Ace Hollywood

readx(); Page is only 7 years older than Daniel. Like Bill Gates, Mark Zuckerberg, Steve Jobs and others, he is a technical genius and has a cross-generational technical vision.

Google, Microsoft, Facebook and Apple are also some of the heaviest companies in the US technology industry.

So in front of Page, Daniel actually felt that he lacked convincing.

He relies on his own foresight for more than ten years, which depends on the rapid development of the Internet in the next ten years.

However, negotiating this matter, sometimes has little to do with genius or not.

For example, Google's biggest requirement is to inject MB.

The number of users of MB will exceed 30 million this year, and the valuation may exceed 2 billion by then. Before the end of 2005, it is estimated that its users will exceed 100 million - that means the market value of 10 billion, so it is just a small investment, in Two years from now, it could be more than Google's entire revenue -- in any case, it's impossible for Google's investors to sit back and watch the pie slip away.

But many things are not based on human will.

For example, when Daniel first entered Hollywood and realized that the start-up that Mark joined was Google, Page and Sergey had already received 25 million venture capital. Investing is just empty talk.

Likewise, when Paige offered his opinion today, he had no idea what Daniel was thinking.

"Google has two hopes. One is that it will be incorporated into Google's listed assets. Evan Williams and you can choose to replace the equity in China with Google's shares. I believe that Google's future performance on Nasdaq, You won't be disappointed. The second point is that we hope to inject 200 million into MB for the long-term development of MB, although MB's financial position is very good, we still think that the current commercialization is preventing it from attracting more Users, we believe that it is necessary to suppress the profitability of MB in exchange for its growth and future potential. Daniel, I believe that you, who founded MB, must have a long-term vision. For MB, there is a better future. Greater development prospects. In other words, now is not the time for it to make money, it should find ways to have more users and be more competitive, so as to avoid the erosion of its existing interests by other homogeneous websites. If you are paying attention to the development of the technology industry. MB's social attributes have attracted a large number of investment funds, and the contact with MB has not progressed, they will naturally choose another path - cultivating a new social media. Of course, I know MB has done a very good job in intellectual property protection, but you must know that technology has no boundaries, and the market is limited.

So, I think you should think more about the future of MB and don't sacrifice the long-term development of MB for short-term benefits. "

The two points that Page raised are very important.

The revenue also exceeded 650 million, and the annual profit was about 60 million. According to 40 times the price-earnings ratio, the valuation has also exceeded 2 billion, which is already impossible to ignore for Google, and its leading position in the fields of creating online encyclopedia libraries, theme exchange areas, etc., makes it undoubtedly become the high-quality assets. The 30% MB equity in hand is also coveted.

Therefore, if this item can be incorporated into Google's listed assets, it is obvious that it can increase the success rate and issue price.

Just how to talk about this price, there must be a period of wrangling, after all, no one can please Google and the growth rate. After listing together, it is even more impossible to measure. According to the current valuation, Daniel's 16% stake is only 300 to 400 million. Similar to Mark's stake in Google.

This puts Daniel a little off.

At present, Google actually has a controlling position in China. As the founder, Evan currently only has about 12% of the equity, Google has about 52%, Daniel's investment company has 16%, and the rest is 20% of Sequoia Capital. But the reason why Google needs to negotiate to solve this problem.

It is because when the parties invested, the contract stipulated that the operation and management of the company was still in Evan's hands. Unless more than 75% of the voting power negates this agreement.

This requires that three parties must agree to this decision. Sequoia Capital is one of the major VCs investing in Google, so they are also the most important force driving Google. But the sum of the two is only 72%, and 28% of the shares of the reputation are in the hands of Daniel and Evan.

Relatively speaking, it is much harder to acquire from Evan-because it means that it is completely digested by Google. Even if Evan stays in office, he can only become the head of a certain industry department of Google, which makes Evan the founder. It must be difficult for Wen to accept. After all, this is not the time when it was almost unsustainable two years ago. The development prospects are very good now, and they can even go public independently. Under this premise, it is difficult to give up one's own independence.

Then, it would be much simpler to start with Daniel instead.

After all, for Daniel, 16% of the 16% is not his main investment.

Moreover, Google's original stock is also very attractive, and Daniel may not feel that he has lost money if it can be replaced with Google's stock. The only concern is that Daniel needs to consider Evan's attitude. After all, he is not a pure venture capital investment, and the purpose of making money is to go public. His initial investment played a key role in obtaining a new life.

As for the second point, Google's intentions are more obvious.

Although they did not explicitly say that they want to dilute Daniel's shares, if they invest 200 million into MB, according to MB's current valuation, they can obtain 10% of the shares with a slight premium, of which 7% needs to be released by Daniel. And if he wants to prevent this capital injection from having an impact on the equity, he must correspond to the equity ratio of 3:7 and invest about 467 million to balance Google's investment.

He certainly can't come up with the money, according to Google's plan.

But unfortunately, there is no shortage of cash for Daniel at the moment.

Therefore, in general, these two points are not a problem for Daniel.

But of course he couldn't say that to Page, and he would be more "technical guy" than "technical guy".

After drinking about half a cup of coffee, Daniel seemed to think about it for a long time.

"Page. Let me talk about your request first," Daniel organized his own language. "The problem is not me. If Sequoia Capital decides to support you, then the next person you need to get opinions should be Evan. , for him, his position in Google is almost the same as your position in Google. The difference is that he is even responsible for the operation. So, once there is a big conflict between you, it is not good for you, right For Google, it's certainly not good. Personally, it doesn't make much difference whether I keep the equity or replace it with Google's equity. I also agree that you want to incorporate into the system. This is really very helpful. For Google to enrich its product line and enhance your profitability."

Page nodded silently, "We have had contact with Evan before, after all, we had a pleasant cooperation in the past. But Evan's attitude is relatively firm, he hopes to be able to operate independently and seek listing independently, rather than being a part of Google - this is impossible. Accepted, this is a mutually beneficial thing after all. Evan's work, we will continue to try to convince him, but Google still hopes. If Evan still insists on his own opinion when Google's progress is at an appropriate stage, you Being on Google's side, I can understand the founder's feelings for the company. In fact, Google is the same for me, but Sergey and I only hold a minority stake. The development of the company should be our first consideration. bit."

When Page talked about this topic, he seemed to hint at the next question.

In the eyes of Google and other capital, Daniel has a strong hold on the majority of MB's shares. To make MB use profit-making funds for development is to delay MB's behavior.

This is definitely not a strategy that modern startups should employ.

How to achieve the best development of the company is what founders should think about, and Page clearly thinks so.

However, MB and Google are very different, because when Page founded Google, the initial capital of 1 million was borrowed from the East and the West. At the beginning, they were unable to realize the development of Google without borrowing venture capital. . But when Daniel invested in MB, he already had considerable financial resources at the grassroots level, and he also exchanged 20% of his equity for the then-start-up MB shares.

MB's development funds are relatively sufficient from the beginning, and it has been very successful in profitability.

Therefore, it is unrealistic to compare the two with one another.

But Page was right about one thing. If MB didn't have to face strong profit pressure, it would definitely be able to develop faster and better, especially in terms of the speed of absorbing users and opening up overseas markets.

This is one of the reasons why Daniel would consider accepting an injection from Google.

Of course, at this time, it was absolutely impossible for Page to think that Daniel agreed with him to inject capital, which does not mean sitting by and watching his equity be diluted.

So on the second point, Daniel's attitude surprised him.

"I agree with your attitude towards MB's development plan. Indeed, giving up the profit development of MB properly will help him gain greater market competitiveness. The number of users is the core competitiveness~www.readwn.com~ This point, I am Agreed. So, I agree with Google to fund MB.”

However, the surprise on Page's face turned into surprise.

Daniel added a "but", "But, is the value of 200 million too big? I don't think MB needs so much capital at the moment. After all, to put it bluntly, after a year, MB's valuation may not be the same. That's the number today."

"It's certainly negotiable."

Being able to take this step is already an unexpected joy for Page. Of course, he can't insist on the number of 200 million.

"Well, since we have reached an agreement on the above issues in principle, presumably Google has also provided me with a satisfactory contract?"

There is a negotiation.

Page finished with Google's request, and of course it was time for Daniel to ask. (To be continued.)

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