Chapter 166

Chapter 166

I went down to the underground parking lot with Taek-gyu.

“What happens as soon as you return to Korea?”

“I was originally going to contact you, but I waited until I came back to Korea.”

“What’s going on?”

“I have something to show you.”

When I tried to get out of the car, Taek-gyu got into the driver’s seat first.

“You don’t drive for a while. Write an article if necessary.”

I nodded.

“That would be better.”

Also, there is no law telling you not to lose your mind by seeing foresight like last time. If that happens while driving on the highway, it is a major accident.

Not only driving, but also extreme sports for a while.

“You didn’t do anything like that.”

“It is not.”

I sighed.

“I’m not a narcolepsy patient… … .”

I’ve never really paid much attention to this issue. But after waking up after sleeping for a week, I get a little worried.

There is nothing directly wrong with the body, is that fortunate?

OTK Company’s battery research institute, also known as OTK Research Center, is located in Yongin. It’s not too far from Gangnam, and there’s also the Seoseong SB Research Center nearby.

If it’s Yongin, it’s not too far from Dongtan.

If I had known this would happen, would I have gone down with my mother?

I called while Taek-gyu was driving to make sure my mother had arrived.

“By the way, what exactly is the research doing in the lab?”

“We are developing a new battery material.”

At the time when I was walking around to create an OTK research lab, Taek-gyu was also quite busy making the OTK Magicians, a professional game team. So, I had never seen Professor Ho-Min Kim, and knew very little about the circumstances of the institute.

I briefly explained.

“Most of the batteries currently in the market are NCM batteries.”

“Was NCM an underdog?”

“Huh. Abbreviation for nickel, cobalt, and manganese. It is called a ternary battery because it is made by mixing these three things. But the problem is that cobalt is too expensive.”

“Why is it expensive?”

“It is a rare metal. Half of the world’s reserves are buried in Congo, and supply is unstable because of the civil war.”

Basically, the price of a commodity is determined by supply and demand. When there is more supply, the price goes down, and when there is more demand, the price goes up.

“There are some jokes in the middle.”

Cobalt ore is usually mixed with impurities such as arsenic and sulfur, and the content is only 30%. In order to extract only cobalt from it, advanced processing technology is required.

“But this processing market is a monopoly of three companies.”

The original talent is beyond the bear, and the money is taken care of by people. Processors earn more than miners.

Here, even speculative demand is extreme.

“Are they living for nothing they need?”

“If it’s a job that makes money, what can’t you do?”

Similar things have happened countless times in the past.

As crude oil prices soared before the financial crisis, speculators and hedge funds started hoarding oil. They bought not only futures but also in-kind, and as a result, there was no longer enough facilities to store crude oil. Later, he rented a tanker, loaded it with stockpiled crude oil, and floated it on the sea for storage.

However, gold and crude oil have a large trading volume and are virtually no different from real currencies, so speculation has a limited effect on price fluctuations.

However, cobalt prices fluctuate due to speculative demand as supply and demand are limited.

It has more than quadrupled in just a few years, and it is unclear how much more it will rise in the future.

“So you are trying to make a new material that can replace cobalt.”

“answer.”

Not only us, but all battery makers. Everyone was in the midst of research to reduce the cobalt content used in cathode materials.

* * *

A company is like a living organism, and it does not stand still for a moment.

Although Faceit and M Pizza are making huge profits every quarter, they reinvested with little profit to grow the market and increase their share. There was no money coming into OTK Company because it did not pay dividends. Most of the other companies we’ve invested in did as well.

OTK Games, on the other hand, had a slightly different situation.

It is no exaggeration to say that Shigeru Ichikawa, who is in charge of development, has been with the history of RPGs. He had a deeper understanding of RPG’s progression and fun than anyone else. As a bonus, how to induce sage.

Thanks to this, Lost Fantasy M has maintained the No. 1 spot in mobile games since its release until now, and it was also a hit in Southeast Asia, Europe, and the United States, which were released after Korea and Japan.

While the manufacturing industry has an average operating profit ratio of around 10 percent to sales, the game industry has an operating margin of over 50 percent in some cases.

When it comes to manufacturing costs, labor costs and marketing costs are fixed costs that have nothing to do with sales volume. Therefore, if sales exceed a certain amount, from then on, all profits are net profit.

With the success of Last Fantasy M, OTK Games literally swept money. In addition, we paid quarterly dividends for the remaining amount, leaving only the development cost of new products.

Originally, OTK Games was 100% owned by OTK Company, but after the game’s success, Shigeru Ichikawa and the developers exercised stock options and took 12% as their share. So, the current OTK Company’s stake is 88%.

We’ve already earned tens of millions of dollars in dividends, and I’ve invested that money generously in Battery Labs.

A research institute is nothing more than a hippopotamus that eats money if there is no performance Without OTK Games, we would not have even dared to establish one.

Therefore, it can be said that Taek-gyu’s contribution to the establishment of the OTK Research Center is very large.

I came here once when it was first made, and after that, I couldn’t come because I was busy. This is my second visit, and Taek-gyu’s first.

When I contacted him that I had arrived, Professor Homin Kim came to meet me in front of the research center. Just like the first time I saw it, it was sloppy.

“Good morning. Long time no see.”

“You look healthy. Are you okay now?”

I smiled.

“I was lying on the floor for a while, but the article was exaggerated. That’s what the media is like.”

“I’m glad. I was very worried.”

Professor Homin Kim also greeted Taekkyu.

“Now let’s go in.”

We followed Professor Homin Kim inside.

Since the research center is a security-critical facility, various security devices including surveillance cameras are installed, and X-Cop bodyguards work in shifts 24 hours a day.

I gave the head of the research institute the authority to purchase expensive equipment or hire the necessary manpower. Of course, we were responsible for the salary negotiation and purchase negotiation.

Professor Homin Kim moved to the laboratory, and all the researchers he worked with followed.

Although the professor enjoys high social status and fame and earns enough money to make money, most of his assistants and researchers have been plagued by bails and job insecurity.

I paid them a yearly salary higher than that of a large company and guaranteed employment for at least 10 years.

Here, Professor Ho-Min Kim invited people who had met during the doctoral and post-doctoral studies at MIT to the institute.

They liked the fact that they didn’t have any touch on the field of study and the achievements.

Domestic universities or government-funded research institutes should not do the research they want to do, but rather do the research they ask for. And if the results are not achieved within the specified period, the application must be stopped or moved.

This does not necessarily mean that this approach is wrong. It is also necessary to develop the necessary skills quickly. It is true that many achievements have been achieved in this way.

However, depending on the research project, in addition to achieving results in the short term, there are also things that need to be monitored in the long term.

Well, even if I say this, the reason I am applying is because I know that Professor Homin Kim is going to win the Nobel Prize in Chemistry.

Professor Homin Kim led us to the laboratory. Researchers had already gathered there.

By the way, when you think of a research institute, you tend to imagine elite researchers gathered in a state-of-the-art facility just like in a movie or a drama.

However, the actual laboratory was not much different from a normal building, and the researchers were all wearing crocs and training suits. Her hair was so thick that she didn’t know when she would have washed it, and the white robe was dripping with soy sauce.

If I didn’t wear a gown, I’d think I was homeless, not a researcher.

okay. This is the reality.

Contrary to their scruffy appearance, they had a recalled expression and eyes as if they had accomplished something.

“What happen?”

Professor Ho-min Kim answered my question in a passing tone.

“We have created a new material that can replace cobalt.”

At those words, Taek-gyu and I were surprised at the same time.

“Hey, is that really true?”

I expected results in a few years, but isn’t this too soon?

Currently, cobalt price accounts for more than 30 percent of the manufacturing cost. If a ternary battery can be made from a material other than cobalt, the battery price can be greatly reduced.

In other words, it can have superior price competitiveness compared to other companies.

Professor Homin Kim scratched his head.

“Don’t like it too much. There are some problems.”

“What?”

“We’ll have to do some more research, but for now, it’s 20 percent more expensive than cobalt to produce the same amount of new material.”

“… … Yes?”

we’ve gone crazy

Taek-gyu rubbed his eyes and asked me in a low voice.

“How is this different from saying it takes $120 to make a $100 counterfeit bill?”

“… … .”

Huh. Same.

When I asked them to develop a different material because cobalt was expensive, I thought they would develop a more expensive material!

I was disappointed, but changed my mind. It’s more expensive now, but wouldn’t that change if the price of cobalt rises further in the future?

If you think about it, it was the same with shale gas. Methods for extracting gas and oil from shale formations have been developed. Before that, it was not possible to try because the profitability was not good, but as high oil prices continued, it came into the spotlight as a new technology.

Above all, it is a great advantage to be able to secure raw materials stably without instability in supply and demand. Maybe we can find a way to lower the unit price through mass production.

Professor Homin Kim, seeing our expressions, smiled.

“It’s still too early to be disappointed. There is one more thing.”

“What?”

Professor Homin Kim held two round batteries in both hands. Same size, but red on the left and blue on the right.(Read more @ wuxiax.com)

“Do you know what this is?”

I nodded.

“It’s 18650.”

“right. It is a universal battery that can be used for smartphones, tablets, laptops, drones, etc.”

“It is also used in electric vehicles.”

The reason is because the price is cheap. Nearly 10,000 of those circular batteries are used in Nikola EVs.

“The left is the existing NCM battery, and the right is the battery using new materials. The 18650 is usually around 3000mAh. So, how much capacity do you think the battery will have using this new material?”

“I do not know.”

Professor Homin Kim said calmly.

“This blue battery in my right hand is 7000mAh.”

“Yes?”

I was more surprised than before. But his words weren’t over yet.

“The charging speed is also four times faster than before. In other words, doubling the capacity can cut the charging time in half.”

“… … .”

I’m at a loss for words.

Currently, there are three major problems with electric vehicle batteries. First price, second capacity, third charging speed.

By the way, we have found a way to solve these two problems!

Professor Homin Kim smiled brightly.

“In theory, yes. For fast charging, you need to make a battery with a material suitable for fast charging and use a charger that is suitable for that, but the actual speed may be slightly different in the process. But the real problem is… … .”

Professor Homin Kim placed the two batteries on the table. Then he picked up a thick major book on one side and lightly slammed the red battery. Nothing happened.

This time he did the same on the blue battery.

Whoops!

In an instant, sparks rose on the surface of the battery with an explosion sound. Then it started burning the entire battery.

As if familiar with this kind of thing, the researcher next to him sprayed a spray-type fire extinguisher as if nothing had happened.

“As you can see, it is very unstable. It explodes quickly with a slight impact. If the stability of the NCM battery is 10, this is not even 1.”

I remembered a story I had heard before.

In ternary batteries, capacity and stability are inversely proportional. Since the capacity has more than doubled, it is natural that the instability increases.

“Can we fix it?”

Professor Homin Kim smiled.

“Well. You should do it from now on.”