Broadcom(US:AVGO) Yong Xing Zheng Quan·2025-06-11 07:19Investment Rating - The industry investment rating is "Increase" [6] Core Insights - The report highlights the launch of Broadcom's new switch, which is expected to further develop the computing power industry chain. The Tomahawk 6 series switch is claimed to be the "world's first 102.4Tbps switch," indicating ongoing innovation that will benefit the AI industry [1][17] - The AI edge sector is seeing continuous innovation, with a positive outlook on investment opportunities. TSMC's subsidiary VisEra is actively developing AR glasses and plans to advance emerging optical technologies in 2025, suggesting that performance in AR glasses will improve [1][18] - The wearable wristband market has shown a year-on-year growth of 13%, with a total shipment of 46.6 million units in Q1 2025. Innovations in products like AirPods, which may monitor heart rates using AI models, are expected to drive industry growth [2][19] - Despite the extension of the 301 tariff exemption period, there is a strong belief in the domestic supply chain's potential. The USTR has extended the exemption for products including chips and semiconductor parts until August 31, 2025, which is seen as supportive for the domestic replacement industry [2][20] Summary by Sections Computing Power Industry Chain - Broadcom's launch of the Tomahawk 6 switch is expected to benefit the industry, with a focus on companies such as Weicai Technology, Zhongfu Circuit, and others [4][21] AI Edge Sector - Continuous innovation in the AI edge sector is noted, with recommendations to focus on companies like Guoguang Electric and others [4][21] Consumer Electronics - The consumer electronics sector is benefiting from a 13% year-on-year increase in wearable shipments, with recommendations for companies like Dongmu Co. and others [4][21] Domestic Replacement - The report maintains a positive outlook on the domestic replacement industry despite tariff extensions, recommending companies like Jiangfeng Electronics and others [4][21] Market Review - The A-share Shenwan Electronics Index rose by 3.6%, outperforming the CSI 300 Index by 2.72 percentage points [22][25]