dognovel Chapter 119 A Trip to Goldman Sachs
Chapter 119 A Trip to Goldman Sachs
Chapter 119 A Trip to Goldman Sachs
At 85 Broadway in New York City, the afternoon sun shines obliquely among the towering buildings of Manhattan, gilding this financially vibrant street with a faint golden hue.
Ernst stood at the entrance of this seemingly ordinary building, tilting his head slightly as the sunlight swept across the building's facade, revealing its simple, almost monotonous lines.
The light gray granite wall gleamed with a calm luster in the sunlight, without any superfluous decorations, except for a small metal plaque above the entrance with a line of very inconspicuous words engraved on it.
Goldman Sachs.
Goldman Sachs, one of the top five investment banks in the United States, has such a simple headquarters.
The entire building has no eye-catching signs, no flashing neon lights, and no huge logos commonly seen in the headquarters of large companies, which is far from the image of the headquarters of wealthy financial giants that many people imagine.
If it's someone visiting for the first time, they might wander around Manhattan's maze of streets for ages and still not find the heart of this financial empire hidden among the skyscrapers.
"It's truly minimalist to the extreme. Who would have thought that Goldman Sachs, one of the top five investment banks in the United States, would have such an unexpected headquarters?" Ernst murmured in amazement.
"But undeniably, it is world-renowned." A gentle yet powerful voice came from the side, carrying a distinct hint of pride.
Ernst turned his head and saw Robert Rubin walking briskly toward him.
The Goldman Sachs senior partner wore a perfectly tailored dark gray suit and a neatly tied tie. His smile was gentle, but his eyes betrayed his confidence.
"Goldman Sachs no longer needs to demonstrate its status externally, just like Google is now."
Ernst nodded in agreement, knowing that Robert Rubin was referring to the headquarters campus that Google was building.
As one of Google's shareholders, although he cannot directly participate in the company's decision-making, Goldman Sachs has always paid close attention to the movements of this high-potential internet company. After all, it involves the flow of huge sums of money, and they must be well aware of it.
He had seen the design drawings for Google's new headquarters before, and the style was very similar to that of Goldman Sachs' headquarters.
The plans on the blueprints overturned people's traditional imagination of the headquarters of giant companies. Instead of towering buildings and dazzling decorations, there was a well-organized group of low-rise buildings.
Square houses are scattered throughout the park, none of which are more than four stories high.
From an aerial view, the entire park presents a neat grid pattern, resembling a meticulously designed residential area of bungalows rather than the headquarters of a trendsetting internet giant.
Aside from the iconic Google logo at the entrance, an uninformed person would never guess that this is the place where the internet industry has risen rapidly.
The location of Google's headquarters, which is hailed as America's new super elite.
When Ernst first saw the drawings, he asked Sergei Brin why he made such a design.
Sergei Brin gave several reasons and considerations.
First, most Americans do not like the oppressive feeling that high-rise buildings bring. Low-rise buildings make people feel more comfortable and relaxed, which is conducive to the creativity of employees.
Secondly, and this is also a very crucial factor, is that land costs are really too cheap.
The land price negotiated between Sergey Brin and the Mountain View City Council was surprisingly low. Land value in the United States is already incomparable to that of Asian cities where land is extremely valuable, and this price was practically a steal, almost a giveaway to Google.
Despite being classified as commercial land, it enjoys a price lower than that of industrial land.
This design maximizes the use of this cheap land. Sergey Brin plans to double the size of Google's headquarters within three years, which can be seen as seizing the opportunity to take advantage of the government.
"Come on, everyone's waiting for you." Robert Rubin made an inviting gesture with a professional smile on his face.
Ernst nodded and followed him slowly into the building.
He came to New York again this time for two important matters.
First, he established Ernst Asset Management, a significant step in his expansion into the financial sector. Then there's the matter of Google's second round of financing.
Stepping inside the Goldman Sachs building, a strong financial atmosphere immediately envelops you.
The smooth, mirror-like marble floor reflected the figures of passersby, and everywhere one could see people dressed in sharp suits and ties, both men and women, all impeccably dressed.
Dark suits, white shirts, and neatly tied ties—it's like the uniform here.
This is Wall Street, a place known for its rigor, a touch of conservatism, and an assertion that no one can break the rules they've set.
Not to mention the staff, even the clients who come here to discuss business will consciously abide by this rule. After all, who would offend a powerful investment bank for this?
Ernst broke this rule by wearing a light gray casual jacket over a simple white T-shirt, paired with khaki casual pants and comfortable sneakers.
His casual attire made him stand out conspicuously at Goldman Sachs headquarters.
This immediately drew curious glances from many people, who wanted to know who this casually dressed young man was and how he dared to be so presumptuous.
However, when they saw Ernst's face clearly, the surprise in their eyes gradually turned into understanding, and then into a tacit acceptance, because the other party had the right to do so.
As long as Ernst can bring huge profits to Goldman Sachs, and as long as Ernst remains a cash cow, no one will fuss over this matter.
Since the last round of financing with Google, Goldman Sachs has already reaped substantial returns.
When faced with interests, the so-called rules can be appropriately modified.
Follow Robert Rubin through the long corridor and take the elevator to a meeting room on the middle floor of the building.
The conference room door slowly opened, and as soon as Ernst stepped into the room, he felt more than twenty pairs of eyes focusing on him.
That gaze contained a variety of complex emotions: scrutiny, curiosity, expectation, and a hint of barely perceptible inquiry.
Suddenly, a familiar feeling welled up in my heart; the scene was exactly the same as the conference room at the Hilton Hotel not long ago.
The difference is that last time at the Hilton, most of these people remained silent, as if trying to make him feel nervous and uneasy with this silent pressure.
This time, however, the situation is completely different.
As he walked in, everyone in the conference room stood up, their faces beaming with warm smiles, and greeted him.
That feeling of warmth and familiarity was like seeing a long-lost younger brother.
"Ernst, welcome, welcome."
"Long time no see, Ernst, you look great."
"Please have a seat, we've been waiting for you for a long time." A barrage of enthusiastic words followed, leaving Ernst momentarily overwhelmed.
"Ernst, I'm so sorry for the delay last time due to some things."
Henry Paulson, Ernst never expected that the nominal number one person in power at Goldman Sachs would be here today.
The greetings from relatives subtly demonstrate one's refinement, making one appear like a kind and approachable elder.
However, once everyone was seated and the meeting officially began, Henry Paulson's friendly demeanor was quickly torn away like a mask, and his tone instantly became sharp.
"We all know that Google Play is now one of the most important sources of revenue for internet companies. This is true for Yahoo, Internet Explorer, and even Netscape, although it hasn't been expanding its Google Play business as aggressively due to its paid subscription model and consideration for user experience, has still made some moves in this area."
Henry Paulson stared intently at Ernst, his gaze heavy with pressure. "Google now boasts over 4000 million users worldwide and enjoys global attention, so why hasn't Google launched its own GG service yet?"
Ernst did not answer the question immediately, but instead picked up the water glass in front of him and took a small sip.
He had anticipated this problem, since in the eyes of these Wall Street investors, profitability is the most important standard for measuring the value of a company, and GG is undoubtedly the most direct way for Internet companies to make profits.
According to data released by Nielsen two weeks ago, although no precise figures were given, Nielsen estimated that the number of internet users worldwide may have already exceeded 6500 million.
In such a rapidly growing market, Google, with over 4000 million users, has become the world's largest internet company in terms of user numbers, leaving the world in awe of this rapidly growing internet behemoth.
Surprisingly, Google never made any major moves in its Google services and didn't earn a single cent in Google fees, which is hard for many investors to understand, and even somewhat incomprehensible.
However, while there have been some questions about the meaning behind Henry Paulson's statement, it seems more like a subtle attempt to downplay Google's valuation.
With such a massive user base, the lack of corresponding GG services to generate profits has led some to suspect that there might be something fishy about Google's user numbers.
Or rather, Google's operating model has some flaws.
Ernst remained calm and composed, a serene smile on his face, and slowly began to speak, "Google's GG service has actually been developed for a long time, and the relevant technologies and teams are ready. It's just that we feel that now is not the best time to launch the GG service."
He paused, his gaze sweeping over everyone present, and continued firmly, "The number of internet users worldwide is growing at an astounding pace, and Google's user base is also increasing daily—these are undeniable facts."
"Given this backdrop, the user experience is paramount for us. Launching a large-scale GG monetization model at this time could negatively impact the user experience. We cannot afford to sacrifice our hard-won success just to earn a small amount of GG fees in the short term."
Ernst's explanation was clearly a perfunctory one, and some people obviously wouldn't buy it. A representative from Lehman Brothers stepped forward and said, "I disagree with your statement. Yahoo launched its own GG service, but it didn't slow down Yahoo's development at all."
Ernst looked at the Lehman Brothers representative with a calm yet undeniably powerful gaze.
He spoke slowly, his voice not loud, but clearly carrying throughout the entire conference room: "So he is Yahoo, and will never become Google."
In an instant, Ernst's entire demeanor seemed to undergo a visible change.
His previous composure seemed to be replaced by an invisible sharpness, and an aura of domineering power emanated from him.
"Judging from its current development, Yahoo can't compare to Google in terms of user growth potential, user stickiness, user satisfaction, or future prospects. Otherwise, Google's valuation wouldn't have exceeded Yahoo's market capitalization, would it?"
These words hit the nail on the head, leaving the Lehman Brothers representative speechless for a moment. He opened his mouth, but could not refute them.
Yahoo! is great; it's one of the leading companies in the internet industry.
But if these people were given only one option—to choose one source of funding—the answer would be obvious.
Ernst's gaze swept over the crowd again, his tone carrying a hint of rhetoric, "If Google is so eager to turn a profit right now, and its mind is solely focused on how to make money through GG, then is there any point in having this meeting today regarding the second round of financing?"
"Although Google is a company that lives in the present, we are more focused on the future."
"If we look back at Google's market value five or even ten years from now, I hope that all investors can consider investing in Google as the greatest pride of their lives, while those who missed out on Google or got off the train halfway will regret their decision for the rest of their lives."
"A brilliant description," a slightly cold voice came from the corner of the conference room, laced with sarcasm. "But it sounds more like an empty promise, just drawing a pie in the sky without any guarantee."
"We are investors, not children listening to stories."
Those of you here have all spent years working your way up on Wall Street and have seen too many companies make grand promises in order to raise funds, most of which ultimately turn out to be empty promises.
In his view, Ernst's remarks were nothing more than empty talk aimed at inflating the valuation.
Ernst glanced at the other person, showing no sign of backing down.
"I know Wall Street prefers quick money and pursues short-term returns, and doesn't have the patience to wait for a company to grow slowly."
He paused, his tone becoming exceptionally serious. "I can also tell you all very clearly that Google does not welcome investors like this."
"You should be able to tell the difference between the value of a sardine and a whale."
"Although sardines are easier to monetize and can generate profits in the short term, whales are the real source of wealth."
Google is that whale now, but I can also tell you very clearly that it is a growing whale that has not yet shown its full power.
"Given time, its value will far exceed your imagination."