Chapter 285 Small Vacation at Home 3 (1/2)
Were really good sales figures, analyzing that the internet was not well known yet and only a small part of the population had computers at home, the first camera sold in the world had only 500,000 sales in almost 3 years.
Matthew had already achieved twice that in just a few months, of course in 1996 many more people had computers compared to three years ago and the webcam of Matthew's company had much more quality than the competitor in the market.
Especially since Matthew's company began to become internationally known as a quality camera brand after these two years of digital camera sales, it was normal for them to get more sales.
”It's really good Matthew, this webcam can continue to be sold for up to 4 years, close to the 2000 years we have launched another line of webcam with better quality in the market, at that time the number of people with computers here will overcome 50%”
”The important thing is to try to make the public aware of our product, do some propaganda, the ideal is that the sale of webcams can pay for the development of technologies that we will work with mobile companies.”
”Let's try to do this, now let's talk about the main point, our sales with digital cameras in 1996 reached 4 billion dollars, with more the 2 billion in 1995 we sold 6 billion with this camera.”
Jake was very happy about it but knew that this was just the reality of the time, a camera costing a thousand dollars could yield this much, but they would have to sell two or three times as much as they sold now to win that much in a few years.
Not to mention that the profit would be much lower because the cameras would need the constant development of technology, so Jake told Matthew that partnering with a mobile sales company would be much more profitable.
After all, when smartphones start selling hundreds of millions of people can buy, even billions of people in a few years, after all, the smartphone will serve people to talk on the phone, access the Internet and still take pictures and even play games.
If with a partnership they get $20 of profit per smartphone sold they would get more than 14 billion if the phone has good sales, with 14 billion profits even if they are with 10 different mobile models would be worth it.
The hard thing is to convince the company not to start producing the cameras themselves, so a long contract of several years with a fine millionaire resizable could make it happen.
After more than 20 years the sales of all companies would fall a lot, so he could promise that Matthew's company would grow and improve from the beginning of 300 million that was worth a few years ago.
In the future, it can be worth more than that, many of the big companies of the future would be worth 10 billion at least, Matthew's company could be worth up to half that value if it continued with those sales.
It would already be much more than 10 times the current value of the company, not to mention that the profits would be high every year like this, the Canon, for example, came to be worth almost 70 billion at the height of the company, so if Matthew managed to manage the company he would have much to gain.
Still, it was incredible to sell 4 million digital cameras in a year even though it was sold worldwide, so in total the first digital camera sold by Matthew's company sold 6 million units worldwide.
”Of course these were the approximate values, in profit, we achieved 2,095,300,000 dollars for the company, again we will invest half the value and the rest will be given as profit share for the shareholders here a few months ago.”
For a company like that of Matthew so much investment would not have felt, they produced few products and were not prepared for such a big growth, even if the company had increased in value and in profit, the company itself had little change plus a few more assembly lines, machines, and employees.
The reason for this was that Matthew was cautious and did not expect the company to sell billions of dollars every year, a few years ago if the company sold could get a few million dollars would be great.
Jake thought that Matthew was right in doing this, he always invested half of his profits in the company and so had a lot of cash flow if he didn't invest in many things, so the company wouldn't have trouble lacking money to produce more machines to sell it.
In addition, the company of Matthew increased so much in the value of shares because the shareholders were receiving dividends that exceeded the value of shares in many times, if Matthew wanted to invest after a few years he could simply sell his The actions.
After all, he still had more than 70% of the company's shares, he could sell over 18% and still have the absolute majority of the company and raise hundreds of millions of dollars for the company, it was the best time for Matthew's company.
This time Jake would receive more than 104, 7 million dollars in his shares, as Matthew would invest half of that value Jake would get 52.3 million dollars, it was more than double what he received the last year.