Ge Long Hui·2025-11-02 14:12Core Insights - Apple's market capitalization has surpassed $4 trillion, making it one of only three companies to achieve this milestone, driven by optimism around its AI strategy and the technological evolution of its core product, the iPhone [1] - The upcoming iPhone 18 Fold is expected to utilize a titanium-aluminum hybrid frame, indicating a significant shift in material usage that could reshape the industry [1][2] Group 1: Material Innovation and Product Development - Apple's renewed focus on titanium alloys is a strategic response to material technology advancements, product experience upgrades, and competitive market strategies [1] - The iPhone 18 Fold's design addresses the challenges of foldable screens by using titanium in high-stress areas and aluminum in non-core parts, balancing strength and weight [2] - Titanium's properties, being nearly twice as strong as aluminum and 40% lighter than stainless steel, make it an ideal choice for the iPhone 18 Fold, potentially keeping the device's weight under 250 grams [2][3] Group 2: Market Dynamics and Competitive Advantage - The widespread adoption of titanium alloys in Apple's products is expected to create a significant ripple effect across the consumer electronics industry, prompting other manufacturers to follow suit [4] - Tian Gong International, a key supplier of titanium alloys to Apple, is well-positioned to benefit from this trend due to its established technological barriers and customer relationships [4][5] - The global market for titanium alloy frames in smartphones is projected to reach 43.2 billion yuan by 2027, with the foldable smartphone hinge market expected to reach 33.3 billion yuan [4] Group 3: Company Performance and Future Outlook - Tian Gong International has demonstrated strong financial performance, with a net profit of 204 million yuan in the first half of 2025, reflecting a 10.4% year-on-year growth [7] - The company is expanding its production capacity to meet the anticipated demand for titanium alloys, with plans to increase its annual output to over 10,000 tons [6] - The successful delivery of titanium alloy wire for aerospace applications indicates broader market acceptance and potential for long-term growth [7]