Chapter 246: Taking Control of Universal

Xiao Ran’s eyebrows twitched slightly as he suddenly leaned forward, his gaze fixed intently on the old man. The old man grew uneasy, thinking he must have angered Xiao Ran somewhere and muttering to himself nonstop.
After staring at him for at least thirty seconds, Xiao Ran burst into laughter: “Haha, Mr. Morita, you’re right. It’s precisely because the Chinese know how to abide by the law that I negotiate so cautiously. Before signing any contract or agreement, I have every right to do this, don’t I?”
“So…” Xiao Ran’s expression grew increasingly stern. “I have the right to demand that you apologize for your earlier words. Otherwise, I’ll terminate the negotiations!”
The old man Morita snorted coldly, not knowing what to say. Xiao Ran’s demand wasn’t excessive, though it seemed a bit overthe top from his perspective. In fact, he had just said it casually, not intending to insult the Chinese.
Annoyed, he wanted to leave, but then remembered how beneficial this deal could be in alleviating Sony’s urgent needs, so he stayed. After struggling for a while, he looked up and saw Xiao Ran staring at him coldly. The seasoned businessman quickly bowed deeply and said, “Chairman Xiao, I apologize for my earlier words!”
Huang Ling admired President Xiao greatly. She thought he must have practiced face-changing in Sichuan, otherwise how could he change his expression so quickly? Now, he had changed it again. Seeing the old man apologize, Xiao Ran immediately smiled happily. “I’m very satisfied. Let’s continue our negotiations!”
Filled with resentment, Morita had no choice but to continue the negotiations. It was a painful process—almost nothing was accomplished throughout the day. Once the old man returned to the hotel, Xiao Ran quickly called Wei Dongling to inquire about the progress there.
Panasonic also demanded a stake in Karaoke. After some discussion, it was decided to exchange shares, keeping only 10% of the stake. After all, Xiao Ran knew well that Karaoke had little market potential in the West, and they had acquired the patent almost for free. So far, it had already generated at least $6 billion for Shadow, making it time to sell it.
It was agreed that Panasonic and Sony would each receive 45% of the shares, allowing these two giants to compete for control. They would still need to curry favor with Shadow. Before the acquisition, Xiao Ran planned to transfer all the company’s product research and development staff to Yingli Company—formerly known as Wanyan, now renamed Yingli.
After two more days, Wei Dongling finally brought good news. Including the shares in Karaoke and cash, the acquisition agreement was finally signed. Shadow would acquire Universal for a total value of $5.8 billion.

On that day, Morita seemed to have heard the news as well—happy that he didn’t have to be pressured by the board to sell Columbia, yet worried that Karaoke might be taken away by Panasonic. This time, Xiao Ran’s attitude was positive, and the negotiations went very smoothly. In the end, Phantom acquired Sony’s DVD-related technologies and the contracts of its experimental technicians in exchange for a 45% controlling stake in Karaoke plus a symbolic $50 million.

Of course, these were far from worth that price. So, in addition to this, Sony also sold several other electronic technologies. In the short term, it was a win-win situation for both sides. Phantom made a huge profit from Karaoke and then sold it, which was equivalent to earning at least $8 billion from it—extremely profitable.

Moreover, they obtained the core DVD technology. Although it wasn’t fully mature yet, with the contracts of the technical staff, the development of DVD was only a matter of time. As for future promotion, that would be up to Yingli. As the flagship company of the Phantom Empire, Xiao Ran and Wei Dongling would not interfere in the operations of their subsidiaries unless necessary. These technologies would increase Phantom’s stake in Yingli, eventually raising it to 90%.

Xiao Ran didn’t know if August 28th was an auspicious day. But he dared to bet that the news announced at today’s press conference would shock the media and entertainment industries around the world.

That day, Xiao Ran’s smile was absolutely radiant, while Wei Dongling deliberately wore a serious expression to stand out. Standing at the long table, Xiao Ran rose and said to the media reporters around him, “I’ve invited friends from the media industry today to announce a few pieces of news. I’m sure everyone will be very interested!”

The room fell silent instantly. Xiao Ran smiled, his white teeth shining under the flashlights. “The first piece of news is something I’ll announce as the chairman of Power Board. Power Group has successfully acquired Blizzard Studios and integrated it into Power’s Momentum Electronics, and it will now enter the gaming industry.”

Obviously, everyone wasn’t very interested in this news. What was Blizzard? Most of them probably didn’t even know what it was. However, the news about entering the gaming industry piqued their interest. A large company like Phantom surely had no reason to focus on the unremarkable gaming industry.

Most people thought so, but not everyone. At least one reporter from Capital Tycoons magazine, under Shuxiang Media, realized that Phantom intended to create a super empire that would encompass all things related to entertainment.

“The second piece of news is also something I’ll announce in this capacity. Power has acquired DVD and related product technologies from Japanese Sony for $50 million and a 45% stake in Momentum Electronics!” Xiao Ran chuckled lightly. This news wasn’t particularly significant; he just wanted to take the opportunity to promote the concept of DVD.

The journalists immediately felt bored; if all the news was like this, they had come for nothing. They could only wait eagerly for the third piece of news. Seeing everyone’s expressions, Xiao Ran smiled right away and said, “The third piece of news is something I’m announcing as the chairman of Phantom Group. Phantom Group is acquiring Universal Studios in the United States outright with shares in karaoke businesses and cash! As for the details, you can ask President Wei.”

The entire room was instantly in an uproar, with everyone staring at Xiao Ran in disbelief. Acquiring Universal Studios? That was one of Hollywood’s famous “Big Seven” studios! The chaos that ensued was imaginable.

Wei Dongling and Xiao Ran exchanged a glance, both realizing that this approach had worked. Wei coughed and stood up, and only then did the journalists regain their composure and start raising their hands to ask questions. Naturally, Wei Dongling first invited those from Shuxiang to ask questions. In fact, Shuxiang was already firmly among the top three newspaper groups in the region.

“May I ask President Wei, does Phantom Group’s acquisition of Universal mean it plans to shift its focus to North America in the film industry?” The journalist’s question was extremely strange, beyond what anyone else could have thought of.

Xiao Ran and Wei Dongling were both stunned. This journalist really had a sharp mind, quickly connecting it to the ongoing trend of exchange students returning home. A faint smile appeared on Wei Dongling’s stern face. “Hong Kong is currently the largest film production hub outside of Hollywood. What reason do you think we have to give up everything in Hong Kong and start over in North America?”

“May I ask President Wei, does Phantom Group’s acquisition of Universal mean that its strategy of acquisitions and mergers is coming to an end?” This was from a journalist from Asia Weekly, who always liked to compete in financial matters. “We all know that Phantom Group has made numerous acquisitions and mergers over the years. An acquisition as large as this of Universal surely means Phantom Group will stop expanding, right?”

“I don’t deny that Phantom Group’s expansion has been too rapid. Right now, Phantom Group and its flagship company, Dongli, already have dozens of companies under them,” Wei Dongling said with a sudden light smile. “But that doesn’t mean Phantom Group’s strategy will change much in the future, at least not in the short term!”

Undoubtedly, Phantom Group’s outright acquisition of Universal was a huge sensation. On the same day, Panasonic also held a press conference to announce the news to journalists. Media outlets in Asia and Europe, who were already familiar with Phantom Group, were shocked, believing that Phantom Group was about to create its own global entertainment media empire.

In the United States, newspapers and magazines like The Wall Street Journal were also quite shocked. In their articles, they harshly criticized the situation, saying it was like Sony’s takeover of Columbia a few years ago, only this time the protagonist was that “Eastern miracle,” and they wrote in emotional tones that Hollywood was about to become a foreign-owned industry.

Xiao Ran wasn’t bothered by this. Back then, Sony faced much greater public pressure during its takeover of Columbia, yet it still thrived. Let American media say whatever they wanted. Besides, the newspapers and magazines under Phantom Group’s control in the U.S. were also speaking well of Phantom Group.

Actually, it was inevitable for Phantom to make its move into Hollywood—Hollywood itself must have been aware of this. After all, Phantom had already dominated markets outside North America, with Hollywood being the only one left. Anyone would make the same choice. It’s just that Americans seem reluctant or afraid to consider it.

Huang Qun received this news on the same day. He was in his office handling some work when he heard it, and he was instantly stunned. Truly stunned—he quickly saw through Xiao Ran and Wei Dongling’s intentions.

Xiao Ran and Wei Dongling’s move was not only to enter the North American market but also to create a relatively safe environment for Phantom’s core business. Simply put, by owning Universal Pictures, Phantom could transfer its film business to the United States at any time, especially since there were still a few years before any return was possible.

What did this mean? It meant Xiao Ran was dissatisfied with the decisions made above. Without a more relaxed creative environment, he would rather move to Hollywood. Huang Qun carefully pondered the deeper implications of this move. He thought there might still be a way to hold things back—Xiao Ran was probably just planning an exit strategy. If the censorship could be relaxed, then there would be no problem.

According to Xiao Ran’s original plan, acquiring a Hollywood film company was an important step in challenging Hollywood. His intention wasn’t to move his business to the U.S., but with Phantom having grown to this point, it was no longer possible to follow his ideals completely. There were countless people relying on him, and one wrong decision could lead to mass unemployment among filmmakers.

So, this move was also made out of sheer necessity. Of course, he had other more targeted methods to survive even without the mainland market. Acquiring Universal was just a strategic move that allowed flexibility—part of that plan.

Huang Qun clearly hadn’t anticipated Xiao Ran’s complex mindset. His body went cold for a moment before he picked up the phone and called Xiao Ran. In Hong Kong, Xiao Ran was already in his office waiting for Huang Qun’s call. If Huang Qun couldn’t see this, he certainly didn’t deserve to be in official positions.

Huang Ling answered the phone without hesitation, as Xiao Ran had instructed her. Huang Qun tried to calm himself down and asked sternly, “President Xiao, what does this mean? Just because the country abandoned you, are you abandoning the country too?”

Xiao Ran smiled faintly, with a hint of bitterness. If he were just a director, he could easily give up everything and return to his home country. But in his current position, many things weren’t within his control. Pursuing profits became inevitable. “To be honest, I can’t stay in Hong Kong waiting for the higher-ups to relax their policies. And Phantom certainly can’t!”

“Can’t you give us a little more time? You know many things can’t be decided in just a day or two.” Huang Qun somewhat understood Xiao Ran’s difficulties, but in his position, he had to do what needed to be done. “Hong Kong is still under British rule now, so many things aren’t even within our control!”

“Minister Huang, since you put it that way, I won’t hide anything from you either,” Xiao Ran leaned softly back in his chair. “Whatever you do, you need to make decisions; otherwise, you’ll fall behind. I won’t take any action until the higher-ups completely block this path!”
Huang Qun remained silent for a long time. He didn’t know what to say anymore. Should he blame Xiao Ran? Xiao Ran was a businessman, and pursuing profits was inevitable. There was no reason to criticize him in that regard.
Xiao Ran knew very well that this issue had to be discussed. If they didn’t open up, it would mean stifling progress. The only point of contention left was this. If they could resolve this deadlock, cooperation would be seamless, and Shadow could fully expand into the mainland.
When he returned home, Lin Qingxia was already there, playing with the child with his mother. As soon as his mother saw Xiao Ran, she tried to serve him soup, but he waved his hand weakly. “Mom, no need. I’m very tired today.”
In the garden, Xiao Ran frowned deeply. The situation was extremely complicated. The Hong Kong-British government surely hadn’t given up, and Hollywood was definitely unhappy about Shadow’s involvement. Moreover, Shadow had already had several clashes with Murdoch, as their fields overlapped significantly.
It was truly a situation of internal and external troubles. If both arose at once, things would get very troublesome. Xiao Ran wasn’t too worried about Murdoch. Business wasn’t politics. Wei Dongling would surely send experts to deal with that old man (I guess no one wants to see a business war, so I’ll just gloss over this issue).
If they could achieve full access to the mainland market, the Hong Kong-British government’s internal problems would no longer be an issue, and he could focus all his efforts on Hollywood. At that moment, a warm body leaned against his back, and that familiar voice spoke up, “If something’s bothering you, tell me!”
“Actually, it’s nothing!” Xiao Ran smiled. Since he could foresee these issues, he could handle them. Why worry so much? He turned around, hugged Lin Qingxia, and pulled her onto his lap. Then he gently stroked her soft hair. “I need to go to the United States in a few days to handle matters related to Universal. Can I spend more time with you guys these days?”
Lin Qingxia was already accustomed to Xiao Ran’s strong arms and safe embrace. She felt it was her haven, a place where she could always rest. Her delicate brows furrowed slightly, revealing a particularly bold spirit. “You don’t have to go in person. Shadow has plenty of talented people now…”
Xiao Ran smiled in relief. Shadow had ranked among the top ten companies in Hong Kong that people most wanted to work for for three consecutive years, thanks to its high salaries, good benefits, and ample freedom. After three or four years of gradual training, those who weren’t competent enough were demoted to ordinary employees, while the more capable ones were promoted. He really had to thank Yang Zhengyuan, the head of the human resources department, for that.
But he insisted on going in person for this matter. The seven big players in Hollywood had conflicts both openly and secretly, even with theaters. Yet once faced with outsiders, they immediately united. As a decision-maker in the industry, he knew very well just how serious this was. He certainly didn’t want to suffer a crushing defeat like Fang Ruohai.

Moreover, it cannot be ignored that Sony lost $3 billion in less than four years—not only because the two executives appointed by Sony were fools and playboys, but also due to internal competition in the industry. Xiao Ran didn’t want to suffer billions in losses like this, so he had to handle it personally; at least in some aspects, he was better than those professionals.
“I have to go in person, but I don’t think it will take too long. If you miss me, just come over!” Xiao Ran smiled gently, then glanced at Xiao Ling’er, who was crawling on the grass, picked her up, and placed her on his lap. Staring into his daughter’s beautiful big eyes, he said, “Xiao Ling’er, I’m going to the United States. Can you stay at home with Mom? Don’t cry, okay?”