Chapter 426: Explosive Growth

[Chapter 511: Explosive Growth]

With the advent of the Internet, it seemed like the world got a lot smaller. Connections between people became much more convenient.

The development of the Internet was just beginning to take off. Meanwhile, mobile phones were experiencing explosive growth.

This time, Motorola's board of directors was no longer being verbose. If they hadn't found the right factories for subcontracting, they wouldn't have known how to face their angry shareholders.

Motorola didn't have much going on, but that left Wall Street feeling a bit gloomy. The mobile communications market was way beyond their predictions.

Of course, Europe was even more downcast. If it wasn't for the Americans, much of the digital communications pie would have ended up in their pockets.

The number of mobile communications users grew significantly, far exceeding expectations. The problem they faced was that the patent technologies were all in the hands of the Americans. Given the track record of those guys, countries were expressing different degrees of concern about their communication security.

"Communication security? George, are you kidding? What's safe about a cell phone?"

"Cough, cough, I'm just inquiring about the technical issues. Our allies are really worried."

"The security of digital communication is fine. At the current rate, it should be just two years tops."

"Really? That fast?"

"Ha ha, it's a delicious piece of cake. Oh, if only I could enjoy it all by myself."

"What's on your mind? The French seem to be going crazy, ha ha. I think I get their motives."

What were their motives? Obviously, envy and jealousy. A market they thought would be worth billions now looked like it could reach trillions.

"These bastards, I'm the one pushing this market forward, not those proud roosters."

"Heh, I get it, they just want to hurry up GSM. These guys can't even talk nicely."

From a technological standpoint, the advantages of mobile phones were overwhelmingly clear. There was no need for wiring, nor fiber optic connections. As for those wireless transmission towers, it was just a one-time investment.

While it seemed costly, when distributed among the communication terminals, the overall investment needed from the company wasn't that high. Maintenance? Didn't they already have monthly fees for that?

It was a solid business, but you know it was a good deal, and so did everyone else. The price of mobile licenses shot up, but to compete for customers, mobile communication firms went hand-to-hand in a fierce battle.

Everyone understood there was no room for mediocrity in this industry. If you couldn't secure a leading edge, you'd eventually get swallowed up.

The U.S. and Europe started a fierce competition for wireless phone users. In the U.S., getting a wireless phone license felt like a literal fight to the death. Motorola, holding a wealth of patents, was grinning from ear to ear.

Of course, even with the big wins, they hadn't forgotten about the Starlink project.

...

"Continue increasing investments? Filson, has Motorola gone crazy?"

"Maybe they see the success of mobile phones. According to them, launching dozens of satellites costs far less than the price of wireless transmission towers."

"Heh, maybe. At least theoretically, they might have a shot at success. But I don't plan to invest anymore. The two large lithium battery factories can get started."

"All right, sir. We won't make any more investments in the Starlink project."

"Yes, in fact, I'm not optimistic about this project. Maybe a hundred years from now, it could have a chance to succeed."

Filson clearly knew Motorola had a distinct advantage now. But the Europeans were working hard too. Even the leading tech firms from that part of the world were striving.

It was evident that his boss had a backup plan. This low-profile lithium battery project was meant to completely crush the competition.

While their batteries lasted four hours, ours could last eight. If the phone was lighter and had a longer call time, and if we could keep the price competitive, competitors would be in trouble.

Lithium batteries were different; Bell Labs completely controlled the intellectual property. For a certain time, they wouldn't face competition.

Of course, William White was a bit too confident. His super battery factory project had just launched when the Japanese firms came knocking.

The two most eager ones were Sony and Panasonic. They knew very well that if they couldn't keep lithium batteries under their control, their tape recorders and other devices would be hindered.

Unfortunately for them, William White wasn't easily swayed. Investments were possible, partnerships too. But outright buying rights? They could forget it -- that was absolutely not happening.

It was almost comical. Sony and Panasonic were setting up in Hollywood. White Films was their shared competitor. Yet, in terms of lithium battery technology, they hoped to count on William White's support.

...

"What is a lithium battery? Aren't new phones using nickel-cadmium batteries? Did I hear wrong?"

"No, sir. This is the latest technology."

"You better not be telling me it's more of that Bell Labs nonsense."

Seeing his subordinate's miserable expression, the old guy understood everything.

"I'm seriously amazed at how many treasures that Bell Labs has."

"Cough, cough, sir. When they spun off, the R&D for lithium batteries hadn't even begun. The critical part is that Europe is working on similar projects too. William White's actions this time carry significant risk."

"Risky, huh? Do you know that both Japanese companies are going crazy?"

Relations between Morgan Stanley and William White worsened further. While the outside world wasn't clear, a few investment banks understood very well that it was apparent they would be returning empty-handed yet again.

How important was the lithium battery?

The Japanese attitude gave him the answer. Nowadays, apart from a few automakers, it was just Sony and Panasonic.

In a tightening economy at home, they continued to acquire at a premium. Just from this point, you could judge the significance of lithium batteries.

But therein lay the problem: you knew its importance, and so did the Japanese. Why would they want William White to give it up?

Underhanded tricks?

He truly didn't dare to use them.

If he irritated this guy, things wouldn't end well. You could bet this guy would say his battery quality was lousy and hope they'd buy advanced batteries from abroad because they were pets of the Japanese.

*****

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