SIASUN(SZ:300024) Xin Lang Zheng Quan·2025-09-04 07:01Core Viewpoint - Chasing Technology officially announced its entry into the automotive industry, aiming to create the "fastest car in the world," with its first ultra-luxury electric vehicle set to debut in 2027, directly competing with Bugatti Veyron [1] Group 1: Technological Foundation and Global Presence - Chasing Technology's decision to enter the automotive sector is backed by a long-term vision, having drafted its first car plan as early as 2013 [2] - The company has accumulated significant technological expertise in high-speed digital motors, smart sensing, and AI algorithms, with a total of 6,379 global patent applications by the end of 2024, of which 45% are invention patents [2] - Its patents cover key areas in smart automotive technology, providing a solid technical foundation for its vehicle production [3] - The company has established over 6,000 offline channels in more than 100 countries, boasting a user base of 30 million, which will support its high-end automotive brand's marketing and service [3] Group 2: Challenges in the Automotive Sector - The automotive industry is characterized by long cycles, heavy investment, and slow returns, with intense competition leading to the exit of many smaller players [4] - Chasing Technology is not yet publicly listed, limiting its financing capabilities, and faces uncertainty regarding its ability to support mass production with its asset-light model [4] - The company’s core business in robotic vacuum cleaners is under pressure, with a projected global market share of 8% in 2024, ranking fifth, and a revenue of 15 billion yuan, nearly doubling from 2023, but with a 6% decrease in gross margin and a 12% drop in average selling price [4] Group 3: Strategic Approach and Market Positioning - Chasing Technology employs a "left-hand and right-hand model," where the left-hand represents its ODM business for cash flow, while the right-hand focuses on self-developed vehicle projects [5] - The company aims for a differentiated strategy by targeting the ultra-luxury electric vehicle market, avoiding direct competition with mainstream brands like Tesla and BYD [6] - Plans include launching vehicles overseas before entering the domestic market, with a focus on high-end branding [6] Group 4: Internal Challenges and Future Prospects - Progress on vehicle production has faced delays, with the first model still in the design review stage, and the original production timeline for February 2027 is no longer emphasized internally [7] - The company plans to showcase prototype vehicles to attract financing, but internal confusion exists regarding priorities between prototype development and ODM operations [7] - The automotive venture reflects a broader trend among Chinese smart hardware companies seeking new growth avenues amid increasing competition in the cleaning appliance market [8] Group 5: Industry Context and Competitive Landscape - Chasing Technology's entry into the automotive sector highlights the maturity of China's electric vehicle supply chain, allowing for lower barriers to entry [10] - The ultra-luxury market remains dominated by traditional brands like Bugatti and Bentley, which are slow to adopt electric and smart technologies, providing a competitive edge for Chasing Technology [10] - The company’s ability to transition from a successful cleaning appliance brand to a notable automotive player remains uncertain, with significant challenges ahead [10]