Summary of Conference Call Notes Industry or Company Involved - The conference call primarily discusses the **cloud computing** and **AI application** sectors, with a focus on **domestic computing power** and **software companies** in China. Core Points and Arguments 1. **AI Application Trends**: The AI application sector is showing a positive trend, which is expected to continue driving the computing industry forward in 2021 and beyond. The computing sector was highlighted as a key recommendation in June [1][3]. 2. **Overseas Performance**: Companies like **NVIDIA** and **Oracle** have reported better-than-expected earnings, indicating a trend that is likely to continue in the second half of the year [2][3]. 3. **Domestic Market Outlook**: The domestic computing power sector is expected to mirror the positive performance seen in overseas markets, with companies like **Guangdian** being highlighted as key players [3][4]. 4. **Cloud Computing Recovery**: The cloud computing market is anticipated to recover, with expectations of a 20% growth in Q2, reaching approximately **2.3 billion RMB** in revenue [6]. 5. **Domestic Computing Power Development**: The introduction of Huawei's **314 system-level computing power** is a significant development, aiming to compete with overseas products [7][8]. 6. **AI Software Growth**: The AI application software sector is expected to see robust growth, particularly in management and office software, driven by domestic demand [11][12]. 7. **Investment Recommendations**: Key companies to watch include **Kingsoft Cloud**, **Hua Da 9000**, and **Da Meng Data**, which are expected to perform well due to their focus on AI and domestic market needs [15][19]. 8. **Market Dynamics**: The overall sentiment is optimistic, with expectations of continued growth in the AI application and cloud computing sectors, driven by both domestic and international demand [9][10]. Other Important but Possibly Overlooked Content 1. **Impact of Supply Chain Disruptions**: The inability to import certain overseas products, such as H20 chips, has caused disruptions in the cloud computing supply chain, but recovery is expected in the coming quarters [5]. 2. **Focus on Domestic Demand**: Companies with a strong domestic focus, particularly those meeting local needs for AI applications, are likely to outperform their peers [11][12]. 3. **Long-term Trends**: The shift towards system-level computing solutions is seen as a long-term trend that will continue to shape the domestic computing power landscape [8][9]. 4. **Sectoral Differentiation**: There is a noted differentiation in performance across various sectors, with energy, telecommunications, and military applications showing particular promise [28][29]. This summary encapsulates the key insights and projections discussed during the conference call, providing a comprehensive overview of the current state and future outlook of the cloud computing and AI application sectors.