Mid-September.
The new Galaxy Games factory had finally been completed. Next, the construction crew would move on to building a small office block and paving the rest of the grounds with concrete, putting up fences, and finishing other infrastructure — all while keeping the workshop in operation.
To speed things up earlier, Lin Baicheng had insisted on getting the main workshop built first, even if it meant cutting corners elsewhere. That would mean higher costs for the finishing work later, but he didn't mind. The sooner production began, the sooner profits would roll in — and that made every dollar worth it.
Once the workshop was ready, Lin oversaw the installation of six new production lines he had purchased long ago.
Arcade machine production lines weren't that expensive — cheaper ones cost only a few hundred thousand Hong Kong dollars each. Originally, Lin couldn't afford top-tier equipment, but the unexpected order from Phil Smith had changed everything. With cash to spare, he upgraded all six to the best available models. Even after a bulk discount, each still cost 1.5 million HKD, for a total of 9 million HKD.
It was a hefty investment, but absolutely worth it. With each line fully staffed by 30 workers running continuously, one line could produce 100 arcade cabinets per day. Six lines meant 600 units daily, and together with the two older lines, total capacity exceeded 800 units per day.
That meant a 10,000-unit order could now be fulfilled in just over two weeks — an enormous boost in efficiency.
By this time, Taito Corporation (太东株式会社) had already received part of its motherboard shipment. Since Taito still needed to assemble the machines themselves, Hong Kong Blocks hadn't yet hit the Japanese market — but that moment was close.
Once the new factory and production lines were operational, Liu Yihui assigned staff to start work immediately, pairing experienced hands with newcomers to maximize output.
Because the two older lines were dedicated solely to producing motherboards for Taito, the daily number of full arcade units assembled was a little over 500, slightly below capacity. That was mainly due to worker inexperience and inevitable minor mishaps — unavoidable in any growing operation.
Lin kept the three-shift system, with each worker doing eight hours a day. It was the only way to push production to its limits.
Of course, that came at a cost. With over 600 workers on the lines, plus security, porters, and support staff, the factory now employed more than 800 people.
Fortunately, base wages for assembly-line workers weren't high. With the shifts evenly distributed, the average salary per worker was just over HKD 500 per month, meaning Lin's total payroll amounted to roughly HKD 400,000 monthly.
That didn't worry him much. Even selling his cheapest arcade machines in Hong Kong or on Wan Island, he earned HKD 2,500 profit per unit. Selling fewer than 200 machines a month would already cover all salaries.
Still, that assumed continuous profit. Otherwise, HKD 400,000 in monthly wages — or HKD 5 million a year — could easily become a heavy burden.
With Liu Yihui managing the factory, his sister Lin Shufang handling finance, and the Baisheng Securities stock acquisitions proceeding smoothly, Lin barely needed to lift a finger.
Most of his time was now spent with Shigeru Miyamoto and the dev team, focusing on the new game's development.
The design for Pac-Man was already fully formed in Lin's memory, so there was no need for trial and error. With Lin guiding them personally, progress was fast — nearly half the game was already complete.
If all went as planned, the project would be finished before the Los Angeles Trade Expo, allowing Lin to present both Hong Kong Blocks and Pac-Man there together.
By late September, as October approached, Taito finally began distributing Hong Kong Blocks to Japanese arcades.
To Lin's surprise, their retail price was far higher than his export price — USD 2,000 per unit, compared to his wholesale price of USD 1,500.
Without including the exclusive agency fee, Taito's motherboard purchase price was USD 1,200 each. Even with the cost of parts and assembly, the total expense per unit likely didn't exceed USD 1,500–1,600, meaning Taito earned USD 400–500 profit per cabinet.
In practice, once sales started flowing, that exclusive agency fee of USD 2.5 million barely counted as a cost. Selling 6,000 machines would already recover it.
When Lin learned of the pricing, he couldn't help but feel his exclusive licensing fee had been far too low — even doubling it wouldn't have been excessive.
He also realized the North American license he'd sold to Phil Smith had been underpriced too. After all, the U.S. market was even wealthier than Japan, and Smith held exclusive rights across all of North America.
Still, Lin comforted himself:
"At least I'm earning USD 700 per motherboard, or USD 800 per full machine. That's not bad at all."
Compared to other companies, his margins were astronomical. Traditional developers spent massive sums on R&D, and one failed prototype could burn through months of funding. But Lin — armed with future knowledge — could skip all that waste. His development costs were almost negligible.
In most companies, they'd have to sell thousands of units just to break even.
Even though he thought Taito was earning handsomely, Lin still monitored their launch closely, receiving daily reports from Yamada Hideyoshi.
At first, Taito sold 1,000 machines in a single day — thanks to their powerful distribution network. But that alone didn't guarantee long-term success; if arcade owners didn't profit, the follow-up sales would vanish.
Yet within two days, more orders started coming in — and they kept growing. Within a week, Taito had completely sold out their 5,000 assembled units and began pressuring Galaxy Games for faster deliveries.
That was excellent news. Lin immediately reassigned two new lines exclusively to motherboard production. This would yield 400–500 boards per day, enough to complete all remaining orders within two weeks.
The best part? Taito, thrilled with sales, transferred the remaining 50% payment upfront — another USD 6 million — straight into Galaxy Games' account.
Lin Baicheng smiled.
Another huge payday had just arrived.