Map Services and Dae-A Motors
The news that Googol would be listing its shares in August captured the attention of the entire world. Since it was the first time a company was going public through an auction rather than a public offering via an investment firm, every media outlet waited for the listing day with bated breath. Luke from WP Morgan had expressed concern after lending Taesik 300 million dollars, admitting he didn't know what would happen to Googol’s stock, but Taesik, already knowing the outcome, proceeded with the loan without hesitation.
Those who had been allocated shares at 85 dollars per share, as Larry had suggested, waited anxiously for August 19th, the day of the listing. Taesik also monitored how the stock would perform on the day of the listing while watching the news and the internet. As soon as trading began, Googol’s stock hit an upward trend, and as the price gradually climbed with increasing trading volume, he closed the stock window and went to sleep.
The next day, when he arrived at the office, he received a call from Luke at WP Morgan.
"Have you checked the closing price of Googol stock on its first day?"
"I only checked that the price was rising yesterday and went straight to bed. Are the results in?"
"You invested 300 million dollars and didn't even check the results? It rose by a whopping 18%. CEO Kim, you made 54 million dollars in a single day."
"Is that so? That's a modest amount."
"Haha! I have nothing to say to someone who calls 54 million dollars in a single day 'modest.' What shall we do? Shall we sell immediately? Or would you like to hold onto them a bit longer?"
"When did you say the loan repayment date was?"
"The shortest loan term is three months, so it's after 90 days."
"Then, I will hold them until the repayment date."
Knowing that Googol’s map service was launching that month, Taesik decided to hold the stock until the loan repayment date.
"Understood. In the future, may I follow your investment method as well? I should follow this 'invincible' investment strategy for my retirement, too."
While on the phone with Luke, Taesik saw Department Head Park Kyung-hoon rushing in and ended the call.
"Department Head. Has something happened?"
"I just received a call from President Park In-tak of Starlink Defense. He said you were on the phone, so he asked me to relay an urgent report."
"What is it?"
"We received a call from the U.S. Department of Defense. They want to order 10,000 units each of the Switchblade B and C types. The first deal has finally been struck."
Taesik was overjoyed at the news that the first sale of the drone they had developed in-house had been made.
"Were there no purchase requests for the Switchblade A type?"
"I asked President Park that, too... The U.S. says they won't adopt the A type as a weapon because it's impossible to maneuver."
"That's a shame. It's a cheaper weapon than I thought, so it's disappointing they won't adopt it... Has the National Intelligence Service not contacted us yet?"
"Even if they proceed with a purchase, the volume won't be much. At most, it will be under 100 units."
As soon as the letter of intent arrived from the U.S., Taesik instructed President Park In-tak to pay incentives to the employees who participated in the Switchblade development and immediately set up a mass production system. President Park In-tak expressed his determination to prepare thoroughly for production, stating that they would only manufacture the core component, the electro-optical camera, in-house and produce the rest through partner companies.
While focusing on the production of the Switchblade ordered by the U.S., the South Korean Ministry of Defense also notified them of their confirmed purchase quantities. Taesik could not hide his disappointment at the smaller-than-expected volume.
"1,000 of the A type, 500 of the B type, and 5,000 of the C type... Why did they set the quantities so low?"
President Park In-tak also looked bewildered.
"The Ministry of Defense says the A type, the cardboard drone, is only needed for training except in wartime, and the B type is also only needed for training."
"Then why is the order quantity for the C type higher than the others?"
"They say it's cheaper than the Javelin, so the Army needs a large quantity to block North Korean tanks."
Disappointed by the South Korean Ministry of Defense's order quantity, Taesik set aside his frustration and checked the schedule for the production and launch of the additional artificial satellites being built.
When September arrived, Googol announced the launch of its electronic map service, and Starlink Map, which had a partnership with Googol, also received a lot of attention. Sein had completed maps of Europe and South America just before the Googol service launch, and Googol was able to provide local guide reviews for about half the world at the same time as the service launch. People around the world were amazed by Googol’s service, which provided Road View and review information unlike existing maps, and the number of visitors increased tremendously after seeing the price information and reviews of nearby hotels that appeared simultaneously when searching for a hotel in a specific area.
Googol beat its competitor Yahoo at the same time as the map service launch, and Larry mentioned Taesik, the CEO of Starlink, in an interview with the media, which raised Taesik’s profile in Korea. As the role of Starlink Map in Googol’s electronic map service was revealed, the prospects for the navigation and electronic map market were re-examined, and Taesik received a visit from Dae-A Motors, the number one car company in the country.
Executive Director Jung Jae-hoon, a second-generation conglomerate heir, visited Starlink in person with his executives. Thinking that he could collaborate with Dae-A Motors in the navigation market, Taesik welcomed the Dae-A Motors team along with CEO Ryu Kwang-soo.
"Welcome to Starlink. Dae-A Motors didn't mention the purpose of the visit, so what brings you here?"
Executive Director Jung Jae-hoon gave a brief greeting and got straight to the point.
"Do you have any intention of selling Starlink Map to Dae-A Motors?"
"Hahaha. I received the same offer from Googol, but I have no intention of selling it at all."
"What we need is only the navigation part of the electronic map service..."
"From Starlink’s perspective, it's impossible to separate the electronic map from the navigation. As you know, Googol’s map also provides a service that guides you to your destination using various forms of transportation when you enter a destination. It is physically impossible to separate the business sectors."
"That's a shame. Then, I would like to propose a collaboration on a navigation-only map."
Taesik asked a question when Executive Director Jung proposed a collaboration without mentioning a specific country.
"As far as I know, Dae-A Motors also has a subsidiary that creates electronic maps in Korea, so which country's map are you talking about?"
"Oh, my. I apologize. We need a collaboration on navigation maps for all countries except Korea."
CEO Ryu Kwang-soo expressed disappointment at Executive Director Jung’s mention of excluding Korea, and Taesik, watching Executive Director Jung who only mentioned electronic maps, asked about Dae-A Motors’ future plans.
"Has Dae-A Motors decided to include navigation functions in other models besides luxury cars now?"
"Yes. We have determined that the domestic navigation market is worth 500 billion won and we expect it to increase in the future. We have decided to bring the navigation market into the fold of Dae-A Motors’ business, and we will include navigation functions as a standard specification starting with export cars."
Taesik showed the status of the countries where the electronic map service provided by Starlink Map was available.
"To include navigation functions, you must attach an LCD to the dashboard. Are you planning to include only functions like music and DMB like current navigation systems?"
"Yes. We are also thinking of adding simple functions to view car information."
Thinking that Dae-A Motors was not yet properly utilizing the car's functions, Taesik decided to make an additional proposal.
"It seems you are not properly utilizing the dashboard screen."
Executive Director Jung looked bewildered at Taesik’s words.
"What do you mean by that?"
"How do you park your car?"
"Obviously, I look at the rearview mirror and side mirrors..."
"You know that the price of lenses has gone down due to the launch of mobile phones these days, right? If you attach lenses to the front, rear, and sides of the car and link them to the dashboard screen, it would help with parking, wouldn't it?"
"Ah! That's a concept I've never seen before."
"And if you attach cameras to the sides and side mirrors, you can get information about the lanes, and through the front camera, you can provide simple autonomous driving functions by checking the distance to the car in front."
Executive Director Jung looked shocked as he was explained the new concept of functions, and immediately asked Taesik a question.
"Our Dae-A Motors doesn't have the foundation to implement those functions, is that a technology Starlink possesses?"
CEO Ryu, who had been approving the budget for the research projects being conducted by the master's and doctoral employees from Daehan University and Department Head Cha Youngjin, knew the contents too well, so he answered instead.
"Starlink has been researching that technology for several years."
"Hahaha. I came to request a collaboration on navigation maps, but I'm gaining something new. Then, what is the collaboration content Starlink requires?"
When the question he wanted came up, Taesik said what he had been thinking.
"We will provide the navigation terminal, electronic map, cameras, and the S/W for parking guidance and lane keeping."
Executive Director Jung, lost in thought for a moment, made a different proposal.
"It seems impossible to include those functions right away. Since we have to include new functions in a new version of the car model, let's start by receiving the electronic maps, and include those functions in the car models to be released next year."
"Yes. That goes without saying. Now, only the most important price negotiation remains."
When price was mentioned, Executive Director Jung frowned, and Taesik, determined to make money off a second-generation conglomerate heir, called out double the price.
"For electronic maps, we will charge 50,000 won per car, and the update fee will be 10,000 won. As for the remaining terminals and S/W, let's decide after looking at the specifications later."
Executive Director Jung looked as if he wouldn't lose.
"Instead of deciding the price per car, how about doing it by country?"
Knowing that Dae-A Motors’ sales volume would increase rapidly, Taesik shook his head.
"Since Dae-A Motors also has a subsidiary that creates electronic maps, you know well. Immense costs are incurred in producing electronic maps, and immense maintenance costs are required to reflect information on newly constructed roads every year. It's a condition we can't easily concede."
"Then, shall we go with 30,000 won?"
"..."
Executive Director Jung called out a price higher than what he wanted, but Taesik did not answer, and Executive Director Jung called out the price again.
"Understood. The price we can offer is 35,000 won. Any more is impossible."
"...It's an unsatisfactory condition, but I will accept it. Instead, Starlink Communication must purchase the terminals and cameras I mentioned earlier."
"We will purchase the cameras from Dae-A Motors."
CEO Ryu shook his head at Taesik and expressed his opinion to maximize revenue.
"Since the S/W must be coded considering the camera performance, it is more efficient for us to supply them."
"Hmm... Understood. Let's sign the contract."
Taesik smiled and reached out for a handshake at the news that Dae-A Motors would purchase the navigation terminals and parts. CEO Ryu Kwang-soo, excited that new revenue was being generated at Starlink Communication, called his employees and instructed them to sign the contract, and Taesik began to map out a new future with Executive Director Jung.