"That's far too much."
Tate shook his head slightly, feeling that Xingtu Technology was far too greedy—a bloodsucker even greedier than Qualcomm. He complained, "Mr. Lin Feng, I believe a patent fee of 20% of the net wholesale price is too high. Manufacturing costs money, purchasing production equipment costs money, trial production costs money, and advertising and marketing cost money.
"You take 20% of the net wholesale price right off the bat. That's simply too high. There won't be much profit left for us."
Faced with Tate's complaints, Qu Qiongying, standing nearby, shook her head slightly and said, "Mr. Tate, please look at the total production cost first.
"The core components used in our Second-generation Coin-style Electromagnetic Rifle are all common parts that have been manufactured and sold on the market for many years. The processing and manufacturing difficulty is not particularly high either.
"If this Second-generation Coin-style Electromagnetic Rifle were mass-produced domestically, the average production cost per rifle would only be 500 Xia yuan. Even after taxes, there would still be profit selling it for 1,200 Xia yuan.
"And we certainly cannot sell such an outstanding Second-generation Coin-style Electromagnetic Rifle for only 1,200 Xia yuan. Even selling it for 2,000 Xia yuan would be an insult to it.
"I believe the factory price of this rifle should be at least between 2,500 and 4,000 Xia yuan. Even at a retail price of 5,000 to 6,000 Xia yuan, it would still sell.
"Under such circumstances, with such low production costs and such high prices, both sides stand to profit—and profit handsomely.
"So I don't think taking 20% of the net wholesale price for each Second-generation Coin-style Electromagnetic Rifle is high at all. It is a very reasonable price."
Hearing Qu Qiongying's well-founded analysis, everyone present fell silent, because what she