Reborn multinational giant

The domestic Alibaba Cloud is so awesome, not to mention Amazon Cloud, which started the earliest abroad. In 2018, Amazon Cloud had annual revenue of more than 10 billion U.S. dollars and annual profits of more than 3 billion U.S. dollars. Similarly, the growth rate did not slow down at all. With the advent of the 5G era, the era of artificial intelligence and the Internet of Things, its development space and imagination are still huge.

Many Internet people in China, including Tencent President Ma and Baidu Li, still don’t understand cloud computing that much. Fang Zhe, who is reborn, is very clear about the value of cloud computing, so cloud computing is a must for Fang Zhe and Huizhong. It can be done, but due to Huizhong's current financial strength, it is impossible for Huizhong to separately invest in building a data center for cloud computing.

Therefore, in the past few days, the top leaders Fang Zhe and Zheng Siwen, as well as the executives of Huizhong, have worked out several plans after various discussions. First, financing!

If you don’t have the money to develop, then you can raise funds for investment. This is the most common means of raising money in the development of Internet companies. From angels to ABCDE or even F, the larger the volume, the more it can be financed. In the previous life, Alibaba was listed, and just financing was financed With more than 20 billion U.S. dollars, it is also because of this massive amount of funds that Alibaba has expanded everywhere after listing, and has entered a new round of rapid development and internationalization.

However, this common method of raising money before the listing of Internet companies was only used as a last resort to shareholders of Huizhong such as Fang Zhe and Zheng Siwen. This is not to say that Fang Zhe or Zheng Siwen and others are unwilling to raise funds. Compared with the rapid development of the company, it is acceptable to dilute everyone's shares appropriately for low shares.

The reason why they take financing as a last resort is that at this stage, no matter what level of financing they seek, they will very much underestimate the true potential value of Huizhong. First of all, Huizhong is currently a game company in the outside world and in the market. It is not an Internet company with unlimited development potential as its core business like Tencent, Baidu and Alibaba.

Game companies have never been overvalued in the capital market because of their instability in profitability and limited room for growth, and their P/E ratios have always been low.

According to Huizhong’s current monthly profit of 200 million yuan and annual profit of 2.4 billion yuan, it is only worth more than 3 billion US dollars at a price-earnings ratio of ten times. What's more, it is a cold winter for economic crisis and capital. All funds are keeping their pockets for the winter. , The price-earnings ratio of game companies on the stock market generally fell below 5, and now financing, the capital market gives Huizhong a full valuation of 2 billion US dollars, even if it is very good.

Give up 10-20% of the shares, and you can get 20-40 million dollars at most, and you can build a data center at most.Fang Zhe and Zheng Siwen did not want to give up so many shares of Huizhong for such a small amount of money!

Even if they raise funds in the future, they hope that businesses with growth potential and huge imagination such as mobile chat software will become Huizhong's core business, and when the financial market is improving and there is more money and less meat, this plan is only regarded by them as a last resort. Guaranteed plan.

The second option is that Zheng Siwen thinks it can be considered, but Fang Zhe thinks that it is not a reliable solution. That is to build a data center in partnership with others. This kind of case is not uncommon in previous lives. Many are not as wealthy as bat. The company, several partners engaged in cloud business, have money to contribute, is also a common method.

If the time is pushed back by seven or eight years, perhaps Fang Zhe would consider this method, but now, let alone the information security issues of mobile chat software, few companies in China are optimistic about the development potential of cloud computing. No one is willing to spend money without saying that they will not be able to make money in a few years. Are they willing?It's strange not to have trouble with Huizhong!In foreign countries, the companies that do this are basically big companies, and they don't need money to cooperate with Huizhong.

Therefore, the second option is ranked second, and the first one is the third option. It is also the first solution that Huizhong considers and investigates. Once the investigation is passed and the implementation feasibility is high, then The senior management of Zhehe Huizhong intends to adopt this scheme.

Speaking of this third solution, Li Yifei proposed it. At that time, Fang Zhe was popularizing cloud computing to Huizhong executives, explaining its potential and importance, and explaining the relationship between cloud computing and traditional IDC data centers. And difference.

Nothing. This is also the reason why most Internet people in China did not pay much attention to cloud computing when it first came out, because cloud computing was born out of the traditional IDC data center. Without a deep understanding, it seems that it is no different from the traditional IDC data center. For example, at the IT summit in Shenzhen early next year, Mr. Li of Baidu said when he talked about cloud computing, "Old wine in new bottles, nothing new!"

This is probably when Fang Zhe first introduced cloud computing to the executives of Huizhong. They had little difference from Baidu Li. Fang Zhe has been in the Internet industry for nearly ten years in his previous life and has been paying attention to the development of cloud computing. After a while, various kinds of over-the-wall check-up materials conducted a thorough study of the two.

Therefore, from the physical computer room hosting to the elastic computing service, IaaS, PaaS, SaaS three service models and other aspects of the explanation, but also let the executives of Huizhong have a new understanding and understanding of cloud computing, that is, in this case , Li Yifei said inadvertently:

"Since cloud computing is born out of traditional IDC data centers, can we consider borrowing chickens to lay eggs, renting or acquiring a relatively large-scale traditional IDC data center, transforming it, and slowly exploring our own cloud computing business? If so, the cost should be much cheaper than building a data center from scratch!"

Li Yifei’s words directly reminded Fang Zhe, yes, why have to spend so much money to do it from scratch? It’s okay to buy a data center transformation from an existing traditional IDC manufacturer. In the previous life, with With the rise of cloud computing, the business of traditional IDC vendors has been squeezed. Many IDC vendors are seeking to transform and become cloud service providers, with old equipment assets such as factory buildings and server hosts. The cost of transformation is indeed higher than that of large companies from scratch. It is much cheaper to build a data center!

It is also because Fang Zhe considered too complicated and troublesome. In the past, most large companies basically started from scratch. One was not bad money, and the other was to follow their own requirements from low-level design and other aspects. According to Huizhong and Fang Zhe, when the money is not enough, the acquisition or leasing of ready-made IDC data center transformation becomes a very feasible solution!

After some discussions, Fang Zhe and other senior executives of Huizhong found that the feasibility of this kind of scheme is really high. Even if they build their own data center, it will take at least one year, and if they renovate the lease or purchase In the case of a new data center, it only takes two to three months, so that they can not only prepare the team to develop their own cloud computing solutions immediately, but also put their own increasingly large and costly businesses as soon as possible. Save costs on your own cloud!

"No, you can have this!"

After the meeting, Fang Zhe immediately decided to set up a special research team, while hiring foreign IDC and cloud computing experts to fly to overseas countries such as Europe and the United States to find local IDC service providers to investigate the matter.

On June 15th, after a week of preparations, WeChat finally launched appstore and Androidmarket in several major countries and regions around the world. The first beta version of WeChat was finally launched!