"5 billion US dollars?" Terry was stunned after hearing the translated figures. Obviously, the offer was much lower than his psychological expectations.

"5 billion US dollars? Mr. Cai, I heard it correctly?" Terry asked repeatedly. "This is a business with annual sales revenue of more than 10 billion US dollars. It has a team of more than 40,000 people and a global channel network, as well as 10,000 mobile phone patents and a globally renowned brand. Mr. Cai, if I heard what you just said, then you must be joking with me."

"No, Mr. Terry, this is no joke. $5 billion is the result that we are cautiously estimating. Although Nokia mobile phones have 10,000 mobile phone patents, according to irunway's analysis, the proportion of core patents in the 4g era is extremely low. Among all the basic patents of 4g, the proportion is only about 4%.

"This figure is even lower than that of Nortel Corporation, which went bankrupt that year. The overall auction price of all Nortel patents was US$4.5 billion. Based on this price premise, we value Nokia mobile phone patents as a whole. As for the Nokia mobile phone brand, the valuation of consulting companies that compiled the top 100 most valuable brands in the world will not exceed US$4 billion now."

"These two items should be the most valuable part of Nokia's mobile phones. As for the personnel, frankly speaking, it is an absolute negative asset, which consumes up to $4 billion per year. You should know that Apple's investment in mobile phones is not only $2 billion, so it is inevitable to reduce R&D personnel in mobile phones. According to our calculations, to solve this part of the surplus R&D personnel, the company will spend at least $3 billion."

"So the first three items are added to the sum and subtracted, and it will be about $4.5 billion. In addition, the other net assets are worth $500 million. Our valuation of $5 billion is quite fair."

A phoenix with hair fallen hair is not as good as a chicken. Although Terry may not know this Chinese proverb, he must now understand this meaning.

But what Cai Siqiang said is not completely unreasonable. This is a blame for the evil capitalist society that protects workers too much. It is really painful to lay off employees, and it is even more difficult in Europe.

Not to mention the high costs, among the large-scale layoffs in recent years, HP laid off 9,000 employees in 2010, paid more than US$1 billion in restructuring costs, and per capita severance expenses were more than US$110,000; since 2012, HP laid off 27,000 employees again, with payments of up to US$3.5 billion, and per capita severance expenses were $130,000.

What's more, the powerful European companies would rather let the company go bankrupt than agree to such large-scale layoffs, otherwise Nokia would have cut off its arms to survive.

In terms of the current sales scale of Nokia mobile phones, there are too many more than 40,000 people. There is no shortage of manpower in laying off half of the employees. However, the problem is that the more than 20,000 employees are added. Terry asked himself that even if he gave him $3 billion, it would not be solved.

When Terry thought of this, he couldn't help but feel a little confused. He couldn't even get rid of these extra employees. Does SAL have any magic pills to solve? You must know that even if Nokia's mobile phone business changes hands, SAL will not be able to do whatever he wants within at least a few years.

"Mr. Cai, I think we all have a common view, that is, there are too many people in Nokia's mobile phone business now. But large-scale layoffs may directly destroy the entire company. I'm curious, what methods will you take to solve this difficult problem?"

Terry couldn't help asking, although he knew the other party would probably make excuses.

But Cai Siqiang and the others have really considered this problem seriously, and the solution is not mysterious. It’s just that others have no ability to imitate this method, so at this time, I didn’t want to hide it from the top management of Nokia.

"We will not lay off employees on a large scale," Cai Siqiang said bluntly. "We will provide a large number of transfer opportunities to digest this part of human resources."

Replacement position? After listening to the translation, Terry couldn't help but become dizzy again. The transfer of 20,000 people has reached a position of 20,000? What business can have such a large manpower demand?

Is this the legendary trick that Chinese people are best at?

Sampson on the other hand also didn't believe it. He intuitively believed that this so-called transfer was just a euphemism for layoffs, as hypocritical as Westerners used to provide early retirement projects.

Looking at the other party's look incredible, Cai Siqiang smiled, but was not ready to explain in depth, because if he went deeper, some things would inevitably leak out, which would be detrimental to future negotiations.

"We can promise not to make large-scale layoffs of more than 500 people within at least three years after the acquisition, but to just eliminate normal employee performance." Cai Siqiang added.

In fact, these manpowers are really useful, because SAL's newly launched mobile phones adopt the same model as Apple and Android to create an application ecosystem chain.

As a brand new system, Duke did not intend to complete the construction of this ecological chain entirely by relying entirely on civil forces. You should know that it is not that everyone started at the same starting line, but that the opponent has already run far away.

Whether it is the Android platform or the Apple iOS platform, the applications on it are now over millions. Relying solely on external developers to accumulate, there is basically no hope of catching up with these two platforms.

Unless the new Sal phone can completely knock down the first two companies in hardware, this is basically no hope in a few years, because the hardware of most mobile phones is still under the control of others. The new Sal phones in hardware may be able to innovate in screen or power supply, but it is difficult to form an overwhelming advantage.

Duke saw this very clearly. So Duke considered a lot in the software link. The first one was the sowing plan made earlier, and was preparing to invest huge resources to support developers based on new systems, including using the crowdsourcing platform it acquired, which is also an important part of this sowing plan.

On the other hand, it is to take the lead in developing many practical applications, and creativity comes from the consistent practice of powerful penguins, looking for all valuable ideas that can be imitated, and then starting from imitation until it is completely surpassed.

More than 20,000 developers are undoubtedly a huge R&D force. Cai Siqiang can fully imagine how destructive this R&D army will have under Duke's leadership. Compared with XX, who was helpless to scold the dog, perhaps Sal will be even more jealous of this in the future.

As for the cost of adopting more than 20,000 R&D personnel, Cai Siqiang asked himself that this more than 2 billion US dollars of expenditure is really nothing in the future investment in SAL R&D.

As long as the mobile phone business can reach half of Apple's level, this can really be considered a drizzle.

This is Cai Siqiang's confidence and awesomeness. Even if he says it now, Terry will definitely not be able to imitate it, because Nokia will definitely not be able to come out like Duke, a genius in software development.

But these are not something Terry can understand. Next, everyone exchanged views on some very technical issues. After a day of hard negotiations, the demands of both sides were basically expressed in full.

Of course, such a meeting will not be able to determine the result in just one time. Although Terry is responsible for the Nokia mobile phone business, such a major decision is not something he can decide.
Chapter completed!