Dear Comrade the Leader Episode 136
“If it’s Fanuc… … Obviously, I remember seeing it last time I was inspecting a modern factory to be built in Chongjin… … .”
Unlike Yoo Hye-rim, who seems to remember seeing it somewhere, but not exactly, Jung-hwan knew accurate information about Fanuc.
It is known as the world’s number one computer numerical control machine tool (CNC) sector, with a market share of 50%, and the number one control servo motor sector, and is superior to competitors in Germany or Switzerland in terms of precision.
Also, although it is not well known at this time, the field of unmanned robots that Fanuc is intensively researching will occupy an overwhelming market share in the future to the extent that the world’s leading manufacturing companies say that their factories cannot operate without Fanuc’s robotic arms.
This dominant technology is the result of almost ignoring business diversification under the determination to only walk the one-way path of numerical control machines, and it is also the result of the separation from the parent company, Fujitsu, when the founder set a business direction from Fujitsu to the information and communication field. Because I decided that I couldn’t.
And with such overwhelming market power, Fanuc produced an unbelievably high operating profit rate for a manufacturing company, and invested the profits back in R&D to raise the economic moat for their field.
However, it was not only because of the high profit rate that Junghwan invited George Soros to take over Fanuc.
“CNC… … Aren’t you talking about the ramen machine tool lathe? As far as I know, to a certain extent, our republic is capable of self-production. And even in South Korea and China, companies like Hyundai can produce machine tool lathes on their own, so why do they have to put so much effort into buying those companies… … .”
“The most important thing in CNC is precision. Even if it is made by the same machine, there will be a difference between the one made by the Republic machine and one screw over there.”
“… … ?”
“Even if it is made by the same person on the same blueprint right now, Lieutenant Yu knows the difference between the sky and the earth when it is made using parts made by the Republic of Korea lathe and made using parts made in Japan, doesn’t Lieutenant Yu know both in experience and in reality. ”
“ah… … ! These days, your eyes are starting to open more and more, Comrade General Secretary.”
Hyerim Yoo nodded her head bitterly, making a subtle expression that was a mixture of half pride and half shame.
Seeing this, Jeonghwan smiled with his eyes as he watched the students who were taught by their advisors one by one.
It was Yu Hye-rim, who went to exile in Japan for a short period of time with him, but the root was still the ‘Kim Jong-il people’ who were accustomed to using rations rather than buying something at the market.
Even though I used smuggled products made in Japan or went to Japan to eat and wear them, I knew that the quality of products made in Japan was good.
It was an honest confession that I had never thought so deeply about where the industrial productivity and industrial power came from and exactly how they differed from the republic, like other people.
I studied hard, whether I felt it myself or whether it was to take care of Jung Hwan, ‘more like a capitalist person than a capitalist person’, as the staff of the secretary’s office have been arguing lately.
In the meantime, she felt that she and the majority of the people of this republic were frogs in the well.
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Not to mention the United States and Japan, and even more so in South Korea and neighboring China.However, watching the transformation in her head right next to her, Jeonghwan couldn’t help but be pleased with her intellectual revolution.
‘If you make progress day by day, even the criminal, not the genius, will one day reach the destination. It would be great if party officials and ordinary people, who still had hardened hair, had such flexible thinking.’
“Securing metal precision processing capability is an essential element in the reconstruction and development of the underdeveloped Republic of Korea. If that’s all you can do, you can just buy a machine over there without spending so much money… … .”
I have to prepare for the future.
Jeonghwan thought so and swallowed the words that were not out of his mouth.
Under his leadership, North Korea was rapidly moving out of the recovery stage with funds ripped from the Japanese real estate bubble and oil money from oil that had begun mass production, but technology is not accumulating at once.
The party, under his direction, was making efforts, such as enacting the 1st, 2nd, and 3rd place ‘People’s Industrial Patriotism Medal’ by imitating Korea’s Industrial Medal of Gold, Silver and Bronze Tower. If we do not do this, we cannot avoid the ‘middle-income trap’ that will come one day.
Considering the advent of the IT era, which has already taken its first step, and future industrial development trends such as smartphones and drones, FANUC, which has secured unmanned robot process technology, was a company that should have stocks even by mobilizing national capabilities.
And not just industrially, but also in other ways.
“With this, one of the first requirements of Antonov was met. I used to say that phased-array radar is useless if it cannot secure its own production capacity for precision parts.”
The ability to produce precision parts using CNC is closely related to military technology.
Even after being developed at MIT in the United States right away, it was not one of the items that were strictly prohibited from exporting to the Soviet Union and other communist countries in the Eastern Bloc for ‘military use’ during the Cold War.
Of course, after some time by mobilizing spies, etc., the Soviet Union was able to produce it on its own,
From submarine thrusters to ballistic missiles, CNCs have contributed significantly to the development of strategic weapons.
Of course, it didn’t catch up with the US until just before the collapse.
And Antonov, who moved to North Korea from the Soviet Union, first requested ‘to secure the ability to process precision parts’ prior to the development of the North Korean F16.
“By the way, Comrade General Secretary, if you really need an outside person to take over the stake in the company that is really Fanuc, why don’t you just instruct Son Jeong-eui to take over from the beginning? I don’t know why you’re starting the acquisition in earnest by raising the stock price by including Soros’ comrade.”
“It’s just to distract attention. If Masayoshi Son had attempted to acquire the Fujitsu stake from the beginning, the source of the funds would have been a great deal of attention. Everyone knows that Masayoshi Son has been eyeing the manufacturing industry for a long time, but he’s not wealthy enough to take over a large company like Fujitsu. Not yet.”
“… … But still, why did I have to put up comrade Soros… … .”
“All these cumbersome processes are meant to hide our real goal and disrupt Japanese funds. Because it is George Soros and his hedge fund, not anyone else, Japanese public funds, including the Welfare Pension Fund, are reluctant to step forward as a white knight to defend their country’s corporate management rights. In other words, he bought his notoriety with money. Literally, it’s a gender-neutral bibliography.”
From the beginning, Jeonghwan intended to mislead Japanese people that the goal of acquiring Fujitsu’s management rights is not to steal technology, but to realize profit through corporate hunting.
Read at noblemtl.com
No matter how presently Peony Holdings and the hand Masayoshi he advocated, there was no answer if Japanese public funds actively defended and played a money game.Even if the bubble burst a few years ago and took a bigger hit than the original history, Japan is still the second and third largest economy in the distant future.
Therefore, even if Junghwan takes the stake in Fanuc owned by Fujitsu at a slightly higher price, he puts Soros in the hands of Japanese public funds and reduces the possibility of entering the Japanese public funds before the takeover.
why? Everyone hates being ‘eaten out’, so even more so if the money being eaten is the people’s tax!
‘Actually, this is a variation of the method that American hedge funds obtained from Korean conglomerates and public corporations about 10 years later.’
Why, even when he was in middle school, an asset management company based in Monaco was excited to take over a domestic conglomerate whose main business was oil refining and mobile communication, but in the end, he realized a huge investment profit of hundreds of billions of won and didn’t step out.
The Japanese officials were also afraid that they would be subjected to the same thing, so they did not dare to step forward.
But the difference is that this time, Son Jeong-ui, that is, he and Peony Holdings were really interested in the merger.
Of course, the target is not Fujitsu, but in any case, all that remains now is that Son Jeong-ui’s SoftBank (with Choi Seung-il of Peony Holdings as a director) takes over the stake that went from Fujitsu’s hand to George Soros.
“Then we just have to wait and see if the Japanese choose to be prey on the wolf or the tiger. At least, they will make a ‘reasonable’ judgment that the wolf is better, but no one knows whether what is rational now will be seen as rational in 10 or 20 years from now.”
-Japan VS America! Masayoshi Son’s SoftBank vows to defend its stake in Fujitsu from America’s financial giant, George Soros!
-‘The White Knight’ Masayoshi’s promise, ‘The management remains the same, the technology development investment remains the same, the Fujitsu plant remains in Japan and the number of employees remains Japanese,’
-Fujitsu management, who requested anonymity, revealed that he preferred Masayoshi Son, a Japanese who shares the management philosophy, to Soros as a shareholder… … .
There is something strange about the human mind.
As the saying goes, ‘the enemy of the enemy is my friend’, even when you encounter an enemy that you don’t normally see very well, when you encounter an enemy that raises more vigilance, the hostility disappears like snow and you even start to think of that person as your friend.
As Jeonghwan said, Son Jeong-ui, Son Masayoshi, and George Soros were like wolves and tigers to Fujitsu, but Japanese public opinion began to shift toward ‘Aren’t Japanese wolves better than American tigers?’
Of course, Son Jeong-ui was far from Zainichi, that is, pure-blooded Japanese, and as always, xenophobia in Japanese society would have been great if it had been large, but it was never small.
At the same time, Masayoshi Son also changed his nationality, which had remained until then, from Korea to Japan, as if fueling such public opinion, spurring the appeal of his Japanese identity.
And after months of negotiation and tug-of-war, George Soros’ Quantum Fund sold his stake in Fujitsu he had bought so far to Son Jeong-ui’s SoftBank and robbed him.
As Jung-hwan had promised him, it was after he realized a profit by raising the stock price a lot, so it could be said that Soros was not at a loss either.
“Nice to meet you, everyone! I, Masayoshi, are truly honored to be on the Board of Directors of this long-established company, Fujitsu.”
Even after SoftBank secured a stake in Fujitsu and was put in a position to interfere with management, Son kept his promise.
It did not demand the dismissal of management, nor did it demand that the plant be moved to China or that the cost of technology development be reduced.
He asked for only one thing: to sell all of Fujitsu’s shares of Fanuc to Softbank.
“As a result of this incident, the Fujitsu family must have felt the need to defend their management rights from hostile foreign capital who cannot share their business vision. As such, SoftBank will become a friendly acquirer and protect Fujitsu’s management rights.”
After the Soros measles outbreak, Fujitsu’s management did not object, but Fanuc expressed disapproval.
It was because he did not know what kind of demands Son Jeong-eui, who became a major shareholder at once, would make.
However, Son Jeong-eui also tied the knot to reassure Fanuc’s employees and engineers.
“Like Fujitsu, I have great respect for Fanuc’s craftsmanship in the development of technology. What I want as a major shareholder is to include me in the management team and create a joint venture with my SoftBank to create synergies in both software and hardware.”
As a major shareholder of Fanuc, SoftBank demanded only three things.
1. Establish a joint venture with SoftBank and start technology exchange. Dividends will also be paid annually.
2. To improve excessive secrecy, establish a new education department that transfers technology and patents to joint ventures, and do our best so that they can work and receive training at Fanuc’s factories and fields. However, in the sense of respecting the spirit of Fanuc, the joint venture will not create anything other than one SoftBank company.
3. Management succession should be supervised by the board of directors including the founder, not the founder.
Other than that, everything, including the investment cost for technology development and the principle of not building factories outside of Japan, remained almost the same.
As a criticism or praise of being a hermit company, it was not that there was no backlash from within Fanuc against this great transformation… … .
Since the founder held less than 1% of the stake, he was powerless in front of the major shareholder, SoftBank, which holds an 18% stake.
However, Son Jeong-eui, to be precise, decided that Choi Seung-il and Jeong-hwan behind him had to do just this for now.
Bringing the technology is a time-consuming task anyway, and as long as oil production goes smoothly, Peony Holdings intends to buy a stake in the Jok-jok Fanuc on the market.
If you eat the rice cake in your hand too quickly, it will get caught in your throat and you will pretend to be.
And following the international students who went to the UK to study capitalist economics, this time selected North Korean engineers were hired by Softbank and left their home country to receive training in Fanuc.
It was around that time that Jeong-hwan thought that it would be good to make the North Korean F16, which will start production 15 years later, as an unmanned aerial vehicle or drone.