Group 1: Market Overview - The professional video market is currently experiencing structural changes, with overseas market growth significantly outpacing domestic growth. New product technology iterations are driving growth faster than traditional products. Overall shipment volume for the company in the first half of the year remained nearly flat compared to last year, with a year-on-year decline of approximately 3% [3][4]. - Major clients have been aggressively reducing inventory since Q4 of last year, with the impact on the company being more pronounced in Q1 and gradually weakening in Q2. It is expected that order demand will return to normal levels in Q3 [3][5]. Group 2: Product Development and Strategy - The company is focusing on high-demand products rather than blindly pursuing performance metrics. High-end products have begun mass production, with AI-ISP products being released in the first half of the year and expected to ramp up in the second half [3][5]. - The company is cautious about large-scale investments in the AI glasses sector, preferring to adopt an external ISP solution to maintain product differentiation and reduce supply chain risks [6]. Group 3: Financial Performance and Margins - The automotive business has the highest and most stable gross margin, while the professional video business has seen a year-on-year decline of about 1 percentage point but remains stable overall. The smart IoT business has experienced a decline in gross margin due to intense market competition, although shipment volumes are growing rapidly [5]. - The company anticipates that the recent rise in storage chip prices will not significantly impact gross margins in the next six months, as they have made adequate preparations for inventory [5]. Group 4: Future Outlook - The company expects gradual improvement in the professional video sector, with confidence in the industry's recovery based on client and market feedback. The strategy is to meet the diverse needs of major clients and grow alongside them [14][15]. - The company aims to achieve revenue of over 5 billion in the next 3 to 5 years, positioning itself among the top tier of domestic fabless integrated circuit companies [15].