ThunderSoft(SZ:300496)2022-12-06 11:21Company Overview - Zhongke Chuangda Software Co., Ltd. was established in 2008, coinciding with the launch of Android. The management team has experience from renowned companies such as Red Flag, ARM, Microsoft, NVIDIA, and Motorola, possessing core technology in operating systems [3]. - The company primarily focuses on intelligent mobile phones, in-car systems, and smart hardware, including drones, VR, and robotics, which are expected to become new growth points. The traditional mobile phone business is projected to maintain stable growth [3][4]. Business Model and Revenue - The company has approximately 2,300 employees, with 90% being R&D personnel. It has technology support centers in major cities across China and in the USA, Japan, South Korea, Hong Kong, and Taiwan [3]. - The 2.0 strategy aims to transition from a service-based revenue model to a product-based model, allowing for standardized modules to be sold, thus breaking the growth ceiling. The automotive and smart hardware sectors have already implemented volume-based charging [5][7]. - By 2018, product and IP revenue is expected to account for over 50% of total revenue [5]. Market Trends and Projections - The company anticipates explosive growth in the drone market in 2016, with VR expected to see growth in 2017, and robotics projected to explode in 2018 [6]. - The mobile business has maintained a growth rate of over 30% annually, while new sectors are showing rapid growth potential [6][7]. Strategic Partnerships and Collaborations - The company has established a joint venture with ARM, holding a 51% stake in Anchuang Space, which serves as an accelerator for startups, providing essential resources that they may not access independently [4]. - Collaborations with major chip manufacturers such as Qualcomm and Spreadtrum are ongoing, with a focus on integrating software solutions with hardware [9][11]. Financial Performance and Future Outlook - The company’s gross margin is expected to be lower in the smart hardware sector due to hardware components, while the automotive sector has already begun charging for development fees and will charge IP fees later [9]. - The company is also exploring opportunities in emerging markets, particularly in India, while maintaining a conservative approach to horizontal expansion [5][6]. Conclusion - Zhongke Chuangda is positioned to leverage its technological expertise and strategic partnerships to capitalize on growth opportunities in the intelligent hardware and automotive sectors, with a clear focus on transitioning to a product-based revenue model and expanding its market presence [3][5][11].