Video Game Empire

Chapter 619: AT&T and NCR Corporation

() At&t corporate headquarters in Jasmine Hill, NJ, a serious board meeting is taking place!

Li Xuan's previous estimate was not wrong at all. After the US stock market opened today, almost all telecom stocks were in the red, and only mci rose 32% against the trend. It can be seen how influential he is, the richest man in the world!

As a well-deserved leading stock in the U.S. telecommunications industry, at&t naturally failed to avoid this "flying disaster", and it turned red from the opening of the morning. The mainstream stock markets in Europe and the United States use red stocks to represent falling, and green to represent rising. Shares of at&t had fallen 37% by the midday break.

Of course, not all at&t board meetings are held because of the decline in the stock price, and the 37% decline is still within the normal range.

But to say that this meeting has nothing to do with today's stock market is not entirely true. After all, according to the original schedule, today's meeting should be held in two days.

But just last night, the directors were temporarily notified that the meeting was brought forward to today. So much so that the two directors who were on a business trip on the West Coast had to fly back to New Jersey overnight on a business jet.

As the U.S. government begins to relax the regulation of the telecommunications industry, the competition in the U.S. long-distance telephone market has become increasingly fierce in recent years. So even without Li Xuan's surprise attack yesterday, at&t's recent life would not be easy.

On the one hand, fast-growing emerging telecom giants such as mci and sprint have begun to launch a violent attack on the dominant position of AT&T. On the other hand, more and more regional small-scale long-distance telephone companies have emerged across the United States. Through intensive market cultivation and low-price competition, they have also eroded a lot of market shares that originally belonged to at&t companies.

In the latest market share statistics, AT&T's share of the long-distance telephone market fell below 60% for the first time. This has put the management of at&t company under a lot of pressure.

At the Global Internet Conference yesterday, Li Xuan directly pointed out another challenge faced by telecom operators. That is, the new technology represented by the Internet will eventually replace the current telephone and become a new communication choice for people. Just like how quickly writing letters became obsolete after the advent of the telephone!

And what worries investors most is that the speed of this change may be far faster than telecom operators expected. At least compared to the mci company that has been vigorously deploying Internet communications in recent years, AT&T gives people the feeling that the response is slow and lacking in spirit.

And this morning's comparison of the two companies' stock prices rising and falling directly reflects the capital market's attitude towards these two companies!

"I don't think we have laid down fatal mistakes in the layout of the Internet field, in fact, we have also invested heavily in the field of network infrastructure including laying fiber optic cables! It's just that we are not like the madmen at mci. Just crazy!

According to the analysis of our evaluation department, the development speed of the Internet at this stage cannot bring much returns to our huge investment in the short term! mci is telling a story with huge losses! "The presentation is now made by an executive in charge of internet investments, who apparently does not admit that his department has made any mistakes.

"But the mci bet was successful, and investors now clearly prefer to believe that Walker is a visionary, and we are a bunch of idiots!" &t is very heavily weighted in their fund, and its share price decline may even be pulled down significantly The return on the entire fund.

"The close relationship between the White House and the richest man is well known. Even in Congress, whether Republican or Democratic, there are a large number of congressmen who advocate for the Internet!

We are indeed overconfident in our own judgment. Obviously, the development of the Internet is faster than we expected!

In terms of infrastructure, we seem to be behind, but it is not impossible to catch up! But now the problem is with, we lost the opportunity of public opinion!

Even if we make an announcement now, saying that AT&T will increase investment in the Internet infrastructure, everyone will only laugh at us for being slow to respond! What we have to do now is not to follow in the footsteps of others, but to fight back! said Robert Allen, tapping on the table.

This white man who served as the president of at&t in 1986 and the chairman of the board of directors of at&t since 1988 is definitely the most powerful person in the at&t company.

"Mr. Richest Man is right, the Internet represents the future! But what is the carrier of the Internet? It's a computer! Only when all the computers in the world are connected by wires and optical cables, the Internet has value!

Is mci company our opponent? no! We still have a 586% market share in the US long distance market, more than all our competitors combined!

mci is not worthy to be our opponent, our target should be Li's Dongfang Group! Why is Li and his Dongfang Group so keen to promote the development of the Internet, because it can greatly expand the use of computers!

Let’s look at Li’s layout over the years. We can trace back from the computer, first software development, then the Internet, and step by step to improve the practicability of computers. Let the personal computer change from a toy in the Jobs era to the basic equipment of today's business office, and it may also be an important carrier for home entertainment in the future!

And going back from the computer, from the heart of the computer, to the fab that manufactures chips, and even to the lithography machine, the core equipment of the fab, Li controls almost the entire industry chain!

And it is through the integration of upstream and downstream systems that Dongfang Group can firmly control the development direction of the global computer industry! So I think if at&t is only limited to compete with mci, then it is difficult for us to win first, because the opponent's grasp of the overall situation will always be better than us! ' said one of the directors.

His discussion was very long, but the whole analysis process received frequent nods from others present. This world is not without smart people. The great success of Li Xuan and Dongfang Group cannot fail to attract the attention of others.

Universities, think tanks, and major companies in the United States are all carefully discussing the reasons for the success of the Oriental Group! And Li Xuan's practice of infiltrating the entire industry chain has naturally won the respect of many people!

"Two months ago, we issued an acquisition intention to ncr company, and ncr's management and board of directors did not expressly reject it! Therefore, our M&A team has been in active contact with each other for the past two months, and the differences between the two sides have been very different. Big shrink.

Now, I feel it is time to accelerate the pace of this M&A plan! Just as Director Eugene said just now, the opponent we face is actually the behemoth of the Eastern Group!

We should not just passively wait for the opponent to make moves, but take the initiative to enter the opponent's territory to declare war! "Robert Allen said solemnly, obviously the long speech of the director Eugene just now was to pave the way for him.

Li Xuan didn't know that his butterfly once again affected the historical trajectory, and made at&t's acquisition of ncr a full year ahead of schedule. This ncr company is actually a company with a very long history. It was originally established in 1884 and is already a century-old shop.

If you work in the banking sector, you may have heard the name ncr. Because for a long time, ncr is the world's largest manufacturer of ATMs. It was not until a few years before Li Xuan's rebirth that the second and third behind him decided to merge, and the new enterprise surpassed it in market share.

Anyone who has withdrawn money from an ATM knows that an ATM is actually a professional computer, so ncr is also a computer manufacturer.

In fact, ncr company got involved in the computer field, not even much later than ibm company. It's just that as a company that started out by producing cash registers, it is more focused on the application of computers in the financial system.

It is precisely because of this that with the rapid improvement of personal computer performance in the 1980s, the original minicomputer market quickly shrank. Other traditional computer manufacturers failed to adapt to the changes in the market and went out of business.

The ncr company is very lucky to survive because of the widespread popularity of ATM machines in the banking system. In addition to producing atm machines, ncr also adapted to the changes of the times and became one of the many manufacturers of abc compatible machines and began to produce personal computers.

In addition, ncr began to get involved in enterprise-level unix server system architecture as early as the early 1980s. It can be said that although ncr is not the most well-known computer manufacturer under the new revolution, it is an enterprise that has successfully survived the rapid changes in the computer industry.

Ironically, the Unix system was actually created by at&&t companies as early as the 1970s, which also recognized the value of the Unix operating system and began to raise the patent stick.

But now among enterprise-level Unix systems, icon and sun have the largest market share, followed by ibm and hewlett-packard. And at&t company failed to share this fat cake because most of the early Unix systems used buyout authorization~www.readwn.com~.

You must know that compared with the **** of the personal computer operating system field by Dongfang System Software Company, the enterprise-level server operating system is the Warring States period. In this multi-party melee, at least 70% of the market share is divided by various versions of Unix. And the original at&t company also has the opportunity to dominate the world like the Oriental System Software Company!

Now, at&t management is apparently starting to reflect on the mistakes it made. While they missed the start of the PC wave, there is still a chance to get back in the game with the acquisition of ncr!

Just when the at&t company held an interim board of directors, Li Xuan was strolling around the campus of the University of Texas at Austin very leisurely. He didn't know that the Oriental Group had invisibly added another competitor.

Of course, even if Li Xuan knew now that AT&T was going to join the competition in the computer market, he wouldn't care at all. The competition in the personal computer industry is very fierce because icon has always opened the industry standard for personal computers.

However, at&t and ibm have the same problems, that is, they are depressed, management is inefficient, and the ills of established companies are fully evident.

In recent years, it has become more and more difficult for IBM to maintain its original personal brain market share, not to mention catching up with the leading Ikon company.

It is by no means an easy task for AT&T to make a breakthrough in this industry surrounded by wolves!

Tap the screen to use advanced tools Tip: You can use left and right keyboard keys to browse between chapters.

You'll Also Like