Core Insights - The demand for AI terminals is currently in its early development stage, but is expected to experience explosive growth in the future as edge computing evolves [2] - The company is focusing on AI terminal products such as headphones, wristbands, and smartwatches, while also exploring high-bandwidth functional modules for AI glasses, smart robots, and AI PCs [2] Product Development - The company is conducting R&D on mid-to-high capacity NOR Flash products ranging from 64Mb to 2Gb based on 48nm and 58nm processes [2] - Continuous upgrades of NOR Flash products will provide diverse and reliable options for clients in wearable devices, security monitoring, IoT, and automotive electronics [2] Automotive Sector Engagement - The company is actively onboarding and validating automotive-grade storage products, having completed whitelist onboarding with several domestic automakers [2] - The company has also secured supplier qualifications with multiple domestic and international tier-one automotive suppliers and has begun sales of automotive-grade products to well-known overseas tier-one suppliers [2]

Group 1 - The stock price of Baiwei Storage closed at 69.92 yuan on August 26, 2025, down 0.31% from the previous trading day, with a trading volume of 198,976 lots and a transaction amount of 1.411 billion yuan [1] - Baiwei Storage focuses on the semiconductor memory sector, covering R&D design, packaging, and manufacturing, with products widely used in smart terminals, PCs, and smart vehicles, and has entered the supply chain of several well-known domestic and international brands [1] - The company disclosed that its R&D investment for 2024 will reach 447 million yuan, an increase of over 7 times compared to 2018 [1] Group 2 - In the smart wearable sector, Baiwei Storage's AI emerging edge-side revenue for 2024 is expected to exceed 1 billion yuan, representing a nearly 300% year-on-year growth [1] - The company has begun bulk deliveries of automotive-grade storage products to leading automotive manufacturers, and its enterprise storage products have also received certification from AI server manufacturers [1]

Group 1 - Xianghe Investment recently conducted research on Dongxin Co., which has made significant progress in automotive-grade storage products, with SLC NND, NOR, and MCP products passing EC-Q100 certification, suitable for harsher application environments [1] - Dongxin Co. has completed supplier qualification for several domestic automakers and domestic and foreign tier-one automotive suppliers, and has begun selling automotive-grade products to well-known overseas tier-one suppliers [1] - The G100 chip from Lisan received its first batch of packaged chips on May 24, 2025, and has started functional testing, with results meeting expectations; further performance testing and optimization will continue [1] Group 2 - Current terminal demand is in the early development stage but is expected to experience explosive growth in the future, with the company actively laying out high-bandwidth demand terminal applications such as AR glasses, smart robots, and IPC [1] - The company's R&D expenses are continuously increasing, projected to reach 213 million yuan in 2024, accounting for 33.27% of revenue, with further growth expected in 2025, particularly for the new R&D investments in the WiFi7 product line [1]

Group 1 - The company has successfully passed AEC-Q100 certification for various automotive-grade storage products, including SLC NAND, NOR, and MCP, indicating readiness for stringent automotive applications [2] - In 2024, the company plans to complete the whitelist onboarding for several domestic automakers and gain supplier qualifications from multiple Tier 1 automotive suppliers, including well-known international ones [2] - Revenue growth in 2024 is primarily driven by increased shipment volumes, with significant year-on-year sales growth and improved gross margins due to optimized product structure and operational efficiency [2] Group 2 - The market for NAND-based MCP is expected to reach a scale of tens of billions of dollars, with applications in industrial controllers and automotive ADAS due to its high reliability and performance [3] - The first quarter revenue growth was mainly attributed to the recovery in demand from networking and consumer electronics, while the second quarter is expected to see sustained demand growth in the networking sector [3] - The demand in the Internet of Things (IoT) and Vehicle-to-Everything (V2X) sectors remains stable, with gradual recovery anticipated in the surveillance and security market in the third quarter [3]