"Chairman Wang is straightforward!"
CEO Jia smiled, added Wang Yi's contact information, and began his harvesting plan.
However, to increase the success rate, CEO Jia still started with an enthusiastic speech:
"Chairman Wang, with LeTV's ecological concept, we are bound to have unlimited potential and even have hope of becoming the next Apple!"
"Apple's market value increased from $16 billion ten years ago to over $320 billion today, a 2000% increase in ten years. LeTV can achieve this too!"
"After all, LeTV's ecological philosophy is ahead of Apple, so our future is definitely limitless!"
"Moreover, with Mr. Jobs' passing this year, Apple is bound to decline, which is precisely LeTV's opportunity to rise."
...
CEO Jia strenuously showcased LeTV's future, his plans, and his vision, hoping to attract Wang Yi to proactively propose investing in LeTV.
He was very familiar with this approach, and it worked well.
Every time he gave a specious PPT presentation, the other party would be brainwashed, become extremely excited, and then proactively propose a large-scale investment in LeTV...
But with Wang Yi, it was completely ineffective.
Even though CEO Jia talked endlessly for a quarter of an hour, his throat went dry!
Yet Wang Yi remained impervious, not mentioning investment at all.
Even when CEO Jia hinted very obviously, Wang Yi feigned ignorance with perfunctory responses.
Finally, CEO Jia was helpless and could only speak directly:
"Chairman Wang, LeTV's future is bright, but it is very short on funds during its current development stage. I wonder if you would be willing to invest a little?"
Finally, the dagger was revealed!
Wang Yi chuckled, CEO Jia really came to harvest him.
'Invest?'
'Invest in what? No way!'
Wang Yi complained in his mind.
CEO Jia's most impressive skill was cross-industry plundering.
Whether you're a stockholder or a celebrity, rich or the richest man, under my, Old Jia's, blade, it's an indiscriminate harvest!
And to increase the success rate, what Old Jia liked to do most was cross-industry harvesting.
No way, peers were too smart, couldn't be harvested!
But harvesting outsiders was simple!
Outsiders didn't understand the depths of the tech industry at all.
A PPT presentation would enthrall them, making them invest huge sums of money.
Then, by driving up the stock price, CEO Jia would cash out at a high point, aggressively harvesting...
For example, real estate giants were his favorite targets for harvesting.
A group of builders, with money but no expertise, perfect harvesting targets!
After all, these giants only understood real estate, how could they understand the tech industry?
Let alone LeTV's ecosystem!
Upon hearing about film, television, mobile phones, cars...
High-tech products of the highest caliber, much more powerful than real estate, plus a smart home ecosystem, linking with real estate to do smart homes...
As a result, in his previous life, Sunac's Old Chairman, the dignified white knight, was tricked by CEO Jia, strongly took over, and was harvested for 15 billion...
And Evergrande's Old Chairman, who was the richest man at the time, also didn't learn his lesson.
Even though Sunac's Old Chairman had already been harvested, he still thought he could do it, investing in CEO Jia's car manufacturing, and was harvested for 5 billion in just a few months...
Besides the two real estate magnates, CEO Jia also liked to harvest celebrities.
They also had money and fame, crossed industries without expertise, and were easy to trick.
He not only tricked a large group of celebrities into endorsing LeTV for free but also harvested all of them!
19 celebrities, some were harvested millions, others tens of millions...
They truly had their traffic and fame exploited for free, and their money was also harvested.
Truly losing both people and money!
Now, asking Wang Yi to invest? To harvest Wang Yi?
Wang Yi wouldn't fall for it.
If he had even a moment of temptation, he wouldn't be a reborn person!
As for LeTV's glory in 2015 in his previous life, with a valuation exceeding 170 billion, investing could be an opportunity to make a fortune...
That was in his previous life!
This time, LeTV's business and Wang Yi's business highly overlapped!
Currently, LeTV Pictures and Wang Yi's Xingyi Media had business conflicts.
In the future, LeTV TVs and LeTV phones would conflict with Wang Yi's Xingyi TV and Xingyi Mobile!
Under the fierce impact of Xingyi Technology, LeTV would probably find it hard to grow, let alone reach a market value of 170 billion.
Absolutely unrealistic.
Unless CEO Jia could defeat Wang Yi.
But unfortunately, CEO Jia's LeTV Super TV only started in 2013.
Wang Yi's Xingyi Smart TV started in 2012.
CEO Jia's LeTV phone only started in 2014, while Wang Yi's Xingyi Mobile started in 2011.
Wang Yi started earlier than CEO Jia, developed better, and had more ample funds.
What could CEO Jia compare with?
After all, Leibusi was so impacted by Wang Yi's Xingyi Mobile that he couldn't sleep at night, and even wanted to develop in India.
How could CEO Jia still have a chance to grow big?
Unrealistic.
Sometimes, being one step too late means losing everything.
What's more, LeTV's glory in his previous life was four or five years later...
Wang Yi didn't have the patience to wait that long.
Billions of funds tied up for four or five years, it wasn't cost-effective.
When LeTV eventually failed, Wang Yi, as an early investor and partner, would also be cursed by stockholders, and even regarded as an accomplice...
The gains wouldn't offset the losses!
Wang Yi didn't want to become "returning to the country next week" either...
So, in response to CEO Jia's direct hint, Wang Yi sighed, looking troubled:
"I'm truly sorry, CEO Jia, LeTV has a very good future. But Xingyi Technology started late and is also short on money."
"I've only paid half of the 3.5 billion invested in BYD, and the remaining 1.5 billion must be paid this month."
"Xingyi Technology also needs to develop itself, and I genuinely have no money on hand right now!"
Hearing this, CEO Jia sighed, but believed him.
Xingyi Technology had been burning through money too quickly recently.
Just BYD alone was 3.5 billion!
It was natural that there was no money on the books to invest in LeTV.
"I hope CEO Jia doesn't take offense,"
Wang Yi said with a smile.
"It's fine, no harm, I understand,"
CEO Jia said, nodding with a smile.
No deal, but goodwill remains.
No money now doesn't mean no money later.
When Chairman Wang has money in the future, I'll ask him to invest again!
"Chairman Wang, when you have ample funds in the future, and surplus capital, you must remember LeTV! LeTV's future needs Chairman Wang's support!"
"Absolutely, absolutely!"
Wang Yi said with a smile, but thought to himself:
'Because of your words, I won't have any surplus money in the future.'
'If there's any surplus capital, I'll invest it all!'
Money can only make money if it's invested.
Lying in the bank earning interest isn't even enough to cover depreciation.
Hmm, the money earned this year will be invested in BYD, Xingyi Mobile, and for acquiring copyrights...
The money earned next year will all have to be invested in chips!
That's a field that eats meat without spitting out bones!
A single wafer fab would cost 20 billion!
Wang Yi had a headache, but there was no other way.
To avoid being constrained, one must invest and do it oneself.
As for the lithography machine issue, if it can be solved, great; if not, it's not a big problem either.
The DUV lithography machines that can be purchased, through multi-patterning techniques, are fully capable of mass-producing 7nm, even 5nm, which is sufficient!
Frankly, 28nm and 14nm, 7nm differ greatly, but the difference between 7nm and 5nm, 3nm is truly limited.
Far from as terrifying as the West claims.
In his previous life, Wang Yi used a 3nm processor and didn't find it particularly amazing; heating was still severe.
The higher the process, the more transistors can be accommodated in a chip of the same volume, but the heat generation and power consumption are also more severe, and the cost is higher, so it might not be cost-effective.
To put it plainly, a 3nm chip offers a 10% performance increase over a 5nm chip, but costs several times more.
Is it worth it?
As for 2nm, 1nm, the improvements are even more limited, and the costs are much higher.
Wang Yi felt that the competition direction in chip manufacturing processes in his previous life had gone wrong.
For example, Apple A17 Pro, a 3nm chip with 19 billion transistors, is expensive...
If a 7nm process were used and the chip volume were made a bit larger, it could also accommodate 19 billion transistors, or even 20 billion.
Current phones are getting bigger and bigger, with more internal space, so making the chip volume a bit larger to increase performance is also not a problem.
The cost increase of this solution is far lower than the cost of a 3nm process!
This is also why Wang Yi is making chips; DUV lithography machines can achieve 7nm, even 5nm.
Even if sanctions come in a few years, he won't be afraid.
Of course, things like photoresists also need to be planned in advance.
As long as Wang Yi's chip factory is established, supporting upstream and downstream industries will also be developed.
Having acquired all copyrights to "Empresses in the Palace," Wang Yi returned to the company satisfied.
As for investing in LeTV, let CEO Jia wait slowly.
There were so many better, higher-quality companies that were more reliable than LeTV and worth investing in.
There was no need to get into trouble with LeTV and tarnish his reputation.
Business investment is very complex.
Once Wang Yi heavily invested in LeTV and became a major shareholder, he would also become LeTV's 'spokesperson'.
A few years later, when LeTV collapsed, and stockholders lost their shirts, what if Wang Yi made a huge fortune?
Old Jia went abroad, and stockholders couldn't find Old Jia for their blood debt, so it would only fall on Wang Yi!
The consequences would be unimaginable.
It was truly not worth it.
Back at the company, Yang Yan immediately came forward, bringing a man with him:
"Boss, this is Ye Changpeng, the former Vice President of Tudou.com, primarily responsible for content. He's very capable."
"Hello, Chairman Wang!"
Ye Changpeng proactively extended his hand.
"Hello, President Ye!"
Wang Yi smiled and shook hands with the other party.
A vice president of Tudou.com, and a pragmatic one, that was absolutely no problem.
In 2011, long-form video platforms were not yet in the 'Aiyouteng Three Kingdoms Kill' era controlled by BAT, but rather in the 'Hundred Regiments War' era!
Among the 'Aiyouteng' big three, only Youku was established earlier, in 2006.
The other two were newly established platforms!
iQiyi, founded in 2010, had only developed for a year and was still very small.
Tencent Video was only founded in April 2011, developing for half a year, and was just starting.
This was also one reason why Wang Yi decided to create a video platform; everyone was just starting, and the gap wasn't significant.
Instead, those older video websites started even earlier.
For example, PPS and Tudou.com were founded in 2005.
LeTV.com and Sohu Video were founded in 2004.
But unfortunately, most of those that started early either cooled off early or were acquired.
In his previous life, PPS was acquired by Baidu and merged into iQiyi.
Tudou.com merged with Youku, then was acquired by Alibaba, becoming the later Youku Video.
However, the current Tudou.com still had some things going for it.
Wang Yi looked at Ye Changpeng and couldn't help but recall a major event from 2011:
"President Ye, the reason you left Tudou was due to the IPO issue?"
"To be frank, it is indeed so. I couldn't stand the incompetent teammates!"
Ye Changpeng didn't hide it, looking very speechless.
Every time he thought of it, he felt a headache.
A real headache.
Tudou.com had been developing very well, founded in 2005, and after six years of development, it was preparing to list in the US, supposedly with a promising future.
But who would have expected that during the critical period of its IPO, it was sued by the founder's ex-wife!
Nothing else, when Tudou's founder divorced his ex-wife, he allocated few assets to her and quickly married a new love.
The ex-wife had always remembered this but had kept it under wraps.
It wasn't until the critical period of Tudou.com's US IPO that the ex-wife filed a lawsuit against Tudou.com's founder in the imperial court, stating that the property division during the divorce was uneven and demanding a redistribution.
Consequently, the imperial court froze all the founder's shares in Tudou.com and postponed Tudou's listing.
This postponement lasted for half a year!
Time is opportunity, and opportunity is everything!
In the internet industry, two months can decide life or death, let alone half a year?
It's imaginable that Tudou.com's originally favorable situation suddenly turned sour.
Yang Yan also knew this and couldn't help but say,
"It was only postponed for half a year, it's not like it couldn't be listed, it shouldn't have failed, right?"
Wang Yi smiled:
"Yang Yan, Tudou had to wait half a year, but its competitors wouldn't wait half a year!"
Ye Changpeng nodded:
"Chairman Wang has keen insight, exactly. Our half-year waiting period hasn't even ended, but next month, Youku is going to list in the Empire! This directly caused us to lose our chance to go public!"
There were only a few capital giants who were optimistic about domestic video platforms.
They invested in Youku, which listed first, and naturally wouldn't consider Tudou.com, which would list later and still had various problems.
After all, video platforms these days were all burning money, all money-losing ventures, with no hope of profitability in the short term, so capital groups wouldn't invest heavily.
Ye Changpeng sighed:
"With no hope of going public, Tudou's internal turmoil and power struggles to find a way out led to several factions. Some wanted to merge with Sohu, some with Youku, others wanted to join Tencent Video, or even Baidu's iQiyi! It was a complete mess."
"And a large number of internal talents were also lost. This situation, I don't know how long it will last, but I see no hope and I don't like internal strife. To be honest, I once considered resigning, but couldn't find a better place to go for a while."
Wang Yi understood the whole process.
Ye Changpeng personally managed operations, created content, and built Tudou.com, aiming for a successful IPO, for Tudou.com to grow bigger and stronger, and make a lot of money.
As a result, Tudou's IPO failed, and it became embroiled in internal power struggles and external merger talks.
Both the current work environment and the future development of the company looked bleak!
Ye Changpeng, like many others, had the idea of leaving and seeking a better position.
Just then, Yang Yan came to poach him, so he followed to Xingyi Technology Industrial Park.
Whether it succeeded or not, he'd take a look first.
At the very least, Ye Changpeng felt that Wang Yi was more reliable than Tudou.com's founder, a pragmatic leader!
"So that's how it is!"
Wang Yi smiled:
"Isn't that a coincidence? Our Xingyi Media has just been established and is preparing to grow bigger and stronger. In the future, we will not only have the streaming platform Xingyi Video but also Xingyi Media, and will invest in many self-produced major dramas!"
Ye Changpeng was a pragmatic vice president, with outstanding ability, strong connections, and rich experience, precisely the talent Wang Yi needed.
He decisively began to flex his muscles:
"Just yesterday, we acquired a film and television company to serve as Xingyi Media's Dongyang branch, called Daylight Entertainment. A film and television company founded just a few months ago, you might not know it."
"Daylight Entertainment? I know it!"
Ye Changpeng beamed:
"Chairman Wang, although Daylight Entertainment was only established three months ago, Director Kong and Director Li are both powerful directors from Shanying! I am very clear about that! With them, plus Chairman Wang's investment, Xingyi Media will certainly grow large in the future."
Wang Yi smiled slightly:
"That's just the Dongyang branch. In our Imperial Capital headquarters, there is an even greater god!"
"An even greater god! Even bigger than Director Kong? That must be a top-tier grand director at the highest level?"
Ye Changpeng was startled.
In his previous life, ten years later, top directors' salaries rose to 300,000 per episode.
And now, a major director like Director Kong gets 100,000 per episode.
The few above Director Kong, such as Director Zhang, Director Feng, and Director Zheng, get 150,000-200,000 per episode.
Other directors would be lucky to get tens of thousands per episode.
Actor salaries were similar.
The top male and female leads currently earned only 300,000 per episode.
For example, "Empresses in the Palace" paid Zhen Huan 300,000 per episode, which was over 20 million for 76 episodes.
But after "Empresses in the Palace" became a huge hit, the female lead became a top-tier superstar, and her salary doubled.
In a short time, she couldn't take on all the offers of a million per episode.
Ye Changpeng became interested:
"Chairman Wang, could you tell me the identity of that person?"
Wang Yi smiled slightly:
"Xingyi Media just bought the ownership and exclusive online broadcast rights for 'Empresses in the Palace'!"
"Director Zheng!"
Ye Changpeng beamed:
"Chairman Wang, you not only poached Director Kong and Director Li, but also Director Zheng! Three great directors all at once, amazing, truly amazing!"
Wang Yi waved his hand:
"This is just the beginning. In the future, more capable directors, producers, and screenwriters will join Xingyi Media. Furthermore, we will sign many talented artists to build a stable and powerful artist team.
At the same time, we will spend three to five hundred million to aggressively acquire film and television copyrights and music copyrights, to build our own content ecosystem and copyright library!"
"This..."
Ye Changpeng was shocked, he never imagined Wang Yi would make such a grand gesture.
It was simply a dimensionality reduction attack!
Current iQiyi, Youku, and Tencent Video hadn't grown large yet; their scale was limited.
To rapidly expand, the best way was acquisition and integration.
Like in his previous life, Youku and Tudou, iQiyi and PPS Video, merged to rapidly expand.
Another way was the Tencent Video model: not acquiring, but directly spending money to buy IPs, buying, buying, buying like crazy.
Buying old dramas, new dramas, even Hollywood dramas!
Wang Yi remembered that Baidu acquired PPS in 2013, spending around 2 billion RMB.
If PPS were acquired now, 1.5 billion would probably be enough.
If 1.5 billion were spent to acquire PPS, Wang Yi would instantly have a video platform, but PPS didn't have many copyrights, so he would still have to spend money to acquire them, costing at least 2 billion in total.
Moreover, PPS currently had serious problems, with various forces intertwined, and touching one part would affect the whole.
It wouldn't be easy for Wang Yi to reorganize it.
It would be better to directly spend 300 million to acquire video copyrights, 200 million for music copyrights, and then several hundred million to build a brand new Xingyi Video!
This way, it wouldn't even cost a billion!
Perhaps the development speed wouldn't be as fast as directly acquiring PPS, but the starting point would be higher, the future better, and development more stable!
Repairing a broken ship is far less effective than building a new aircraft carrier!
After all, if PPS were very strong, it wouldn't have been acquired.
After listening to Wang Yi's words, Ye Changpeng was excited!
Wang Yi's vision was grand; Xingyi Media must have a future!
An opportunity!
A huge opportunity!
What's more, Chairman Wang wasn't just building platforms, applications, and a media company for self-produced TV dramas; he also had hardware like Xingyi Mobile!
And Meiyou APP's seventy million-plus users!
These users were exactly the people who loved watching dramas the most!
Xingyi Media was far more promising than Tudou or anything else!
"Chairman Wang, please give me a chance, let me join Xingyi Media. Even if you just assign me a small manager position, I'm familiar with streaming media business and definitely won't let you down!"
Listening to Ye Changpeng's sincere words, Wang Yi smiled faintly.
Flexing his muscles was precisely to secure this Vice President of Tudou.com!
"How is a small manager enough? At least it must be a president!"
Wang Yi extended his hand:
"Welcome, President Ye, to Xingyi Media. Once you've completed your onboarding, report to me and serve as the President of Xingyi Video Business Unit and Vice President of Xingyi Media Group! Your compensation will be 30% higher than what you earned at Tudou.com!"
Xingyi Media was the core of the entire entertainment business, directly under Xingyi Technology.
Below Xingyi Media were several business units, such as the Dongyang Daylight Entertainment branch, responsible for film and television production; the Xingyi Video Business Unit, building the film and television platform; the Xingyi Artist Management Department, responsible for artist signing and operations...
Ye Changpeng beamed:
"Thank you, Chairman Wang, thank you. I'll go back and resign now!"
Compared to Tudou, Xingyi Media had a more promising future, more strength, and better benefits; there was no need to hesitate.
"Is resigning convenient?"
Wang Yi said meaningfully,
"If there are any contractual restrictions, just say so, and I'll arrange for someone to negotiate."
Ye Changpeng waved his hand:
"It's fine, Chairman Wang. The power struggle within Tudou is fierce right now. If I leave at this time, they'll be eager to see me go, one less competitor, so they won't try to block me!"
"Haha, that's true. Then I'll wait for your good news."
Wang Yi smiled.
Sometimes when senior executives leave, they don't want you to go; other times, they can't wait for you to leave.
In Ye Changpeng's situation, they wouldn't use a non-compete agreement to restrict him.
Instead, they would be eager for him to leave quickly, to have one less competitor.
Ye Changpeng changed the subject:
"Chairman Wang, I also have some capable subordinates, what do you think..."
"Take them all. Their compensation will be 20% higher than at Tudou!"
Wang Yi was overjoyed:
"Xingyi Media is just starting, and we lack all sorts of talent. As long as they're suitable, bring them over! I trust your judgment!"
"Thank you, Chairman Wang, wait for my news!"
Ye Changpeng said with a smile:
"Since Tudou.com's IPO failed, the senior management has been absorbed in seizing power, and all the core employees who actually do work are disappointed and looking for a way out. I still have some prestige and can bring over a professional team!"
"Good, go ahead and do it!"
With Ye Changpeng and his working team, plus the acquired copyrights, Xingyi Video would initially take shape.
As for other needs, they would simply recruit whoever was missing.
However, the video website and video app also needed to be built!
After seeing Ye Changpeng off, Wang Yi looked at Yang Yan:
"How is the development of our Xingyi Video APP progressing?"
"Chairman, we've recruited some people and are accelerating development. The Android progress is faster, with Xingyi Video on our Xingyi Mobile laying the foundation. But iOS, PC, and website versions all need to be built from scratch!"
"Good, recruit more people, develop as soon as possible! But don't affect the XUI adaptation work."
"Don't worry, Chairman. These are all being done by newly recruited employees; none of the XUI adaptation personnel have been touched."
"Very good, I trust you to handle things!"
Ye Changpeng's efficiency was swift; two days later, he arrived at Xingyi Media and officially joined.
He also brought over more than fifty technical backbones, who joined Xingyi Media together.
More than twenty of them were professional development talents in the streaming media field.
With their addition, the development progress of the Xingyi Video APP became much faster.
After all, Tudou.com was their creation.
There were also some talents in content and advertising operations.
"Welcome everyone! With you, Xingyi Media will be like a tiger with wings!"
Wang Yi said with a smile:
"Everyone's compensation will be 20% higher than at Tudou.com. Xingyi Technology has a complete career advancement system; it's not a place where you only get a fixed salary once you start. Nor is it a place where doing more or less yields the same result. On the contrary, as long as everyone performs well, you'll get promotions and raises every year!"
Whenever someone joined, Wang Yi had to paint this grand picture once.
As for whether it was true?
Naturally, it was half true and half false.
Annual promotions and raises are unrealistic, but those who perform will get raises, and those with outstanding performance also have hope for promotion.
Indeed, everyone was excited:
"Thank you, Chairman, we will give our best!"
At this point, Xingyi Media officially moved into Xingyi Industrial Park.
There were still some empty office buildings.
Wang Yi chose one, and Jian Ziyan had it tidied up, making it the Xingyi Media headquarters.
Subsequently, Wang Yi, Yang Yan, Ye Changpeng, and three technical experts poached from Tudou.com held a meeting.
Ye Changpeng spoke first:
"Chairman, you've arranged for people to acquire copyrights, which is fine. There will also be self-produced dramas next year. Now the key is to develop the Xingyi Video APP, not just the software, but the entire system. The biggest problem right now is the sheer amount of pirated resources."
Ye Changpeng hit the nail on the head, pointing out the crucial issue:
"Our exclusive dramas will have pirated versions, which will cause us huge losses. Therefore, we also need to develop an encryption format!"
Wang Yi nodded:
"You're absolutely right, something similar to Youku's Kux format!"
"Precisely! With this format, even if you download a video, you can only watch it with the Youku player. If you want to watch it with other players, you have to transcode it, which is very troublesome and increases the cost of piracy."
Ye Changpeng elaborated:
"There are two ways for video platforms to generate revenue: advertising fees and membership fees. To ensure these two sources of income, we also need to develop an encryption format to combat piracy!"
Wang Yi spent hundreds of millions to acquire copyrights and hundreds of millions to build Xingyi Video.
Coupled with self-produced dramas, annual expenditures of hundreds of millions or even over a billion, it's impossible not to pursue profitability.
However, advertising revenue is only part of it, not enough to cover costs.
Video memberships must also be launched!
For example, if "Empresses in the Palace" becomes a big hit, and it's exclusively broadcast on Xingyi Video elsewhere, it can greatly increase VIP members.
But if piracy runs rampant and Kuaibo is full of "Empresses in the Palace," then Xingyi Video's VIP revenue would plummet.
Encryption is imperative.
Another factor contributing to cheap copyrights at present is the rampant piracy, which devalues genuine content.
Once piracy decreases, genuine content becomes valuable.
Wang Yi waved his hand:
"Encryption format isn't enough; it can still be watched after transcoding. We need to solve the problem at a fundamental level by developing a brand new video encoding standard!"
"A brand new video encoding standard?"
Yang Yan and Ye Changpeng were all stunned, filled with disbelief.
Wang Yi nodded:
"Currently, H.264 encoding is popular. I've developed the brand new H.265 encoding."
"???"
"!!!"
The entire room was collectively petrified, looking at Wang Yi with shock and doubt!
H.264 is the current mainstream video encoding standard, but H.265 is the next generation.
It's not something you can just develop on a whim!
This kind of standard-level stuff is too difficult; it's not just talk.
In his previous life, H.265 was a new encoding that appeared only in August 2012.
It naturally didn't exist in 2011, which sounds incredible.
But in his previous life, H.265 code was all open source.
Non-professionals might not understand, but as an industry insider, Wang Yi was very familiar with it.
It was also very simple to bring it out.
"Boss, is this true? H.265 has really been developed?"
Ye Changpeng was somewhat incredulous.
Yang Yan also looked confused; his boss didn't seem like someone who would boast.
The other technical experts were even more dumbfounded.
Although they didn't say anything, their faces were full of undisguised disbelief.
Wang Yi smiled and opened his laptop:
"Everyone, look at these two movie files. Both are 4K quality, and both are the exact same movie."
Wang Yi opened the two movies separately and showed them to everyone.
Everyone nodded:
"They are indeed the same."
"The quality is at the same level."
Wang Yi closed the movies and continued:
"Now look at their sizes."
Ye Changpeng was stunned:
"What? The second movie is nearly half the size of the first! This..."
"Yeah, the quality is the same, how could it take up more than 40% less space?"
Yang Yan was stunned.
The others also had a look as if they had seen a ghost.
This was unreasonable.
The same source material, the same quality, a slight difference in file size would be fine, but nearly half the difference was truly incredible.
Wang Yi smiled faintly:
"The reason is simple. The first movie uses H.264 encoding. The second one uses H.265 encoding!"
"The encoding unit size of H.264 is fixed at 16x16 pixels. Whereas H.265's encoding unit can be chosen from a minimum of 8x8 to a maximum of 64x64 pixels."
"Therefore, for the same image quality, H.265 encoded video is approximately 39-44% smaller than H.264!"
"I see!"
Everyone suddenly understood.
Ye Changpeng was even more shocked:
"Under the same quality, storage space is reduced by 39%-44%, Chairman Wang, you really developed H.265!"
Yang Yan also had a complex expression:
"It's truly incredible. If I hadn't seen it with my own eyes, I would find it hard to believe."
The others also spoke up:
"Chairman Wang, does this H.265 have other advantages?"
"Of course. With the same quality, H.265 files are smaller, which not only saves storage space but also saves bandwidth and data usage,"
Wang Yi said meaningfully:
"For streaming media platforms like ours, with the same internet speed and resources, H.265 allows users to use less data, buffer and download faster, thus watching more smoothly!"
"Yes, this is critical!"
Ye Changpeng said:
"Conversely, for a 2GB video, we can achieve a higher level of picture quality than our competitors using H.265!"
"Exactly, that's right,"
Wang Yi said:
"With H.265, our video quality and smoothness can surpass our competitors. However, H.265 also has a problem: without affecting image quality, H.265 has higher compression efficiency, which means its encoding is more complex and decoding is also more complex. It consumes more power and requires higher device specifications."
Wang Yi changed the subject:
"However, this is more suitable for our Xingyi Video."
"Right, by launching the new H.265 standard, other players won't support it, and users will only be able to use our Xingyi Video."
Ye Changpeng was excited:
"Even if they transcode, there won't be transcoding tools in the short term. Even if there are later, the high device requirements mean not everyone can handle it. Without the ability to transcode, piracy becomes even more difficult."
"Chairman Wang, H.265 has great potential. Have you applied for patents for it?"
Yang Yan couldn't help but ask.
Wang Yi nodded:
"All patents have been applied for, both domestically and internationally. And I've also encrypted it. In the future, Xingyi Film and Television will use H.265 encoding, focusing on Blu-ray quality and smoothness. It will be difficult for them to pirate!"
"Great idea!"
That's right, Wang Yi not only used the new generation H.265 for encoding, but also added another layer of encryption to the format, adopting the X265 format!
Videos downloaded from Xingyi Video will be in X265 format and can only be played by Xingyi Video.
Even if transcoded into common formats, they will be found to be undecodable...
This greatly increases the barrier to piracy.
Even if it cannot guarantee 100% protection against piracy, it can prevent 95% of people from pirating, and that is enough.
The remaining small handful will have to be dealt with by law.
In his previous life, LeTV, to protect the copyright of "Empresses in the Palace" and combat piracy, collaborated with a hundred law firms to act simultaneously, striking massively once piracy was discovered.
This time, with H.265 encoding, piracy becomes more difficult, reducing pirates by 95%.
The remaining 5% of illegal elements will be handed over to Xingyi Technology's legal team.
Professor Mo's team, as a top legal firm in the Imperial Capital and across the country, is enough to let the other party know what "Imperial Capital Pizza Hut" means (a team that always wins)!
What Wang Yi wanted to do was set standards and launch a dimensionality reduction attack!
Not only that, but Wang Yi also registered the basic patents for H.265.
In the future, when H.265 becomes an international standard and other companies subsequently adopt it, they will all have to pay patent fees to Wang Yi! Just these alone could generate countless amounts of money!
Wang Yi looked at Ye Changpeng and others:
"The encryption issue is thus resolved. For application development, there's a dedicated development department working on Android, iOS, and PC. You should focus on that.
For old dramas, I've arranged for people to acquire the copyrights. You should screen new dramas and movies scheduled for next year, see which ones are valuable, and give me a list. What needs to be acquired must be acquired."
"Yes!"
Running a platform requires constantly acquiring copyrights and burning money; there's no way around it.
Even for Xingyi Video, Wang Yi was prepared for a loss in the first year and no profit in the second.
In his previous life, iQiyi and Tencent Video continuously burned money and incurred losses, only achieving profitability in 2022!
Yes, it was that grim.
Xingyi Video would also have to burn money and incur losses, but not as severely.
Nothing else, Wang Yi acquired IPs early, at low prices.
Later, self-produced dramas would be the main focus, acquiring only high-quality works.
Other platforms suffered severe losses mainly because they acquired too much garbage.
For example, iQiyi spent 1 billion to acquire 20 exclusive dramas, but 16 of them flopped, not adding many paid members.
How could it not lose money?
But as a reborn person, Wang Yi didn't need to acquire indiscriminately; he only needed to spend 200 million on those four blockbusters.
This would not only prevent losses but also generate explosive profits!
More importantly, they only had application platforms, no hardware.
But Wang Yi was different; he not only had a video platform but also Xingyi Mobile, Xingyi Tablet, and Xingyi TV coming next!
All with built-in Xingyi Video APP, a complete ecological strategy, definitely profitable!
(End of chapter)