Core Insights - The commercial deployment of large models in China is expected to experience explosive growth in the second half of 2024, with daily token consumption increasing nearly tenfold compared to previous levels [1] - The total token usage for public cloud large model calls in China is projected to reach 114.2 trillion tokens in 2024, excluding calls made through overseas MaaS platforms [1] Group 1: Token Consumption and Growth - Daily token consumption in China surged from 100 billion at the beginning of 2024 to over 30 trillion by the end of June, marking a growth of over 300 times in just 18 months [1] - The rapid increase in token usage is leading to significant growth in east-west traffic and rising communication energy consumption, which is becoming a critical bottleneck for AI infrastructure [1] Group 2: High-End Network Hardware Market - The high-end network hardware market is experiencing rapid development, with shipments of high-end Ethernet ports (≥200G) in China expected to exceed 6 million in 2024 [1] - It is forecasted that the compound annual growth rate (CAGR) for high-end Ethernet port shipments will be 45.6%, with shipments projected to surpass 43 million by 2029 [1] - Spending on network hardware related to generative AI in China is anticipated to grow from 6.5 billion in 2023 to 33 billion by 2028, reflecting a CAGR of 38.5% [1]