Core Viewpoint - Chip stocks experienced a significant decline in the afternoon trading session, with major companies like Hua Hong Semiconductor, ASMPT, and SMIC seeing notable drops in their stock prices. The market is reacting to the news of NVIDIA's CEO Jensen Huang visiting China and the potential approval of the H200 chip for entry into the Chinese market, which could address the domestic AI industry's high-end computing resource shortages in the short term, while the long-term logic of domestic AI chip substitution remains unchanged [1]. Group 1 - Hua Hong Semiconductor (01347) fell by 4.89%, trading at 116.7 HKD [1] - ASMPT (00522) decreased by 4.84%, trading at 104.2 HKD [1] - SMIC (00981) dropped by 3.28%, trading at 76.7 HKD [1] Group 2 - The approval of the H200 chip is expected to accelerate the development of large models and promote the iteration of AI applications in the domestic market [1] - First Shanghai's report indicates that the impact of the H200 on the domestic computing power industry chain is very limited, as the primary application scenarios for H200 are in training, while domestic computing power focuses on small to medium models and inference applications, leading to low overlap in application scenarios [1] - By 2026, the domestic computing power is expected to undergo a generational upgrade, with new products targeting performance comparable to H100, while the cost-effectiveness of H200 in inference scenarios is not high [1] - Domestic computing power is evolving towards super-node development, which will further enhance the cost-effectiveness of domestic computing solutions [1]