Investment Rating - The report maintains a "Recommended" rating for the industry, indicating an expected relative increase of over 15% compared to the benchmark index within the next 12 months [4][7]. Core Insights - 2025 is projected to be the year of application for domestic AI integrated machines, with significant developments in the deployment of DeepSeek solutions by China Mobile in the financial services sector [1]. - Multiple companies are developing DeepSeek integrated machines, enhancing the domestic AI ecosystem and breaking the reliance on NVIDIA's CUDA ecosystem through collaborations with various domestic chip manufacturers [2]. - The report outlines a comprehensive list of companies involved in the domestic AI integrated machine supply chain, highlighting potential investment opportunities [3]. Summary by Sections Industry Overview - China Mobile successfully deployed the first self-developed AI project using DeepSeek in the Asia-Pacific region, marking a significant milestone for domestic AI applications [1]. - The introduction of new DeepSeek integrated machines by companies like Shanghai Haixi Technology and Huawei emphasizes the growing competition and innovation in the market [2]. Market Dynamics - At least 20 domestic chip manufacturers have announced partnerships with DeepSeek, indicating a robust growth trajectory for the domestic AI integrated machine market [2]. - The report highlights the advantages of domestic AI models combined with local AI chips, fostering the development of a "domestic computing power + domestic large model" ecosystem [2]. Investment Opportunities - The report identifies key players in the domestic AI integrated machine industry, including He Sheng New Materials, Hengwei Technology, and others, suggesting a diversified investment landscape [3].

Core Insights - DeepSeek has become a phenomenon, attracting attention from various third-party integrations and discussions within the industry [1][2] - The focus is shifting from hype to practical implementation, emphasizing the need for traditional enterprises to effectively integrate reasoning models into their business [2][3] Group 1: Challenges and Solutions - Integrating DeepSeek into business operations requires more than just API access; it necessitates the combination of local data and specific business scenarios [2] - Key challenges include infrastructure management, performance optimization for large-scale online operations, and ensuring data security and compliance [3] - Cloud service providers are responding by launching comprehensive solutions, such as Volcano Engine's AI all-in-one machine, aimed at facilitating innovation and business growth with lower barriers [4][5] Group 2: Features of Volcano Engine's AI All-in-One Machine - The AI all-in-one machine is designed to package necessary hardware and software for AI applications, allowing users to deploy and use it without complex configurations [6][8] - It supports the entire DeepSeek model series and provides capabilities for model deployment, management, inference, fine-tuning, and application development [6][9] - The machine is lightweight, requiring only one GPU server for deployment and three nodes for a high-availability production environment [9] Group 3: Technical Composition and Optimization - The AI all-in-one machine addresses three main issues: infrastructure optimization, model deployment, and AI application development [10][19] - It enhances system efficiency through hardware-software collaboration and provides capabilities for monitoring and operational stability [12][15] - The machine includes built-in optimization for DeepSeek models, reducing token latency and maximizing service throughput [17][18] Group 4: Performance and Security Enhancements - Volcano Engine's AI all-in-one machine supports FP8 precision, significantly improving model loading speeds and service startup times compared to traditional solutions [24][25] - It integrates a self-developed large model application firewall, which has shown to drastically reduce harmful content generation rates and mitigate security threats [31][32] - The firewall also minimizes the occurrence of model hallucinations related to specific knowledge [32] Group 5: Industry Implications - The introduction of the AI all-in-one machine signifies a shift towards practical applications of large model technologies, moving beyond initial excitement to deeper industry integration [33][34] - Volcano Engine is positioned to lead in this evolving landscape, providing tools that lower the barriers for enterprises to adopt AI technologies effectively [36]