The booming sales of PHS base station equipment and PHS mobile phones have made Wujiang Group a fortune. The profitability of PHS is second only to Wujiang Group's gaming business.

Excluding research and development costs, the production cost of a PHS (Personal Handyphone System) phone is only a couple hundred yuan, while its domestic selling price is five thousand yuan, resulting in very high profits.

The cost of a complete PHS base station is only about 10,000 yuan, but the selling price is 100,000 yuan.

To date, Wujiang Group has generated an astonishing revenue of approximately 46 billion RMB through its PHS (Personal Handyphone System) platform!

About half of the revenue comes from Japan.

At that time, PHS phones were even more popular in Japan than in China. It wasn't that Chinese people didn't like PHS phones, but that they couldn't afford them.

Therefore, the main consumers of PHS phones are still the Japanese.

According to statistics from the Ministry of Information Industry, as of the end of August 2006, China had 93 million PHS (Personal Handyphone System) users, with over 7 million overseas. Globally, the number of PHS users had exceeded 100 million.

In this life, if there aren't at least three or four hundred million Xiaolingtong (a type of mobile phone service), it's a failure. In the previous life, Xiaolingtong only started operating in July 1995. Now it's 1988, seven years earlier!

Seven years is enough time for PHS phones to grow wildly all over the world!

It's worth mentioning that when Motorola mobile phones were still priced at tens of thousands of yuan, a new type of PHS phone suddenly appeared, priced at a few thousand yuan. This huge price difference made countless consumers feel that buying a PHS phone was a great bargain.

As a result, many people rushed to buy PHS (Personal Handyphone System) phones, afraid of missing out on this opportunity. This was one of the reasons for the explosive growth of PHS phones.

As the PHS phone became popular worldwide, more people saw the business opportunities.

Telecommunications companies around the world are purchasing PHS base station equipment from Wujiang Communications Technology Co., Ltd., and some companies are also purchasing PHS patent licenses from Wujiang Communications Technology Co., Ltd.

In short, everyone wanted to get a piece of the PHS (Personal Handyphone System) market.

The explosion of mobile phone sales is probably coming soon.

...

...

As we all know, before any decent competitors emerged, Motorola, in its monopolistic position, relentlessly squeezed profits... Even in the early 1990s of my previous life, Motorola phones were still priced at tens of thousands of yuan each.

At this very moment, the PHS phone developed by Wujiang Communication Technology Company is teaching people a lesson: you can't be too much like Motorola in business... otherwise, you'll make a fortune!

As of now, Motorola still has no plans to lower prices. However, they have developed a new generation of mobile phones, or more accurately, cell phones, so there's no need to carry around a "brick" anymore.

The microtac personal cellular phone is Motorola's latest masterpiece. Its design is very innovative, and it is the world's first flip phone. Its size and weight have been greatly reduced, making it a true handheld phone. Its size is only slightly smaller than the "Boundless Little Smart-1".

Without a doubt, this phone is a classic that has swept the globe!

Motorola has developed the microtac and is preparing for mass production, with a market launch expected next year.

This is the source of Motorola's confidence in not being afraid of PHS (Personal Handyphone System).

However, in its previous life, the Microtac personal cellular phone was quite expensive, costing as much as $3,995.

The international price of a PHS phone is only $2,500, which may seriously affect the sales of Microtac.

...

Zhao Ye looked at Wujiang Microelectronics' latest report with a mixture of joy and helplessness.

"I've discovered that it's really difficult for Wujiang Microelectronics to start its wafer foundry business!" Zhao Ye sighed. "The new wafer fab has just been built, and before it could even start offering wafer foundry services to external clients, it has to prioritize meeting the group's own chip needs. It's just too difficult!"

"The explosive growth of the PHS (Personal Handyphone System) industry chain and the rise of Wujiang Program Control Switch required hundreds of millions of chips."

Wujiang Microelectronics also expands its wafer fabs gradually to avoid heavy losses if the wafer foundry business is not done well.

But now it seems that the steps were still too small!

"In addition, the VCD and PC projects are nearing completion, and I'm afraid they will consume even more chips by then!"

"Therefore, Wujiang Microelectronics will have to continue building new wafer fabs..."

After Zhao Ye finished speaking, he thought for a moment, his expression hardened, and he shook his head, saying, "We can't be too reckless in our expansion. Once the second-generation home game console is launched, we should be able to free up a lot of chip production capacity for contract manufacturing!"

Wujiang Group's second-generation home game console, codenamed "Warhawk," no longer uses game cartridges for storage, but rather CD-ROMs.

In other words, Wujiang will no longer manufacture chips specifically for home game console cartridges.

It's important to know that each game cartridge contains many chips, including EPROM, MMC chips, and so on...

To date, sales of the "Qiongqi Home Game Console" have exceeded 150 million units.

Given this, how could the sales volume of game cartridges be low? And how many chips would be used?

Assuming each game console corresponds to 20 game cartridges, then at least 3 billion game cartridges have been sold.

In addition, there were handheld consoles like Game Boy, arcade machines, and corresponding game cartridges.

Add to that the domestically produced "learning machines" and pirated game cartridges.

All of these factors combined result in a huge consumption of chips.

Therefore, once the gaming industry achieves technological upgrades, it will inevitably free up a huge amount of chip production capacity.

Not only will CD-ROMs replace game cartridges on home consoles, but NAND flash memory will also replace Game Boy game cartridges.

My dear reader, there's more to this chapter! Please click the next page to continue reading—even more exciting content awaits!