Core Viewpoint - The article discusses the competitive landscape of domestic GPU companies in China, highlighting the upcoming IPO of Mu Xi Integrated Circuit and the recent success of Mo Er Thread, emphasizing the importance of capital in advancing technology and market positioning in the AI computing sector [1][2][4][8]. Group 1: Mu Xi Integrated Circuit - Mu Xi Integrated Circuit's IPO on the Sci-Tech Innovation Board is set for review on October 24, following the successful listing of Mo Er Thread [1]. - The company focuses on high-performance GPU chip development, with a product matrix covering AI computing, general computing, and graphics rendering, achieving over 25,000 units sold [2]. - Mu Xi aims to leverage capital to overcome technical bottlenecks in high-performance GPUs and enhance penetration in vertical sectors like education, finance, and healthcare [2]. Group 2: Mo Er Thread - Mo Er Thread has set a benchmark by successfully passing its IPO review, with its MTT S5000 chip nearing the performance level of NVIDIA's A100 [4]. - The company reported a revenue scale of 1.8 billion yuan and has over 2 billion yuan in pending orders, indicating market recognition of its technology [4]. - Mo Er Thread plans to use its proposed fundraising of 8 billion yuan entirely for the development of next-generation chips targeting AI training and graphics rendering [4]. Group 3: Other Competitors - Suiruan Technology and Biran Technology are in the preparatory stages for their IPOs, with unique technological highlights: Suiruan focuses on a "reasoning before training" strategy, while Biran's BR100 chip boasts performance three times that of the A100 [4][6][7]. - The progress of these companies may influence the capital landscape of the domestic GPU industry [4]. Group 4: Market Context - The global GPU market has been dominated by foreign manufacturers, with NVIDIA's CUDA ecosystem presenting significant barriers to entry for domestic firms [7]. - The urgency for domestic GPU companies to achieve self-sufficiency in computing power is underscored by NVIDIA's H100 graphics card price soaring to 200,000 yuan per unit [7]. - The high investment and complexity of GPU R&D are highlighted, with Mo Er Thread having accumulated losses exceeding 5 billion yuan over three years, indicating the need for substantial funding to alleviate R&D pressures [8]. Group 5: Future Implications - The outcome of Mu Xi's IPO review on October 24 will be pivotal in the ongoing capital race among domestic GPU companies [8]. - The collective push for IPOs among these companies represents a critical step in overcoming technological barriers and advancing China's autonomous computing infrastructure [8].

Core Viewpoint - The article highlights the significant performance improvement of HanGuangJi, a leading AI chip company in China, with its stock price nearing that of Kweichow Moutai, indicating strong market interest and growth potential in the AI chip sector [2]. Group 1: Company Performance - HanGuangJi's stock reached 1243.20 yuan, with a trading volume exceeding 15.8 billion yuan, reflecting robust market activity [2]. - The company reported a revenue of 9.89 billion yuan and a net profit of 2.81 billion yuan in Q4 of the previous year, marking its first quarterly profit since going public [2]. - In Q1 of this year, HanGuangJi's revenue surged to 11.11 billion yuan, a significant increase from 0.26 billion yuan in the same period last year, with a net profit of 3.55 billion yuan [2]. Group 2: Industry Developments - DeepSeek recently launched DeepSeek-V3.1, which is designed for the upcoming generation of domestic chips, marking a step towards the agent era in AI [2]. - Several AI chip manufacturers, including Moole Technology and Suiyuan Technology, have introduced chips that support FP8 precision computing, enhancing performance in large model training by 20% to 30% [3][4]. - The domestic AI industry is increasingly utilizing local computing power, with companies like iFLYTEK testing large models based on fully domestic computing resources [4]. Group 3: Market Outlook - Research reports from various brokerages indicate a stable growth in the semiconductor supply chain, with rising wafer foundry capacity and a positive outlook for the semiconductor market [5]. - The introduction of new precision formats by DeepSeek suggests a growing application of domestic AI chips in training and inference processes, especially in light of international supply chain fluctuations [5].

Group 1 - Multiple stocks in the computing power sector experienced significant gains, with SMIC rising 6.29% and Chipone increasing by 5.39% [1] - AI-related stocks saw even larger increases, with Haiguang Information up 17.19%, Zhongke Shuguang up 10%, and Cambricon up 12.4%, reaching a new high of over 1170 CNY per share and a market capitalization exceeding 490 billion CNY [1][3] Group 2 - Cambricon, a leading domestic AI chip company, reported improved performance, achieving a revenue of 989 million CNY and a net profit of 281 million CNY in Q4 of last year, marking its first quarterly profit since going public [3] - In Q1 of this year, Cambricon's revenue surged to 1.111 billion CNY, a significant increase from 26 million CNY in the same period last year, with a net profit of 355 million CNY [3] Group 3 - DeepSeek recently launched DeepSeek-V3.1, which is designed for the upcoming generation of domestic chips, utilizing UE8M0 FP8 precision [3][4] - Several domestic AI chip manufacturers are supporting FP8 precision calculations, with companies like Moore Threads and Suiyuan Technology introducing chips that enhance performance in large model training by 20% to 30% [4] Group 4 - Recent reports from various brokerages highlight the stability and growth of the semiconductor supply chain, with rising wafer foundry capacity and a continued favorable semiconductor market [5] - The potential for increased application of domestic AI chips in training and inference based on the DeepSeek model was noted, especially in light of international supply chain fluctuations [5]

Investment Rating - The report maintains a "Buy" rating for several companies, including Tongfu Microelectronics, Pengding Holdings, Shenghong Technology, Meilian New Materials, and Yongxi Electronics [17][34]. Core Views - The implementation of the "Artificial Intelligence +" initiative by the government is expected to drive the integration of digital technology with manufacturing and market advantages, enhancing the innovation ecosystem for AI [5][24]. - The domestic AI hardware capabilities have reached a new level, with significant advancements in AI chip production, including the launch of new chips by companies like Suiruan and Muxi [9][27]. - The collaboration between InnoSys and NVIDIA on the 800V direct current power architecture is set to revolutionize AI data center power supply, improving efficiency and reducing space requirements [10][30]. Summary by Sections Market Performance - The electronic industry saw a 0.28% increase from July 28 to August 1, ranking fourth among sectors, with a P/E ratio of 56.09 [4]. - The printed circuit board sector experienced the highest growth of 9.65% during the same period [4]. AI Chip Developments - The L600 chip from Suiruan, designed for large model training and inference, features 144GB storage and a bandwidth of 3.6TB/s, marking a significant breakthrough in AI chip technology [8][26]. - Muxi's C600 chip also supports mixed precision computing and has a storage capacity of 144GB, showcasing advancements in domestic chip manufacturing [8][26]. International Collaborations - NVIDIA's 800V architecture partnership with InnoSys highlights the potential for enhanced efficiency in AI data centers, with a projected 5% increase in end-to-end energy efficiency [10][30]. - Major cloud service providers like Meta, Microsoft, and Google reported strong Q2 earnings, indicating continued investment in AI infrastructure [14][31]. Recommendations - The report suggests focusing on companies involved in semiconductor manufacturing, AI chip production, advanced packaging, and equipment manufacturing, including SMIC, Huahong Semiconductor, and Cambrian [9][27].

Group 1: New AI Chip Releases - Suiyuan Technology and Muxi launched their new AI chips at the World Artificial Intelligence Conference (WAIC) on July 27, with Suiyuan's L600 chip developed over two and a half years, featuring a training and inference integrated architecture [1] - The L600 chip has a storage capacity of 144GB and a storage bandwidth of 3.6TB/s, supporting FP8 low precision to enhance training speed and reduce computing costs [1] - Muxi's new C600 chip also follows an integrated training and inference model, with a storage capacity increased from 64GB in the previous C500 to 144GB, utilizing advanced HBM3e memory [4] Group 2: Company Performance and Market Position - Suiyuan's previous S60 chip has shipped 70,000 units, making it a leading player in the domestic AI chip market, with deployments across five major intelligent computing clusters in China [1] - Muxi's C500 chip accounted for 97.28% and 97.87% of its revenue in 2024 and the first three months of 2025, respectively, indicating strong market demand for its products [7] - Muxi has sold over 25,000 GPU products as of March this year, and its IPO process is currently in the inquiry stage after being accepted on July 19 [7] Group 3: Future Developments - Suiyuan plans to establish a 10,000-card inference cluster in Gansu, set to be operational by December 2024, utilizing 10,016 S60 computing cards [1] - Muxi's C600 project has a total investment of approximately 1.37 billion yuan, with small batch production expected in the fourth quarter of this year, and the next-generation C700 series is already in development with an investment of about 2.04 billion yuan [4]