XIAOMI(HK:01810) Xinda Securities·2025-05-25 08:23Investment Rating - The industry investment rating is "Positive" [2] Core Viewpoints - The report highlights that the semiconductor industry is experiencing a downturn, with various segments showing negative year-to-date performance, particularly consumer electronics which has declined by 11.12% [2][8] - Xiaomi has launched its first self-developed flagship processor "Xuanjie O1," which utilizes a second-generation 3nm process, featuring a 10-core CPU and a 16-core GPU, with a transistor count of 19 billion and a chip area of 109mm² [2][29][30] - The report emphasizes Xiaomi's significant investment in chip development, with over 13.5 billion yuan invested to date and an expected investment of over 6 billion yuan this year, as part of a long-term plan to invest at least 50 billion yuan over the next decade [31] - The introduction of the Xuanjie O1 positions Xiaomi as the fourth company globally to mass-produce 3nm SoC chips, indicating a shift in the global mobile SoC chip landscape and enhancing the competitiveness of domestic SoC chips [31] Summary by Sections Industry Performance - The report notes a decline in the Shenwan Electronics Index, with specific segments like semiconductors down by 0.66% year-to-date and consumer electronics down by 11.12% [2][8] - In the past week, major North American tech stocks also saw declines, with Apple down by 7.57% and Tesla down by 3.04% [2][11] Xiaomi's Processor Launch - Xiaomi's Xuanjie O1 processor features advanced architecture with two Arm Cortex-X925 super-large cores, four A725 performance cores, and two A520 ultra-efficient cores [30][31] - The report suggests that Xiaomi's entry into the 3nm SoC market could disrupt the existing market dynamics and enhance the global competitiveness of Chinese semiconductor firms [31] Investment Opportunities - The report recommends monitoring companies involved in computing power chains such as Industrial Fulian, Shennan Circuit, and others, as well as domestic computing power firms like Cambrian and Haiguang Information [2]