Chapter 203: The Prince’s Rebellion
I shifted my gaze from the circuit diagram on the whiteboard and turned back to the meeting table.
“The battery can be easily improved by applying the ASM method… So, the remaining issue is the brakes, right?”
Everyone’s attention turned to me once again.
Brake fade.
A phenomenon where repeated braking during high-speed driving causes a rapid increase in the brake system’s temperature, leading to a decrease in braking power.
It was both the most fatal flaw and the most challenging problem to solve in a race car.
Chilbong stepped forward to explain the issue in more detail.
“The currently applied carbon ceramic discs are designed to withstand temperatures above 800 degrees, but the problem is more about heat dissipation than heat generation itself.”
After a brief pause, he continued.
“During track driving, there are repeated instances of sudden braking followed by acceleration, leaving almost no time for the heat to dissipate, unlike in regular vehicles. This is the biggest problem.”
Since the disc temperature remains at a certain level without cooling, the fade phenomenon eventually occurs.
“Is it difficult to increase the cooling ducts?”
It was Professor Kim Se-bin, whom we had recruited during the last organizational restructuring.
He was the director of the Autonomous Aviation Technology Research Institute.
“Increasing the ducts will certainly have an effect, but it will also increase aerodynamic resistance.”
He was right, so I nodded and added my opinion.
“A structure that disrupts the airflow at the front also doesn’t align with my design philosophy for PRIME.”
“So, the solution I’ve come up with is an aerodynamically linked brake duct system.”
By creating a flap structure that automatically opens only when downforce increases during high-speed driving,
it would be a structure that doesn’t interfere with aerodynamics during normal operation while allowing forced cooling at high temperatures.
But…
“It seems like it would work well with the control algorithm developed by Han Yu-ju’s team, and it’s not a bad approach, but it’s not a fundamental solution.”
While improving cooling efficiency through the system was meaningful, it was merely a supplement, not a solution.
I continued my explanation.
“To truly solve the problem, we need to change the discs themselves.”
A material that maintains a constant coefficient of friction even at high temperatures,
and can quickly absorb and dissipate heat.
Director Kim Se-bin expressed his doubts.
“Among the currently developed disc materials, I’m not sure if there’s one that meets all the performance requirements you mentioned… Well, carbon ceramics have clear limitations, and molybdenum alloys or titanium-coated discs have good heat resistance but poor friction coefficients…”
Chilbong also nodded in agreement.
But there was one difference between him and Professor Kim Se-bin.
It was the expectant look in his eyes… like a student waiting for a teacher to provide the answer.
I smiled, erased the existing content on the whiteboard, and wrote down new words.
[Hafnium Oxide Composite Ceramic!]
Samwoo Chemical’s CEO office.
The faint afternoon sunlight stretched long across the window.
Representative Lee Kyung-su put down the documents in his hand and sighed deeply.
“So, Intech and TSMD have also pulled out?”
“…As of yesterday, we received final contract termination notices. AMC and Qualcomm will only accept deliveries this quarter and will completely switch to zirconium oxide formaldehyde afterward.”
At Deputy Manager Han Jin-guk’s response, Lee Kyung-su’s expression darkened further.
“…This is all because of those Dojin bastards.”
Lee Kyung-su clenched his teeth as he spoke.
Because Dojin had partnered with Radian Solutions to develop ‘zirconium oxide formaldehyde (ZrO2-FM)’, no one wanted to use the hafnium oxide they had created anymore.
“Thanks to a significant price reduction, some demand is being maintained, but… I don’t think it will last long.”
‘Zirconium oxide formaldehyde’ and ‘hafnium oxide’.
The performance difference was clear to anyone.
It was impossible to compete in terms of temperature stability, capacitance retention rate, durability, and other key indicators.
“So, what’s the current production line operating rate?”
“As of last week, it’s 23.4%.”
Despite reducing the price from $50,000 per kg to $30,000, the operating rate was actually decreasing.
“Volumes are down, and delivery prices are lower… At this rate, it will be difficult to cover the bills coming due next month.”
“What’s the cash situation?”
“We can probably hold out for about two weeks, but beyond that, it will be difficult without additional loans.”
At the mention of loans, a glimmer of hope crossed Lee Kyung-su’s face.
“What about the Baekshan Bank manager I told you to meet last time?”
Han Jin-guk pulled out a document with a troubled expression.
“I just received word… The credit rating was downgraded faster than expected, so the limit itself was cut.”
On the document Lee Kyung-su received, a red stamp reading ‘Loan Review Suspended’ was clearly visible.
For a moment, his lips twisted as if in a spasm.
“Damn it…”
Lee Kyung-su slammed the document down and covered his face with both hands.
After silently swallowing a few seconds of silence, he lowered his hands and muttered lowly.
“At this point… maybe we should sell the company before it’s too late and salvage whatever we can.”
“But Representative, selling the company won’t be easy either.”
When hafnium oxide was doing well, there would have been a line of buyers if we put the company up for sale.
But with zirconium oxide, a far superior alternative, available, no one would be interested in a company producing hafnium oxide.
Yet Lee Kyung-su shook his head.
“There is one place.”
“You mean there’s a buyer?”
Lee Kyung-su pulled a printed email from his desk drawer and showed it to Han Jin-guk.
[Nexus Capital – Strategic Acquisition Proposal]
“Nexus Capital…? I’ve never heard of them.”
When Deputy Manager Han Jin-guk tilted his head in confusion,
Lee Kyung-su added with a bitter expression.
“Turns out, they’re an asset management firm based in the Virgin Islands.”
As Han Jin-guk read through the contents,
he noticed traces of a fairly detailed investigation into Samwoo Chemical’s debt structure, hafnium oxide lines, research personnel, and land status.
They were proposing a ‘restructuring-type acquisition’ for a significantly lower amount compared to the assets held.
“Our situation is bad, but… isn’t the amount too low?”
“So I ignored it at first.”
But with major clients terminating contracts one after another,
and the main bank refusing loans,
the company would inevitably fall into the hands of creditors.
“It seemed better to hand it over to Nexus Capital, even at a bargain.”
“…Have you decided?”
“Not yet. There’s one condition attached, so I’m still considering.”
“A condition?”
“Turn to the last page of the document.”
On the back of the document Han Jin-guk turned over,
there was a notable phrase in the acquisition conditions section.
[Including Core Hafnium Oxide Patents]
“Core patents…”
“They said they would acquire the company on the condition that we transfer the HfO2-HGate dielectric deposition process patent along with it.”
“But transferring that patent requires Ahsung’s consent, doesn’t it?”
Since hafnium oxide itself was a patent jointly registered by Ahsung and Samwoo Chemical, Ahsung held half the rights.
“That’s why I’m hesitant. With the situation over there being like a funeral home, I’m not sure if requesting patent transfer approval will work.”
Recently, Chairman Chun Ho-tae of the Ahsung Group had been arrested, throwing the entire group into chaos.
In such a situation, requesting patent transfer was realistically unlikely to succeed.
But unexpectedly, words slipped from Han Jin-guk’s mouth.
“Perhaps… it might be possible.”
“What?”
“The king is gone, and the princes are fighting among themselves, aren’t they?”
“…”
Dojin Industries.
On the meeting room table were two iced Americanos.
Sitting across from me was Executive Vice President Oh Seong-hak.
“We’ve received a response from Samwoo Chemical.”
“As expected.”
“It seems that moving Baekshan Bank was the deciding factor.”
“They must have decided it’s better to hand over management rights while the company is still intact rather than let it go bankrupt.”
It was such a simple issue that even an elementary school student could understand.
“However, with Ahsung attaching the condition of bringing over the patents, it won’t be straightforward.”
“That’s why we agreed to help, isn’t it?”
Of course, we had never directly expressed such intentions to Samwoo Chemical.
Since I desperately needed hafnium oxide to improve the brake system,
we had simply agreed to act as a bridge between them and Ahsung.
After slowly taking a sip of coffee, I asked Executive Vice President Oh Seong-hak,
“How is the situation at Ahsung?”
At my question, Executive Vice President Oh smiled meaningfully.
“In one word… it’s a mess.”
“So, Cheon Jun-young is moving as we expected, I see.”
“Yes. Since it’s difficult to touch Ahsung Holdings, where Chairman Cheon Ho-tae holds a 32% stake, we’re currently focusing on securing shares in two of the four core subsidiaries, Ahsung Motors and Ahsung Bio.”
Cheon Jun-young aimed to secure more than 30% of the shares in Ahsung Motors and Ahsung Bio,
neutralize Ahsung Holdings, and seize management control from Chairman Cheon Ho-tae.
“It seems Chairman Cheon has chosen Cheon Jun-seok, the second son, as his successor?”
“That’s why he sent Cheon Jun-young, the eldest son, to Hong Kong.”
Cheon Jun-young, who had already fallen out of favor with Chairman Cheon due to the consecutive failures of the Titan project and battery explosions that led to the shutdown of the mobile business,
had been overshadowed by Cheon Jun-seok, who had consistently shown decent results since taking over the semiconductor division.
As a result, Cheon Jun-seok had recently been promoted to the position of Vice Chairman of the Ahsung Group.
“Anyway, continue to quietly support Cheon Jun-young’s side, as we have been. Of course, it must not be known that we are helping.”
That way, the fight with Cheon Jun-seok would remain somewhat balanced,
and it would be easier for us to swallow the Ahsung Group whole.