Henry has worked tirelessly on development. Not only has he integrated resources under his control, but he has also orchestrated Cisco's $400 million investment to establish a comprehensive network. Additionally, Cisco has ramped up its M&A efforts, announcing plans to acquire CommScope for $150 million.
CommScope specializes in communication optical cables, and the demand for these cables is projected to soar in the upcoming years, creating a significant market opportunity.
Acquiring CommScope would not only save Cisco substantial costs related to network deployment but also amplify its competitive edge, as CommScope is a highly profitable entity that has achieved impressive growth since its founding in 1976.
Although CommScope was established in 1976, it only began to experience rapid growth around 1990.
Now, with the Internet booming due to Henry's influence, CommScope is poised for expansion!
As a private company, CommScope typically generates $10 million annually. Therefore, when Cisco invested $150 million, CommScope's management believed it would take 15 years for their company to earn that amount—banking on the lucrative partnership with Cisco, they eagerly accepted the acquisition proposal.
Cisco's bold move to acquire CommScope sent shockwaves through the industry!
Numerous companies rushed to ask Cisco for buyout offers—Cisco's domineering approach garnered significant attention!
Predictably, this assertive behavior delighted investors, causing Cisco's stock to jump by $1 that day!
Cisco's spree didn't stop there.
Soon after, Cisco set its sights on a promising switch company in the U.S.—Catalyst Switch Company!
Catalyst, established just three years prior, was rapidly gaining traction, boasting annual sales exceeding $50 million, positioning it as a leader among switch manufacturers!
If Cisco were to acquire Catalyst, they would undoubtedly secure an unrivaled dominance in the network equipment sector!
Once integrated into the Cisco system, Catalyst switches would ascend to the forefront of the industry, greatly benefiting from Cisco's technology, resources, and distribution channels!
Understanding Cisco's reputation as a financial powerhouse, Catalyst's shareholders agreed to sell the company, retaining just 20% of shares.
Cisco agreed to this deal, investing $200 million to purchase 80% of Catalyst's stock, followed by relocating Catalyst operations to Silicon Valley.
Simultaneously, Cisco planned to construct a new headquarters and manufacturing facility in Silicon Valley at a cost of $200 million, slated for completion within three years.
Following the spree of acquisitions, Cisco not only retained its original sales channels but rapidly expanded through the integration of CommScope and Catalyst, cementing its status as a leading network equipment manufacturer!
In the coming years, Cisco's expansion would redefine the industry! Excitedly, Henry envisioned a future where Cisco would develop a submarine optical fiber system connecting Europe, America, and Asia, enhancing global internet access while promoting all companies under his name!
Henry simplified his business strategies while minimizing unwanted media attention, diligently overseeing Cisco's growth. Recently, he had noticed an uptick in domain name applications, a surge reflected in the recent IPOs of AOL and Cisco, indicating many aspiring entrepreneurs eager to carve their niche in the Internet landscape!
Henry recognized the "catfish effect" at play, bringing the entire Internet ecosystem to life!
This duality left him simultaneously thrilled and disheartened. While competition intensified, the rapid evolution of the Internet brought him a sense of satisfaction.
As he explored the new sites emerging, Henry couldn't help but comment on the clear imitation of Global Online and AOL by numerous newcomers. Notably, both the Nicholas Shopping Network and IMDB faced their share of imitation. While his ventures faced replication, they remained unsurpassed.
AOL duplicated Global Online, capturing 10% of the market.
Meanwhile, the American Film Network—still relatively young, having launched last year—was making waves with its 25% share of the market, apparently backed by Disney, which explained how it could challenge IMDB's dominance.
Upon exploring the American Film Network further, Henry noted, with great disapproval, that it had even lambasted a movie titled *Various Horizons*!
"This film will flop terribly! The plot centers around three people in a boat—excruciatingly boring! Especially with an Australian actress in the lead. It deserves a 2.5 rating. Verdict: Avoid at all costs!"
*Sky Crossing*, starring Nicole Kidman, was due for release on April 7th this year, with promotion already underway. However, prior to its release, the American Film Network had already begun discrediting *Various Horizons*!
Henry swiftly ordered a background check on the American Film Network's executives. Within a short span, he uncovered that Jim Aaron was among them—a name he recognized all too well. He recalled their altercation when visiting Nicole Kidman's home!
Diving deeper into Jim Aaron's background, Henry discovered that his father, Kyle Aaron, was a Disney shareholder and served as an executed director. Kyle had positioned Jim at the American Film Network as part of his development initiative.
It became clear—Jim Aaron had leveraged his clout to undermine *Sky Crossing*.
Henry contemplated his next steps and resolved to contact the individual in charge of IMDB, "The movie *Various Horizons* needs promoting. Launch a full-scale publicity campaign."
"Absolutely, Chairman!" came the affirmative response.
With the call concluded, Henry gazed out the window, muttering, "Nicole Kidman, there's only so much I can do for you!"
At that moment, Helen entered, gracefully walking towards Henry while offering a cup of coffee.
"Thank you," Henry acknowledged, accepting the drink.
"Chairman, are you worried? You seem preoccupied..."
"Oh, not worried—how could I possibly be worried..." Henry stammered, surprised by her insight.
"If he's fine, I'll return to my work," Helen murmured, though her gaze lingered on Henry, hinting that she had something more to convey.
Oblivious to Helen's expression, Henry responded casually, "Sure, go ahead. Notify me if anything comes up."
"Okay then!" Helen nodded, trailing off before departing.
Once Helen had exited, Henry noted an unusual shift in her demeanor.
During lunch, Henry unintentionally overheard several employees whispering in passing feet.
"Alyssa, did you hear? This morning, the son of the chairman of the cutting-edge tech company in the opposite building brought a massive bouquet of roses to our chairman's secretary, Helen Wheeler!"
"What?! You're telling me the chairman's son from Xinrui Technology is after Helen Wheeler?!!!"
"Exactly! I actually saw him confessing his feelings to Helen!"
"Oh my, what a twist! Helen is not just the secretary to our genius chairman; she's also caught the fancy of the son from Xinrui Technology's chairman!"
"Who's better—our chairman or the son of Xinrui Technology?"
"Well, it's obvious that our chairman is superior. He's successful, amassed a net worth of hundreds of millions at a young age. That's no ordinary feat!"
"What does wealth matter? The chairman seems indifferent about Helen. Who knows how he feels. If it were me, I'd rather pursue the son of Xinrui Technology than wait around hopelessly!"
"I see the logic in your stance!"
"Given that Xinrui's chairman's son has already declared his affection, do you think Helen will reciprocate?"
The female employee was set to share her thoughts when a sudden voice broke through, "Hello, Chairman." They turned to find Henry standing nearby, eavesdropping on the conversation.