Chapter 622 - 444: Is 6 Years Long? 10 Years for Orange Users! Competitors with Ulterior Motives

"President Qin, the price of five hundred million wasn’t decided on a whim.

According to Senlian Capital’s due diligence, Xinke currently has 210 million in debt, lost 140 million last year, and has a market share of less than 2%. This is all it’s worth."

Chen Yansen was unmoved, his refusal absolute.

"Chen..." Qin Shangzhi had just started to speak when Qi Siyang cut him off.

’What do you think you’re doing?’

’We finally found a solid company. First, they’re willing to take over the air conditioner business. Second, they’re willing to make additional investments. And third, they’re even planning to buy the Xinyuan Sheet Metal factory building.’

’This means Chen Yansen and Senlian Capital are thinking about expanding production capacity. When that happens, the entire Luoyang Town could have a chance to take off again.’

’Even if Senlian Capital only handles assembly, with Pinbei Mall’s online sales channels, they’re still more than ten times stronger than Xinke.’

’Besides, you’re not losing out, Qin Shangzhi. You can still make a good chunk of money every year by licensing the Xinke brand for OEM products.’

Qi Siyang frowned slightly and spoke slowly, "I think five hundred million is a very reasonable price. President Qin, you still retain ownership of the Xinke brand, and that itself is quite valuable."

The implication was clear: he was advising Qin Shangzhi to take the good deal and quit while he was ahead, lest he scare off their golden goose.

They could afford to lose other potential buyers, but the man before them was the founder of Senlian Capital, who controlled several super-unicorn companies.

If they missed this opportunity, it was unlikely Xinke would ever find another buyer with this much power and genuine interest.

At that point, forget five hundred million; it would be a question of whether Xinke could even survive past 2013.

Of course, what was more important was his personal performance in investment attraction.

’Brand ownership?’

Qin Shangzhi mulled it over for a moment and understood what Qi Siyang meant.

He clutched his teacup, remaining silent for a long time. After what felt like an eternity, he let out a heavy sigh and gave a difficult nod. "Five hundred million it is."

To put it bluntly, what he was selling were just the land, the factory premises, the production lines, and the patent portfolio.

In his eyes, Xinke’s most valuable asset was still its brand name.

But in Chen Yansen’s view, the Xinke brand was completely worthless. Any new products launched in the future were destined to be called "Orange Air Conditioner."

Something you have no use for is no different from a weed on the side of the road.

"Dylan, you’ll handle the follow-up work," Chen Yansen instructed immediately.

’Dylan? Who’s Dylan?’

Gao Weilin was stunned for a good while before realizing it was his own English name. His face instantly lit up with excitement.

’The boss actually called me by my English name for the first time.’

In China, his subordinates or the entrepreneurs he worked with usually called him President Gao, while people like Zhou Shouzhi and Wang Teng called him Old Gao.

Over time, he had actually started to feel a bit awkward if Chen Yansen *didn’t* call him Old Gao.

"Yes, Boss," Gao Weilin quickly replied.

For Chen Yansen, once the acquisition was successful, the next step was to immediately begin renovating the production lines and integrating the air conditioner category into Orange Technology’s business landscape, preparing for the subsequent smart home strategy.

Buying Xinke would save a significant amount of time and money on factory construction, technology accumulation, and employee training. Otherwise, the break-in period alone would take three months.

Once the general terms of cooperation were settled, Qi Siyang instantly relaxed. He proactively picked up the teapot and attentively poured Chen Yansen a cup of tea.

If any outsider had seen this, their jaw would have likely dropped to the floor.

His assistant, seeing this, maintained a placid expression, not daring to show the slightest emotional flicker for fear of annoying his boss.

Chen Yansen smiled and offered a polite word of thanks.

You scratch my back, I’ll scratch yours. It was through these small gestures, this give and take, that relationships were built to last.

He had always been a master of handling this aspect of relationships.

With just a few words, he had Qi Siyang roaring with laughter. Before Chen Yansen even had to ask, the man was already proactively offering a slew of supportive policies, such as tax reductions, low-interest loans, and talent acquisition programs.

"Mr. Qi, would that be too much trouble for you?" Chen Yansen asked with a smile.

"Even if it is, I’ll make it happen. I’ll figure something out, maybe even turn those low-interest loans into an interest-free model to cover as much of your company’s initial investment as possible."

Qi Siyang said, patting his chest with assurance.

"Thank you." Chen Yansen used his tea in place of wine, lightly clinking his cup against Qi Siyang’s.

At that moment, it was as if Qin Shangzhi no longer existed in Qi Siyang’s eyes.

Two hours later, the three men had traded their teacups for wine glasses, having moved from the Xinke headquarters to a luxurious private room in the city center.

The drinking party didn’t break up until 10:30 PM, after which he returned to his hotel.

The next morning, he left the accompanying industry analysts, financial staff, and legal team with Old Gao. He then conducted one-on-one interviews with Xinke’s mid- to senior-level managers to screen for reliable talent to keep in reserve.

As for a candidate to run the factory, he hadn’t found anyone suitable yet. After a moment’s thought, he had Cao Dahua and Cai Jingming submit a list of candidates, prioritizing management talent cultivated in-house.

If they really couldn’t find a suitable person, they would poach someone from Gree, Midea, or Haier.

At three in the afternoon, he took a car back to Xucheng, while Gao Weilin stayed behind to handle the wrap-up work.

「Meanwhile.」

The news that Chen Yansen had taken Senlian Capital’s "grand steward," Gao Weilin, to visit Xinke quickly spread throughout the air conditioner industry.

Zhou Jieyun of Haier received the news almost immediately. He opened his mouth, then forced himself to swallow the curse that was on the tip of his tongue.

’Just as I thought, if Chen Yansen wants to get into the air conditioner business, who’s going to stop him?’

’Maybe Haier should try collaborating with Orange Technology?’

Although Haier had some accumulated expertise in mobile phone supply chains, system optimization, and manufacturing, it was still a far cry from a rising star like Orange Technology.

They had only sold 1.4 million units in the first half of the year, and that was with the help of the "Home Appliances to the Countryside" policy. Their sales volume was even lower than NetEase’s mobile phones.

If they dared to compare themselves to 360 Mobile Phone, Zhou Hongyi would probably accuse Haier of trying to ride his coattails.

’It’s better to have one more friend than one more enemy.’

Besides, Haier was already set to collaborate with Orange Technology to launch a smart air conditioner that could connect to the Moss Smart Speaker and be controlled by voice.

’Collaborating with them on smartphones probably wouldn’t be a problem either.’

After clearing his thoughts, Zhou Jieyun gave Chen Yansen a call.

「On the other side.」

Gree, which had consistently refused to join Pinbei Mall, was thoroughly disgusted by Orange Technology’s entry into the air conditioner industry.

Dong Mingzhu posted a passive-aggressive message on Weibo: "Some internet companies, relying on their founders’ large online following, just barge into every industry. So let me ask you: Do you have compressor technology? Do you have motor patents? Your methods are just shameless!"

Although her words were veiled, anyone with eyes could see who she was scolding.

On his way back, Chen Yansen had just opened Weibo when he was flooded with countless @-mentions. Following the trail left by netizens, he quickly understood the whole story.

He thought for a moment, then responded frankly: "The best time to start is always now. Orange Technology does indeed intend to enter the air conditioner industry. As a newcomer, I hope to bring a different kind of change to the entire sector."

Dong Mingzhu saw it and replied in seconds: "All talk and no substance! You don’t even have the core technology, so how can you guarantee after-sales quality? Gree offers a six-year warranty. Do you dare to match that?"

She knew the quality of Xinke Air Conditioners all too well. With an after-sales service rate as high as twenty percent, they were best suited for being sold in Africa for one-off deals.

"Is six years that long? Orange Air Conditioner users will enjoy a ten-year free repair service," Chen Yansen retorted.

’The more scared you are, the more determined I am to get in!’

Dong Mingzhu was stunned.

She hadn’t expected Chen Yansen to be so confrontational, showing her no respect at all.

’I’m screwed!’

’He’s backed me into a corner!’

If even a new brand with no foundation like Orange Air Conditioner dared to promise a ten-year warranty, wouldn’t Gree look weak if it didn’t respond?

But if she immediately matched the policy, she would inevitably be accused of being a copycat.

Chen Yansen was the first to announce a "10-year repair policy." What would it look like if she just followed his lead?

Dong Mingzhu narrowed her eyes, feeling trapped between a rock and a hard place. For the first time, she truly felt how difficult Chen Yansen was to deal with.

But even if Chen Yansen let her off the hook, the netizens wouldn’t. A mob was fanning the flames in her comment section: "President Dong, why don’t you change Gree’s warranty to 12 or 15 years?"

"Good air conditioners, made by Gree! I suggest starting at 20 years!"

Dong Mingzhu scrolled through a few comments before stubbornly retorting, "You don’t even have a product yet. It’s just empty talk. Who’s going to believe you?"

"I trust President Chen’s credibility."

"Same here!"

"He pays his workers 25 yuan an hour, provides food and housing, and gives out bonuses four times a year. How much does a Gree assembly line worker take home in a month?"

"Location: Zhuhai. Overtime pay is 15 yuan an hour."

"Only 15 yuan for overtime? The Orange Phone Factory pays 37.5 yuan. There’s no comparison!"

Just as Dong Mingzhu had said, Chen Yansen did indeed have a lot of online fans. As soon as their flame war hit the trending topics, a huge army of his supporters swarmed in and flamed President Dong so hard that she had to quickly close her comment section.

A short while later, Zhou Jieyun of Haier reposted Chen Yansen’s Weibo post with an accompanying message: "A warm welcome to @OrangeTechnology as you step into the air conditioner field! The innovative development of the air conditioner industry needs more new forces to join.

Haier has always been committed to using technological innovation to create the ultimate comfortable home air experience for our users. I believe Orange Technology’s entry will inject new vitality into the industry and bring more novel ideas and innovative results.

I look forward to us working hand in hand in the future to bring better products and services to consumers, jointly push the air conditioner industry to new heights, and create a better living environment for everyone! #NewForceInACIndustry #WorkingTogetherForTheFuture"

"???" Dong Mingzhu was dumbfounded. She really wanted to call Zhou Jieyun and ask if he had lost his mind.

"President Zhou has such a broad perspective!"

"Kudos to Haier! President Zhou, I bought a Haier W910 last year, and it’s unusable. Can you give me my money back?"

"I got screwed by a Haier phone too."

"Go talk to Zhou Hongyi! Stop with the awkward trolling. As I recall, the Haier W910 only sold 2,000 units in total, and Zhou Daqiang already gave full refunds a long time ago."

The netizens’ ability to derail a conversation was impressive. In the blink of an eye, the discussion about air conditioners died down and turned into a denunciation session for the Haier W910, with many people @-ing Zhou Hongyi.

Lao Zhou was completely bewildered when he found out. ’I already refunded all the money, didn’t I?’

’Who the hell is badmouthing me behind my back?!’

’It must be Lei Yijun!’

Zhou Hongyi was fuming inside, but he couldn’t ignore the netizens’ questions. He opened the edit page and replied: "For users who purchased a Haier W910 phone, if you encounter after-sales issues, you can contact 360 Mall customer service. If it is a quality issue with the product itself, I promise a full refund."

After all, the 360 N2 and 360 F1 were currently hot-selling models. He couldn’t afford to lose big over a small matter and let users mistakenly believe that 360 Mobile Phones had no after-sales support.

About half an hour later, Zhang Renwu of Changhong and Jin Junhua of Rongshida successively reposted Chen Yansen’s Weibo, welcoming Orange Technology’s entry into the market.

The market was huge, and there were many competitors. Plus, with Chen Yansen controlling Pinbei Mall and its crucial online sales channels, Changhong and Rongshida had to maintain at least a basic level of decorum on the surface, whether they liked it or not.

Chen Yansen expressed his thanks individually for the well wishes from Zhou Jieyun, Zhang Renwu, and Jin Junhua.

Through this incident, Orange Air Conditioner, which didn’t even exist in shadow yet, had already captured the attention of tens of millions of netizens.