Dosilicon(SH:688110) Hua Xia Shi Bao·2025-09-03 12:24Core Viewpoint - Dongxin Co., Ltd. (688110.SH) has resumed trading and experienced a stock price increase of over 14% at one point, closing with a 1.17% rise at 119.38 yuan per share, resulting in a market capitalization of 52.8 billion yuan. The company announced an additional investment of approximately 211 million yuan in Shanghai Lishuan Technology Co., Ltd. (Shanghai Lishuan) [2][3][4]. Investment and Financial Performance - Dongxin Co. plans to invest approximately 500 million yuan in Shanghai Lishuan, with its own contribution being about 211 million yuan, acquiring around 35.87% of the company's shares post-investment [3][4]. - Shanghai Lishuan, established in April 2022, focuses on the development of scalable GPU chips and has yet to generate revenue, reporting continuous losses of 210 million yuan and 155 million yuan for 2024 and the first seven months of 2025, respectively [4][5]. - Dongxin Co. has previously invested 200 million yuan in Shanghai Lishuan in August 2024, with the company's pre-investment valuation rising from approximately 200 million yuan to 3.5 billion yuan within a year [6]. Business Strategy and Market Position - Dongxin Co. aims to enhance its core competitiveness through this investment, aligning with its integrated strategy of "storage, computing, and networking" [4][8]. - The company has faced increasing pressure on profitability, with net profits declining in 2023 and 2024, reporting losses of 306 million yuan and 167 million yuan, respectively. The first half of 2025 saw a revenue increase of 28.81% to 343 million yuan, but a net loss of 111 million yuan, a decline of 21.78% year-on-year [7][8]. Market Dynamics and Future Outlook - The investment in Shanghai Lishuan reflects a complex duality in the semiconductor industry, where investments in loss-making tech companies can signify forward-looking strategies but also carry significant risks [5][10]. - The success of Shanghai Lishuan's core product, the 7G100 GPU, is critical for future revenue and profitability, with its market acceptance and competitive positioning being key factors [5][9]. - Experts suggest that achieving true business synergy between storage and GPU technologies requires deep technical integration and effective communication between R&D teams, which poses substantial challenges [5][10].