Global Cooling: 2027E introduced; Global Server cooling TAM raised on higher AI server volumes We introduce 2027E Global Server Cooling market forecast and raise our 2025-26E estimates following the updates of our global server outlook. We raise the Global Server Cooling TAM due to the increased volume forecast for baseboard type AI servers, with a largely unchanged liquid cooling penetration assumption for 2025-26E and a continuous increase trend for 2027E. We model liquid cooling penetration rate to reach ...

中美关系这事儿，剥开层层包装，其实就这么简单。世界这么大，美国当了七十多年的老大，靠着美 元、军事和科技到处收割利益。中国这些年经济腾飞，成了全球第二大经济体，美国自然坐不住了。它 要么逼中国把积累的财富和发展权拱手相让，要么自己得放手霸权地位，让出空间给别人分羹。没第三 条路可选。这不是什么高大上的理论，而是从历史和现实里扒出来的硬道理。 二战结束，美国成了全球霸主，苏联勉强顶了会儿台面，但最终崩盘了。中国从2001年加入世贸组织 后，经济一路狂飙，到2010年代已经是制造业巨头。美国的算盘本来是把中国拉进全球供应链，当个廉 价工厂，顺便卖点高科技产品赚大钱。但中国不满足于此，开始搞自主创新，从低端制造往高端爬。结 果呢，美国慌了。2016年南海事件，美国派航母群耀武扬威，中国海军直接对峙，展示导弹实力，美国 最后灰溜溜撤了。这事儿让美国意识到，中国不是以前那头容易宰的羊了。 人权也是借口。美国指责中国新疆问题，2021年起多次制裁官员，说是种族灭绝。中国反击，说美国自 己有黑人权益问题。香港国安法后，美国撤销香港特殊待遇。中国说这是内政。实质上，美国用这些当 幌子，掩盖经济霸权意图。2021年G7和北约谴 ...

Group 1: Company Growth and Market Position - The company achieved a revenue of 319 million CNY in Q1 2025 for its enterprise-level storage products, representing a growth of over 200% year-on-year [3] - The company is one of the few A-share listed companies that publicly disclose specific performance metrics for enterprise-level storage products, showcasing its unique market position [3] - The company has established strong recognition among major clients across various industries, including large internet companies and telecom operators, indicating robust adaptability and reliability of its products [3] Group 2: TCM Model and Strategic Partnerships - The company has successfully established a TCM (Technology Contract Model) partnership with SanDisk, leveraging its leading capabilities in chip design and manufacturing [5] - The UFS 4.1 products, featuring the company's self-developed main control chip, demonstrate superior performance with sequential read/write speeds of 4350MB/s and 4200MB/s, and random read/write speeds of 630K IOPS and 750K IOPS [5] - The TCM model is expected to enhance revenue and profit by increasing visibility in supply and demand, thereby mitigating price volatility and creating sustained value [5] Group 3: Self-Developed Main Control Chip - The company has launched three main control chips for eMMC, SD cards, and automotive-grade USB products, with cumulative applications exceeding 30 million units [6] - The company anticipates significant growth in the application scale of its self-developed main control chips throughout 2025, maintaining its competitive edge in the storage market [7] - The company plans to continue collaborating with third-party main control chip manufacturers to diversify its product offerings and enhance storage solutions [7] Group 4: Market Trends and Price Outlook - The semiconductor storage market has shown signs of recovery since late March 2025, driven by inventory digestion and increased downstream demand [7] - Price trends for storage products are expected to rise in Q3 2025 due to production cuts announced by major storage wafer manufacturers and increased demand from server OEM customers and mobile storage capacity upgrades [7]

Group 1: Company Growth and Market Position - The company achieved a revenue of 319 million CNY in Q1 2025 for its enterprise storage products, representing a year-on-year growth of over 200% [3] - The company is one of the few A-share listed companies that publicly disclose specific enterprise storage product performance, indicating a strong market position [3] - The company has established recognition among major clients across various industries, including large internet companies and telecom operators, showcasing the adaptability and reliability of its products [3] Group 2: AI Infrastructure and Storage Demand - The demand for storage is expected to rise due to increased investment in AI infrastructure, which requires enhanced computing and storage capabilities [3] - The penetration rate of DDR5 in RDIMM products has significantly increased, driven by the performance requirements of AI servers [3] - eSSD's advantages in speed and energy efficiency are leading to its widespread adoption, replacing HDDs in cloud service providers [3] Group 3: TCM Model and Revenue Impact - The company has partnered with SanDisk to leverage its strengths in chip control and firmware development, aiming to introduce high-quality UFS products for the mobile and IoT markets [5] - The UFS4.1 product, featuring high sequential read/write speeds of 4350MB/s and 4200MB/s, has outperformed mainstream market products [5] - The TCM model is expected to enhance revenue and profit by improving visibility in supply and demand, thereby mitigating price volatility [6] Group 4: Self-Developed Controller Chips - The company has launched three self-developed controller chips for eMMC, SD cards, and automotive-grade USB products, with cumulative applications exceeding 30 million units [7] - The self-developed controller chips are anticipated to see significant growth in application scale throughout 2025 [7] - The company plans to maintain long-term collaborations with third-party controller chip manufacturers to diversify its product offerings [7] Group 5: Storage Price Trends - The semiconductor storage market has shown signs of recovery since late March 2025, driven by inventory digestion and increased downstream demand [8] - Price increases in storage products are expected in Q3 2025 due to inventory needs from server OEM customers and rising storage capacities in mobile devices [8] Group 6: Lexar and Zilia Business Growth - Lexar's global sales revenue reached over 3.5 billion CNY in 2024, with significant growth potential in market share [9] - Zilia achieved a revenue of 2.312 billion CNY in 2024, marking a year-on-year growth of 120.15%, with a 45.08% increase in Q1 2025 [10] - The integration of Zilia into the company's operations has enhanced its overseas market presence and product offerings [10]

Performance Improvement - AMD's 5th generation EPYC offers a 75% performance uplift compared to the 4th generation in Ericsson packet core solutions [1] - AMD's solutions provide a 40% power efficiency benefit generationally [2] Partnerships and Solutions - Ericsson's packet core is available on both 4th and 5th generation AMD EPYC [1] - Nokia appliance on AMD packet core is available on 2nd, 4th and 5th generation EPYC [2] - ZTE offers packet core solutions [2] Market Presence - AMD is showcasing packet core solutions at MWC 2025 [1] - Ericsson and Nokia are exhibiting their solutions at MWC [1][2]

Group 1: Competitive Advantages in Enterprise Storage - The company is one of the few A-share listed companies that officially discloses specific enterprise storage product performance, including eSSD and RDIMM [3] - In Q1 2025, the revenue from enterprise storage products reached 319 million CNY, representing a year-on-year growth of over 200% [3] - The company has gained recognition from various well-known clients across different industries, including large internet companies and telecom operators, showcasing the adaptability and reliability of its products [3] Group 2: Impact of TCM Model on Revenue and Profitability - The company has partnered with SanDisk to leverage its strengths in main control chip development and packaging, aiming to launch customized high-quality UFS products for the mobile and IoT markets [4] - The UFS 4.1 product, featuring the company's self-developed main control chip, achieves sequential read/write speeds of 4350MB/s and 4200MB/s, and random read/write speeds of 630K IOPS and 750K IOPS, outperforming mainstream market products [4] - The TCM model is expected to enhance visibility in supply and demand, reduce price volatility impacts, and create continuous value through core capabilities [5] Group 3: Future Development of Self-Developed Main Control Chips - The company has launched three main control chips for eMMC, SD cards, and automotive-grade USB products, with cumulative applications exceeding 30 million units [5] - The first batch of UFS self-developed main control chips has been successfully taped out, indicating progress in high-end product development [5] - The company anticipates significant growth in the application scale of self-developed main control chips throughout 2025, while maintaining long-term collaborations with third-party chip manufacturers to diversify its product offerings [5]

Core Insights - ZTE Corporation, in collaboration with China Mobile and Alibaba Cloud, received the GSMA GLOMO "Open Gateway Challenge" award for their AaaS Open Gateway solution, highlighting significant commercial adoption in key industry scenarios [1][2] Group 1: Collaboration and Development - China Mobile is a pioneer in the GSMA Open Gateway initiative, establishing the world's largest Open Gateway platform that enhances its services and expands application scenarios [2][3] - The collaboration has led to the development of the QoD (Quality on Demand) API, which successfully passed 63 technical tests and achieved commercial deployment [2][3] Group 2: Technological Integration - The capability exposure solution integrates telecommunications and fintech strengths, ensuring superior network quality for mobile payments through China Mobile's CT middleware platform [3] - Alipay integrates with the AaaS Open Gateway platform, utilizing Alibaba Cloud's API to enhance wireless network performance in areas with weak coverage, thus improving transaction times and reducing failure rates [4] Group 3: Future Directions - China Mobile plans to continue collaborating with industry partners to develop advanced capability APIs and application scenarios, aiming to drive 5G commercialization and global Open Gateway adoption [5] - The Open Gateway initiative, led by GSMA, aims to globalize network capability exposure through standardized APIs, fostering innovation and interoperability in the digital ecosystem [6] Group 4: Industry Recognition - The GLOMO Awards are recognized as the industry's most prestigious accolades, celebrating innovation and excellence in the mobile industry with a judging panel of over 260 global analysts and experts [7]

Investment Rating - The report maintains a "Buy" rating for the company [7] Core Views - The company is deeply engaged in the storage field, focusing on semiconductor memory research, design, packaging, testing, production, and sales, with a comprehensive product line including embedded storage, PC storage, automotive-grade storage, enterprise storage, and mobile storage [1][12] - The company has established an integrated R&D and packaging testing business model, enhancing its core competitiveness in the semiconductor storage industry [1][12] - The company is expected to see significant growth in revenue and profit due to the recovery of the storage industry and the expansion of domestic and international customer bases [7][30] Summary by Sections 1. Company Overview - The company was founded in September 2010 and successfully listed on the Shanghai Stock Exchange in December 2022, focusing on semiconductor memory products and advanced packaging testing services [12][13] - The company has developed a "5+2+X" strategic framework to drive stable growth, focusing on five major application markets and two key growth areas: chip design and advanced packaging [15][12] 2. Demand Side - Storage prices have stabilized and are beginning to rise, driven by increased demand for storage devices due to the rapid development of artificial intelligence technologies [2][3] - The market for embedded products is experiencing supply tightness due to the discontinuation of low-capacity NAND resources by original manufacturers [2] 3. Supply Side - The domestic chip replacement is accelerating, with Chinese companies like Yangtze Memory Technologies and Changxin Memory Technologies rapidly increasing their market share [3][6] - The report highlights that China's DRAM production capacity has surpassed 11% of global capacity, with expectations for further growth [3] 4. Financial Performance - The company achieved a revenue of 50.25 billion yuan in the first three quarters of 2024, a year-on-year increase of 136.76%, driven by the recovery of the storage industry and significant growth in product sales [30][31] - The forecasted net profits for 2024-2026 are 176 million yuan, 598 million yuan, and 764 million yuan respectively, with corresponding EPS of 0.41 yuan, 1.39 yuan, and 1.77 yuan [7][30] 5. Competitive Advantages - The company possesses strong technical capabilities in embedded storage and has established a comprehensive product matrix covering various storage types, enhancing its competitive edge in the market [7][18] - The company is actively expanding its advanced packaging capabilities, which are expected to be operational by 2025, providing a full suite of storage and advanced packaging testing solutions [7][21]