NOVA TECH(SZ:300921)2022-12-09 09:26Business Structure - In 2021, the company established a new business structure centered around Lingwang Services, Lingyun Services, and Digital Engineering [2] - Lingwang Services provides enterprise-level internet services and network infrastructure hosting based on a self-built MPLS backbone network [2] - Lingyun Services addresses digital transformation needs with cloud-based solutions, including cloud connectivity, security, and computing services [2] Customer Base - The company primarily serves large and medium-sized enterprises across various industries, including manufacturing, wholesale and retail, information transmission, software and IT services, and finance [3] - The services provided are designed to support digital transformation for enterprise headquarters, branches, data centers, and cloud platforms [3] Digital Engineering - Digital Engineering leverages modern technologies to provide solutions for smart cities and parks, including customized software development for industry-specific needs [3] - An example includes assisting a top-tier hospital in Shenzhen with a digital engineering project to build an integrated security platform [3] SD-WAN Technology - SD-WAN technology, introduced around 2014, is now widely accepted by customers, providing a flexible and cost-effective solution for enterprise networking [4] - The company launched its self-developed SD-WAN product in 2021, which has driven significant growth in its cloud connectivity business [4] - SD-WAN is not a replacement for MPLS VPN but rather a complementary technology that manages various network types [4] Market Potential - The SD-WAN market in China was valued at $120 million in the first half of 2022, with a year-on-year growth of 45.8% [6] - The infrastructure market reached $80 million, growing by 34.0%, while the service market hit $40 million, with a growth rate of 77.7% [6] Security Features - The company's MPLS backbone network ensures high security and stability for data transmission [6] - The self-developed SD-WAN product supports multiple encryption algorithms, enhancing data security for users [6] - Future plans include adding SASE-related security features to expand market applications [6] Procurement Activities - The company's procurement focuses on telecom resources, hardware, software, and service-related purchases to meet customer needs [5] - Key procurement items include bandwidth resources and server cabinets, primarily sourced from telecom operators [5]