Core Insights - Zhaochi Co., Ltd. held an on-site investor meeting with 26 institutions and 33 participants, discussing the company's development history, industry advantages, and future plans [1] - The company is focusing on vertical integration in the optical communication sector, with plans to advance self-supply of optical communication chips [2][3] Group 1: Company Overview - Zhaochi Co., Ltd. has a 20-year development history and is actively pursuing advancements in LED chips and optical communication laser chips [1] - The company is transitioning towards high-tech fields such as Mini/Micro LED displays, optical communication, and compound semiconductors [3] Group 2: Product Development and Technology - The company is implementing a "wide and slow" architecture for Micro LED optical interconnects, utilizing multi-core imaging fibers for high-density signal transmission [2] - The 2.5G DFB laser chip has completed initial testing and is expected to achieve mass production by 2025, with further developments in 10G, 25G, and 50G chips planned [2] Group 3: Market Expansion - Zhaochi Co., Ltd. is expanding its overseas market presence, particularly in North America, driven by demand from content internet companies like Amazon [2] - The company is enhancing its production capacity in Vietnam, increasing annual output from 2 million units to 11 million units [3] Group 4: Financial Performance - The company experienced a slight decline in revenue and net profit in the first half of 2025, primarily due to international trade tariffs affecting smart terminal shipments [3] - Despite challenges, revenue from the LED industry chain, optical communication chain, and internet video business showed steady growth [3]

Core Viewpoint - The company has established a vertically integrated layout in the optical communication field, focusing on the supply of optical chips through a stepwise approach [1] Group 1: Company Developments - The company plans to leverage its vertical integration advantages to promote the independent supply of optical communication chips [1] - The 2.5G DFB laser chip has begun wafer production, with mass production expected by 2025 [1] - Development work for 10G and 25G DFB laser chips has started, with plans to launch 50G DFB and CW DFB chips by 2026 [1] Group 2: Research and Development - The company is actively engaged in the research and development of silicon photonics and PIC technology [1] - The goal is to create solutions for co-packaged optics (CPO) architecture, providing core support for 800G/1.6T ultra-high-speed interconnections [1]

Group 1: Company Overview and Development Plans - Shenzhen Zhaochi Co., Ltd. has a vertical integration strategy in the optical communication sector, covering "optical chips - optical devices - optical modules" [3] - The company plans to achieve full self-supply of optical communication chips through a stepwise approach, with 2.5G DFB laser chips expected to enter mass production in 2025 [3] - The company is actively developing silicon photonics and PIC technology to support 800G/1.6T ultra-high-speed interconnects [3] Group 2: Market Expansion Strategies - The company aims to penetrate overseas markets, particularly in North America, by leveraging existing partnerships with major content internet companies like Amazon and Vizio [4] - Current collaborations with Roku, Vizio, Google, and Amazon are focused on expanding into optical devices and modules, driven by the demand for data center interconnects and streaming content [4] Group 3: Product Performance and Financial Outlook - The 2.5G DFB laser chip has completed initial testing, achieving performance metrics that are leading in the domestic market [7] - The optical device and module business is expected to turn profitable in the second half of 2025, with ongoing improvements in operational performance [8] - The company’s LED full industry chain contributed over 60% to profits in the first half of 2025, establishing it as a significant growth driver [12] Group 4: Technological Developments - Micro LED technology is being developed to support AI glasses, focusing on quantum dot and stacking technologies in collaboration with downstream manufacturers [9] - The company is in the early R&D phase for Micro LED optical interconnects, providing core light sources for collaborative research [10] Group 5: Operational Adjustments and Capacity Expansion - In response to international trade tariff changes, the company has adjusted its strategic layout, increasing production capacity at its Vietnam facility from 2 million units to 11 million units annually [11] - The company is transitioning towards high-tech fields such as Mini/Micro LED displays and compound semiconductors to ensure sustainable growth [12]