Chapter 48
Chapter 48
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Translator: Vine
Chapter: 48
Chapter Title: Royalties and Radars
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“The accommodations for the business delegation are on the seventh floor. There are no special events scheduled for today, so please unpack and get some rest.”
After arriving in Washington, we headed straight for the hotel.
Unlike the president and his cabinet, who had to attend a welcome ceremony, we were guided directly to our rooms.
We'd arrived so early that we had an abundance of time on our hands.
“Senior Managing Director Jin. Forgive me for bothering you, but could we talk for a moment?”
While I was busy unpacking in my room, Chairman Lee Yong-moon came to see me.
With Samjung recently beginning full-scale production of 90nm chips and being courted by fabless companies all over the US, his visit was a given. In fact, the American media was more interested in him than anyone else.
“Please, come in.”
“Sorry to interrupt your rest.”
Chairman Lee Yong-moon glanced around the room before settling into a chair.
Just as I was wondering if he had something important to discuss, he suddenly pulled out a few sheets of paper.
“Do you know what this is?”
“…”
“It's a list of the American companies that have been in talks with us, as of yesterday, to commission the production of 90nm-based products.”
“Looks like you've hit the jackpot.”
“Tsk, you say that as if it has nothing to do with you. You think this is a jackpot just for me? You have to consider the technology fees that will eventually go to you.”
“Ah…”
He wasn't wrong.
According to our contract, I was guaranteed a portion of the profits once production of 90nm-based products began, so of course, I'd be paid royalties.
I'd recently heard that mass production of 90nm chips was starting, so I was already looking forward to it.
“Haven't you been too busy? It's a bit ridiculous that I'm the one bringing up such an important matter first.”
“To be honest, I barely have time to sleep. But it seems the scale of these contracts is quite large?”
“The contracts on this list alone are worth over three billion dollars. So, the royalties you'll receive will be around a hundred billion won.”
“…”
For a moment, I thought I had misheard.
My stunned expression must have amused him, as he said again with a smirk.
“Frankly, this is just the beginning. The deals we'll be making while we're in the States will be double this amount. If things keep going this way, just as you predicted, Samjung will dominate the foundry market within a few years.”
“Congratulations.”
It was the outcome I had expected from the start, so I wasn't particularly surprised by that.
After all, it's only natural for a semiconductor company with a technology gap of over four years to dominate the market.
But if this is the case, what will happen to TSMC?
Is the pride of Taiwan going to be swept away just like that?
“I predict that in about two years, your royalties will reach the trillions of won. So the one who should be congratulated isn't me, but you.”
“What kind of sophistry is that? In the meantime, Samjung will be making tens of trillions of won in profit.”
“My friend, that's the company's money, not mine.”
“…”
“But it's different for you. Those royalties are paid purely to you as an individual.”
Now that I thought about it, he was right.
For me, after taxes, the rest would be funds I could manage personally.
From a personal standpoint, I was the one profiting more.
“Then I'll need you to keep doing your best, Chairman. That's how I'll get rich.”
Chairman Lee let out a dry laugh at my words.
Was that not the only reason for his visit? His expression soon turned serious again as he stared at me intently.
“So, I was wondering... how is the development of the 45nm process coming along at your research institute?”
“Why? Are you planning for Samjung to purchase the 45nm process technology as well?”
“Come now, why are you playing coy? We already made a promise about that.”
“I'm aware of that. But surely Samjung has made some progress on its own? Weren't you already working on scaling based on the existing technology?”
“Of course, we've been trying. But can our development speed really match your institute, which holds the source technology?”
“What will you do if your own development capabilities regress because of this?”
“Even if that happens, we have no choice for the time being. We need to widen the gap as much as possible until we've completely secured the foundry sector.”
“Hmm… I understand what you mean. If we succeed first, I promise I'll contact you first, as we agreed.”
Chairman Lee's expression brightened at my words.
After getting my reassurance several more times, he suddenly suggested we go out for a drink, but I sent him on his way, using fatigue as an excuse.
‘Trillions of won will be coming in by the end of next year? If I hand over the 45nm process, just how much profit will that generate?’
It would probably be an unimaginable amount.
Enough to potentially reshuffle the list of the richest people in South Korea overnight.
At times like this, a sense of laziness creeps in, tempting me to just live comfortably off the money earned from providing technology, but that would surely be impossible.
The habits of a lifetime spent dedicated to research and development wouldn't let me rest.
If nothing else, the thrill I feel upon achieving a breakthrough is like a drug to me.
Knock, knock!
“Senior Managing Director. It's Yeong-ho.”
Just as I was lost in thought, the head of security knocked on the door.
Wondering what it was, I opened the door to find him standing there with some Americans.
“Who are these men…?”
“They are agents from the US Office of Naval Intelligence, sent by Admiral Jeffrey.”
[Ah! A pleasure to meet you.]
The men shook my outstretched hand, their expressions stiff.
Sensing the strange atmosphere, I glanced over, and the head of security quickly added a comment.
“My apologies. I was a bit… thorough with their identification.”
I could roughly picture what had happened.
Knowing my head of security's meticulous nature, he must have demanded all sorts of proof.
Voices might have been raised slightly in the process.
But I couldn't blame the head of security for that.
Even though I knew they might be coming, from his perspective, a thorough identity check was essential.
[Please, come in.]
[Thank you.]
The men entered the room, their expressions still tense.
As if preparing for any contingency, the head of security followed them in and stood by my side.
[Your bodyguard is very cautious. I'm Captain Richard Allen of the US Office of Naval Intelligence. And this is Lieutenant Max Zenon.]
After introducing themselves, the men stated the purpose of their visit.
I had been told they might be assigned to my security detail, but they were actually asking me to accompany them.
[That's difficult. I have a meeting scheduled with the US Secretary of State tomorrow.]
It wasn't just an excuse.
The Director of the NIS had come to see me as soon as I arrived, informing me that a meeting between myself and the Secretary of State had been scheduled to coincide with the second summit meeting tomorrow, and I had readily agreed.
[We're aware of that. We don't plan on going far, so you needn't worry. Ah! If you're concerned about your safety, I can connect you with Admiral Jeffrey directly.]
As soon as he finished speaking, Captain Allen made a call.
He must have been on standby.
The call connected after only a couple of rings.
[Here, you can speak to him.]
After a brief exchange, Allen handed me the phone.
-Mister Jin?
The voice on the line was undoubtedly Admiral Jeffrey's.
He told me he was waiting at a location just ten minutes away.
[Let's go.]
In the end, I changed my clothes and followed the men out.
My own security detail accompanied me, of course, and as we left the hotel, several more agents from the US Navy joined us.
[I apologize for the trouble.]
I met Admiral Jeffrey at a quiet restaurant.
It seemed to have been cleared out in advance; he and I were the only customers.
It felt like I was receiving excessive treatment.
[Actually, the Secretary of the Army wanted to be here as well, but he's at the summit right now. There's a banquet scheduled after the talks.]
[The Secretary of the Army? Why?]
[Why do you think? He saw a miracle with his own eyes, so naturally, he's anxious. In fact, the Yeonpyeong Island incident was practically a dream come true for the Army, wasn't it?]
[I suppose you could say that.]
Maintaining my composure, I picked up a piece of the bread that had just been served.
Other than the meal on the plane, I hadn't eaten anything yet.
The smell of freshly baked bread was particularly tempting.
[Since we're here, I'll be frank. I have no intention of letting the Army cut in line. As you know, Mister Jin, it was the Navy that promised to cooperate with you.]
[That's a given. But have you secured the budget?]
[Do you really think I'd be pressing you without having the budget secured? As soon as Jaewoo gives the word, we can proceed with the project immediately.]
[Hmm…]
[What is it? Have other allied nations contacted you in the meantime?]
[It would be a lie to say they haven't. But that's not the issue.]
[What other issue could there be?]
[Our own military is also rushing for early deployment, so the problem is whether our production capacity can keep up.]
I said, feigning a troubled expression.
Growing impatient, perhaps, he suddenly began emphasizing the advantages I would gain through our exchange with the US Navy.
[As I said on the phone, as long as you continue to work with the US Navy, no one will be able to touch Jaewoo. Not Lockheed, not even its grandfather. And as long as I remain in the military, I swear I will keep that promise.]
[I know. In fact, I used your name, Admiral Jeffrey, to resolve this matter. Alright, then how about this?]
In that moment, Jeffrey's eyes lit up.
[The real bottleneck is the radar; we can't just mass-produce them like pancakes. So, how about the US Navy and our military each take half of this year's production volume? In fact, even that amount should be enough to replace the existing radars on about five of the US Navy's Aegis ships.]
Jeffrey appeared to consider my words.
But he had no other option than to accept.
Finally, with a sigh of resignation, he extended his hand.
[Let's do that.]
I felt as if a nagging problem had just been solved.
With this, I would no longer have to worry about interference from US defense contractors.
In fact, that point alone made this negotiation a win for me.
[By the way, what are you going to do about the US Army? Judging by the Secretary's attitude, they're also eager to build this system. But if Jaewoo's production capacity is as limited as you say, won't that be impossible?]
“…”
Now that I thought about it, that was a problem.
Tsk, solve one problem, and another one pops up.
In this situation, I could no longer call it a happy dilemma.
[Well, it's not my place to worry about it, but…]
Jeffrey said, as if watching a fire from across the river.
He had already solved the Navy's problem, so he couldn't care less about the Army's.
It was certainly not easy to adapt to the US military establishment, where each branch so stubbornly stuck to its own path.
[I'll have to explain the reality of the situation and persuade them. I can't make the impossible possible, can I?]
[I'm saying this because I know it won't be easy.]
“…”
[Anyway, that aside. Have you heard the news?]
[What news?]
Jeffrey, who had been wearing a concerned expression, casually brought something up.
When I tilted my head in confusion, his eyes gleamed as he continued.
[Rumor has it the Secretary of State is going to bring up the atomic spin gyroscope issue with Jaewoo.]
“…”
[Of course, I assume you had a rough idea, Mister Jin?]
[Yes, to some extent.]
There was no point in playing dumb in this situation.
Satisfied with my straightforward answer, Jeffrey smiled and continued.
[So, what are you planning to do?]
“…”
Unsure of his intentions, I remained silent.
Then, Jeffrey glanced around furtively before speaking in a whisper.
[Just know this. If there's anything you want from the United States, now is the perfect opportunity.]
“…”