, it only had a total revenue of $two hundred million or three hundred million for the company's $100 billion market capitalization. Now it's just the igritts, with revenues of more than $30 billion.
Others, such as Cisco and AOL, are far ahead of what they used to be.
actually means that, compared to the previous bubble, this industry has a solid performance support, and the bubble is far from the original time and space. Therefore, after crossing the previous 5000 points, how high the Nazhi can go this time, regardless of other people, Simon himself has no eyes at all, and can only go one step at a time.
Obviously, considering the legal risks, the article that accused the Internet industry of Ponzi scheme did not name it directly, but listed a series of detailed data. Even so, discerning people can see at a glance which company the "industry giant" refers to. After all, many short capitals and the power of the Mellon family can not be underestimated. A large number of media all over the United States made concerted efforts, which inevitably caused huge social repercussions. Even if the westrow system made many timely responses, the NASDAQ index fell on Monday, January 27. Igritte, the first company to bear the brunt, fell by 1.3% in the first hour, with a Book loss of more than $10 billion. Finally, on Monday, the NASDAQ index closed down 69 points, or 1.1%. As a leading stock, igritte's share price also dropped by 0.7% in a single day, and its market value dropped to 746.6 billion US dollars from 751.9 billion US dollars on Friday. Other companies such as Cisco, AOL and Microsoft also saw their share prices fall to varying degrees. Even if it doesn't meet expectations, such a "good start" has inspired some people. So, that night, later, they called out. In the evening news program of CBS TV station under the control of Westinghouse Electric, which is closely related to the Mellon family, a former Republican government official of the U.S. Department of justice strongly criticized the delay and perfunctoriness of the Clinton Administration's anti-monopoly investigation on igritte in an interview, calling on the federal Congress and the U.S. states to unite to put pressure on the White House to dismember igritte, an obstacle to the new era The "monopoly giant" in the development of science and technology industry. Not only that, on Tuesday, the NASDAQ fell sharply again. Compared with Monday, the Nash index's one-day decline widened to 1.6% on Tuesday, and igrit's share price also expanded to 2.1% on the same day from 0.7% on the previous day. The one-day market value evaporated more than $15 billion. The mountain rain is coming. Although the bad news for two consecutive days has not triggered a large-scale selling frenzy, no one knows that if it continues like this, it will only lead to collapse. As a result, the technology stocks led by the westero system also made the most decisive and practical counterattack. In an interview with ABC evening news on Tuesday night, Federal Reserve Chairman Alan Greenspan personally stated that in order to maintain the current prosperity of the U.S. economy, the Federal Reserve has no plan to raise interest rates in the short term. Then it's Wednesday. With the propaganda articles of major portals and major newspapers on the East and west coasts about igritte's huge subsidies for e-commerce through advertising, software and other profitable businesses, which has created at least 100000 long-term jobs for the Federation inside and outside igritte with huge losses of US $1.7 billion in the past year, we faced the questions of reporters at the White House press conference in the morning? The White House spokesman made a public statement? Considering the close relationship between igritt's many businesses and the large number of jobs created for the Federation? The Justice Department will carefully consider the split plan of igritt? It will only urge igritt to improve its market strategy against some small businesses and consumers. On the same day after the White House's announcement, igritte responded almost at the same time. On the morning of the west coast, igritte signed a technology licensing and compatibility sharing cooperation agreement with IBM, Microsoft, HP and other technology companies that also provide data center services in the San Francisco headquarters park, focusing on increasing the compatibility of igritte's Internet infrastructure software with other data center platforms. It is obvious that igrit did so in response to the accusation that igrit bundled its own software with data center services and forced them to sell to users in an investigation launched by the Ministry of justice at the end of last year. Not only that? On Wednesday afternoon? Igritte announced again? In order to support the development of many small enterprises? Igritte comprehensively reduced the price of its own data center services by 15%, which took effect immediately. It's still not over. On Thursday morning, igritte executives held a press conference at the upcoming Amazon warehousing and logistics center near Miami, Florida, announcing that they would start the recruitment plan of 2000 employees ahead of schedule. At the same time, after the formal opening of the logistics center near Miami, in addition to its own employment scale will increase again, it will also bring no less than 10000 jobs to the surrounding areas. At the press conference, a judge of Florida prosecutor's office in charge of igritte's anti-monopoly investigation personally affirmed igritte's move, and publicly said that the settlement negotiation between Florida prosecutor's office and igritte on last year's anti-monopoly investigation had come to an end. For two days in a row, a series of news that almost turned upside down has attracted fierce criticism from the short power controlling the public opinion platform, but the market feedback has an immediate effect. Igrit's losses on Monday and Tuesday ended abruptly on Wednesday and began to rise. In addition, because of Greenspan's personal statement, the NASDAQ also recovered its lost ground quickly, easily returning to the high above 6300 points at the close of last Friday, driven by the rebound of igritte's share price. The rapid reversal of the whole thing, in the eyes of some intentional spectators who know a little bit about the inside story, is completely crushing.There is a huge gap between the strength of both sides. The short capital can only use some local media or small network platforms and some ex politicians who are out of office to make public opinions, while the long side directly moves out of the White House and the chairman of the Federal Reserve, and controls the mainstream media with national influence, such as igritte portal, ABC TV network, the New York Times, etc. On the other hand, igritte's further opening-up measures and the promotion of local employment have also brought a big step forward for the Department of justice and the state prosecutor's offices. People with clear eyes can see that last year was an anti-monopoly investigation initiated by the White House in order to grasp the initiative. After igritte broke the situation, it was bound to end again soon. It is determined that igritte will not be split. Even though the price reduction in data center services and technology licensing to other peers will have some impact on igritte's revenue and monopoly advantage, in the end, the good will be far greater than the bad. Finally, January 31, Friday. After a hot and noisy week, the final closing of the NASDAQ index, not only did not turn to collapse, but also increased by 1.8% to 6437 points compared with last Friday. The most dazzling is igrit. On Wednesday, Thursday and Friday, the company continued to rebound. By the end of Friday, the market value of the company had reached 773.1 billion US dollars, up 2.8% in a single week. It seems like a single digit percentage increase, but at this time, the volume of NASDAQ market and igritte company is still a huge number. Correspondingly, in the first two days of this week, the short capital whose book floating loss narrowed slightly ended up with continuous loss expansion. February 2, Sunday. Simon came to New York yesterday and spent the day with Irene Lauder. Grace was given time this morning. At noon, amancio Ortega, the founder of INDITEX from Spain, was invited. Although the Spanish businessman who created Zara brand was later the richest man in Spain, and had once been the richest man in the world for a short time, it was nothing to Simon at this time. No way. Simon is no longer as rich as anyone. After lunch, they happily decided on a plan to invest in INDITEX, Zara's parent company, with Westeros as the main body. Simon came to Chen Qing's and Lin Su's residence on the upper west side in the afternoon. Just enter the door, Chen Qing rushed to come over: "boss, you are really great." Simon stood in the porch, smiling and letting the maid change her shoes, and said, "what a coincidence, I always think so." "Oh, but on Wednesday, I signed a cooperation agreement with IBM in the morning, and announced the big price reduction of YWS in the afternoon. It's too damaging. Boss, although igritte can certainly survive the price war, it's unnecessary. I think it's enough just to sign a cooperation agreement?" Two people said already entered the living room. Simon didn't answer immediately. Instead, he asked, "where's ASO?" "She's just out shopping. We're going to make you something delicious in the evening." Simon nodded, and they sat down on the sofa in the living room. Seeing Chen Qing staring at herself with bright eyes, they said, "this is the original plan. Our YWS, if you pay enough attention, should understand that it is very different from some other traditional data centers." Chen Qing pasted on Simon's side and said, "I know, cloud computing." "Yes, cloud computing, in addition to maximizing the benefits of data center resources, has another advantage: the larger the scale, the lower the relative cost. In fact, from the beginning, compared with other companies providing similar services, igritte has a huge profit margin in this area. It was only because we initially set a higher price in order to avoid peer vigilance. Now, the scale of igrit's data center is constantly expanding, and the relative cost is getting lower and lower. Even if it is reduced by 15%, our gross profit space is still far more than other peers. " "Does that mean that there will be price cuts in the future?" "Of course, in the final analysis, compared with technical barriers and the like, low price has always been the most direct and effective moat in business competition. As long as your price is low enough, you don't need to worry about competitors. Cloud computing technology, although igritte is ahead of time in research and development for some years, it is not very difficult to overcome this technology which has been put forward in the 1980s. If igritte wants to ensure its first mover advantage, the most effective way is to reduce the price. Other competitors are unprofitable. Forced competition will only make itself lose money, so it is difficult to shape igritte It's a threat. " Chen Qing's side thought, said, "well, let me guess, after the collapse of the Nasdaq, igreat will definitely reduce the price of YWS again, when the bubble burst and price competition, other industries will no longer be able to catch up with I Gerrit." Simon nodded: "neat." In fact, the reason why Amazon used to occupy half of the global cloud computing business is that the leading technology research and development is not the key. In fact, Google is the first to develop a mature cloud computing solution in order to save costs.The key to Amazon's success in cloud computing business is price. Even without competitors of the same level, the company realized that its profit margin was too large, so it took the initiative to reduce the price and then reduce the price. As a result, when its body size was large enough and the cost was getting lower and lower, it created an insurmountable business moat for itself. Other follow-up enterprises, because their business volume can't be compared with Amazon and their relative cost is higher, can only compete with Amazon with long-term losses. As a result, it can be imagined that although they can finally obtain part of the market, they can't be compared with Amazon in the end. Referring to my memory, Simon personally intervened in igritte's YWS business and finalized the same strategy. This 15% price cut is just the beginning. is now 10 times the volume of data centers of other peers, and neither Microsoft nor IBM can compete. Even after the new technology bubble burst, other competitors can survive in the winter of the Internet industry, which is a big problem. In the living room, after talking about this matter, Chen Qing asked curiously: "boss, Nazhi is now 6400 o'clock, how high do you think it can go in the end?" Simon can only shake his head: "I really don't know that." How high the Nazhi can go is probably something that all people who pay a little attention to new technology are curious about at this time. This time, even Simon can't be sure, compared with the collapse of the NASDAQ index around 5000 in March 2000. In fact, Simon has thought about this problem for a long time. First of all, we can make sure that the high 6400 of the NASDAQ is still not too out of control. This time, compared with the past, the new technology market has more igritte, which is still a big Mac with a market value of $770 billion. In addition, tincobail, another company listed on the Nasdaq market, also has a market value of $321.7 billion at the close of this Friday. These two companies, which have never appeared in history, together have a market value of more than US $1 trillion, which is enough to support the 1000 point NASDAQ index. On the other hand, the Internet industry is still in its infancy when the NASDAQ index collapsed around 2000. Simon has spared no effort to promote the Internet industry with the strength of the whole westero system in recent years. This time, the Internet industry, whether in terms of user scale or enterprise development, is at least five years ahead of schedule, or 10 years ahead in some aspects It's not too much. said that when YAHOO had broken down in the 2000 when the Internet bubble burst, it only had a total revenue of $two hundred million or three hundred million for the company's $100 billion market capitalization. Now it's just the igritts, with revenues of more than $30 billion. Others, such as Cisco and AOL, are far ahead of what they used to be. actually means that, compared to the previous bubble, this industry has a solid performance support, and the bubble is far from the original time and space. Therefore, after crossing the previous 5000 points, how high the Nazhi can go this time, regardless of other people, Simon himself has no eyes at all, and can only go one step at a time.
