The first version of the Tiger Algorithm has achieved results beyond Meng Fanqi's expectations, which may be due to the fact that the detection and investigation algorithm in the following years has reduced the speculative methods.
It is also possible that the choice of region is more prosperous, and the overall economic situation in California is leading in the United States, at about the top five or seven levels.
In economically developed areas, such speculative behavior will always be more common.
However, in any case, the Tiger Algorithm alone has already been tested to have an initial improvement of close to 10, and even with conservative estimates, the final profit will exceed 6-7.
According to the 2013 financial report, Google's advertising revenue for the 14th quarter should be around $12.5 billion, with the amount likely to be around $1 billion due to the new algorithm.
A quick look at bit.ly/3iBfjkV will leave you more fulfilled.
Although according to the agreement, Meng Fanqi can only draw 30% in 2014 and 10% in 2015, receiving $3 billion within three months is already an unprecedented myth.
Moreover, this achievement was accomplished in less than a week.
What Meng Fanqi did not expect was that this matter had even directly affected Google's board of directors.
It's no wonder that the quarterly growth is usually at most single digits, and this time, with the sudden increase of nearly twenty percent due to the algorithm improvement, the directors who receive the bulk of the dividends would not fail to notice.
They just didn't expect it to happen so quickly.
Today, Google, with a market value of tens of billions of dollars, is a Silicon Valley legend, and the board of directors of this legend is led by the core trio of founders Sergey Brin, Larry Page, and former Google CEO Schmidt.
Google's most core and successful advertising revenue method is what Schmidt brought to Google.
Schmidt, who is no longer the CEO of Google, has not completely retired and still uses his old experience and extraordinary wisdom to advise Google.
Over the years, his shrewdness has steered Google through many risks, even when there were no signs of trouble.
This also proves how correct and wise it was for the two founders to bring him on board.
The trio has always operated in a dynamic and static mode.
Schmidt is responsible for overall leadership, proposing many plans in an attempt to maximize Google's profits and wealth.
The two founders, as technical geniuses, have veto power over overall strategy and technology.
If it weren't for Brin and Page, Google wouldn't have its strong search technology and unique spirit, but without Schmidt, Google would lack the strongest revenue-generating ability.
Without the ability to gradually extend into so many other areas, Google would also lack the enormous energy to reshape the internet landscape.
Perhaps only someone like Schmidt, who has a strong technical background (Bell Labs) and has achieved remarkable success in the field of operations management, can work so equally with Brin and Page.
And Schmidt, as the one who has dug up the potential of Google's advertising from the source, is naturally the one who can best understand the power of this algorithm update.
The profit judgment for the next quarter of the advertising department is on the table of the board of directors, and everyone cannot ignore the increase of more than ten percentage points.
An estimated increase of about 5-6% is expected, and about 10% is due to the algorithm.
The key is that this thing does not require any cost, it is just an optimization of the ranking of recommended results under existing conditions.
A profit without investment.
"Genius, truly a money-making genius." Schmidt deeply knows how many rounds Google's advertising system has been optimized, and being able to easily pull out 5-6% from it is the result of the entire department's efforts.
Meng Fanqi, acting alone, has achieved an improvement of over 10. Such outstanding money-making ability cannot help but be appreciated by the members of the board of directors.
Google's revenue also needs to deduct some invisible costs known only to the directors, and the actual effect of the algorithm improvement is actually better in the eyes of the directors than Meng Fanqi expected.
However, in addition to joy, they also found that the proportion of the algorithm provider's share seemed somewhat astonishing.
"Who signed this damn contract? According to this calculation, three billion in one quarter, ten billion in one year." After discussing the matter, Schmidt suddenly mentioned this astonishing test result and the exaggerated share amount.
It's no wonder Schmidt said this. As one of the three giants of the board of directors, he has only made a few hundred billion dollars from Google over the years.
Founder Larry Page, with a net worth of $23 billion this year, has also made it to the top 20 of the global rich list.
Now suddenly a newcomer has come and with just one algorithm, has taken away so much. It's unreasonable no matter who looks at it.
"Jeff signed it." On the other end of the video conference, Page's face darkened. It was Jeff who signed it, but as the current CEO, the share contract was approved by him.
"Jeff and Hinton both think he is an irreplaceable talent in the AI field."
"How did a talent in artificial intelligence end up writing advertising methods?" Schmidt was a bit speechless. In his view, this contract was a bit unreasonable, and he wouldn't have signed it even if it were him. "What's going on, so much profit has been given away."
"How the hell was I supposed to know he was so good at advertising algorithms?" In 2011, Page took Google back from Schmidt and boldly cut off the revenue-poor projects.
He agreed with Jeff and focused on projects related to autonomous driving and artificial intelligence. This time, hiring Meng Fanqi was also for these projects."Inviting you in to work on artificial intelligence, but you ended up just doing ad placements for me? You really are something." Page's mood was both happy and complicated at this moment.
He thought to himself, no wonder Jeff's expression was so strange when he came back, he probably had already noticed something.
Originally, those image and artificial intelligence projects, even if they could bring in tens of millions, would take at least a year, right?
Who could have expected that Meng Fanqi would completely change to a completely different track, waiting to see the 14-year financial report and share the money before the person even arrived.
Inviting you in to milk the cow, but you ended up grabbing a sheep and ruthlessly plucking its wool.
And it was specifically the one that the farmer cared for the most.
But, after all, getting more shares still meant earning more. Schmidt was the first to be concerned about the amount of the shares.
But seeing that it was only 30% in the first year, and 10% in the second year, he still felt it was acceptable.
After all, the sheep had gotten quite fat, gained a few pounds, and having less wool was not a big deal.
But the three of them had no idea that this was just the first move of Meng Fanqi's three-part ad campaign.
It should be noted that three billion US dollars, even for the three board giants, was not a small number.
Even after Elon Musk sold off Tesla stock worth only 360 million because he suspected his wife of having an affair with Brin, each of Meng Fanqi's moves made the three board members repeat this feeling of heartache and then feel it was acceptable again.
Fortunately, Meng Fanqi didn't have much to remember in this regard. After a few rounds of moves, his tactics were exhausted.
This way, there were no conflicts with the board members during his tenure due to profit matters.
"The amount of the shares is too large, it's impossible to give too much cash. Equity, tax avoidance, different state laws still have room, this matter needs to be arranged by someone." Schmidt made the final decision on this matter, "Cash still needs to flow to more valuable places."
If Meng Fanqi were here, he would be very clear about what Schmidt meant by "more valuable places," which was the smart home company Nest.
In January 2014, Google acquired Nest for 3.2 billion US dollars, the largest acquisition since acquiring Motorola.
The profits Meng Fanqi ultimately took away in a year solely through the recommended ad algorithm were comparable to this acquisition. Considering this situation, this contract was indeed signed a bit out of line.
Meng Fanqi, who was still immersed in writing code, was completely unaware that, in addition to Google's board of directors, a former senior Google executive had also taken notice of him.
And was about to make contact.