Market Overview - The A-share market experienced wide fluctuations, with a significant rebound in the indices on Wednesday, leading to a total trading volume exceeding 2.3 trillion yuan [3][10] - The semiconductor industry chain saw a comprehensive rally, while the new energy sector also became active, indicating a concentration of funds towards technology [3][10] Key Variables for Market Continuation - The sustainability of the market rebound led by semiconductors depends on several key variables: 1. Continuous expansion of trading volume is crucial, with Tuesday's trading volume nearing 2.5 trillion yuan but slightly shrinking on Wednesday [3][11] 2. The performance of leading stocks, particularly a state-owned enterprise in the semiconductor sector, significantly influences market sentiment [3][11] 3. The implementation of supportive policies for the semiconductor industry will directly affect the pace of domestic substitution and the overall industry fundamentals [3][11] Sector Analysis Semiconductor Sector - The semiconductor sector has shown strong performance, with a year-on-year increase of 10.10% in 2023 despite a weak overall market [7] - National policies are supportive, with the establishment of the third phase of the National Integrated Circuit Industry Investment Fund, which promotes upgrades across the semiconductor industry chain [7] - The global semiconductor market is expected to grow by over 15% in 2025, driven by rising demand for AI and high-performance computing [7] New Energy Sector - Stocks in the new energy sector, including energy metals and photovoltaic equipment, have seen significant gains, supported by recent government initiatives aimed at optimizing industry layout and promoting quality management [8][9] - The new energy sector is expected to continue benefiting from the global push towards carbon neutrality, with ongoing demand for lithium batteries, photovoltaics, and energy storage [9] Real Estate Sector - The real estate sector has rebounded, aided by new policies in major cities that enhance market conditions for homebuyers [10] - The industry is transitioning from individual case breakthroughs to a model of replication, which is expected to facilitate risk clearance and a healthy cycle within the sector [10] Investment Strategy - The report suggests a strategic approach to investing, focusing on high-quality companies with clear industry prospects while reducing exposure to overvalued sectors [12] - Maintaining flexible capital reserves is recommended to adapt to market changes effectively [12]

Market Overview - The SW Electronics Index increased by 2.96% from September 15 to September 19, outperforming the CSI 300 Index by 3.40 percentage points [1] - Among the six sub-sectors, the performance was as follows: Consumer Electronics (4.85%), Electronic Chemicals II (3.61%), Optical Electronics (2.89%), Semiconductors (2.79%), Components (1.37%), and Other Electronics II (0.74%) [1] TSMC's Market Position - TSMC's revenue for Q2 2025 surpassed $30.2 billion, with a foundry market share of 38% [2] - The global semiconductor foundry market is projected to reach $41.7 billion in Q2 2025, with TSMC holding a dominant 70.2% market share, reflecting an 18.5% increase from the previous quarter [2] - Year-on-year, the global foundry market revenue grew by 19%, with TSMC's market share rising from 31% to 38%, a 7 percentage point increase driven by strong demand for AI and advanced packaging technologies [2] - Approximately 75% of TSMC's Q2 revenue came from advanced process technologies below 7nm, with 3nm contributing about 25% [2] - Major clients include NVIDIA's Blackwell GPU, AMD's Zen 5 CPU, and Apple's M series chips, reinforcing TSMC's leadership in the global semiconductor market [2] - In contrast, Samsung's efforts to advance to 2nm GAA technology lack significant mass production orders, limiting its ability to challenge TSMC's market position [2] NVIDIA and Intel Collaboration - NVIDIA announced a $5 billion investment in Intel to enhance their ecosystem [3] - Intel will customize x86 CPUs for NVIDIA in the data center sector, while NVIDIA will integrate its RTX GPU chips into Intel's x86 system-on-chip (SoC) for personal computing [3] - This partnership aims to merge NVIDIA's AI and accelerated computing stack with Intel's CPU and extensive x86 ecosystem, laying the groundwork for the next computing era [3] - Post-transaction, NVIDIA may hold 4% or more of Intel's shares, becoming one of its major shareholders [3] - The collaboration agreement does not include NVIDIA's chip foundry business [3]

Core Insights - The SW Electronics Index increased by 2.96% from September 15 to September 19, outperforming the CSI 300 Index by 3.40 percentage points [2] - In the six sub-sectors, the performance was as follows: Consumer Electronics (4.85%), Electronic Chemicals II (3.61%), Optical Electronics (2.89%), Semiconductors (2.79%), Components (1.37%), and Other Electronics II (0.74%) [2] Semiconductor Market Overview - TSMC's revenue surpassed $30.2 billion in Q2 2025, with a market share of 38% in the Foundry 2.0 segment [3] - The global semiconductor foundry market is projected to reach $41.7 billion by Q2 2025, with TSMC holding a dominant market share of 70.2% [3] - TSMC's revenue grew by 18.5% compared to the previous quarter, with nearly 75% of its revenue coming from advanced process technologies below 7nm [3] - Major clients include NVIDIA, AMD, and Apple, indicating strong demand for advanced chips driven by AI and high-performance computing [3] - Samsung's efforts in 2nm GAA technology are hindered by a lack of large-scale production orders, limiting its ability to challenge TSMC's market position [3] Strategic Partnerships - NVIDIA announced a $5 billion investment in Intel to enhance collaboration in the data center and personal computing sectors [4] - Intel will customize x86 CPUs for NVIDIA, which will integrate these into its AI infrastructure platform [4] - This partnership aims to merge NVIDIA's AI capabilities with Intel's extensive x86 ecosystem, potentially positioning NVIDIA as a significant shareholder in Intel [5] Investment Recommendations - The electronic semiconductor sector is expected to experience a comprehensive recovery by 2025, with an improved competitive landscape and profitability [6] - Recommended stocks include those in semiconductor design with low PE/PEG ratios, such as Zhongke Lanyun and Juchip Technology, as well as key materials and carbon-silicon industry leaders [6]

Core Viewpoint - The stock prices of companies related to Moore Threads surged collectively following the announcement of its upcoming IPO, with significant gains observed in several stocks [1][3]. Group 1: IPO Details - Moore Threads plans to raise 8 billion yuan through its IPO, primarily for the development of next-generation AI training and inference chips, graphics chips, and AI SoC chips [1]. - The Shanghai Stock Exchange's listing review committee is scheduled to meet on September 26 to review Moore Threads' IPO application [1]. Group 2: Market Reaction - Stocks such as Heertai and Yingqu Technology, which directly hold shares in Moore Threads, experienced a 10% increase and reached their daily limit [4]. - Other companies with indirect stakes, like Honglida and Chuling Information, saw their stock prices rise by 20% [4]. Group 3: Shareholding Structure - Heertai holds a direct stake of 1.03% in Moore Threads, while Yingqu Technology holds 0.34% [4]. - Honglida has an indirect holding of approximately 0.31% through its investment in a venture capital partnership, and Chuling Information has an indirect holding of about 0.02% [4][6]. Group 4: Performance Metrics - Heertai's stock has increased by 178.53% this year, while ST Huaton has seen a remarkable rise of 285.41% [6]. - Other companies like Zhongke Lanyun and Lianmei Holdings also reported varying degrees of stock price increases [5][6].

Group 1 - HBM chips have become the standard for AI computing, with their core advantage stemming from the vertical stacking structure of DRAM chips [2] - The main chip stacking technology currently is Thermal Compression Bonding (TCB), which faces limitations as the number of stacked layers exceeds 16, affecting yield and signal integrity [2][4] - Hybrid bonding technology emerges as a revolutionary solution, allowing for direct copper-to-copper bonding between DRAM chips, enhancing interconnect density without the limitations of bumps [2][4] Group 2 - The semiconductor industry is shifting towards small chips and 3D integrated chip (3DIC) technology due to the slowdown of Moore's Law, making packaging a key factor in driving AI chip performance [4][6] - According to Yole Group, the evolution of chip bonding technology is moving towards hybrid bonding as the ultimate goal, with a projected market growth for hybrid bonding equipment to reach $397 million by 2030 [6][9] Group 3 - Hybrid bonding technology offers significant advantages over TCB, including a 15x increase in interconnect density, 11.9x speed improvement, and over 100x energy efficiency performance [9][10] - Despite the higher infrastructure costs, the cost per interconnect is reduced by 10 times with hybrid bonding, and it can lower the HBM stack temperature by 20% [9][10] Group 4 - Currently, no company has successfully achieved mass production of hybrid bonding equipment due to challenges such as existing TCB machines being sufficient, high precision requirements, and the high cost of hybrid bonding machines [12][21] - Predictions indicate that by 2030, the cumulative installation of hybrid bonding equipment will range from 960 to 2000 units, reflecting a 7% increase from previous forecasts [12][14] Group 5 - Major players in the hybrid bonding equipment market include Besi, which has seen significant revenue growth and strategic partnerships, particularly with Applied Materials [21][22] - South Korean companies like Hanmi Semiconductor and Hanwha Semitech are key competitors in the hybrid bonding space, with Hanmi holding a dominant market share in TCB machines [23][24] Group 6 - LG Electronics is entering the hybrid bonding equipment market through a national project aimed at developing HBM hybrid bonding machines, indicating a strategic focus on semiconductor equipment [25][26] - Samsung is also developing its own hybrid bonding machines through its subsidiary SEMES, aiming to reduce reliance on external suppliers [27] Group 7 - In China, companies like Tuojing Technology and Qinghe Crystal Semiconductor are making strides in hybrid bonding equipment, with Qinghe announcing the launch of the world's first dual-mode hybrid bonding equipment [29] - Besi predicts that the hybrid bonding market will reach €1.2 billion by 2030, driven by the transition from TCB to hybrid bonding technology [29]

Investment Rating - The report indicates a positive investment outlook for the AI PCB and complete machine sectors, highlighting strong performance in the semiconductor industry driven by AI demand [1][6]. Core Insights - The semiconductor sector, particularly TSMC, reported a record revenue of NT$3,357.7 billion in August 2025, marking a 34% year-on-year increase, driven by AI-related demand [6][8]. - The report emphasizes the growth in various segments, including testing, storage, and EMS, with companies like 京元电子 and 南亚科 showing significant revenue increases [9][16]. - The overall sentiment in the industry remains optimistic, with expectations of continued growth in AI applications and advanced manufacturing processes [14][16]. Summary by Relevant Sections AI Sector - TSMC's revenue reached NT$3,357.7 billion in August 2025, a 34% increase year-on-year, driven by AI demand [6]. - 京元电子's revenue grew by 32% year-on-year, supported by increased capital expenditure and expansion into high-end testing capacity [9]. Semiconductor Manufacturing - The report notes that 联电, 世界先进, and 力积电 experienced slight revenue changes, with 联电's revenue down 7% year-on-year [16]. - The high-performance computing sector continues to show growth potential despite some market fluctuations [16]. Storage Market - 南亚科's revenue surged by 141% year-on-year, attributed to increased demand for DDR4 memory as major manufacturers shift focus to high-bandwidth memory [16]. EMS Sector - Companies like 鸿海 and 纬创 reported significant revenue growth, with 纬创's revenue increasing by 198% year-on-year, driven by strong AI server demand [14][16]. - The report highlights that the overall EMS sector is benefiting from the AI trend, with expectations of continued growth in the coming quarters [14]. PCB and CCL Markets - The PCB sector saw companies like 欣兴 and 金像电 reporting revenue growth of 5% and 65% year-on-year, respectively, indicating a recovery in market demand [12][14]. - 台光电's revenue increased by 53% year-on-year, reflecting strong growth across various product lines [12].

Core Viewpoint - Glass substrates are emerging as a superior alternative to organic substrates in advanced packaging due to their flatness, lower thermal expansion coefficient, and reduced warpage issues, making them ideal for high-frequency applications and 6G communications [2][3][5]. Group 1: Advantages of Glass Substrates - Glass substrates provide significant improvements in warpage reduction (50%) and positioning accuracy (35%) compared to organic substrates, facilitating the implementation of redistribution layers (RDL) with line widths and spacings below 2 micrometers [2]. - The dielectric constant of glass (2.8) is much lower than that of silicon (12), resulting in significantly lower transmission losses and enhanced signal integrity for high-frequency applications [3]. - Glass substrates are versatile and can be used as carriers, core substrates for embedded components, 3D stacking materials, or sealed cavities for sensors and MEMS [2]. Group 2: Manufacturing Challenges - Glass cutting is prone to micro-cracking, and the challenge of repeatedly manufacturing thousands of fine-pitch through-glass vias (TGV) hinders the full potential of glass substrates [3][22]. - The laser-induced deep etching (LIDE) technology is being improved to facilitate mass production of TGVs, allowing for the etching of vias as small as 3 micrometers with a spacing of 5 micrometers [10][11]. Group 3: Applications in 6G Technology - Glass substrates are ideal for 6G wireless communication networks, which require data rates exceeding 100 GHz, due to their high-frequency transmission capabilities and low loss characteristics [5]. - Heterogeneous integration in stacked glass can combine high-frequency front-end chips with low-loss interconnects, enhancing the performance of large-scale antenna arrays [5]. Group 4: Innovations in Glass Processing - The use of ABF (Ajinomoto Build-up Film) as a low-k dielectric and adhesive for glass bonding has shown promising results, achieving electrical performance up to 220 GHz with minimal loss [5][8]. - New methods for cutting glass substrates, such as embedding cut substrates in organic resin for edge protection, are being explored to minimize damage during handling [24]. Group 5: Yield Improvement Techniques - Predictive modeling and machine learning are being utilized to enhance yield rates in glass substrate manufacturing, particularly in identifying and mitigating defects early in the production process [18][19]. - The development of automated systems for wet etching and drying processes is aimed at improving the efficiency and yield of TGV manufacturing [10][11]. Group 6: Future Directions - The glass ecosystem is preparing for the continued growth in chip and substrate sizes in multi-chip advanced packaging, with significant progress being made in laser modification and high-frequency etching techniques [28]. - Ongoing research aims to further reduce micro-cracking during cutting processes and improve the compatibility of new processing techniques with stringent design rules [29].

Industry Overview - The storage chip market, particularly NOR Flash, is experiencing rapid growth driven by advancements in technologies such as artificial intelligence and the Internet of Things, despite a lackluster performance last year due to supply and demand factors [2] - In the first half of this year, the market showed signs of recovery with significant inventory reduction and gradual demand restoration, particularly in industrial markets and supported by long-term demand from AI and high-performance computing [2] - Starting from the third quarter, overall storage demand is rebounding, with prices showing an upward trend, indicating a positive outlook for the second half of the year [2] Company Performance - In the first half of the year, the revenue rankings among storage chip manufacturers are as follows: Zhaoyi Innovation (4150.31 million), Beijing Junzheng (2249.11 million), Fudan Microelectronics (1838.85 million), Puran Co. (906.70 million), Jucheng Co. (574.86 million), Dongxin Co. (342.99 million), and Hengshuo Co. (174.28 million) [3] - Zhaoyi Innovation leads in net profit with 575.48 million, followed by Jucheng Co. (205.15 million) and Beijing Junzheng (203.12 million), while Dongxin Co. and Hengshuo Co. reported losses of 110.97 million and 70.78 million respectively [4] - In terms of gross margin, Jucheng Co. has the highest at 60.25%, followed by Fudan Microelectronics at 56.80%, and Zhaoyi Innovation at 37.21% [5] Inventory Management - Fudan Microelectronics holds the highest inventory at 3088.98 million, followed by Beijing Junzheng (2773.43 million) and Zhaoyi Innovation (2400.65 million) [6] - Inventory turnover days are highest for Fudan Microelectronics at 705 days, with Dongxin Co. at 596 days and Hengshuo Co. at 355.66 days, while Zhaoyi Innovation has the lowest at 163.95 days [7] - In terms of inventory impairment provisions, Fudan Microelectronics has the highest at 548.26 million, followed by Zhaoyi Innovation (287.39 million) and Beijing Junzheng (263.53 million) [7]

Core Viewpoint - The company, JieJie Microelectronics, emphasizes its modular design for PC power supplies, which is compatible with Intel® 800 series chipsets and the latest processor architectures [1] Company Summary - JieJie Microelectronics is committed to leveraging innovative technology to enhance PC power supply design, focusing on more efficient and intelligent power solutions [1] - The company aims to assist clients in developing the next generation of high-performance computing platforms [1] Industry Summary - The demand for AI computing power and high-performance computing is driving the evolution of PC power supply design towards modularity and high efficiency [1] - JieJie Microelectronics' solutions are expected to further enhance its competitiveness in the PC and computer power supply market [1]

Core Viewpoint - Glass is gaining attention as the next-generation packaging substrate material due to its numerous advantages over organic substrates, including lower thermal expansion, improved flatness, and reduced transmission loss for high-frequency applications [1][2][3]. Group 1: Advantages of Glass Substrates - Glass substrates are significantly flatter and have a lower thermal expansion coefficient compared to organic substrates, simplifying lithography processes [2]. - The warpage issues associated with multi-chip packaging have been notably improved with glass substrates, allowing for better chip bonding and alignment [2]. - Glass substrates provide extremely low transmission loss for high-frequency devices, making them suitable for applications like 6G communications [3][4]. Group 2: Manufacturing Challenges - The cutting of glass substrates can lead to micro-cracks, which pose a significant manufacturing challenge [3][17]. - The process of creating through-glass vias (TGV) is complex, with challenges in achieving high yield rates due to the need for precise laser etching and filling techniques [6][12]. - Despite the challenges, companies like Intel continue to invest heavily in glass substrate technology, indicating a strong belief in its potential for high-performance computing and AI applications [3][12]. Group 3: Innovations in Glass Processing - Recent advancements in laser-induced deep etching (LIDE) technology have improved the manufacturing process for TGVs, allowing for smaller and more precise vias [6][10]. - The use of automated systems for wet etching processes has been developed to enhance the efficiency and yield of glass substrate production [7][10]. - New methods, such as embedding cut glass substrates in organic resin for edge protection, are being explored to mitigate issues related to cracking during processing [19][20]. Group 4: Future Outlook - The glass ecosystem is preparing for the ongoing growth in chip and substrate sizes for advanced multi-chip packaging, with significant progress being made in the industry [22]. - The potential for direct laser etching using excimer lasers is being considered as a more environmentally friendly alternative to traditional methods, provided it can meet the requirements for subsequent copper filling [22]. - Continued research into polymer retraction techniques before cutting may help prevent micro-cracking, indicating a focus on improving manufacturing processes for glass substrates [22].