KAIYUAN SECURITIES·2025-05-18 08:36Group 1 - The report maintains a positive outlook on the domestic AI computing power industry chain, highlighting significant capital expenditures by major companies like Tencent and Alibaba, which are expected to drive growth in the sector [4][5][17] - Tencent's Q1 2025 revenue reached 180 billion yuan, a 13% year-on-year increase, with substantial contributions from AI capabilities in advertising and gaming [12][13] - Alibaba's cloud revenue for Q4 FY2025 was 30.1 billion yuan, up 18% year-on-year, driven by growth in public cloud services and AI-related product adoption [15][16] Group 2 - The report identifies seven key investment directions within the AI computing power industry, including AIDC data center construction, IT equipment, network devices, computing power leasing, cloud computing platforms, AI applications, and satellite internet & 6G [6][17][18] - Specific recommended stocks include New Idea Network Group and Yingweike for AIDC construction, Ziguang Co. and ZTE for IT equipment, and China Mobile and Tencent for cloud computing platforms [18][19][23] - The report emphasizes the importance of AI applications across various industries, with recommended stocks such as Guohua Tong and Meige Intelligent [24] Group 3 - As of March 2025, China had 4.395 million 5G base stations, with a net increase of 145,000 stations since the end of 2024, and 5G mobile phone users reached 1.068 billion, a 22.2% year-on-year growth [27][32] - The report notes that 5G mobile phone shipments in February 2025 were 17.982 million units, accounting for 88.7% of total shipments, reflecting a 43.5% year-on-year increase [27][36] - The three major telecom operators reported strong growth in cloud services, with China Mobile's cloud revenue reaching 100.4 billion yuan in 2024, a 20.4% increase [44]