It seems that Qualcomm's collaborative efforts with other telecommunications companies must be thwarted!
Henry frowned as he picked up the phone to call John Chambers. "Chambers, come to my office."
"Okay, I'll be right there."
After a brief wait, John Chambers arrived at Henry's office.
"Please, have a seat!"
John Chambers thanked him and sat across from Henry. "Chairman, what's on your mind?"
Henry spoke in a serious tone. "Qualcomm is currently engaging in discussions with other telecommunications companies, and we need to devise a plan to undermine them!"
John Chambers nodded in understanding, his expression thoughtful.
Henry was stewing over the problem, unable to find a clear solution. He knew that John Chambers possessed far greater expertise in business maneuvering than he did. He hoped Chambers might suggest an effective strategy.
"Chairman, I've considered several tactics," Chambers began. "First, we need to entangle Qualcomm in a web of complications. A strategic lawsuit against them could work wonders. We acquire a small wireless communication technology company and then claim that their CDMA technology infringes on our patent! This would put Qualcomm in a precarious position, and while the legal proceedings unfold, other telecommunications companies would likely hesitate to partner with them.
"Second, we slander CDMA, aiming to undermine its credibility. We could hire former Qualcomm employees to leak damaging information about the technology, claiming that it's fundamentally flawed and not suitable for commercialization, which would deter potential partners.
"Third, we can apply pressure. We should project strength from Cisco MCI, compelling Qualcomm to reach an agreement quickly to avoid further complications!"
Henry listened intently, his mind racing. The corporate world was ruthless! Yet he found himself thrilled at the prospect.
"Chambers, since you've outlined this strategy so thoroughly, I want you to take charge of it!"
"No problem!"
After Chambers left, Henry couldn't help but chuckle to himself. "Those men are so shrewd while I seem useless in comparison. I was just daydreaming about using Blackwater to deal with anyone opposed to merging Qualcomm into Cisco! But of course, those thoughts were just idle fantasies that wouldn't pan out."
The weather was nice, and Henry was in high spirits. The investment team he dispatched to Japan was ready. They had successfully raised $500 million from various companies under his umbrella to leverage 20 times and short-sell the Nikkei Index. With tensions escalating in Iraq and the media regularly reporting on military activities there, reliable sources from Blackwater indicated that the U.S. military was conducting drills specifically for naval combat. What exactly did that signal?
Henry could see the writing on the wall; the U.S. was preparing to engage in military operations in Iraq!
The thought of capitalizing on the turmoil in Japan excited Henry, as he saw opportunities for significant financial gain, all while Heishui developed alongside.
A few days later, John Chambers updated Henry on Cisco's acquisition of a wireless communications technology company to utilize in their planned lawsuit against Qualcomm.
Qualcomm, caught off guard, received a surprise court summons just as they were engaging in discussions with other telecommunications companies. The shocking news: Qualcomm was being sued for patent infringement, and the media quickly caught wind of the unfolding drama.
"A WL Wireless Communication Technology Company? What is this small firm? How could they sue us for patent infringement?!!!" Everyone in the meeting room seethed with anger.
"This company had no reputation before!" one person exclaimed.
"This is extortion! Their technology only bears a slight resemblance to CDMA, but fundamentally, there is no infringement at all!"
As they debated, a knock sounded at the door.
A female secretary entered. "The WL Wireless Communication Technology Company has submitted the materials for the lawsuit against us."
"Let's see it!" Irving Jacobs declared, leading the group outside the meeting room.
However, upon receiving the materials from WL Wireless, they were left dumbfounded.
"This is a truckload of documentation!"
"My God, it'll take us forever to review this!"
"It seems like this company intends to bury us in paperwork!"
Nervous chatter filled the room as unease spread.
Irving Jacobs remained silent while the company's lawyer addressed the group: "Based on the circumstances, I'm afraid we need to prepare for a prolonged battle! I estimate this case could take at least two to three months to resolve!!!"
The room fell into disbelief. Two to three months? What does that mean for Qualcomm and its collaboration with telecommunications companies?
In a deep voice, Irving Jacobs asked, "Is there any chance this case could wrap up sooner?"
The lawyer replied, "We will undoubtedly win this lawsuit eventually, but the other party's intention seems to be to stall for time! As you know, in the U.S., lawyers have countless means of delaying proceedings. It's not unusual for cases to take three to five years! I suspect someone is deliberately targeting Qualcomm!"
"Who would target Qualcomm deliberately? AT&T? Cisco MCI? Or perhaps other wireless technology firms?"
Shortly after, an AT&T employee was overheard at a reception claiming, "CDMA technology is worthless. AT&T won't use it, so you can bet other telecom companies won't either!"
This worked to Cisco's advantage, as Qualcomm immediately turned its doubtful gaze toward AT&T.
Henry savored the news: "Way to go, AT&T..." He raised a glass of red wine to his lips, musing, Qualcomm's misfortune is just getting started!
In a matter of days, four Qualcomm employees revealed to the media severe defects in CDMA technology, stating, "Yes, I'm an employee of Qualcomm, and I've participated in CDMA development. The technology is far from mature, and mobile phones utilizing CDMA often lose signal!"
"CDMA technology should not be market-ready yet; Qualcomm is too eager to succeed, which will inevitably lead to failure! I have already planned to resign from this hopeless company!" said another Qualcomm staffer.
As the four employees resigned and spoke out against Qualcomm, the company's predicament grew dire! Telecommunications companies that had engaged with Qualcomm previously severed their ties.
---
Qualcomm Corporate Headquarters.
"Chairman, John Chambers from Cisco MCI is here unexpectedly!" a secretary announced to Owen Jacobs.
Jacob wondered why Chambers' visit was necessary. "Quickly, invite him in!" he instructed the secretary.
"Sure thing."
The secretary nodded and departed.
Owen Jacobs removed his cigarette from his hand, stood, adjusted his attire, and opened a window to let some fresh air circulate through his smoky office. The breeze felt invigorating, although a chill crept in.
Knock, knock!
"Please enter!"
As Jacob stepped forward, the door swung open, and the secretary stepped aside to let John Chambers in.
"Welcome, Mr. John Chambers!" Irving Jacobs extended his hand in greeting.
"Mr. Jacob, hello! I apologize for the abrupt visit; I hope I'm not disrupting anything!" John Chambers shook his hand and smiled amicably.
"Of course not!" Jacob said, gesturing for Chambers to take a seat. Meanwhile, the secretary poured John Chambers a cup of coffee.
"Mr. Chambers, what brings you to Qualcomm today?" Jacob inquired, fully anticipating Chambers' agenda.
Chambers sipped his coffee, then spoke with deep seriousness: "Mr. Jacob, have you taken any time to consider Qualcomm's status? Are you ready to join the Cisco family? As you know, Qualcomm's troubles have been mounting. Our board is growing increasingly concerned. Thankfully, the chairman, Mr. Williams, assured them that pursuing an acquisition of Qualcomm is viable. However, I must inform you that we'll need a definitive answer by the end of this month—specifically, in three days!"
"Three days?!!!" Jacobs furrowed his brow, astounded. "Mr. Chambers, isn't that an unreasonable time frame? We need a bit more time to deliberate!"
Chambers shook his head. "This is a directive from our board, and unfortunately, I have no influence over that. Furthermore, I've heard rumors suggesting that AT&T is collaborating with other firms to undermine CDMA technology. The sooner you come to a decision, the better! Conversely, if AT&T successfully unites more telecom companies against you, it could spell doom for CDMA technology! You must realize that technology advances rapidly; if CDMA fails to establish itself as the standard, it will quickly become obsolete. Given AT&T's substantial influence, it is feasible that they could introduce an even better wireless technology than yours!"
Did AT&T truly engage in a conspiracy against Qualcomm? Chambers had no concrete evidence, but it certainly seemed feasible. If so, this narrative could diminish Qualcomm's resolve even further!
Chambers concluded his remarks and swiftly exited, determining to project Cisco's firm and uncompromising stance.
Jacob watched Chambers retreat, then sighed and instructed his secretary, "Please inform the board of directors; we'll convene at two o'clock this afternoon for a meeting. All major shareholders must attend!"