Group 1 - The core viewpoint of the article highlights the strategic moves of Lei Jun and his investment entities, particularly Xiaomi Group and Shunwei Capital, in the context of capital market dynamics, focusing on both divestments and new investments in emerging sectors [1][3][34] - Shunwei Capital has been actively reducing its stake in various companies, including Longqi Technology, with plans to sell up to 19.19 million shares, representing 4.09% of the total share capital, due to the shareholder's funding needs [1][10] - In the past year, Shunwei Capital has executed multiple rounds of divestments across several companies, including Qusleep Technology, Nanchip Technology, and Stone Technology, indicating a trend of capital withdrawal from certain investments [1][19] Group 2 - Longqi Technology, primarily engaged in smart product development and manufacturing, has seen significant financial support from Shunwei Capital and Tianjin Jinmi, which were crucial during its growth phase [4][8] - The partnership between Longqi Technology and Xiaomi has evolved from independent design to original design manufacturing (ODM), with Xiaomi becoming a major client, contributing significantly to Longqi's revenue [11][13] - Longqi Technology's financial performance has faced challenges, with a reported revenue decline of 10.65% year-on-year and a net profit drop of 34.53% in the first half of 2025, raising concerns about its reliance on smartphone manufacturing [13][34] Group 3 - Shunwei Capital, established in 2015, focuses on early and growth-stage investments in technology sectors, leveraging Xiaomi's ecosystem to provide strategic support to portfolio companies [14][23] - The investment strategy of Shunwei Capital emphasizes a balanced approach, targeting high-potential sectors such as advanced manufacturing and artificial intelligence, with over 60% of its investments directed towards these areas [21][28] - Recent investments by Shunwei Capital include significant funding in emerging fields, particularly in advanced manufacturing and AI, indicating a shift towards sectors with high growth potential [31][32]

Group 1 - Lei Jun, through Xiaomi Group and Shunwei Capital, has built a complex capital landscape, frequently reducing holdings while betting on new opportunities [2][3] - Shunwei Capital plans to reduce its stake in Longqi Technology by up to 19.19 million shares, accounting for 4.09% of the total share capital, due to the shareholder's funding needs [2][11] - In the past year, Shunwei Capital has frequently reduced its stakes in several companies, including QuSleep Technology, Nanchip Technology, and Stone Technology [2][11] Group 2 - Longqi Technology, primarily engaged in smart product R&D and manufacturing, has seen significant investment from Shunwei and Tianjin Jinmi, both controlled by Lei Jun [4][8] - The partnership between Longqi Technology and Xiaomi has evolved from independent design to original design manufacturing (ODM), making Xiaomi a key customer [11][12] - Longqi Technology's revenue heavily relies on smartphone OEM business, which constituted 77.9% of its revenue in 2024, but with a low gross margin of 4.92% [14][12] Group 3 - Shunwei Capital has invested in various sectors, focusing on advanced manufacturing, e-commerce, and artificial intelligence, with over 60% of its investments in these areas [30][25] - The firm has participated in 837 investment rounds, with a preference for early-stage investments, particularly in advanced manufacturing and AI [25][27] - The investment strategy emphasizes balancing high risks with high returns, leveraging Xiaomi's ecosystem for strategic support [34][25]

Core Viewpoint - The planned divestment by Suzhou Shunwei, controlled by Lei Jun, raises concerns about the future development of Longqi Technology, given its high dependency on Xiaomi and low profit margins in its core business [2][5]. Group 1: Shareholder Actions - Suzhou Shunwei plans to divest up to 19.19 million shares of Longqi Technology, representing 4.09% of the total share capital, with a market value of approximately 881 million yuan based on the closing price of 45.92 yuan per share [2]. - Suzhou Shunwei and Tianjin Jinmi, both controlled by Lei Jun, collectively hold 9.04% of Longqi Technology's shares, indicating their significant influence as major shareholders [2]. Group 2: Business Dependency and Financial Performance - Longqi Technology's revenue heavily relies on its ODM/OEM smartphone business, with sales to Xiaomi accounting for 37.83% of total revenue as of the first half of 2023, down from a peak of 57.66% [3]. - The smartphone business is projected to contribute 77.90% of total revenue in 2024, but it has a low gross margin of only 4.92%, limiting overall profitability [4]. - In the first half of 2025, Longqi Technology reported total revenue of 19.908 billion yuan, a year-on-year decline of 10.65%, while net profit slightly increased by 5.01% to 356 million yuan, indicating a concerning revenue trend [4]. Group 3: Market Concerns and Competitive Landscape - The planned divestment reflects market worries about Longqi Technology's growth prospects, particularly its reliance on low-margin smartphone manufacturing [4][5]. - Compared to competitors like Huaqin Technology, which has diversified into higher-margin sectors such as laptops and automotive electronics, Longqi Technology appears to be lagging in its transformation efforts [4].