Chapter 425 Choose the Lesser of Two Evils (Ask for Monthly Votes)

The road show in Singapore is not over yet, and the team at Yike and Goldman Sachs have determined that this time it will be a big success.

As for the triple watermarked video, not to mention outsiders, even Yike's own people were excited to watch it.

Among the members who followed the roadshow this time, some of them had joined the company in 2001. Nothing could make them tremble more than witnessing it with their own eyes and being reminded of it again.

Riding on the development of the Internet and stepping on the shaky Sony, the original boss could only speak quietly on mainland programs, but now he can make many investors listen attentively in Singapore!

Yike's employees, regardless of their seniority, are all honored.

The question-and-answer session of the roadshow was relatively relaxed. Several fund managers did not even ask about company-related matters, but asked Mr. Fang about his judgment on trends two years ago.

Fang Zhuo talked about this naturally. At that time, it was not only the judgment of the trend, but also the policy changes of the registration network. It still makes him sigh when he mentions it now.

Who could have imagined that the policy would suddenly change? It was a difficult time that I, the company, and investors spent together.

Now that Yike is about to go public, the aftertaste of the hardships at that time has given this group of investors in Singapore a different feeling - the fragrance of plum blossoms comes from the bitter cold, and the edge of the sword comes from sharpening!

As the road show came to an end, a more formal question was raised.

"Mr. Fang, what do you think of the sustainability of the cooperation between Sony Music and Yike?"

Gao Ruixiang, the investment director of First Row Panshi Fund, smiled and asked about a very critical risk item.

Yike's moat in Mr. Fang's words is the music copyright cooperation between iMusic and record companies, but the most important partner in this cooperation is Sony Music.

Losing the cooperation with Sony Music would be a major blow.

Is this possible?

Sony Music's parent company itself has a strong music player business, but now it is experiencing a decline in market value. Under this background, will Sony Music transfer the music copyright to itself?

Fang Zhuo heard the implication of this question.

He pondered for a moment and replied: "That's a good question."

"Part of the answer to this question is that I talked with directors and executives when Yike and Sony Music reached cooperation. At that time, we discussed why Sony Music wanted to cooperate with Yike? Why didn't Sony digest it internally? "

“The answers we had back then are still valid today.”

"It is often difficult to resolve the internal resistance of different businesses in large companies. What's more, Sony Music is a music business group far away from Japan and has a relatively independent will. If it misses the cooperation with Yike, it will have no choice but to hand over its right to speak. Give it to Apple."

“From the perspective of Sony, whether Sony Music cooperates with Yike or Apple, it will deepen the damage to its player business. But from the perspective of Sony Music, its cooperation with Yike is the best of two evils. light."

"Sony Music currently holds 10% of Yike's shares, but it cannot obtain the other's shares from Apple using music copyrights."

“Because Sony failed to seize the opportunity of the development of the times, was unwilling to give up its star business, and was unwilling to fully develop music players based on the MP3 format, this forced Sony Music, the younger brother, to make a choice that was beneficial to itself. "

Fang Zhuo gave an internal factor analysis based on the cooperation at that time. He took a sip of water and continued to explain this key risk issue thoroughly.

"Our cooperation with Sony Music started last year, and an obvious industry trend is that the global recording industry has gone downhill under the impact of the Internet."

"The more the industry goes downhill, the closer the cooperation between Sony Music and Yike becomes. The closer the cooperation, the harder it is for Sony Music to change its course."

"At the same time, the decline of the parent company has also deepened this helpless bundle."

"The development trend of the global industry may soon further impact the pattern of record companies. The cake is smaller, and there will be fewer people eating it."

Fang Zhuo smiled at the investors who were listening attentively and said, "Of course, this is just my personal prediction."

"There is not much time left for Sony" was also a predictive warning 2 years ago!

Investors spontaneously applauded.

However, Fang Zhuo hasn't finished speaking yet.

He waited for the applause to end and continued: "Even so, this cooperation is not 100% safe. The contract signed by Sony Music can be torn up, the shares can be sold, and normal cooperation may turn into an unpleasant situation under strong pressure. The ending.”

Investors frowned, this is a very realistic consideration.

"Sony Music may one day have to interrupt cooperation due to the dismal business of the parent company, and have to give it a try with the parent company, but it is definitely not now, because Walkman still has the power to fight, and Sony's internal business groups are still interacting with each other. Dispute, its decline has not reached the bottom, and President Nobuyuki Idei still believes that he has the ability to save it.”

"And when that day comes, Sony is no longer the Sony it is today, and Yike is no longer the Yike it is today. When we look at this issue from a development perspective, we will be more confident."

"Our confidence is not in the hope that the other party will abide by the contract, but in the ebb and flow of confidence in our own business."

Fang Zhuo concluded: "Because Sony is Sony, Sony cannot give it a try now. When Sony gradually loses blood, it will no longer be able to give it a try."

Finally, he said: "Sony Music's president Stringer and I have a good relationship. Of course, this will not be the focus. What I want to express is that I know Stringer very well. He is a company leader with a global vision."

"At the same time, Stringer is the president of Sony in the United States. What he has to do now is to safeguard the interests of Sony America and Sony Music. This is what he must do. I believe everyone understands."

"If one day Stringer can become the president of Sony Global, I am also very curious whether he will overturn the cooperation decision he has made."

Fang Zhuo smiled and said: "I will take this question to New York to ask him. This is indeed a good question. If there is a chance, I will tell you his answer."

The investors all laughed. How could Sony let a foreigner be the president? But it would be very interesting to ask Stringer this question.

The question Fang Zhuo answered was the last question in the question-and-answer session.

He took a breath and reminded the main topic of today: "Having said so much, I am very confident about the development of Yike and its role in the music industry, which will be reflected in our stocks."

"So, everyone, Yike is going to be listed, buy it, buy it, don't forget, just buy it!"

"Thank you, I am very happy to meet you here today, and it is a very pleasant evening."

Fang Zhuo put down the microphone, bowed slightly, and ended Yike's IPO roadshow in Singapore.

The banquet hall was filled with warm applause for the nth time. Everyone admired Mr. Fang's discussion on Sony and admired his calm demeanor.

They are also very optimistic about the prospects of Yike's stocks.

Buy it, buy it, just buy it!