Group 1 - Beijing has released its first 6G industry-specific policy to promote the development of the 6G industry, leveraging its advantages in education, research institutions, and high-tech enterprises [1] - The policy includes 10 measures focusing on five key areas: 6G technology standard research, core product development, pilot service capabilities, scenario application empowerment, and integrated innovation ecosystem [1] - The 6G industry is expected to enter the commercialization phase after 2029, with 2025 being a pivotal year for standard formulation [2] Group 2 - Major technology companies are competing to secure core technology in the ongoing breakthroughs in 6G technology, with the Chinese government increasing support for future industries [2] - Tianfu Communication is experiencing stable growth in demand for its high-speed optical devices, leading to revenue growth in both active and passive product lines [3] - Guomai Technology is positioning itself as a leading provider of information and communication technology outsourcing services, focusing on IoT technology services and emerging industries like 6G [3] - Jibite is recognized for its strong competitive advantages in the network gaming sector during the 4G and 5G eras, excelling in R&D, creativity, and IP development [3]

Group 1: Ares Capital - Ares Capital is the largest publicly traded business development company (BDC) with over $17 billion invested since 2004, focusing on middle-market companies with annual revenues between $10 million and $1 billion [3][4] - The company offers a forward dividend yield of 8.63% and has maintained or grown its dividend for 63 consecutive quarters [3][4] - Ares Capital targets a total addressable market of approximately $5.4 trillion, benefiting from a shift towards private capital, and has a diversified portfolio with strong industry relationships and risk management [4][5] Group 2: Enterprise Products Partners - Enterprise Products Partners is a master limited partnership (MLP) leading the North American midstream energy industry, operating over 50,000 miles of pipeline [6][7] - The company has a forward distribution yield of 6.81% and has increased its distribution for 26 consecutive years [7][8] - Demand for oil and gas, particularly natural gas, is expected to grow for decades, ensuring strong demand for Enterprise Products Partners' pipelines [8][9] Group 3: Verizon Communications - Verizon Communications is a major telecommunications company serving millions globally, with a forward dividend yield of 6.22% and a history of increasing dividends for 18 consecutive years [10][11] - The company is expected to maintain its relevance in the market due to the high capital requirements for new competition in wireless services [11][12] - With the upcoming 6G technology, Verizon is anticipated to be a significant player, potentially leading to impressive growth opportunities in the future [12]

Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Views - The report highlights the strong market recognition of AIDC, with both WanGuo and RunZe REITs receiving over 100 times subscription rates, indicating high investor interest [5][6][14] - Century Internet has raised its performance guidance for the fiscal year 2025, suggesting accelerated development in the domestic AIDC industry chain [7][18] - The report emphasizes the potential of the AIDC computing power industry chain, satellite internet, and 6G as key investment directions [8][19] Summary by Sections 1. Investment Insights - WanGuo and RunZe REITs have achieved subscription multiples of 166.10 and 167.06 times respectively, with total fundraising expected to reach 24 billion and 45 billion yuan [5][6][15][16] - Century Internet has adjusted its revenue guidance for fiscal year 2025 from 9.1-9.3 billion yuan to 9.15-9.35 billion yuan, reflecting a year-on-year growth of 11-13% [7][18] 2. Market Review - The communication index decreased by 0.10% during the week of June 30 to July 4, 2025, ranking third among TMT sectors [27] 3. Communication Data Tracking - As of May 2025, the total number of 5G base stations in China reached 4.486 million, with a net increase of 235,000 stations compared to the end of 2024 [29] - The number of 5G mobile phone users reached 1.098 billion, showing a year-on-year growth of 21.3% [29] 4. Recommended Investment Targets - AIDC Infrastructure: Recommended stocks include YingweiKe, New Idea Network Group, and Baoxin Software; Beneficiary stocks include Guanghuan New Network and WanGuo Data [20] - IT Equipment: Recommended stocks include ZTE and Unisplendour; Beneficiary stocks include Inspur Information and Huakong Technology [21] - Network Equipment: Recommended stocks include Unisplendour and ZTE; Beneficiary stocks include Ruijie Networks and Yingtong Technology [22] - Cloud Computing: Beneficiary stocks include China Mobile, China Telecom, and Alibaba [25] - AI Applications: Beneficiary stocks include Guanghe Tong and Yiyuan Communication [26]

Core Insights - Beijing Economic-Technological Development Area (Beijing E-Town) announced the launch of the 6G SPACES new quality ecological community during the 2025 Global Digital Economy Conference, aiming to establish a leading position in 6G innovation and development [1] - The initiative will utilize the entire Yizhuang New City as a testing ground, focusing on key technology breakthroughs, platform construction, scenario demonstration, and industry aggregation [1] - A special policy for the 6G industry was released, outlining ten measures to support critical aspects of industry development, including research on 6G technology standards and core product development [1] Industry Development Measures - The policy emphasizes encouraging key technology research and cultivating competitiveness in core 6G technologies, with a focus on breakthroughs in ultra-large-scale MIMO and intelligent super-surface technologies [1] - It includes funding support for enterprises undertaking major 6G scientific and technological tasks, offering a matching fund of up to 30 million yuan [1] - The initiative aims to promote deep integration of 6G with sectors such as autonomous driving, embodied intelligence, AR/VR smart wearables, and aerospace industries, with funding support of up to 5 million yuan for benchmark demonstration scenarios [1]

Summary of Conference Call Records Industry Overview: PCB Industry Key Points - **AI Server Demand**: The demand for high-speed copper-clad laminates (CCL) is driven by AI servers, with an annual growth rate of 30%-50%. However, some products face a shortage of about 10% [1][3][4] - **FR-4 CCL Pricing**: The price of FR-4 CCL is expected to increase by 10%-15% in 2025, benefiting from demand in the automotive and consumer electronics sectors [1][5] - **Material Selection Strategy**: The selection of CCL materials varies by market segment; low-end markets prioritize price, while mid-to-high-end markets focus on quality [1][6] - **Application Classification**: Automotive safety components are classified as mid-to-high-end applications, while non-safety components and consumer electronics fall into the low-end category [1][7] Technical Insights - **High-Speed CCL Technology**: High-speed CCLs utilize various resin materials, with high-end models like Ma 8 and Ma 9 using hydrocarbon resins. As transmission speeds increase, the electrical performance loss differences between high-speed and high-frequency materials are diminishing [1][8][10][11] - **Domestic Manufacturer Strategies**: Domestic manufacturers have different strategies; for instance, Shen Yu is a comprehensive supplier, while Jian Tao focuses on low-end products. Hua Sheng and Nan Ya aim to enhance their high-frequency and high-speed product shares [1][16] - **Global Manufacturer Focus**: Global manufacturers like Tai Kwang are expanding into the AI server market, while others like Rogers focus on the high-frequency market [1][18] Company-Specific Insights Order and Production Status - **Strong Orders**: The company reported a robust order situation in Q2, with F2 operating at full capacity due to a strong demand for mid-to-high-end products and favorable national policies [2][34] - **Material Pricing**: The expected pricing for AWS's M9 material is around 1,500 RMB per square meter, with confirmation of shares anticipated in the first half of 2026 [2][53] Market Dynamics - **Market Share Distribution**: In the Amazon server market, the PCB supply share is approximately 50% for Sheng Yi Electronics, 30% for Jin Xiang, and 10% for Gao Ji [27] - **Future Supplier Changes**: The supplier landscape is expected to remain stable until the T3 generation products are mass-produced in 2026 [28] Competitive Landscape - **Performance Comparison**: The performance of the company's products is comparable to competitors like Tai Kwang and Dou Shan, with the main factor for gaining market share being relationships with PCB manufacturers [36][37] - **Next-Generation Material Development**: The company is actively working on next-generation materials, including Ma 9, to enhance its competitive position [35][41] Technical Developments - **PTFE Application**: The PTFE solution is likely to be applied to orthogonal backplanes, with ongoing trials by several companies [38][39] - **Layer Count Trends**: The next generation of Ma 9 materials is expected to have a layer count increase of about 20% compared to the current generation [40] Additional Insights - **R&D Structure**: The R&D structure of CCL manufacturers varies based on product ratios and classifications, with a focus on meeting performance standards and cost requirements [48] - **Market Growth Projections**: The high-end CCL market is projected to maintain a growth rate of approximately 50% over the next couple of years [51] This summary encapsulates the key insights from the conference call records, highlighting the current state and future outlook of the PCB industry and the company's strategic positioning within it.

Group 1 - AI hardware sector showed strong performance on July 3, with significant increases in servers, circuit boards, optical modules, and consumer electronics [1] - The 5G Communication ETF (515050) rose by 2.34%, with Industrial Fulian increasing over 8%, and other stocks like Pengding Holdings, Shenzhen South Circuit, and Dongshan Precision also performing well [1] - The total trading volume of the ETF exceeded 140 million yuan during the session [1] Group 2 - Galaxy Securities anticipates a recovery in the AI computing industry chain in the second half of the year, presenting new investment opportunities [1] - Key sectors for investment include operators, optical communication, satellite internet, and quantum technology [1] - The AI Computing and related industries, including Nvidia and Apple supply chains, are recommended for investment focus [1] Group 3 - The创业板人工智能ETF华夏 (159381) tracks the AI index of companies listed on the ChiNext board, with a daily price fluctuation limit of ±20% [2] - The fund has a management fee rate of 0.15% and a custody fee rate of 0.05%, making it one of the lowest in its category [2] - The index has over 30% weight in optical modules, including leading companies like NewEase, Zhongji Xuchuang, and Tianfu Communication [2]

Market Overview - The three major A-share indices collectively rose in the morning session, with the Shanghai Composite Index up 0.07%, the Shenzhen Component Index up 0.75%, and the ChiNext Index up 1.36%, while the North Star 50 Index fell by 0.09% [1] - The total market turnover for the half-day was 806.3 billion yuan, a decrease of 61.1 billion yuan compared to the previous day [1] - Over 2,500 stocks in the market experienced gains [1] Sector Performance - The innovative drug, consumer electronics, CPO, and satellite navigation sectors saw the largest gains [1] - Conversely, the gaming, military equipment restructuring, solid-state battery, controllable nuclear fusion, and marine equipment sectors experienced the largest declines [1] Notable Stocks - Innovative drug stocks surged, with ShenZhou Cell and SaiLi Medical hitting the daily limit up [1] - 6G and satellite navigation concept stocks also saw initial gains, with LeiKe Defense and GuoMai Technology reaching the daily limit up [1] - The PCB sector showed volatility with BoMin Electronics, JinAn GuoJi, and DaWei Shares hitting the daily limit up [1] - The consumer electronics sector was active, with XinYa Electronics and ChaoYang Technology reaching the daily limit up [1] - The gaming sector collectively adjusted, with XingHui Entertainment dropping over 6% [1] - Solid-state battery concept stocks weakened in parts, with DaDongNan, SiBao Technology, XiangFengHua, and Shanghai XiBa showing significant declines [1]

Core Viewpoint - LG has exited the smartphone market due to intense competition, focusing instead on electric vehicle components, smart home devices, AI, and future technologies like 6G [1][2]. Group 1: Company Strategy - LG announced it will cease all services and backend support for its smartphones on June 30, 2025, at midnight Korean time, which translates to June 29, 2025, at 11 PM Beijing time [2]. - After the service shutdown, LG will no longer provide automatic updates or app services for its smartphones, and the LG Bridge software will also become unusable [2]. - LG has committed to upgrading high-end smartphones released after 2019 three times, while more budget-friendly models will only receive updates for two years [1]. Group 2: Product Innovations - LG has a history of innovative products, such as the LG G3, which was the first smartphone to feature a QHD display and laser autofocus [2]. - The LG Wing, released in 2020, featured a unique dual-screen design and advanced stabilization technology for video recording [3]. - Despite exiting the smartphone market, LG is exploring partnerships with Samsung for AI smartphones and continues to develop eye-catching products like the UltraFine display with a 6K screen and a multifunctional projector [3].

Core Viewpoint - ZTE Corporation, a long-established ICT company, has successfully entered the AI sector, achieving notable recognition in AI reasoning competitions, particularly with its NebulaCoder-V6 model, which ranked first in the SuperCLUE reasoning leaderboard [2][4][6]. Group 1: ZTE's AI Strategy - ZTE has made significant investments in AI, recognizing its potential to transform the telecommunications industry, particularly with the advent of 6G technology [8][10]. - The company has established multiple AI-focused teams and research initiatives, including the Nebula large language model, to enhance its capabilities in AI infrastructure and applications [11][12]. - ZTE's internal operations have already integrated AI, with the Nebula model generating 1.5 billion tokens daily and contributing to 30% of the company's code generation [13][14]. Group 2: Nebula Model's Success - The Nebula model's success in the SuperCLUE competition is attributed to its efficient training optimization strategies, which include pre-training, supervised fine-tuning, and reinforcement learning [16][39]. - A novel knowledge graph construction method, DASER, was implemented to enhance the model's knowledge accuracy by addressing knowledge gaps and errors during pre-training [20][23]. - The supervised fine-tuning phase utilized critique learning to improve the model's understanding of complex instructions, resulting in higher accuracy in reasoning tasks [25][31]. Group 3: Transition from ICT to AI - ZTE's transition from an ICT giant to an AI-focused enterprise is facilitated by its extensive experience in data processing, system optimization, and engineering practices [44][46]. - The company possesses a unique advantage in integrating hardware and software capabilities, allowing it to effectively support the entire AI ecosystem, from hardware development to industry applications [47][48]. - ZTE's existing product ecosystem is undergoing AI transformation, which is expected to create significant market opportunities and accelerate technological advancements [48][49].

Group 1 - The overall market valuation has increased, with the ChiNext Index performing the best, while the dividend index showed the weakest performance [1][10] - The computer, defense, and non-bank financial sectors experienced the highest gains, while the oil, food and beverage, and transportation sectors performed the weakest [13][35] - The relative PE and PB of the ChiNext Index compared to the CSI 300 have both increased, indicating a shift in valuation dynamics [17][26] Group 2 - The overall valuation of broad market indices has risen, with the majority of indices above the 50% historical percentile [15][26] - The financial and real estate sectors are valued above the 50% historical percentile, while materials, equipment manufacturing, industrial services, transportation, consumption, and technology sectors are at or below the 50% level [28][39] - The valuation of the food and beverage, agriculture, public utilities, and home appliance sectors is currently considered relatively cheap [39][44] Group 3 - The overall profit expectations across industries have shown slight changes, with the largest upward adjustments and the computer sector experiencing the most significant downward revision [50]