Tech Giants: Starting from Bankrupt Companies

114: Chapter 114 The Myth of Wealth and Hidden WorriesOn the afternoon of November 8th, in an old residential compound in Shanghai Municipality.

Liu Min, a reporter for ”Financial Weekly,” followed the address to Room 502, Building 3. She knocked on the door. A man in his fifties opened it, wearing casual home clothes, his hair a bit messy, but his eyes were bright.

”Mr. Wang Jianguo?” Liu Min asked.

”It’s me, please come in.” Wang Jianguo stepped aside.

The apartment was not large, two bedrooms and one living room, simply decorated but clean. There were a few green plants on the balcony, and the child’s award certificates were hanging on the living room wall. It was a typical old Shanghai Municipality working-class family.

Liu Min explained the purpose of her visit: ”We would like to interview you about your story of investing in Spark Technology. It’s spreading widely online that you turned 5,000 yuan into 16 million.”

Wang Jianguo smiled, a simple and honest smile: ”It’s not that exaggerated, it’s 16.27 million. The stock price rose again today.”

He invited Liu Min to sit down and poured tea. His wife was preparing dinner in the kitchen, occasionally poking her head out to look, her eyes filled with both pride and worry.

The story began in April 2015.

At that time, Wang Jianguo was still a taxi driver in Shanghai Municipality. He had been driving for twenty years, his back was bad, and he was planning to change careers. His son, Wang Lei, was in his second year of high school, had good grades, and wanted to get into the Computer Department of Fudan University.

”One day while picking up passengers, I picked up a young man who was on the phone the whole way, talking about something called ’Spark drone’,” Wang Jianguo recalled. ”When he got off, he forgot a document, so I chased after him to return it. He was very grateful and said he was an engineer at Spark Technology.”

The young man’s name was Zhang Jun, and Spark Technology had only been established for a year at that time.

”Engineer Zhang said their company wanted to make China’s own top-tier drones, but no one believed it. The stock price fell to 1 yuan, and it was about to be delisted,” Wang Jianguo said. ”I asked him: ’Can you really make it?’ He said: ’Master Wang, I don’t know if we can succeed, but if we don’t do it, China will never have its own high-end drones.’”

That sentence moved Wang Jianguo. He thought of his father—an Old Master Craftsman who had participated in the development of domestic automobiles and said before he passed away: ”Our country cannot always rely on buying other people’s things.”

”I went home and told my wife that I wanted to take the 5,000 yuan we saved for the child’s college tuition to buy Spark Technology stock.” Wang Jianguo smiled bitterly. ”She had a big fight with me, saying I was crazy. That 5,000 yuan was something we had saved for half a year, ready to pay for the child’s first year of college tuition.”

His wife walked out of the kitchen and wiped her hands: ”I really wanted to divorce him at the time. He dared to touch the money for the child’s college, and it was to invest in some stock... and an ST stock at that.”

”How did you agree later?” Liu Min asked.

”He talked for a whole night.” His wife’s eyes turned red. ”He said this was contributing to the country, just like his dad working on cars back then. I thought to myself, forget it, just treat the money as lost.”

Wang Jianguo used that 5,000 yuan to buy 5,000 shares of Spark Technology at 1 yuan per share. Then, he forgot about it.

”Really forgot?” Liu Min asked.

”Really. I couldn’t even find the stock account,” Wang Jianguo laughed. ”Later I changed to driving a ride-hailing car, I was busy and didn’t have time to look at stocks. Besides, the Spark Technology stock price kept hovering around 1 yuan, so it was upsetting to look at.”

The turning point came in 2017. Spark Technology started appearing in the news frequently—the release of Hongqi Automobile, breakthroughs in military materials, chip research... Only then did Wang Jianguo remember he still had this stock.

”I searched for a long time and found the account password. I logged in and saw—” He paused. ”16.27 million.”

Liu Min opened her voice recorder: ”How did you feel at the time?”

”I was stunned.” Wang Jianguo said honestly. ”I counted the zeros several times. Then I called my son, my hands were shaking. My son said: ’Dad, don’t get excited, sit down first.’”

His wife interrupted: ”He didn’t sleep that night, he kept walking back and forth in the living room. I told him to sell it and buy a house. He said he wouldn’t sell.”

”Why not sell?” Liu Min asked.

Wang Jianguo was silent for a long time. Then he said: ”Reporter comrade, I have been driving for twenty years and have picked up all kinds of people. There are bosses, officials, and foreigners. Many people hear that I am a driver in Shanghai Municipality and say: ’Shanghai Municipality is good, it’s developed.’ But when it comes to Chinese manufacturing, they laugh—saying we only know how to assemble and don’t have core technology.”

”Every time I hear this, I feel uncomfortable. But I can’t refute it because they are right.”

He looked out the window. The sky over Shanghai Municipality was gray, but there was a break in the clouds in the distance, revealing a ray of sunlight.

”Now Spark Technology has made a chip. Although I don’t understand the technology, I know it’s not easy. Just like my son said—this is a breakthrough from 0 to 1. This 5,000 yuan was the child’s tuition three years ago, now it is... it is a hope.”

”What hope?”

”I hope that after my son graduates, he can work in such a company and do meaningful things.” Wang Jianguo’s eyes brightened. ”I hope that in the future, when foreigners talk about Chinese manufacturing again, we can have the confidence to refute it. I hope...”

He thought for a moment and smiled: ”I hope the next Old Master Craftsman driving a taxi won’t feel as sad as I did because others say China is no good.”

Before the interview ended, Liu Min asked: ”How do you plan to use this 16.27 million?”

”Leave it to the child to start a business.” Wang Jianguo said. ”I told my son: ’This money was given by Spark Technology. If you want to use it, you have to do something as meaningful as Spark Technology. If you take it to eat, drink, and play, I won’t give you a penny.’”

”What about yourself? Not improving your life?”

”Improve what?” Wang Jianguo looked at his home. ”I have a house to live in, food to eat, and a son who is making me proud. That’s enough. Too much money is a burden instead.”

After this interview was published in ”Financial Weekly,” the title was: ”From 5,000 to 16.27 Million: A Stockholder’s Journey of Faith.”

The last paragraph of the article wrote:

”In this impetuous era, Wang Jianguo’s story is like a clear stream. He is not a speculator, but a true value investor—investing in the country’s future, the nation’s hope. His wealth growth is not just personal luck, but a microcosm of an era: when Chinese enterprises begin to master core technology, when Chinese manufacturing begins to transform into Chinese creation, the greatest dividends will belong to those who believe in this land.”

The article went viral. It was number one on the Chinese microblogging platform hot search, with 800 million reads. Wang Jianguo became an internet celebrity, was invited on TV, and was revered by investment institutions as a ”folk stock god.”

But he refused all commercial cooperation and only accepted a second interview from one media outlet. In that interview, he said:

”I am not a stock god, I am just an ordinary person. This 16.27 million is not my ability, but the country’s fortune. If I really want to thank someone, I should thank the engineers who stay up late in the laboratory, the workers who sweat in the factory, and the entrepreneurs who worry in the office.”

”They are the ones who create value. I just luckily caught the ride.”

Meanwhile, inside Spark Technology, another emotion was spreading.

On November 9th, the title of a hot post on the Spark Technology internal forum was: ”Colleagues who hold stock, are you panicking?”

The poster was an early employee who joined in 2015, with the ID ”Spark Worker.” He wrote:

”When I joined in 2015, the company gave 2,000 stock options with an exercise price of 500 yuan. At the time, I thought it was just a piece of paper and didn’t take it seriously. Now the stock price is 3,254 yuan, and these options are worth 5.5 million.”

”I am 28 years old this year, from the countryside, my parents farmed to support my studies. 5.5 million, in our hometown, can buy ten houses. Every day I look at the numbers in my account, I can’t work normally—I space out in meetings, make mistakes in coding, and suffer from insomnia at night.”

”My parents want me to cash out and buy a house in Shenzhen. But company policy requires resigning to cash out options. I don’t want to leave Spark Technology, this is where my dreams began. But 5.5 million... I might not be able to earn that much in my whole life.”

The replies were dense:

”Same here. I have 3,000 stock options, now worth 9.75 million. My wife urges me to cash out every day.”

”The scariest thing is that all of this feels unreal. Like a bubble that will burst if poked.”

”My mentor (Academician) said that sudden wealth for young people is not a good thing. It will cause them to lose the motivation to strive.”

”But if we don’t cash out, what if the stock price drops? Wouldn’t that be a bamboo basket fetching water?”

”President Su holds stock worth trillions, is he panicking?”

Lin Wan saw this post. She immediately called a management meeting.

”A soaring stock price is a good thing, but it can also corrode the team,” Lin Wan said bluntly. ”Especially young people, suddenly facing huge wealth, their mentality is easily unbalanced.”

The HR Director suggested: ”We can hold ’Rational View of Wealth’ seminars and invite financial experts to explain asset allocation. At the same time, we can establish an ’Employee Stock Ownership Trust Plan,’ allowing employees to partially cash out without resigning—for example, they can cash out 10% annually to improve their lives, but keep their jobs.”

”That’s good,” Lin Wan nodded. ”Also, notify department leaders to pay more attention to the psychological state of employees. If someone is clearly not in a working state, have a talk with them.”

CFO Shen Nanpeng added a piece of data: ”The early 10 executives hold an average of 200,000 shares each, and now the average net worth is 650 million. For example, I hold stock with a market value of 720 million. But I don’t intend to sell—not because I’m noble, but because I believe Spark Technology is worth more.”

Legal Director Liang Zhen laughed: ”Me too. 650 million in market value, I haven’t moved it. Su Chen is right, we are not here to make money, we are here to do things. Money is just a byproduct.”

After the meeting, Lin Wan reported to Su Chen.

Su Chen was in his office, looking at the night view of Shenzhen. Hearing Lin Wan’s report, he was silent for a long time.

”Three years ago, we knelt down for investors for 50 million in financing,” Su Chen said softly. ”Now, the company’s daily fluctuations are in the hundreds of billions. Lin Wan, do you think this is a good thing?”

Lin Wan thought for a while: ”It’s a good thing, it proves the market recognizes our value. But it’s also pressure—a market value of 3.5 trillion means the country has 3.5 trillion in expectations for us. Can we handle it?”

”And the team’s mentality,” Su Chen turned around. ”I’m most afraid of young people thinking success is too easy and losing the hunger to strive. The chip is done, Red Flag is popular, materials are selling like crazy—all of this is coming too fast, I’m afraid they’ll get carried away.”

”Then what should we do?”

Su Chen walked to the whiteboard and wrote a few words: Reset and Start Again

”Hold an all-employee meeting next week, the theme will be these four words,” Su Chen said. ”Tell everyone—past achievements are reset, we are starting over. The chip is only 16 nanometers, there is still a three-generation gap from the world’s top 5 nanometers. Red Flag is only a 150,000 yuan car, there is still a distance from luxury brands. Materials are just the beginning, there are more difficulties ahead.”

He paused: ”At the same time, launch the ’Spark Technology Phase II Incentive Plan.’ Execute in December 2017, grant options to 10,000 outstanding employees who joined in 2016, with an exercise price of 3,000 yuan, each worth 2 million on average. In addition, grant 400 outstanding R&D engineers options worth 5 million each, and 30 scientists options worth 50 million each. The total value of the options is 23.5 billion.”

Lin Wan was surprised: ”The stock price is so high now, and you’re still issuing options? An exercise price of 3,000 yuan is close to the current price, the incentive effect might be limited.”

”That’s exactly why it needs to be limited,” Su Chen said. ”I want to tell them—the current stock price is a bubble, real value must be created by the future. If they believe Spark Technology can reach 10,000 per share, the 3,000 yuan exercise price is the floor price. If they don’t believe it, they can leave now.”

”Also, contact SASAC to discuss the possibility of a moderate reduction in state-owned shares,” Su Chen continued. ”Increase market liquidity and stabilize the stock price. We don’t need an inflated market value, we need solid performance.”

Lin Wan finished recording and looked up: ”President Su, what are you worried about?”

Su Chen walked to the window and looked at the traffic downstairs: ”I’m worried about international retaliation. We are moving America’s core interests—semiconductor hegemony. What comes next will not be as simple as commercial competition.”

As if confirming his words, that night, the encrypted channel received a message.

Sender: Codename ”Candle Dragon” (National Security Department).

Content:

”Detected that multiple US departments (Department of Commerce, Department of Defense, Department of Justice, Department of the Treasury) have jointly established a ’Spark Technology Response Task Force.’ Possible actions include:

Technology blockade upgrade: Adding more Chinese semiconductor companies to the Entity List;

Talent blockade: Restricting visas for Chinese students in STEM majors, investigating ethnic Chinese scientists in America;

Financial sanctions: Restricting American capital from investing in Spark Technology and related companies;

Long-arm jurisdiction: Sanctioning foreign companies that cooperate with Spark Technology (such as Infineon, Volkswagen).

It is recommended to reduce the departure of core personnel in the near future and strengthen cybersecurity protection.”

The attachment is a list of 37 core technical personnel of Spark Technology, with ”Key Focus Object of the US” marked after each person’s name. Li Weimin, Zhang Wei, Wu Yi, Zhou Qingyu, Gao Mingxuan... are all on the list.

Su Chen finished reading and replied with two words: ”Received.”

Then he stood by the window, looking at this sleepless city. The nights in Shenzhen are always brilliant, and under those lights are countless struggling families and countless ordinary dreams.

And Spark Technology has become a part of these dreams.

But it is lonely at the top. A market value of 3.5 trillion is glory, but also a target.

The night sky outside the window is full of stars. But Su Chen knows that in the places where those stars cannot shine, shadows are gathering.

The capital frenzy brought wealth, but also attracted a storm.

And the real test has only just begun.