Core Viewpoint - The company, Ruide Intelligent (301135.SZ), has been a pioneer in the smart controller industry for over 20 years, focusing on advanced R&D, efficient production systems, and strong customer service [1] Group 1: Business Strategy - The company is actively constructing a new industrial layout termed "1+3+N," which includes consolidating its core business in home appliance controllers while expanding into new business areas such as motor electronics, automotive electronics, and smart energy [1] - The strategic layout also includes emerging fields like healthcare, pet technology, low-altitude flight, and smart home solutions [1] Group 2: Industry Position - The company has established long-term stable partnerships with several industry-leading enterprises, highlighting its strong position in the market [1] - Currently, the company's smart controller products do not involve CPO, F5G, or data center-related fields, indicating a focused product line [1]

Summary of Key Takeaways from the Conference Call Industry Overview - The conference focused on the **China networking industry**, particularly transceiver companies such as **Innolight**, **Eoptolink**, and **HG Tech**. The discussions highlighted optimism regarding both domestic and overseas market opportunities, with a significant increase in investor participation compared to the previous year [1][2]. Core Insights 1. **Market Opportunities**: - The **scale-up market** for optical communication systems (OCS) is expected to grow rapidly, with mass adoption anticipated sooner than for co-packaged optics (CPO) [1]. - A penetration rate of over **20-30%** for scale-out is projected by **2029-2030** [1]. 2. **Transceiver Development**: - The **3.2T transceiver** is ready for deployment, with a roadmap for **6.4T** and **12.8T** pluggable transceivers becoming more certain [1]. - Companies like **HG Tech** are demonstrating their **3.2T SiPh transceivers**, with ongoing R&D for higher capacity solutions [2][16]. 3. **Demand Forecast**: - Optimism surrounds demand for **800G** and **1.6T** transceivers, with expectations of several million units needed next year and beyond [2]. - **Innolight** anticipates a bullish demand outlook for **1.6T** deployment in **2026**, potentially reaching **10 million units** [11]. 4. **Technological Advancements**: - The **co-packaged copper (CPC)** solution is gaining attention as a bridging technology before CPO becomes mainstream [4]. - The **SiPh (Silicon Photonics)** technology is expected to see increased penetration, with **60-70%** of shipments projected to be SiPh by **2026/2027** [15]. 5. **Strategic Positioning**: - **Luxshare** is positioned as a leader in capturing CPC opportunities, collaborating with major customers [4]. - Companies are focusing on **de-coupling solutions** for optics, which are expected to gradually replace copper solutions [12]. Additional Important Insights - **Supply Chain Dynamics**: - **YJ Semi** is ramping up CW laser production to support the growth in demand, indicating a positive outlook for transceiver companies like Innolight and Eoptolink [6]. - The **300mW CW laser** is seen as a key opportunity with a significantly higher average selling price (ASP) compared to the **70mW** variant [7]. - **Market Challenges**: - Tier-2 and tier-3 companies are struggling to penetrate overseas supply chains, while leading companies are expected to thrive in the upcoming super cycle [2]. - **Revenue Trends**: - **HG Tech** reported strong domestic demand for **400G** and **800G** transceivers, aligning with positive forecasts for Innolight and Eoptolink [16][18]. This summary encapsulates the key points discussed during the conference call, providing insights into the current state and future outlook of the China networking industry.

Core Viewpoint - The article provides a ranking of open-end funds based on their net asset value growth as of September 15, 2025, highlighting the top and bottom performers in the fund market [2][4][6]. Fund Performance Summary - The top 10 funds with the highest net value growth include: 1. Tongtai Huili Mixed A (1.3930) 2. Tongtai Huili Mixed C (1.3615) 3. Huaxia CSI Animation Game ETF (1.5951) 4. Guotai CSI Animation Game ETF (1.5828) 5. Huatai Bairui CSI Animation Game ETF (1.6473) 6. Jiashi Clean Energy Stock Initiation C (0.9610) 7. Jiashi Clean Energy Stock Initiation A (0.9775) 8. Huaxia CSI Animation Game ETF Initiation Link D (1.6523) 9. Huaxia CSI Animation Game ETF Initiation Link A (1.6714) 10. Huaxia CSI Animation Game ETF Initiation Link C (1.6514) [2][4]. - The bottom 10 funds with the lowest net value growth include: 1. Nuode New Trend C (1.0593) 2. E Fund Pioneer Growth Mixed C (1.9476) 3. E Fund Pioneer Growth Mixed A (1.9790) 4. Nuode New Trend A (1.0770) 5. Nuode New Life C (1.9832) 6. Nuode New Life A (1.9877) 7. Fortune Interconnected Technology Stock C (3.7812) 8. Fortune Interconnected Technology Stock A (3.8876) 9. Xingzheng Asset Management Golden Qilin Enjoy Preferred One-Year Holding C (1.5721) 10. Xingzheng Asset Management Golden Qilin Enjoy Preferred One-Year Holding B (1.5582) [4][6]. Market Analysis - The Shanghai Composite Index opened high and then experienced horizontal fluctuations, while the ChiNext Index opened high and then retreated, closing with a medium rise. The total transaction volume reached 2.30 trillion, with a stock rise and fall ratio of 1916:3375 [6]. - Leading sectors included electrical equipment and the internet, both with gains exceeding 2%, while the telecommunications equipment sector saw a decline of over 2% [6]. Fund Holdings Overview - The top holdings of the best-performing fund, Tongtai Huili Mixed A, show a concentration of 54.73% in its top ten stocks, with significant gains in stocks like Xinghui Entertainment (20% increase) and Happiness Blue Sea (over 10% increase) [7]. - The bottom-performing fund, Nuode New Trend C, has a lower concentration of 43.27% in its top ten holdings, with mixed performance among its stocks [7].

Investment Rating - Investment rating: Positive (maintained) [1] Core Insights - The silicon photonics era is accelerating, with leading companies showcasing competitive advantages and numerous new technologies creating investment opportunities [5][12] - The communication industry is experiencing continuous upgrades, with the demand for AI computing driving growth in the optical communication sector [5][12] - The 26th China International Optoelectronic Exposition (CIOE 2025) highlighted the maturity and market focus on silicon photonics technology, which is becoming the mainstream solution for 1.6T high-speed optical modules [5][12] Summary by Sections 1. Investment Outlook - The report emphasizes the competitive advantages of leading companies in the silicon photonics era and the emergence of new technologies such as OCS, hollow-core fibers, thin-film lithium niobate, and CPO [12] - The 800G optical module has become mainstream, with 1.6T expected to ramp up production imminently [13][14] - The report identifies key investment targets including Zhongji Xuchuang, NewEase, and Tianfu Communication, with beneficiaries including Huagong Technology and Guangxun Technology [7][14] 2. Optical Modules - Zhongji Xuchuang has begun mass production of 1.6T optical modules and is developing 3.2T products, while NewEase has significantly ramped up its 1.6T module supply to overseas clients [13][14] - The report notes that 800G has become the mainstream technology, with many manufacturers actively preparing for 3.2T technology [14] 3. Silicon Photonics Technology - The report highlights the rapid development of silicon photonics technology, with increasing market attention and maturity for OCS, CPO, and thin-film lithium niobate technologies [19][20] - Companies like Huagong Technology are advancing their CPO technology, showcasing integrated chips with low power consumption and high bandwidth density [19][20] 4. Optical Chips - The demand for CW laser chips is increasing, with companies like Yuanjie Technology successfully mass-producing CW70mW laser chips [25] - Long光华芯 has released a 200mW Uncool CW DFB optical communication chip to support the silicon photonics integration needs of 800G and 1.6T optical modules [25] 5. Cables - The report notes the gradual advancement of optical and copper cable solutions, with hollow-core fibers gaining attention [27] - Long飞公司 demonstrated a 100km hollow-core fiber link with a low attenuation of 0.089dB/km [27] 6. Investment Recommendations - The report suggests focusing on seven key industry directions for investment, including network equipment, AIDC data center construction, IT equipment, computing power leasing, cloud computing platforms, AI applications, and satellite internet & 6G [31][32] - Recommended targets for optical modules and devices include Zhongji Xuchuang, NewEase, and Tianfu Communication, with beneficiaries such as Yuanjie Technology and Huagong Technology [31][32]

Core Viewpoint - The AI industry is becoming the core driving force of the technological revolution, with a focus on investment opportunities and trends in AI technology and applications [2]. Group 1: Live Broadcast Details - A special live broadcast titled "Investment Opportunities Behind 'Artificial Intelligence+'" is scheduled for September 15, 14:00, featuring industry experts from five fund companies [5]. - Subsequent sessions include topics such as "Can CPO Still Be Bought?" on September 16, "New Paradigms of Technology Investment in the AI Wave" on September 17, and "Is AI Computing Still the Main Line? How to Uncover Opportunities?" on September 18 [7][9][11]. - The final session on September 19 will focus on "Insight into the AI Industry Chain and Grasping New Investment Trends" [13]. Group 2: Engagement and Incentives - Participants can engage in the live broadcast through the Tian Tian Fund APP, with incentives including an 18 yuan discount coupon for designated AI sector funds, a 100 yuan JD card, and various prizes [5][18].

Group 1 - The market showed divergence on September 12, with the ChiNext Index dropping over 1.00% while the Shanghai Composite Index rose by 0.01% [1] - The Shenzhen Component Index fell by 0.31%, indicating a mixed performance across major indices [1] - Over 2,200 stocks in the Shanghai, Shenzhen, and Beijing markets experienced declines, highlighting a broad market weakness [1] Group 2 - Sectors such as CPO, precious metals, and PCB saw significant declines, leading the market downturn [1]

Core Viewpoint - The CPO optical module index has experienced significant volatility, with a 16.94% decline from September 2 to September 9, followed by a strong rebound due to positive catalysts from OpenAI's large orders to Oracle and Oracle's better-than-expected financial results [3][7]. Recent Adjustment Analysis - The primary reason for the recent adjustment in the CPO optical module sector is profit-taking by investors, as the sector has seen substantial gains since April 2025, leading to a concentration of profit realization [7]. - The outflow of financing funds has exacerbated market volatility, with a notable shift in capital towards large-cap tech stocks since August, creating an over-allocation phenomenon [7]. - Market sentiment has fluctuated, with concerns over short-term gains prompting some investors to take profits or hedge, resulting in a sector pullback [7]. - External factors, such as the Ministry of Commerce's ruling on Micron's anti-dumping measures, have also influenced market sentiment, leading to a temporary rise followed by a decline [7]. Long-term Investment Logic - AI computing demand continues to grow, with significant capital expenditure increases from major global AI companies. In Q2 2025, the total capital expenditure of the four major North American cloud providers reached $95.8 billion, a 64% year-on-year increase [8]. - The CPO technology is becoming a key development direction in optical communication due to its advantages in bandwidth, power consumption, and cost. The global optical module market is expected to exceed $20 billion by 2025, with CPO accounting for over 30% [9]. - Domestic policies and industry support are strengthening, with the 2024 National Data Infrastructure Construction Guidelines outlining development goals for computing infrastructure over the next five years [9]. - Leading companies in the sector, such as Zhongji Xuchuang and Xinyi Sheng, are showing strong fundamentals, with median net profit growth exceeding 50% in the first half of 2025 [10]. Focus on Technology Growth Public Funds - Several public funds with high holdings in CPO optical module concept stocks have been identified, focusing on technology growth sectors and demonstrating strong long-term performance [14]. - Fund examples include: - **China Europe Digital Economy Mixed Fund A (018993)**: Focuses on AI and technology sectors, with a total scale of 1.527 billion yuan as of June 30, 2025 [15]. - **Baoying Strategy Growth Mixed Fund (213003)**: Emphasizes valuation and company quality, with a scale of 1.139 billion yuan as of June 30, 2025 [16]. - **Rongtong Industry Trend Selected Stock A (009891)**: Focuses on growth and has a scale of 1.835 billion yuan as of June 30, 2025 [17]. Conclusion - Despite short-term adjustments in the CPO optical module sector due to market sentiment and profit-taking, the long-term outlook remains robust, supported by growing AI computing demand, technological advancements, and favorable policies. Investors are encouraged to focus on leading stocks with strong performance potential for medium to long-term opportunities [18].

Group 1: Investor Relations Activities - The investor relations activities included specific object research and meetings with various investment firms and analysts [2][3] - Notable participants included representatives from Longjiang Communication, Guotai Junan, and multiple funds such as Changsheng Fund and Penghua Fund [2][3] Group 2: H-Share Listing Plans - The company plans to issue H-shares and has disclosed a preliminary announcement on September 8, 2025, regarding the listing process [3] - The core purpose of the H-share listing is to implement an "A+H" dual capital platform strategy, aimed at enhancing production capacity and global service support [3][4] - The listing will facilitate stock incentives for the core team, aligning interests between shareholders and the company [4] Group 3: Business Performance and Orders - The current order amount for the optoelectronic business is approximately CNY 662 million, with expectations for improved profitability in Q3 and Q4 [4] - The company anticipates that the demand for silicon photonics and related technologies will drive future growth [5][6] Group 4: Market Trends and Future Outlook - The semiconductor industry is entering a new era, with significant competition in photonic technologies and quantum technologies [5] - The company is actively developing solutions for 1.6T silicon photonics and collaborating on projects for 3.2T modules [6] - The photovoltaic sector is currently under pressure, but the company plans to expand into overseas markets like India and the Middle East to support its solar business [6][7] Group 5: Capacity Planning and Integration - The company is adjusting its production capacity to meet the growing demand in the optoelectronic sector, ensuring timely delivery to clients [7][8] - Following the acquisition of ficonTEC, the company aims to enhance its operational capabilities and integrate ficonTEC into its management framework [8][9]

Core Viewpoint - The 26th China International Optoelectronic Exposition (CIOE 2025) will take place from September 10 to 12, 2025, showcasing advancements in optical devices and modules, particularly from Zhao Chi Co., Ltd. [1] Company Developments - Zhao Chi's subsidiary, Zhao Chi Rui Gu, presented its upgraded 850nm multi-mode optical module, which is designed to meet the demands of data center and enterprise network upgrades, covering SFP/SFP+/SFP28/QSFP+/QSFP28 packaging and 1G to 100G models [1] - The company also exhibited several products in the 400G to 800G range, fully compatible with high-speed communication scenarios in data centers, cloud networks, and AI applications [1] - The research and design of the 1.6T OSFP DR8 optical module has been completed, with sample production expected by the end of 2025 [1] Future Outlook - The company plans to increase investment to overcome the bottleneck in high-end optical chips, aiming for domestic production of 100G/lane PAM4 high-speed optical chips for 800G/1.6T optical modules [1] - There will be an accelerated development of LPO, CPO, silicon photonics technology, and Micro LED optical communication technology [1]

Group 1 - The 26th China International Optoelectronic Exposition (CIOE2025) will be held from September 10 to 12, 2025 [1] - Zhaochi Co., Ltd. (002429) showcased its optical devices and modules subsidiary, Zhaochi Ruigu, at the event [1] - Zhaochi Ruigu's upgraded 850nm multi-mode optical module is designed to meet the upgrade needs of data centers and enterprise networks, covering SFP/SFP+/SFP28/QSFP+/QSFP28 packaging and 1G to 100G specifications [1] Group 2 - The company also exhibited several products in the 400G to 800G range, suitable for high-speed communication scenarios in data centers, cloud networks, and AI [1] - The research and design work for the 1.6T OSFP DR8 optical module has been completed, with sample launch expected by the end of 2025 [1] - The company plans to increase investment to overcome high-end optical chip bottlenecks and achieve domestic production of 100G/lane PAM4 high-speed optical chips for 800G/1.6T optical modules [1] Group 3 - The company will accelerate the development of LPO, CPO, silicon photonics technology, and Micro LED optical communication technology [1]