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Chapter 433 Signed Article

To put it carefully, Simon is not too worried about the outside world's peeping.

Even the huge amount of original capital accumulated through the financial market several times in a row is completely within the scope of the rules in operation.

As for Simon's biggest secret, he never revealed even the closest people around him. If you want to figure this out, unless someone can get into his mind.

Obviously no one can do this.

Therefore, if you have to find an explanation for the various outstanding things that Simon has shown over the years, it can only be described as unique talent.

Simon is indeed 'tried'.

However, although there is no handle that can be held by others, Simon definitely does not want to be monitored by others.

I quietly arranged the search for the surveillance monitors around me, and the time also entered September 1991.

After meeting with Al Gore in New York, the Westeros system began to use resources to promote the Information Highway Act.

Not only private political lobbying, but also in order to build momentum for Cisco's listing on September 6, there are more and more discussions on the Internet in various media channels.

On September 1, the New York Times published a special article titled "The Upcoming Internet Age". The front page headline was Simon himself. Subsequently, mainstream newspapers and Igret portals on the east and west coasts of the United States reprinted the article.

The article was indeed written by Simon himself, but it is not entirely true that this is true.

Last year, Simon sorted out a memorandum on various ideas and future prospects of the Internet industry to executives including Egret. The dozens of page memorandum roughly discussed the core concepts of the Internet era in Simon's memory, such as portal websites, e-commerce, big data, cloud computing, etc.

This article only captures part of the "outlook" in the memorandum.

Since Simon's rise, he has received only a handful of exclusive interviews, not to mention publishing signed articles in newspapers. This article first published in the New York Times has attracted very strong attention and discussion without any suspense.

Although there are many media outlets who fiercely criticized Simon's article for the idea that the output value of the Internet industry will reach trillions of dollars in the next decade, it is a sensationalism with ulterior motives, the most direct response of this article was that in the new week of September 2, technology stocks related to the Internet industry in the US stock market rose sharply across the board.

Cisco's IPO roadshow also rose sharply due to Simon's signed article.

As of the end of the roadshow, the number of Cisco stock subscriptions has reached 530 million shares, exceeding 13 times the number of new shares issued by 40 million shares, and even double the current total share capital of Cisco.

Unlike Sam Walton, John Kruger, and Warren Buffett, traditional tycoons who have spent decades to accumulate wealth, Simon's personal assets can only be described as miracles.

Moreover, Simon's article is definitely not aimless.

Too many signs indicate a rapid rise of an emerging industry.

Because the world's largest personal computer market is in a recession environment, the industry originally predicted that PC shipments in 1991 would stagnate, the same as the 20 million units in 1990.

However, the fact is that as of August just now, global PC shipments have actually reached 15 million units, and it is expected to reach 23 million units throughout the year, an increase of 15% compared with 1990. According to the results of institutional research, a large part of this is because consumers purchase or replace PCs for Internet surfing.

Before this, because personal computers tend to be more office-oriented and entertainment attributes were lacking, as long as the PCs they owned were not completely scrapped, few people would consider replacing the machine.

In addition, the increase in Internet users in North America is obvious to all.

As of the end of August, the number of Internet users connected to the World Wide Web platform in North America has exceeded 8 million, with a monthly increase of nearly one million. This data is even expected to hit the 13 million mark throughout 1991. Among them, the largest Internet service provider in North America, the expected number of users in the whole year after being readjusted again is between 6.5 million and 7 million.

In terms of content on the World Wide Web platform, in addition to the Igrit portal website, according to the statistics of Igrit Company, as of the end of August, the number of Internet sites connected to the World Wide Web platform has officially exceeded 20,000. This number is incomparable to the hundreds of millions of Internet sites many years later. Many of them are just personal sites with some simple web pages. However, in August just now, the monthly increase in Internet sites connected to the World Wide Web reached 1,800, which is the key.

The monthly growth rate is 9% and is still accelerating. This expansion rate once again shows the high growth potential of the Internet industry.

Finally, the continued increase in revenue in advertising, software sales, space leasing and other aspects has also allowed the outside world to see the profitable side of the Internet industry.

Therefore, Simon's signature article is more like a catalyst, which has completely ignited the explosion trend of the entire industry when all preconditions are ripe.

After several adjustments, Cisco's new share issuance price was finally confirmed to be US$18, with a 40 million new share issuance volume, with a total financing amount of US$720 million.

Compared with the issuance range of $17 to $19 submitted to the SEC, Simon finally made some concessions.

However, for a company with an annual revenue of only US$1 billion, it is worth nearly US$5 billion and a one-time financing of US$720 million. If successful, this is definitely a pioneering move.

In fact, corporate stock listing and trading is just the last step for corporate IPOs. Before that, the success or failure of the IPO has been settled. Compared with the oversubscription of 13 times the number of new shares issued by 40 million, it obviously represents a complete victory in this IPO.

Many investors are actually betting.

Bet Simon Westeros will create miracles like in previous years.

You know, just in terms of investment in the technology field, Simon's series of bets have already made him a lot of money.

The most typical one is undoubtedly Microsoft.

Affected by the continued hot sales of Windows operating systems, when Cisco officially closed the day before its official listing, Microsoft's market value had reached US$12.6 billion.

Westeros' 20.3% stake in Microsoft has thus increased to US$2.55 billion.

Intel, which has become increasingly evident in the alliance with Microsoft, has grown rapidly in the past year due to the continued growth of the PC industry and the increasing demand for high-performance personal computers. The day before Cisco's listing trading closed, Intel's share price increased by more than 35% compared with the same period last year, with a market value of US$10.7 billion, officially becoming a giant with a market value of 10 billion.

Westeros holds a 15.6% stake in Intel, making it the largest shareholder of the high-tech company that has long become a Volkswagen-owned company.

Intel's market value reached US$10.7 billion, and Westeros's shares increased to US$1.67 billion.

The investment in Microsoft and Intel is far greater than the returns Simon obtained from the stock market crash in 1987. The growth rate of Oracle, SUN, Silicon Graphics and other companies held by Westeros has also been very objective this year.

With the listing of American Online and Cisco, the Westeros system's share in the new technology industry has reached a level comparable to that of the media and entertainment industry.

Cisco is listed, so Simon is naturally impossible to be absent.

Arriving in New York a day early, Simon lived in his apartment on Fifth Avenue that night. Just after 7 a.m. on September 6, Simon hurried to the Nasdaq Exchange in Midtown.

Because of the recent series of operations around Cisco's IPO, this bell ringing ceremony is more lively than American Online in July. Even Amy Pascal of Daenerys Entertainment and other executives attended. In addition to the strong support lineup of Hollywood, the Cisco team also invited a large number of politicians and celebrities.

After taking photos and brief greetings with the guests on site, Simon was soon introduced to the interview hall of the Nasdaq Exchange.

This time the situation is almost the same as two months ago.

Although Simon had answered many questions when the US online listing last time, the media's curiosity about him was obviously not something that could be satisfied in just ten minutes last time.

"Simon, Cisco's IPO has basically been successful. However, the valuation of $5 billion is still a bit crazy in my opinion. How did you make up your mind at the beginning?"

"Because I believe Cisco has such market potential, just like I did when I invested in companies such as Microsoft and Intel. This is a very obvious industrial trend. The output value of the traditional telecommunications equipment market is, and the capacity of the emerging Internet industry in the basic equipment market should be the same. Cisco's development has just begun."

"Traditional telecom equipment manufacturers, such as Motorola, have a market value of only about 10 billion US dollars. Simon, do you believe that Cisco can surpass Motorola?"

“I have sold Motorola shares.”

“…”

Such an answer means something that the donkey's lips are not right.

In the interview hall of the Nasdaq Exchange, a group of reporters were stunned when they heard Simon's answer, and then someone started to laugh.

Simon Westero's entanglement with Motorola has been mentioned in recent years. Motorola's previous chairman Robert Galvin still often criticizes the young rich man's various actions in the media.

Many technology stocks have been rising recently.

However, at this time, another reporter thought that after the opening of today, Motorola's stock may fall again.

Although Motorola has also developed rapidly in recent years, this is a company that Simon Westeros is not optimistic about.

"So, Simon, what do you think Cisco's market capitalization potential should be?"

"It depends on how long you are talking about."

"Where are five years?"

Simon thought about it seriously and said, "It's $50 billion."

When Simon heard the number said, a brief uproar occurred on the scene.

There are many live scenes here. Simon Westeros, you have to take responsibility for your unreliable words.

Five years, $50 billion.

Based on Cisco's current valuation of $5 billion, this is 1,000% growth.

If it goes from $500 million to $5 billion, there may be such a possibility. At that time, the size was there, from $5 billion to $50 billion, which was a completely quantitative change process.

In the entire North America, only a few companies with a market value of US$50 billion are IBM, General Motors, AT-T, etc.

"Simon, are you serious?"

"Simon, is this a guarantee, or is it just a joke? You know, there may be tens of millions of people staring at you in front of the TV."

"Simon, what is your basis?"

"Simon..."

The reporters in the audience were in a bustling crowd, and even some people watching outside the interview area showed a look of surprise.

Simon sat on the sofa in the interview area with a relaxed posture, waiting for the noise around him for a moment before pressing his hand slightly, saying, "No one knows what will happen in the future. $50 billion is my confidence in Cisco. You can choose to believe it or ignore it directly. Because this is a future thing, I cannot give any guarantee. However, there is one thing that you can refer to what has happened. For example, a few years ago, when I first invested in Microsoft, the market value of this company was only more than one billion at the lowest point of the stock market crash. Just yesterday, its market value was $12.6 billion."

"Simon, Microsoft is a miracle."

Simon shrugged and smiled, "Who said no? Moreover, Microsoft has many competitors, but Cisco does not. Not only in the United States, Cisco has no competitors worldwide. The Internet industry is destined to be global. So, who can say that Cisco will not become a miracle?"

"Simon, you mean, Cisco is a monopoly business?"

"Of course not, I hope that companies in the industry will emerge as soon as possible that Cisco competes. Lack of competition will only lead to a stagnation in one industry."

"But, Cisco, A. Online, and Igret, these three companies monopolize the World Wide Web technology, which is an obvious fact."

"I don't agree with your point of view. It can only be that these companies in the Westeros system are ahead of many people. Just like when Bell just invented the phone many years ago, you can't say that others invented something before you, and just put it on the title of "monopoly". This is unfair. Several Cisco companies, we have invested hundreds of millions of dollars in recent years. The World Wide Web technology was invented by us, and we certainly have the right to enjoy this leading advantage."

"So, will the Westeros system develop core patents to competitors?"

"In fact, we are already doing this now. Otherwise, we shouldn't see the appearance of up to 20,000 network sites on the World Wide Web platform."

After saying this, Simon glanced at the host next to him in no trace. This time it was still the vice president of Nasdaq during the last American online bell ringing ceremony. The other party understood and chose a media close to the Westeros system, and ignored the sensitive topics about monopoly.
Chapter completed!
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