China's three major telecom operators are basically making money effortlessly.
Backed by the nation's infrastructure and effectively controlling a monopoly market, China's three major telecom operators couldn't be more comfortable.
Taking Malaysia, where Zheng Li's original body was located, as an example, there are more than 20 telecommunications service operators in a country with a population of 30 million.
China has 1.4 billion people, but only three telecom operators.
Of course, the advantage of the concentration of the telecommunications industry is that these operators have particularly strong bargaining power and are like kings in front of hardware manufacturers.
Sun, Moon, and Splendor
Whether it's domestic companies like Huawei, ZTE, and H3C, or international companies like Ericsson and Nokia, these telecommunications equipment manufacturers are treated like grandsons in front of the three major telecom operators.
The prices that Chinese telecom operators can obtain are definitely lower than the normal market price.
Not only are the hardware devices cheaper, but the salaries and benefits for professional operations personnel are also lower compared to those abroad.
Compared to their counterparts abroad, domestic telecom operators have significantly lower costs.
Take Deutsche Telekom, the largest telecommunications operator in the Europa League, as an example. In 2021, their operating revenue was 108.794 billion euros and their net profit was around 4.2 billion euros.
China Telecom's revenue was RMB 434.2 billion, and its net profit was RMB 25.952 billion.
In terms of net profit to revenue ratio, China Telecom is around 6%, while Deutsche Telekom is less than 4%.
The main difference lies in the lower operating costs of Chinese telecom operators.
However, ordinary people do not enjoy the benefits of low operating costs. From the perspective of purchasing power, China's communication fees are not cheaper than those abroad.
The chairmen of the three major telecom operators present felt this way for the first time, knowing that they had never had to personally participate in such procurement negotiations before.
Usually, it only takes a vice president level person to handle it.
Which of the previous telecommunications equipment manufacturers would dare to speak to them like that?
They also worked their way up from vice president, and basically whatever price they set was the price.
The public bidding process was merely a formality.
"To put it bluntly, we are also serving the country. We need to maintain the employment of so many people in the entire telecommunications industry, and at the same time, we also need to pay a portion of the profits to the country."
If we were to contribute another 30% of our biocommunication fees to Kechuang Bio, our overall operations would become extremely difficult.
Such remarks carry a hint of moral blackmail, and at the same time, there are so many loopholes in them that Li Miaomiao doesn't even want to comment on them.
When Li Miaomiao was pursuing her MBA, she specifically and systematically studied logic courses. She believes that these courses were of great help to her, enabling her to think thoroughly about the essence of things.
As soon as the other party finished speaking, Li Miaomiao immediately pointed out the flaws in their argument and retorted:
"First of all, this is a business transaction, not an executive order."
Since it's a business transaction, whether I'm negotiating with a state-owned enterprise or a private enterprise, my only goal is to maximize profits.
Even when I was talking to you, I didn't follow the principle of maximizing profits.
I believe that whether I'm negotiating with Huawei, Tencent, or Alibaba, these internet giants would agree to give me at least 50% of the profits, let alone 30%.
The reason I proposed 30% is that I have already made a certain concession.
Secondly, you mentioned maintaining so many jobs in the telecommunications industry. Are biocommunication and traditional communication two conflicting things?
Biocommunication is like another business project for you, and at least in the short term, the traditional communications industry won't be eliminated.
You also need employees to keep the traditional communications industry running.
With the support of biocommunication, you have a five- to ten-year buffer period that you can use to allocate staff that may be optimized.
Even at the very least, layoffs and job losses are not uncommon in state-owned enterprises.
The other party was using a bit of moral blackmail, basically saying that since you're taking up so much profit, my profits aren't enough to support so many people.
"Moreover, we also pay taxes to the country. The amount of taxes paid by Kechuang Biotechnology over the years is no less than that of the three major telecom operators."
"If you can accept this condition, then we have a basis to continue the discussion. If you cannot accept this condition, then I am prepared to talk to other companies."
I think you can wait and see for now, since it only involves bio-communication operation services in the Suzhou area in the next year or two anyway.
You can observe the results of other companies before making a decision.
Seeing Li Miaomiao's firm stance, the chairman of China Mobile was the first to say, "We can accept this price."
To be honest, the so-called traditions of these operators, the claim that such a thing has never happened, are simply because the profits aren't big enough.
When China Unicom signed an exclusive sales agreement with Apple, it made the same concessions.
Later, in order to compete for these high-end users, China Mobile offered special SIM card cutting services and set up dedicated iPhone customer service counters in its stores across the country.
For these telecom operators, compromising is commonplace in their struggle for profits.
When the three telecom operators realized that their joint pressure was ineffective, Li Miaomiao adopted an unusually tough stance and refused to budge in the slightest.
They refused to budge an inch on 30% of their income.
The alliance of the three operators collapsed instantly after the chairman of China Mobile made those remarks.
Everyone hopes to win the operating rights in the Suzhou area based on their own abilities.
The world's first operational rights to bio-communication technology, providing services for the world's most advanced virtual reality devices.
In this brand-new monopolistic arena, whoever gains the upper hand will not have to worry about revenue and profits for at least the next twenty years.
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