Jing Ji Guan Cha Wang·2025-08-27 03:19Core Viewpoint - The launch of the new generation domestic operating system, Galaxy Kirin V11, at the 2025 China Operating System Industry Conference has significantly boosted the domestic software sector, leading to active stock performance among related companies [1][2]. Company Performance - Kirin Software, the parent company of the Galaxy Kirin operating system, reported a revenue of 498 million yuan and a net profit of 120 million yuan in the first half of 2024, making it the top contributor among all major subsidiaries of China Software [2]. - China Software's total revenue for the same period was 1.984 billion yuan, with a net loss of 273 million yuan, while its stake in Kirin Software increased to 47%-52% [2]. Market Dynamics - The stock price of Kirin Xinan surged nearly 20%, despite having no equity ties to Kirin Software, indicating a competitive relationship and reflecting the overall market enthusiasm for domestic operating systems [3]. - The strong performance of the domestic software sector is attributed to a combination of policy incentives and market opportunities [3]. Policy Environment - The inclusion of self-controlled operating systems in national planning has created unprecedented development opportunities for domestic operating systems, as highlighted by a joint statement from several government departments [4]. - The China Software Industry Association projects a compound annual growth rate of 12%-15% for the software industry over the next 5-10 years, with the market size expected to exceed 15 trillion yuan by 2025 and 20 trillion yuan by 2028 [4]. Market Potential - According to Dongwu Securities, the Chinese operating system market is expected to reach 58.6 billion yuan by 2025, with domestic manufacturers poised to explore new fields and business models in the personal consumption market [5]. - The continuous updates and iterations of domestic operating systems, along with increasing government requirements for self-controlled systems, are likely to enhance the penetration rate of these systems [5]. Industrial Software Outlook - Industrial software is identified as a crucial element for high-quality development in intelligent manufacturing and is essential for the digital transformation of traditional industries [6]. - The CAD market is expected to have significant growth potential as core technologies continue to advance [6].