Core Insights - Global smartphone shipments are projected to grow by 2% year-on-year in the first half of 2025, while outsourced design orders are expected to increase by 7% [1] - ODM-designed smartphones accounted for 43% of total global shipments, marking the highest level since 2019 [1] Industry Dynamics - ODM companies play a crucial role in the smartphone supply chain, taking on product design and manufacturing responsibilities [2] - Major ODM players like Longqi Technology, Huaqin Technology, Luxshare Precision, and Wistron have engaged in frequent mergers and acquisitions to enhance their market positions [2] - Luxshare Precision has acquired assets from Wistron, with the transaction completed by September 16, 2025, integrating Wistron's subsidiaries into its financial statements [2] Market Restructuring - The global smartphone ODM industry is undergoing a restructuring phase, with Huaqin Technology and Longqi Technology maintaining strong positions [3] - Luxshare Precision has absorbed a significant portion of Wistron's ODM client resources, while other manufacturers have taken on some transferred orders [3] - The trend of mergers and acquisitions is expected to continue, introducing more uncertainty into the industry landscape [3] Business Diversification - ODM manufacturers are accelerating diversification in response to competitive pressures, exploring new sectors such as custom products, LED, and AIoT [4] - The rise of 5G technology and innovations in foldable screens demand higher technical integration and design capabilities from ODMs [4] - ODMs are investing in R&D and upgrading manufacturing facilities to keep pace with ongoing hardware upgrades in smartphones [4] Strategic Shifts - ODM companies are shifting their core strategies to transition electronic manufacturing capabilities to higher growth sectors [5] - While smartphone ODM business remains a stable cash flow source, new ventures require long-term investment and have longer return cycles [5] - The next three years are seen as a critical window for the transformation and upgrading of the ODM industry, with the ability to establish growth in automotive electronics and AIoT being pivotal for competitive positioning [5]

Core Insights - The global ODM smartphone shipment volume is expected to grow by 7% year-on-year in the first half of 2025, indicating a robust market outlook for ODM players [1][5][6] - Huaqin and Longcheer maintain their leading positions in the industry, while Tianlong Mobile has risen to third place, showcasing a strong competitive landscape [1][5] - The integration of Wistron’s ODM business into Luxshare Precision requires time, resulting in Luxshare currently holding the fourth market position [1][5] ODM Market Dynamics - In the first half of 2025, global smartphone shipments increased by 2%, while outsourced design orders rose by 7%, reflecting OEM manufacturers' strategy to enhance ODM outsourcing to tackle market competition and cost pressures [1][6] - ODM-designed smartphones accounted for 43% of total global shipments, marking the highest level since 2019 for the same period [1] Competitive Landscape - The ODM industry is undergoing a restructuring phase, with Huaqin and Longcheer solidifying their dual stronghold, while Luxshare Precision is working to stabilize its market position after acquiring Wistron’s ODM clients [5] - Other manufacturers like Mabowell and Yijing have shown fluctuations in performance based on major client orders, while Zhongnuo is expected to recover growth in the second half of the year despite a decline in the first half [5] Business Diversification and Innovation - ODM manufacturers are actively exploring new business areas such as customized products, LED, and AIoT, although these new ventures are unlikely to yield significant short-term profits [5] - There is a continuous increase in R&D investment and manufacturing upgrades among ODM firms to adapt to ongoing hardware upgrades in smartphones and to expand into related sectors like smart automotive and wearables [5]

Core Insights - The global ODM smartphone shipment volume is expected to grow by 7% year-on-year in the first half of 2025, with Huakin and Longqi maintaining their leading positions in the industry [4][10] - The overall global smartphone shipment volume is projected to increase by 2% year-on-year, while outsourced design orders are expected to rise by 7%, indicating that OEM manufacturers are increasing ODM outsourcing to cope with intense market competition and cost pressures [5][11] - ODM-designed smartphones accounted for 43% of the total global shipment volume, marking the highest level for the same period since 2019 [5] ODM Market Analysis - The ODM industry is undergoing a restructuring phase, with Huakin and Longqi continuing to hold strong positions. Tianlong Mobile has shown significant growth, ranking third in the industry [9] - Lixun Precision has taken over most of the ODM customer resources from Wentai, but the integration and uplift of ODM business will take time, currently ranking fourth in the market [9][10] - Other ODM manufacturers are actively exploring new business areas such as customized products, LED, and AIoT, although these new ventures are unlikely to yield significant short-term profits [9] Future Outlook - The ODM smartphone shipment volume is expected to have growth potential in the coming years, as mainstream ODMs continue to diversify their business [10][11] - OEM manufacturers are likely to increase their outsourcing ratios to alleviate operational pressures amid ongoing global economic challenges [11] - The report provides a comprehensive assessment of the strategic choices between outsourcing and in-house production among major brands, as well as insights into the evolving roles of upstream participants, including semiconductor suppliers [11]

Core Viewpoint - The Hong Kong stock market is experiencing a significant surge in IPO activities, with a record number of applications and financing amounts, driven largely by the "A+H" listing trend. Group 1: IPO Applications and Market Activity - On June 27, 16 mainland companies submitted IPO applications to the Hong Kong Stock Exchange, with 5 already listed on A-shares, indicating a strong interest in dual listings [1][3]. - As of June 29, there are 188 companies that have applied for listing on the Hong Kong Stock Exchange, excluding those that have withdrawn or become invalid [5]. - The total IPO financing amount in Hong Kong has reached approximately $14 billion this year, making it the highest globally among stock exchanges [2][7]. Group 2: Sector Distribution and Trends - Among the 16 companies that submitted applications, 10 are from the technology sector, 4 from healthcare, 1 from food, and 1 from consumer goods [4]. - The "A+H" listing trend is a major driver of the IPO boom in Hong Kong, with over 30 A-share companies having submitted H-share listing applications [6]. Group 3: Financing Statistics - In the first half of the year, the Hong Kong stock market saw 40 IPOs, raising approximately 104.7 billion yuan, while the total financing from placements reached 137.9 billion yuan, both exceeding the total for the previous year [9]. - There are 5 IPO projects in Hong Kong this year that have raised over 10 billion HKD each, including major companies like CATL and Heng Rui Medicine [10].