Chapter 782: 782
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Lenovo’s Beijing Headquarters . It was tense in a small meeting room . All the directors were present to discuss an important matter .
“Yuanqing, what do you think?” Liu Chuanzhi asked .
Yang Yuanqing was the head of the PC department . He was also one of Lenovo’s director . Liu Chuanzhi has high hopes for him and even wants to groom him as his successor .
Of course . This was only a thought . Liu Chuanzhi could still work for many years before his retirement .
“I personally support this proposal . Also, Manager Feng had said before . This company will be called Lenovo Software . Lenovo and his shares will be enough to have the controlling stake of the company . ”
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Yang Yuanqing was from the PC department and definitely support this proposal to give the software department away . This way, Lenovo will focus all its resources on PC manufacturing .
“I object . ” Zhu Linan shouted .
Zhu Linan was one of the first few engineers who joined Lenovo . He was in charge of software developments . Lenovo’s Han card was due to his credit . Lenovo had started from software, and he had opposed to Lenovo manufacturing PC from the start . He was glad that the company’s PC sales were doing well, but the company should not kick the software department out for this reason .
Look at Microsoft, and you would know the potential of software . No PC can do without software and operating systems . This includes smart household appliances . The software has a better prospect than hardware .
Also, Lenovo was already the top software company in China . Kingsoft, which Lenovo have a stake in it, had started many projects together . This was the time for Lenovo to take over the Chinese software market and venture overseas . But now, you are telling me that you want to separate the software department from the company to set up another company with others?
“Lenovo started developing software . Our Han card has been generating high profits for our company . Also, we will be launching our supermarket system . This will bring high profits for us . Our Lenovo Server system is also selling well . All these show the potential of our software . Why should we separate them and have to cooperate with others?”
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“I also object to setting up a joint venture with others . Lenovo belongs to the Chinese Academy of Sciences . We have advantages in terms of technology . We do not need other people . Also, although the software company is called Lenovo software company, Feng Yu and that Russian owns more than 50% shares . If they join forces, then they will have a bigger say in the company . ” Director Zheng said .
Director Zheng was the one who supported Liu Chuanzhi to start this company . He was the one who got the Chinese Academy of Sciences issue funds to Liu Chuanzhi to set up Lenovo . Of course, he was also promoted to the Deputy Director of the Academy because of Lenovo’s success . He was also the head of the Institute of Computing Technology of the Chinese Academy of Sciences .
Director Zheng was the Chinese Academy of Sciences’ representative in Lenovo . His words have a considerable influence on Liu Chuanzhi .
“I agree to separate the software division from the company . We must know where Lenovo’s future profits will come from . Without a doubt, this is the PC era . Our market share in China will be the biggest this year . Next year, we will secure our position as number one in China . We are also going export our PCs to Hong Kong, Taiwan, and other countries in Southeast Asia . Our profits will increase . Our laptops are also very popular . Just the fact that we have the most advanced optical drive, we will not lose to any other company . ” Deputy General Manager Sun Hongbin, who oversees the sales of Han Card, servers, PCs, and other products said .
Song Hongbin was one of Lenovo’s longest-serving higher management . He was in charge of their product sales and knew more about the company’s profits than others .
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In China, Lenovo’s PC would become the market leader . After their cooperation with Kingsoft, Han Card will also be China’s top Chinese software . The sales of their servers and other products were also increasing . Since the PCs were Lenovo’s most profitable product, they should focus on it .
As for software, Song Hongbin was not very familiar . The profits of the software were also significant . There is only one Microsoft in this world, and it had a monopoly in its industry . But on the other hand, there are countless PC manufacturers and all of them could make profits .
Also, this proposal was not asking Lenovo to give up on their software development . This was a collaboration with the Russians . They might even have the chance to acquire Kingsoft . Why oppose this proposal? The Russians are strong in software developments too . This will be a boost to the company’s developments .
Song Hongbin was also not very happy with Director Zheng and those old directors . He felt their thinking was too conservative and could not catch up with the current market trend . If it were not for him, Lenovo’s sales would not increase so fast .
Liu Chuanzhi had trusted and supported Song Hongbin . If Liu Chuanzhi had not promised to give Song Hongbin shares of the company, he would have left to start his own company . The distribution channels he has was enough for him to set up a trading company dealing in electronics products .
All the directors expressed their views, and all of them have their own reasons .
Liu Chuanzhi also supported to separate the software development from Lenovo . It was only separating from the main company and not giving it up . The new company will also be Lenovo’s subsidiary . This move will also let him have total control over Kingsoft . There were lots of good software engineers in Kingsoft . Russia’s software developers were much better than them . If Lenovo were to reject this proposal, Feng Yu would surely work with that Russian by himself . They will set up their own software company, and Lenovo would have to face a strong competitor .
There were only two options . Cooperate and make money together . The other option was not to cooperate and face a strong competitor . This competitor might even take away the software market from Lenovo . Liu Chuanzhi would choose the first option .
Furthermore, Feng Yu had told him that the new company can still be call Lenovo Software . The Directors of this company will be decided by Liu Chuanzhi and Feng Yu would not interfere .
There was no reason for Liu Chuanzhi to reject this proposal with such good conditions . Although those directors who objected had given good reasons, Liu Chuanzhi had already made up his mind . The meeting today was only for him to see if he got any supporters .
“Ok . I suggest that we should separate the software department to set up Lenovo Software . Also, Feng Yu is a patriotic Chinese businessman . He will not collaborate with that Russian man to con us . All of you can rest assure . Zhu Linan, you go and speak to Kingsoft . We will merge Kingsoft with Lenovo Software Company and you will be the Chairman of this new company . ”
Liu Chuanzhi confidently announce his decision and ignored all those who oppose this proposal . He even let Zhu Linan who opposed this plan to be the new company’s Chairman . All the directors kept quiet…… .