Chapter 375 |
There's a saying, "to be AMZ'd."
AMZ, which started as an online bookstore, expanded omni-directionally into online shopping malls, cloud services, news, content creation, streaming, AI speakers, devices, advertising, pharmaceuticals, insurance, and finance.
AMZ's expansion strategy was simple. Enter a market, don't pursue profit, and even incur massive losses to maximize scale. Once economies of scale are established, use them to further lower costs and attract more users with these low costs. This chicken game crushes competitors, allowing AMZ to completely dominate the market.
"To be AMZ'd" came to mean that when AMZ entered an industry, competing companies were doomed to fail.
Economic experts, drawing a parallel, coined the new term "to be OTK'd."
When Kang Jinhoo first invested in companies like Karos, FaceIt, and M Pizza, no one paid any attention. However, these companies have now driven out competitors and virtually dominate their markets.
Therefore, when OTK Company acquired Tugobox, a startup for video creation and sharing, rumors instantly spread throughout the industry.
Although no immediate changes were expected, related companies remained on high alert.
Everyone had a good idea of why OTK Company acquired a video platform.
The biggest buzz in the game industry recently was the currently popular Lost Fantasy Online and the announced development plans for a VRMMORPG.
OTK Games had stated that it would continue to allow internet broadcasting of Lost Fantasy on all platforms, but it was highly likely that this policy would change once the VRMMORPG was released. Might they allow game streaming only on their own platform and ban it elsewhere, or operate by charging fees only to other platforms?
Either way, they wouldn't just stand by and watch others profit from the content they created.
"But isn't that only if it succeeds?"
"It means they're confident it will succeed."
"They wouldn't pour $10 billion into development costs otherwise."
This incident brought Vice President Oh Taekgyu into the spotlight anew. The fact that the Vice President had worn a mask while hosting a game stream was revealed by Chairman Im Jinyong, who had appeared on the show.
"So, it wasn't an eccentric act, but a way to check the marketability of game streaming?"
"I can't believe he'd personally wear a mask to test it."
"That’s not something most people would do."
"Was wearing an Iron Man mask perhaps a provocation against Disney?"
Before Kang Jinhoo appeared, Warren Buffett was the world's most outstanding investor, and he is still praised and respected by many.
The person he considers a partner, friend, and mentor is Vice Chairman Charlie Munger. There's an anecdote that when Buffett is unsure about an investment, he always consults Charlie Munger, and in the end, slaps his knee and exclaims, "You're right, Charlie Munger!"
Perhaps Kang Jinhoo and Oh Taekgyu had a similar relationship.
Compared to Kang Jinhoo, little was publicly known about Vice President Oh Taekgyu. However, the financial industry had long since gathered information.
He was Kang Jinhoo's middle school classmate and had only graduated from high school.
One might look down on him for being a high school graduate, but in this field, nothing is as meaningless as academic qualifications. If not, why would all sorts of geniuses with backgrounds from Harvard, Yale, MBAs, CFAs, etc., be working under others?
"The idea that the Vice President is the real power isn't just a joke, it seems."
"Come to think of it, it was the Vice President who first established OTK Company and brought Kang Jinhoo in."
"We'll need to keep a close eye on the Vice President's movements from now on."
"He might be even more of a person to watch out for than Kang Jinhoo..."
***
Korea Electric Power Corporation (KEPCO) announced its largest deficit in history. Its stock price was not just halved but cut to a third, and investors unleashed their fury on the government.
This was because the nuclear power plant operating rate had dropped significantly this year.
KEPCO is a listed company, but it's a public corporation. Therefore, it is subject to various government controls. When international oil prices rise, refineries raise the prices of gasoline and diesel they sell.
However, electricity rates are set by the government, not KEPCO, so KEPCO profits when electricity production costs are low and loses money when they are high.
Although said to be temporary, this state of affairs could not be allowed to continue. Eventually, one of three options had to be chosen:
Increase the nuclear plant operating rate to lower costs, raise electricity prices, or have the government cover the deficit with taxes.
The government was visibly flustered but firmly stated that there would be absolutely no increase in electricity prices.
Electricity prices are directly linked to the cost of living, and raising them is a sensitive issue due to concerns about the impact on low-income households. This is especially true with an election approaching.
In this situation, Professor Nikolai Petrov, who was spearheading TWR development, visited Korea.
Just as Isaac Newton said, "If I have seen further it is by standing on the shoulders of Giants," new ideas and technologies are built upon the foundations laid by humanity.
However, even when standing on the same giant's shoulders, a taller person with better eyesight can see a little further.
In this respect, Professor Nikolai Petrov was undoubtedly a genius.
Having succeeded in the TWR experiment, he solved problems one by one. Commercialization was now only a matter of time.
As miniaturization and modularization are possible, there are plans to produce it for marine vessels as well. If TWR is used as fuel, it will have tremendous economic advantages over conventional ship fuel.
Fuel costs could be drastically reduced, and there would be no need for refueling during long voyages. Of course, safety measures against various maritime accidents would need to be prepared.
The Russian government actively supported TWR construction and export, and all countries with nuclear power plant construction plans showed great interest and joined the TWR camp. This included NATO member countries that were imposing economic sanctions on Russia.
After a short wait, Professor Petrov and his entourage walked out of the arrivals gate.
Nuclear physicists are treated as important figures in any country, but after the TWR development, Professor Petrov was designated as a subject of national security protection.
Therefore, Russian government bodyguards accompanied him on this trip to Korea. Men in black suits, with model-like proportions, sunglasses, and earpieces, flanked him.
If anything were to happen to him, it could escalate into a diplomatic issue between Korea and Russia. Therefore, National Intelligence Service agents controlled parts of the arrivals hall, ensuring thorough security.
I greeted him warmly.
"It's even better to see you here in Korea."
Professor Petrov smiled brightly.
"Haha, it's been a while."
A balding, middle-aged man standing next to me bowed respectfully and said in English,
"Welcome to Korea. I am Kim Yongjun, President of Korea Hydro & Nuclear Power."
Professor Petrov shook hands with him.
"Pleased to meet you. I have long been aware of Korea's outstanding nuclear technology. I am delighted to meet you like this."
Professor Petrov's visit to Korea was at my invitation.
First, he would visit Korea University to meet with nuclear engineering professors and students, then tour Korean nuclear facilities with other researchers, and meet with KHNP officials.
***
The Blue House issued no particular statement, but the whole world was watching Professor Petrov's visit to Korea. The Korean nuclear industry, in particular, had very high expectations.
I headed to Korea University with Professor Petrov. The Korea University professors had already gathered in one place.
Professor Kim MyoungJun beamed.
"Thanks to my student, I don't know how many Nobel laureates I've met."
"Professor Petrov hasn't received it yet."
"Even if not this year, won't he surely win the Physics prize next year?"
"That's probably true."
It would indeed be strange if he didn't get it.
The nuclear engineering professors, who train Korea's top nuclear engineers, warmly welcomed Professor Petrov. Emeritus professors, who could be considered elders, also came. These were the people who had built Korean nuclear technology from scratch, now white-haired old men.
Without these individuals, Korea could not have dreamed of building nuclear power plants with its own technology.
Attendance at the lecture was prioritized for students from the nuclear engineering and nuclear physics departments. Korea University students applied first, followed by students from other schools.
The remaining seats were taken by Korea University engineering students. The main auditorium was packed with them. Even folding chairs from storage were mobilized, but there still weren't enough seats, so some sat packed on the stairs.
The opportunity to meet a world-renowned scholar is rare.
Among them, surprisingly, was Princess Enrique. Or perhaps, now that she's a Korea University engineering student, it wasn't surprising?
First, I went up to the podium and said to the students,
"I present to you, Professor Nikolai Petrov!"
***
After the Nishida Securities scandal that rocked international finance and Japanese politics, Prime Minister Okazaki dissolved the Lower House and held another general election.
The result, as always, was a victory for the Liberal Democratic Party (LDP).
Although the world was aware of the peculiarities of Japanese democracy, this LDP re-election was surprising.
Which government on earth could lose 2 trillion yen of national pension funds and still win an election?
Although successful in regaining power, the LDP's number of seats was greatly reduced. However, the Democratic Party, which had been the main opposition, did not increase its seats either.
So, who took the remaining seats? The party that made the most significant gains in this general election was none other than the Japan Innovation Party (JIP).
The LDP, as everyone knows, is a conservative right-wing party. But the JIP was an incomparably more extreme far-right party.
Compared to them, the LDP looked like a moderate centrist force.
"The Nishida Securities scandal has made Japan a laughingstock to the world! What happened to Prime Minister Okazaki's slogans of 'Strong Japan' and 'Restoring Japan's past'? When will the constitutional amendment for a 'normal country' actually happen? How long must Japan bow its head, wary of neighboring countries?"
Kato Nakamura, President of the Japan Innovation Party, shouted that if he won and became Prime Minister, he would hold Korea accountable, even if it meant going to war.
"Japan protected Korea from the Western powers and led Korea onto the path of modernization! Yet Korea, ignorant of this benevolence, is hell-bent on exploiting Japan! They fabricated 'comfort women' and 'forced laborers' to demand compensation from Japan, and not content with that, they committed fraud to plunder 2 trillion yen of Japanese citizens' retirement funds! Since when did Japan become such a pushover? I and the members of the Japan Innovation Party will definitely hold the Korean government accountable and restore this!"
A large number of anti-Okazaki faction members, who were a minority within the LDP, defected to the Japan Innovation Party. As far-right populism took hold effectively, the JIP succeeded in increasing its seats from a mere 11 to an astonishing 73.
The Nishida Securities scandal was also linked to the Prime Minister's personal corruption. Therefore, it was wisest not to bring it up at all.
Prime Minister Okazaki and LDP members avoided mentioning it as much as possible, but the Japan Innovation Party kept harping on the issue.
JIP members also spewed hardline remarks in the Diet.
"Kang Jinhoo must kneel and apologize."
"Korea's insolence must be corrected."
"At this rate, reclaiming Takeshima will also be impossible!"
"We must also consider severing diplomatic ties with Korea!"
President Kato Nakamura argued that the Nishida Securities scandal should be resolved together with the forced labor compensation ruling issue and the comfort women issue.
"It may seem like there are multiple problems, but the essence is simple. It's that Korea is trying to subjugate Japan and extort money. The solution is also simple. The Japanese government must hold the Korean government accountable, prepared for severed ties and even war. If Japan backs down here, it will be reduced to a laughingstock in the international community."
For the Japan Innovation Party, it was practically a no-lose situation.
If Prime Minister Okazaki did nothing, they could continue to hurl criticism; if he took action, they could take credit for it.
The LDP was well aware of this point, but to avoid being outdone, they had no choice but to adopt a hardline stance.
Prime Minister Okazaki issued an official statement.
"We urge the South Korean government to promptly resolve the issues regarding OTK Company's compensation and apology, the implementation of the comfort women agreement, and the seizure of Japanese corporate assets following the forced labor compensation rulings. If actual damage to Japanese companies occurs, the Japanese government will respond with various sanctions, including tariff hikes, restrictions on transactions with related companies, and remittance limits."
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