Last week, many countries announced a new round of interest rate hikes during the year. Among them, the vast number of emerging market countries and developing countries have not yet shaken off the high inflation impact caused by the excessive currency in the United States and Europe, and have been plagued by the capital outflow and debt problems caused by the radical interest rate hike in the United States. It can be said that "the house leaks overnight."

　　After the United States announced the interest rate hike again, from Western Europe to South America, from South Asia to Oceania, it became the unanimous decision of all countries to follow up the interest rate hike. On August 2nd, the Reserve Bank of Australia (the central bank) announced that it would raise interest rates for the fourth time this year, raising the benchmark interest rate by 50 basis points to 1.85%, and at the same time raising the interest rate on foreign exchange settlement balance by 50 basis points to 1.75%. On the 3rd, the Central Bank of Brazil announced the fourth interest rate hike this year, raising the benchmark interest rate by 50 basis points to 13.75%. On the 4th, the Bank of England announced that it would raise the benchmark interest rate from 1.25% to 1.75%, which is the sixth time that the Bank of England has raised interest rates since last December. On the 5th, the Bank of India announced the third rate hike this fiscal year (April 2022 to March 2023), raising the benchmark interest rate by 50 basis points to 5.4%.

　　The increasing inflationary pressure has become the number one "enemy" of many central banks. According to the data of the International Monetary Fund (IMF) in July, at least 75 central banks around the world have raised interest rates since July 2021. Some analysts pointed out that under the background of COVID-19 epidemic, high inflation and weak growth, tightening monetary policy to combat inflation will obviously slow down global economic activities. According to incomplete statistics, the average increase of interest rates in emerging market countries is about twice that in developed economies, which shows that inflation has hit them harder. If the impact of the Fed’s continuous aggressive interest rate hike is superimposed, it means that the capital outflow and debt problems it faces are more serious than those in developed economies.

　　Emerging market countries and developing countries are facing a severe capital outflow situation. The US authorities’ aggressive interest rate hike quickly pushed up the US dollar index, and venture capital in emerging market countries took the opportunity to sell assets to accelerate the outflow. On August 3rd, the data released by the International Finance Association (IIF) showed that as of July this year, emerging markets had suffered a net outflow of portfolio funds for five consecutive months, totaling more than $39 billion. This has become the longest record of continuous net outflow of funds from emerging markets since 2005, and it is also consistent with the time line when the Federal Reserve started to raise interest rates in March and continuously tightened it. According to the analysis of relevant persons in IIF, most of the motivation of recent capital flow can be attributed to the US dollar (exchange rate). Moreover, the yield of long-term government bonds in almost all developed economies has risen sharply, which has a significant impact on the preference of funds to avoid risks.

　　Capital outflow has aggravated the depreciation of local currencies in emerging market countries, causing a chain reaction. Although some central banks have tried to slow down the depreciation of their currencies, the exchange rates of many currencies against the US dollar, including the euro, Indian Rupee, Chilean peso and Sri Lankan rupee, have all hit record lows this year, as the Federal Reserve has continuously released hawks to raise interest rates and the US dollar has soared. Currency devaluation drives up the price of imported goods, which leads to the expansion of dollar-denominated debt, and causes "by-products" such as foreign exchange shortage, intensified inflation, increased fiscal deficit and political instability and social unrest in relevant countries and regions. In mid-July, the IMF warned that more than 30% of emerging market countries and 60% of low-income countries were already in or close to excessive debt. In response to the crisis, countries and regions concerned adopt austerity policies such as raising interest rates, which will further increase the cost of borrowing, and debt repayment will become a heavy burden, and corporate activities and household consumption may further decline.

　　At present, the U.S. economy has fallen into a technical recession, and the Federal Reserve’s tightening of monetary policy shows no signs of turning, which makes the rapid cooling of the U.S. economy and the downward pressure on the global economy more and more clear. Some analysts pointed out that the world economic growth, especially the emerging market countries, is subject to the monetary policy of the United States, showing the characteristics of "starting from the United States and declining because of the United States", which reflects that the United States is only willing to enjoy the "dividend" of the US dollar as the main international currency at present, but is unwilling to bear the corresponding responsibility. This is one of the chronic diseases that need to be corrected urgently in the global economic governance system. (This article Source: Economic Daily Author: Lian Jun)

The contents of the management comments of Steward’s 2023 annual board of directors are as follows:

　　I. Discussion and analysis of business conditions

　　During the reporting period, the company adhered to the development direction of "smart security+smart phone+automotive electronics", gave full play to the competitive advantage of efficient research and development, further optimized and improved the product matrix, and successfully built the second pole growth curve of high-end smart phone products, achieving a total operating income of 2,857,343,300 yuan, an increase of 15.08% over the previous year; The net profit attributable to the owners of the parent company was 14,215,500 yuan, an increase of 96,963,500 yuan over the same period of last year, turning losses into profits.

　　Among them, the income of the smart security industry was 1,671,330,800 yuan, an increase of 0.41% over the same period of last year, accounting for 58.49% of the main income; Smartphone revenue was 891,787,600 yuan, an increase of 50.40% over the same period of last year, accounting for 31.21% of the main revenue; Automotive electronics revenue was 294,224,900 yuan, an increase of 30.45% over the same period of last year, accounting for 10.30% of the main revenue.

　　In the field of smart security, the company continued to maintain its leading position in the global market with perfect product matrix, excellent R&D strength and quick response ability, and achieved steady business growth during the reporting period. In the field of smart phones, the cooperation between the company and existing customers in all levels of products has been deepening, and the market share has continued to increase. In particular, a number of XS series 50-megapixel products have been successfully mass-produced. These products are mainly used in cameras such as main camera, wide-angle camera and telephoto camera of high-end flagship mobile phones, and the unit price is relatively high, which has opened up a second growth curve for the company’s smart phone revenue. In the field of automotive electronics, the company has continued to deepen cooperation with a number of mainstream car manufacturers, and the ability and influence of industry solutions have been significantly improved, and the number of covered models has increased significantly, laying a solid foundation for future sustainable development.

　　During the reporting period, the cooperation between the company and strategic partners in the supply chain was further deepened, the scale of cooperation increased significantly, and the production technology became more mature, thus further improving the product yield, and the cost optimization effect was outstanding, which promoted the overall gross profit margin level of the company to improve quarter by quarter. The company will continue to work closely with various suppliers to continuously improve the resilience and delivery capacity of its supply chain. In addition, the company’s destocking plan was implemented smoothly and the operating cash flow was good; At the same time, the company uses derivatives to control the risk of exchange rate fluctuations, and exchange losses are effectively controlled. The overall financial cost has dropped significantly.

　　During the reporting period, the company won many awards covering IC design, image sensors, electronic components, Internet of Things enterprises and other fields, which fully demonstrated the company’s technological leading edge and R&D strength, representing the high recognition of the company’s R&D strength from all walks of life. The key awards are as follows: Shanghai Economic and Information Commission’s "Shanghai Specialized Small and Medium-sized Enterprises"; Zhangjiang National Independent Innovation Demonstration Zone 2022 "Zhangjiang Star" leading enterprise; Shanghai IC Industry Association "Top Ten Sales of IC Design Industry in Shanghai in 2022"; The company’s product SC1630LA won the "China IC Billboard-Outstanding Innovative Product Award of the Year" awarded by the Semiconductor Investment Alliance; The 5MP RGB-IR global shutter image sensor won ASPENCORE“2023 Global Electronic Achievement Award-Sensor of the Year "and" 2023 China IC Design Achievement Award-Top Ten China IC Design Companies "; Super-starlight 8MP image sensor /SC880SL with large target surface won the "2023CPSE Expo Jinding Award" at the 19th CPSE Expo. ADAS won the "18th China Core Excellent Technological Innovation Product in 2023" jointly awarded by China Electronic and Information Industry Development Research Institute and CCID by applying 8.3MP image sensor /SC850AT; The 4K super-starlight night vision full-color image sensor SC850SL won the award at the 2023 China International Public Safety Products Expo held by China Security Products Industry Association."Innovation Product Excellence Award".

　　Looking forward to 2024, the company will continue to maintain R&D investment, optimize product matrix, improve product performance and user experience, strengthen cooperation with core customers, expand cooperation areas, and actively explore new market opportunities, so as to further consolidate and enhance its leading position in smart security, smart phones and automotive electronics, and achieve more stable and sustainable development.

　　

　　II. Description of the company’s main business, business model, industry and R&D during the reporting period.

　　(a) the main business, main products or services.

　　The company’s main business is the research and development, design and sales of high-performance CMOS image sensor chips. As a CMOS image sensor product enterprise dedicated to providing multi-scene applications and full-performance coverage, the company’s products have been widely used in many high-tech application fields such as security monitoring, machine vision, smart phones, automotive electronics, etc., and have helped the industry to develop in a more intelligent and information-based direction.

　　1. Technological advantages empower smart security high-end products and continue to lead the industry.

　　In 2023, the company’s smart security industry revenue was 1,671,330,800 yuan, an increase of 0.41% over the same period of last year, accounting for 58.49% of the main revenue. According to TSR statistics, in 2020 and 2021, the company ranked first in the global security CIS shipments. In 2022, the company continued to rank first in the global security CIS market with a market share of 33.3%.

　　According to the latest data of YOLE, in 2022, the global CIS market is about 21.3 billion US dollars, of which the security market accounts for 6% and the market size is about 1.241 billion US dollars. As the leading enterprise of global intelligent security CIS, the company has been focusing on the development of visual imaging technology and CIS products in the field of security monitoring since its establishment, exploring more potential needs of security customers, and using high-performance technology products to accurately reach customers’ practical applications. The company continues to exert its strength in the high-end field, and has successfully launched the security cutting-edge product portfolio such as ProSeries full-performance upgrade series, AISeries high-level imaging series and SLSeries super-starlight series to better meet the intelligent stage of security monitoring.

　　Prior to this, security monitoring has experienced three stages: simulation, networking and high definition. Driven by the iterative update of emerging technologies, the security industry is developing rapidly in the direction of digitalization, intelligence and ultra-high definition. Intelligentization has become the mainstream trend of the development of security industry. With the transformation of security monitoring to intelligence, the AI chip embedded in the device enables the camera to carry out structured processing, intelligent calculation and analysis and image recognition on video data, which promotes the transition of video monitoring equipment from passive monitoring to active recognition, and the realization of intelligent function needs to be based on high-definition image. According to TSR report, CIS in the field of security application needs resolution ranging from VGA (300,000 pixels) to 12 million pixels, and its center of gravity is gradually moving towards high resolution. The demand for 8 million pixels is increasing at an annual growth rate of 85% year by year. Therefore, high resolution has become the development trend of high-end security image sensor products.

　　In 2023, the company introduced a new product SC880SL, which is the first 1/1.2"8MP image sensor product of the company. By enhancing the photosensitive performance of the product through the large target surface, it can still achieve excellent night vision imaging effect even in ultra-low illumination environment. In addition, the company has also launched several new products to upgrade the AI series CMOS image sensors, which combine the advantages of better night vision full-color imaging, high-temperature imaging and low power consumption, and can better empower smart wireless cameras and multi-camera solutions such as home IPC and AIoT terminals, and successfully open the road of iterative upgrading of AI series products.

　　At the same time that security monitoring has started the intelligent stage, machine vision technology is also becoming the core driving force of modern industry. With the commercialization of AI and 5G technologies, machine vision is no longer limited to industrial applications. Emerging downstream application markets such as drones, sweeping robots and AR/VR have injected new vitality into the development of machine vision industry. With the deepening of automation, digitalization and intelligence in the field of industrial manufacturing around the world, machine vision will have a wider development space.

　　According to the data of MarketandMarkets and GGII, the global machine vision market will be 80.40 billion yuan in 2021. It is predicted that the global machine vision market will grow at a compound annual growth rate of 13.2% from 2022 to 2025, and the global machine vision market will reach 127.61 billion yuan in 2025. In the emerging field of machine vision, the trend of "machine vision replacing manual identification" has brought great growth space for the industry. As a standard component in the upgrade process of "machine vision replacing manual identification", CMOS image sensor has ushered in a new opportunity in the AI ​ ​ era.

　　As a pioneer and leader in the field of machine vision, the company’s machine vision products have significant technical influence and market position in the world. The products have been widely used in industrial manufacturing and logistics fields, such as intelligent manufacturing, intelligent screening and intelligent logistics code reading, as well as emerging application fields such as unmanned aerial vehicles, sweeping robots and AR/VR, and have maintained close cooperation with customers such as DJI and Hikon Robot. According to the latest data of TSR, in 2022, the company’s market share in UAV and QRC readers ranked first in the world, and its share in the global consumer UAV obstacle avoidance market was about 90%.

　　According to the actual demand for intelligent image processing in the field of industrial CIS, the company has launched three kinds of rich product matrices: area array, intelligent transportation system (ITS) and linear array, covering all kinds of industrial inspection scenes and mainstream industrial intelligent scenes such as industrial code readers, AGV navigation systems and 3D scanners, providing diversified, accurate, stable and reliable solutions for customers in different fields. According to the latest data of YOLE, in 2022, the global CIS market scale was about US$ 21.3 billion, of which industrial applications accounted for 4%, and the market scale was about US$ 865 million, an increase of 23.9% compared with 2021. In the industrial CIS market, the company has ranked second in China.

　　In the future, the company will continue to focus on the breakthrough of high-end core technologies and continuously introduce more high-performance machine vision application products. This will not only bring continuous innovation momentum to the company’s high-end product matrix, but also help accelerate the domestic substitution process of high-end CIS.

　　2. XS series high-end products were shipped on a large scale, and the business flourished, opening up a second growth curve.

　　According to the latest data of YOLE, in 2022, the global CIS market scale is about 21.3 billion US dollars, and the largest downstream field is smart phones, accounting for 64%, with a market scale of about 13.452 billion US dollars. Therefore, the field of smart phone CIS is also an important field of business layout of major CIS manufacturers.

　　In 2023, the overall market scale of mobile phone CIS tends to be stable, mobile phone terminals enter the stock market, and high-end smart phone consumers demand higher and higher shooting performance of cameras. Under this trend, CIS, as the core imaging device, has become a key selling point for major mobile phone manufacturers to enhance their experience, and the market structure of smart phone CIS is changing rapidly.

　　In 2023, the company’s smart phone business flourished, and the smart phone CIS products covered the mainstream demand of the current mobile phone market. The product resolution was from 800,000 pixels to 50 million pixels, and the annual revenue was 891,787,600 yuan, an increase of 50.40% over the same period of last year, accounting for 31.21% of the main revenue.

　　In view of the high-end flagship machine product track, several XS series high-end products launched by the company for the main camera and auxiliary camera (including telephoto and wide angle) of the flagship have been shipped on a large scale, which not only opened up a second growth curve for the company’s revenue, but also marked the company’s remarkable progress in catching up with the high-end product lines of overseas leading manufacturers, thus further enhancing the company’s market position and brand influence.

　　With the increasing number of smart phone cameras, it is very important to balance the performance and cost of smart phone CIS.

　　Therefore, in the mass computer and flagship machine market, CIS chips show completely different development trends. According to IDC statistics, among Android phones, the shipments of low-end models below $600 accounted for over 90% in 2022. Therefore, the rear camera of low-end models with large value is the main market focused by CIS manufacturers. TrendForce believes that the future upgrade direction of smart phone CIS will focus on the optimization of CIS structural design. By improving the structure and materials of photosensitive elements, the performance of photosensitive elements will be further improved, and the image processing algorithm will be optimized and upgraded. The AI algorithm will break through the hardware limitation, further improve the clarity and dynamic range of images, reduce noise and improve the imaging quality.

　　In view of the CIS market of mainstream smart phones, the company has also carried out in-depth technical cooperation with domestic fabs, and adopted technological innovations such as single-chip integration to launch high-resolution products that are more cost-effective and better meet the needs of mainstream smart phones. At the same time, the company continuously improves the dynamic range of products, reduces noise, optimizes power consumption and other performances, further improves the differentiated product matrix, brings excellent imaging performance to the smart phone imaging system, and continuously enhances the company’s market position and brand influence in the smart phone field.

　　3. Driven by intelligent driving, the automotive electronics business has a strong growth momentum.

　　In 2023, the company’s sales revenue in the automotive electronics field was 294,224,900 yuan, an increase of 30.45% over the same period of last year, accounting for 10.30% of the main revenue.

　　According to the latest data of YOLE, in 2022, the global CIS market scale was about US$ 21.3 billion, of which automotive electronic applications accounted for 10%, and the market scale was about US$ 2.186 billion, an increase of 27.7% compared with 2021. With the irreversible technical development trend of automobile intelligence and autonomous driving, the automobile electronics market has become a new growth point of CIS market. According to the data of Qunzhi Consulting, it is estimated that the global vehicle CIS shipments will reach 350 million in 2023, a year-on-year increase of 9%; Driven by demand such as ADAS and autonomous driving, CAGR of automobile CIS shipments is expected to reach 13.17% from 2022 to 2028. At present, the mainstream resolution of vehicle CIS is still 1.2 million pixels or less. With the continuous evolution of autonomous driving, the demand for more than 2 million pixels will increase rapidly year by year. The fastest growth rate between 2022 and 2028 is expected to be 5 million and 8 million high-definition pixels, with a compound growth rate of 80%.

　　The company has released more than 10 products for three major application scenarios: vehicle image, perception and cabin, covering the application requirements of automotive perception and image segmentation with 1MP~8MP resolution. Among them, in 2023, the company newly released a new product, SC533AT, which is a 5MP high-resolution RGB-IR global shutter image sensor. This back-illuminated global shutter image sensor integrates five performance advantages: high resolution, high shutter efficiency, low noise, excellent color performance and excellent near-infrared sensitivity, and brings more accurate and reliable in-cabin for high-end driver monitoring system (DMS) and passenger monitoring system (OMS).

　　As one of the few manufacturers in China that can provide CIS solutions for vehicle regulations, the company’s on-board CIS products have been mass-produced in the main car factories such as (), SAIC, Dongfeng Nissan, Great Wall, Ssangyong, Zero Run, Chery, GAC, Jiangling and Geely. According to YOLE’s latest report, in 2022, the company has ranked fourth in the world and second in China in the vehicle CIS market. With the continuous development of automobile intelligence and autonomous driving, and the increasing front-loading rate of panoramic view, automotive electronics business will also become a powerful engine to help the company’s long-term sustainable development.

　　In the future, the company will continue to focus on the development of three application scenarios, namely, in-vehicle image, perception and cabin, further enrich the ATSeries product matrix, and promote the intelligent development of automobiles and the penetration and popularization of intelligent driving technology by relying on its own core technology and product performance advantages under the strict automobile product development process system.

　　(II) Main business models

　　The company’s business model belongs to Fabess mode. The company focuses on the research, development, design and sales of CMOS image sensors, and entrusts the main production links such as wafer production and packaging to external enterprises. However, considering the convenience of final product debugging and quality control, the company has completed most of the final test (FT test) links by its own test plant, and the company has no wafer production line and packaging plant with huge investment. The company has an independent and complete R&D, procurement, production and sales system, and independently conducts business activities according to its own situation, market rules and operation mechanism.

　　(3) the industry situation

　　1. The development stage, basic characteristics and main technical threshold of the industry.

　　(1) Global semiconductor and integrated circuit industry

　　The global semiconductor industry has a certain periodicity, and the boom cycle is closely related to macro-economy, downstream application demand and its own production capacity inventory. According to the preliminary statistics of Gartner, a world-renowned market research institution, the global semiconductor revenue in 2023 was US$ 533 billion, 11.1% lower than that in 2022, showing a cyclical downward trend again. Some semiconductor terminal markets began to show weakness, especially those affected by consumer spending. Rising inflation, taxes and interest rates, and higher energy and fuel costs are putting pressure on consumers’ disposable income. This is affecting the expenditure of electronic products such as personal computers and smart phones. At the same time, Semiconductor Industry also predicted that the continued strong growth of the automobile market and the Internet of Things (IoT) will help the semiconductor market recover. The risk of global economic recession in 2023 is decreasing. It is preliminarily predicted that the semiconductor market will continue to recover in 2024, and the terminal market will grow moderately, with a growth rate of 5% to 10%.

　　(2) China’s semiconductor and integrated circuit industry

　　In recent years, China’s semiconductor and integrated circuit industry has experienced rapid development, the demand for the industry has expanded rapidly, and the policy support has continued to be favorable. With the continuous transfer of downstream industrial chains such as smart phones, new energy vehicles and Internet of Things to China, the upstream integrated circuit design industry has gained a lot of market opportunities. According to the statistics of China Semiconductor Industry Association, the sales scale of China’s integrated circuit design industry has increased from 55 billion yuan in 2010 to 577.4 billion yuan in 2023, with an average compound annual growth rate of about 21.6%, which is higher than that of the global integrated circuit design industry in the same period, but the growth rate is still 8.5% lower than that in 2022. It is estimated that by 2025, the scale of China’s IC design industry in the global market is expected to further increase to 16%.

　　(3) Market structure and development trend of 3)CMOS image sensor.

　　Thanks to the widespread popularity of multi-camera phones and the rapid development of security monitoring, smart car cameras and machine vision, the overall shipment and sales of CMOS image sensors have been expanding. According to YOLE statistics, the global CMOS image sensor market will increase to 28.8 billion US dollars in 2028, with a compound growth rate of 5.1% from 2022 to 2028. Smartphone is the largest downstream application in the current market, with sales accounting for 63.2% in 2022. In the second half of 2023, the demand for mobile phones recovered moderately, and the industry’s destocking came to an end. The breakthrough of new products by domestic manufacturers continued to exceed expectations. At the same time, with the continuous development of smart cars and the increasing penetration rate of ADAS, the automobile market is expected to maintain a high growth rate in the next five years. Security monitoring, industry, medical care and other fields will also bring incremental markets.

　　2. Analysis of the industry position of the company and its changes.

　　The company’s products have been widely used in smart security fields including network cameras, analog closed-circuit cameras, home care cameras, smart doorbells, drones, sweeping robots, industrial cameras, smart transportation, face recognition, etc. Intelligent vehicle-mounted driving recorder, vehicle-mounted panoramic and rear-view camera, driver monitoring system, passenger monitoring system and other automotive electronic application fields; Smart phones, tablets, smart homes, smart health and other consumer electronics applications are promoting the development and progress of smart life.

　　Through the comprehensive layout of FSI-RS series, BSI-RS series and GS series, the company is technology-driven, meeting the rigid requirements of industry application fields for excellent imaging in low-light environment, maintaining high performance of chips in high-temperature working environment, showing bright and dark details in strong light contrast environment, shooting fast-moving objects without distortion/tailing, and shooting high-frame-rate video. It has the core advantages of competing with leading CMOS image sensor manufacturers such as Sony, and covers all levels of high, medium and low-end.

　　The company has become a leading supplier of CMOS image sensors in the fields of smart security, smart phones and automotive electronics. According to TSR statistics, the company ranked first in the global security CIS shipment from 2020 to 2022, with a market share of 33.3% in 2022. At the same time, according to YOLE’s latest report data, in 2022, the company ranked fourth in the world and second in China in the vehicle CIS market; Ranked fifth in the world and third in China in the CIS market of the Internet of Things; In the industrial CIS market, it ranks sixth in the world and second in China.

　　3. The development of new technologies, (), new formats and new models during the reporting period and the future development trend.

　　In 2023, with the company’s efficient R&D efficiency and the rapid expansion and close integration of downstream application customers, the smart phone business flourished and the revenue achieved substantial growth. It is mainly used for the large-scale shipment of XS series high-end products, which are mainly taken by the flagship machine (including telephoto and wide angle). This not only opens up a second growth curve for the company’s revenue, but also marks that the company has made remarkable progress in catching up with the high-end product lines of overseas leading manufacturers, thus further enhancing the company’s market position and brand influence.

　　In 2023, the smart security market experienced demand fluctuations that were first suppressed and then promoted. In the face of the complex and changeable industry environment, the company has continuously upgraded its products and expanded its customers and new application fields through continuous R&D investment, further consolidating its leading position in the field of smart security and maintaining stable business growth.

　　In 2023, the company’s automotive electronics sales revenue achieved year-on-year growth. As one of the few manufacturers in China that can provide CIS solutions for vehicle regulations, the automotive electronics business has become a strong support for the company’s long-term sustainable development under the trend of continuous development of automotive intelligence and autonomous driving technology and the background of increasing front-loading rate of panoramic view of automobiles.

　　In the future, the company will continue to promote technological innovation and market insight, continuously optimize product matrix, strengthen cooperation with core customers, expand cooperation areas, actively explore new market opportunities, continuously improve product performance and user experience, increase market share, and achieve steady growth in turnover.

　　(IV) Core technologies and R&D progress

　　1. Core technologies and their advanced features and changes during the reporting period.

　　2. R&D achievements obtained during the reporting period

　　During the reporting period, the company applied for 169 new intellectual property projects (including 89 invention patents), and 116 intellectual property projects were authorized (including 16 invention patents). By December 31st, 2023, the company had obtained 424 patents (including 98 overseas patents).

　　3. R&D investment table

　　4. Projects under study

　　5. R&D personnel

　　6. Other explanations

　　

　　Iii. Analysis of core competitiveness during the reporting period

　　(A) analysis of core competitiveness

　　1, close to customer demand for technological innovation ability.

　　Adhering to the vision of "let people see and know the world better", the company adheres to the concept of "taking customers as the core, and is committed to providing high-quality and intelligent video solutions", and has developed a series of distinctive core technologies closely following the needs of customers. During the reporting period, the company deeply explored the needs of customers in emerging image sensor applications such as smart security, smart phones and automotive electronics, and developed diversified and differentiated product series, covering a full range of high, medium and low-end products to meet the needs of customers with different positioning.

　　2, efficient chip research and development capabilities

　　The company has always adhered to the product development concept of "R&D generation, mass production generation and pre-research generation", and achieved high chip R&D efficiency under the blessing of "multi-pronged" supply chain and upstream and downstream resource system. Efficient R&D capability enables the company to quickly respond to changes in customer needs, so that its terminal products can better adapt to the complex and changeable market environment and achieve a win-win situation with customers.

　　3. Solid intellectual property system barriers

　　The R&D investment of the company is relatively high. In 2023, the total R&D investment was 286,154,565.86 yuan. In order to consolidate the technological leadership of existing products and develop new technologies and products, the number of R&D personnel accounted for 47.84% of the total number of the company.

　　By December 31st, 2023, the company had obtained 424 patents (including 98 overseas patents).

　　4. Outstanding R&D team

　　Under the leadership of core technicians Dr. Xu Chen, Dr. Mo Yaowu and Ma Weijian, the company has built an outstanding R&D team through long-term technical cultivation and personnel training. Dr. Xu Chen, the founder, has more than 20 years of research and working experience in the field of CMOS image sensors, and plays a leading role in solving the noise problem in the design of high-quality CMOS imaging systems, improving the sensitivity and night vision effect, and developing stacked global shutter image sensors. Dr. Mo Yaowu has worked in semiconductor related fields for nearly 30 years, pushing the industry to introduce a column parallel readout architecture with high performance, low power consumption and low noise, and presided over the design of many mainstream CMOS image sensors. Mr. Ma Weijian has nearly 20 years of experience in chip research and development and industrialization, and has played an important role in promoting the technology and industrialization of many image sensors with high sensitivity, high signal-to-noise ratio and near-infrared sensitivity enhancement.

　　The company attaches great importance to the introduction and cultivation of talents, regards the ability of the company’s R&D and technological innovation team as the company’s core resources, and has recruited technical talents at home and abroad, and has established an excellent R&D team. By December 31st, 2023, the company had 343 R&D personnel, of whom 192 R&D personnel had master’s degree or above.

　　5. Strong customer resource system

　　With long-term industry accumulation and outstanding product quality, the company has accumulated rich customer resources. The products are not only used in the terminal products of brands such as (), Yushi Technology, DJI Innovation, (), Netease Youdao, Xiaomi Technology, OPPO, VIVO, Samsung Electronics, BYD, SAIC, GAC, Dongfeng Nissan and Zero Run, but also accumulated many small and medium-sized customer groups as the support, forming a strong customer resource system.

　　The company has established a close cooperative relationship with the end customers, deeply participated in the customer’s product scheme design, and was able to collect the customer’s product demand information in time, always keeping pace with or even ahead of the customer’s increasing demand in product design, and quickly implementing it in product customization and development. According to the customer’s continuous updating demand, through the rapid iteration mode of "small steps and quick running" and convenient product upgrade channels, we can launch new products with better performance and better meeting the customer’s needs in a short period of time to serve customers. In the production process, the company independently completes the final product test, which can not only export the terminal that controls the product quality, but also make fine adjustments according to the characteristics of the company’s products to achieve the best customer experience. The company’s technical support and after-sales service team with strong professional ability and quick response can quickly solve the problems encountered by customers before and after sales, assist customers to quickly complete mass production of products, and solve the problems in the use of products in time to create a good customer experience.

　　Through long-term, stable and efficient cooperation, the company has formed a good reputation among terminal brand customers, cultivated strong customer stickiness, and ensured the stability of the company’s performance.

　　6. Stable supply chain cooperation.

　　Under the current industrial structure, supply chain is an important link to ensure the stable development of semiconductor and integrated circuit design companies. The company’s product design is deeply integrated and optimized with the production process of the wafer factory to meet the needs of scene adaptability in multiple application fields. Through technical cooperation, the company has established close strategic cooperation relations with wafer factories such as TSMC, Hefei Jinghe and Samsung Electronics. In addition, we have maintained good cooperative relations with (), (), Keyang Semiconductor and other packaging and testing factories.

　　The company effectively integrates its own technical advantages with the supplier’s production capacity and strategic needs. Through technical cooperation, it achieves product and process breakthroughs while enhancing supplier stickiness. The company has adopted a multi-regional supply chain layout strategy, and established strategic cooperation platforms for wafer foundry and packaging and testing in Chinese mainland, Taiwan, China, South Korea and other countries and regions, fully and efficiently integrating supply chain resources in a "multi-pronged" way to provide a strong guarantee for production capacity.

　　(II) Events that have seriously affected the core competitiveness of the company during the reporting period, impact analysis and countermeasures.

　　

　　Fourth, risk factors

　　(A) Not yet profitable risk

　　(2) Risk of sharp decline in performance or loss

　　(C) core competitiveness risks

　　1. Risk of technical iteration

　　In the IC design industry, the product technology iteration speed is fast, and the upgrading of CMOS image sensors and new application scenarios emerge one after another. The company must maintain continuous R&D and innovation, and continue product iteration according to the latest technology development trend and market demand, otherwise it may lead to price reduction, gross profit margin decline and poor customer experience. On the other hand, the development direction of integrated circuit products is uncertain, so design enterprises must maintain a high sensitivity to the iterative trend of mainstream technology and the market space of scene application in order to grasp the general direction of technology development in time. If the company can’t adjust its strategy in time according to the latest trend of technological development, it will cause great waste of labor cost, capital cost and time cost, and at the same time, it will also lead to the company losing key opportunities for development.

　　2. Risk of R&D failure

　　The company’s main business is the research and development, design and sales of high-performance CMOS image sensor chips. The development of its products has the characteristics of high technical content, long research and development cycle and large initial investment. At present, in order to adapt to the development of the industry and keep up with the development trend of mainstream technologies in the industry, the company continues to invest a lot of money and personnel in the research and development of new technologies and new products. However, if the company fails to make a correct judgment in the direction of R&D, fails to break through key technologies in the process of R&D, fails to meet the expected product performance index, or fails to meet the market demand, the company will face the risk of R&D failure, which will make it difficult to recover the investment in the early stage of R&D and adversely affect the company’s subsequent development and market competitiveness.

　　3. Risk of core technology leakage

　　The IC design industry is characterized by high technology-intensive, and the company has accumulated a large number of core technologies through long-term development, forming its own core competitiveness. The company has formed a series of unique core technologies in pixel design, circuit design and other fields, and continues to carry out research and development of new technologies and intellectual property applications. In the future, if the company’s core technology is leaked due to improper storage of core technology information or brain drain of core technology, and the core technology is copied and utilized by competitors, it will have an adverse impact on the company’s core competitiveness.

　　4, the risk of brain drain of core technology

　　Integrated circuit design industry is a typical technology-intensive industry, and its dependence on R&D personnel, especially core technical personnel, is much higher than other industries. In the process of development, the company has formed a mature and innovative core R&D team. However, with the intensification of industry competition, the competition for outstanding talents has become more intense. At the same time, the company must continue to introduce new talents to adapt to the ever-changing industry technology development trend. If the company can’t strengthen the incentive for existing core technical talents and attract new talents, it will directly affect the company’s technological innovation ability and product research and development ability.

　　(4) Operational risks

　　1. Risk of business model

　　As an integrated circuit design enterprise, the company adopts Fabess’s business model, focusing on the R&D, design and sales of chips, and the production links are completed in foundries such as fabs and packaging plants, which require higher productivity stability and cooperation. The company has established long-term and good cooperative relations with major suppliers such as TSMC, Hefei Jinghe, Samsung Electronics, Jingfang Technology, Huatian Technology, Keyang Semiconductor, etc. However, due to the company’s inability to independently complete wafer production and packaging processes, if the prices of wafer and packaging procurement rise sharply, or fail to form sufficient capacity guarantee for the company, it will directly affect the company’s profitability, sales scale, delivery schedule and supply guarantee for customers.

　　2. The risk of high supplier concentration and periodic fluctuation of its capacity utilization rate.

　　As an integrated circuit design company, the main production processes such as wafer manufacturing and packaging need to be completed in the foundry. At the same time, due to the high threshold of wafer manufacturing and packaging in the integrated circuit industry, the number of wafer manufacturing and packaging suppliers that meet the company’s technical and production requirements worldwide is limited. If the global wafer and packaging and testing capacity enters a relatively tight cycle, the wafer and packaging prices will rise sharply, or the company’s product production will be affected due to the shortage of wafer supply and insufficient packaging capacity, which will adversely affect the company’s profitability and the stability of product supply.

　　3. Risk of high customer concentration

　　The company adopts the sales mode of combining direct selling and distribution. Due to the large market demand for the company’s products, the company has strict customer management. Direct customers generally choose well-known terminal brand customers in the industry, while other terminal customers supply and serve through well-known distributors in the industry. This strategy will make the proportion of corporate customer concentration relatively high.

　　Due to the high concentration of customers, if a customer with a high proportion fluctuates in cooperation with the company due to risks such as geopolitics, self-management, cooperation disputes, and tight production capacity, and it takes a certain period for the company to expand new customers, it may lead to a passive decline in the sales scale of the company, and the sales repayment cannot be guaranteed, which will adversely affect the company’s performance in the short term.

　　4. Risk that the expansion speed of product application field is less than expected.

　　According to the market demand and its own technical characteristics, the company continues to expand its product application fields and help the company’s performance to grow continuously. During the reporting period, the company has gradually expanded from smart security to smart phones, smart phones and other fields. However, if the company’s business expansion speed in new application areas is less than expected, or the progress of related technology research and development is less than expected, it will adversely affect the growth rate of the company’s operating performance.

　　5, the risk of not being able to maintain rapid growth in the future.

　　Affected by the rapid development of downstream industries such as 5G, smart city, artificial intelligence and automobile in recent years, the demand for CMOS image sensor chips in various fields is very strong. At the same time, the company was established for a short time, and the cooperation between products, sales system and industrial chain gradually matured. The previous business performance showed high growth; However, the company’s operating performance is greatly affected by the fluctuation of upstream capacity supply end and downstream terminal demand end. At the same time, there is still some uncertainty in the company’s ability to continuously explore product application areas, introduce new products and update iterations, which will bring fluctuations to its income and profitability, and there may be a risk that it will not be able to maintain rapid growth in the future.

　　(V) Financial risks

　　1. Risk of inventory depreciation

　　The inventory scale increases year by year with the expansion of business scale. If the market demand environment changes, the market competition intensifies, or the company cannot effectively expand sales channels, optimize inventory management, and reasonably control inventory scale, it may lead to unsalable products and inventory backlog, thus increasing the risk of inventory depreciation and adversely affecting the company’s operating performance.

　　2. Risk of accounts receivable recovery

　　Although most of the company’s accounts receivable are aged within 12 months at present, the risk of bad debt loss is small, but with the continuous expansion of the company’s business scale, or the relaxation of credit policy due to changes in market environment and customer operation, the company’s accounts receivable balance may gradually increase. If the company’s accounts receivable cannot be recovered in time in the future, it will adversely affect the company’s capital use efficiency and operating performance.

　　3. Risk of exchange rate fluctuation

　　During the reporting period, the company had overseas sales and purchases, quoted prices and settled accounts in US dollars. With the expansion of the company’s overall business scale, the amount of overseas sales and purchases is expected to increase further. Although the company has considered the possible fluctuation of exchange rate between the conclusion of contracts or orders and the receipt and payment of funds in its business development, there is still great uncertainty about the exchange rate change with the changes of domestic and international political and economic environment. If the exchange rate between RMB and USD fluctuates greatly in the future, it will have a certain impact on the company’s performance.

　　4. Risk of fluctuation of gross profit margin

　　The company’s main products are high-performance CMOS image sensors. The gross profit margin of the main products is mainly affected by downstream demand, product price, product structure, raw materials, packaging and testing costs and the company’s technical level. If these factors change, the company’s gross profit margin may fluctuate, thus affecting the company’s profitability and performance.

　　5. Risk of changes in preferential tax policies

　　On December 14th, 2022, the company obtained the High-tech Enterprise Certificate (certificate number: GR202231004395) jointly issued by Shanghai Science and Technology Commission, Shanghai Finance Bureau and State Taxation Administration of The People’s Republic of China Shanghai Taxation Bureau, and it was recognized as a high-tech enterprise with a validity period of three years, and the company can enjoy the preferential corporate income tax rate of 15%. If the above-mentioned preferential tax policies of the country change in the future, or the company no longer has the qualification to enjoy the corresponding preferential tax policies, the company may face the risk of reducing its future profit due to the change or reduction of preferential tax policies.

　　(VI) Industry risks

　　1. Industry cycle risk

　　The company’s industry is integrated circuit design, and its main products are high-performance CMOS image sensors, which are used in security monitoring, machine vision, smart phones, automotive electronics and other fields, so it is inevitably affected by macroeconomic fluctuations. If the development of downstream application field itself is impacted by industry cycle factors, it will not be able to effectively support the company’s product demand, and then affect the company’s performance.

　　Wafer production, packaging and other industries are easy to wander between insufficient capacity and overcapacity due to the long production capacity construction cycle, which further affects the development of integrated circuit design enterprises. In the case of periodic shortage of supply chain capacity, if the company can’t realize the priority supply of capacity through deep cooperation with suppliers, it may face problems such as unstable product delivery and reduced product gross profit, which will affect the company’s performance and market recognition.

　　At the same time, CIS manufacturers mostly adopt Fabess operation mode, focusing on the design and research of integrated circuit chips, and adopting professional third-party enterprise OEM mode in manufacturing, packaging and testing. With the further repair and expansion of CIS demand by downstream applications, the supply of industry capacity may be tight, and there is uncertainty whether the production capacity of wafer factories and packaging and testing plants can guarantee the procurement demand.

　　2. Risk of market competition

　　Although the company maintains a high market share in security monitoring, machine vision and other fields through unique technologies and products, there are still a large number of enterprises with technical competitiveness in the CMOS image sensor market. Under the background of China’s strong support and development of integrated circuit industry, and the future market will continue to develop at a high speed, there may be more CMOS image sensor design enterprises to strengthen their resources in this field and form direct competition with the company’s products. If the company can’t continuously improve the R&D capability of technology and products, and can’t continuously update and iterate according to the downstream demand, the market share that the company has obtained at present may be squeezed by other competitors, which will adversely affect the company’s performance.

　　3, the price is less than the expected risk

　　With the increasing degree of product overlap among manufacturers in the industry, it may further intensify the competition in the industry, or it may bring the pressure of business expansion and the risk of falling gross profit margin. In order to maintain market share and competitive advantage, companies may be forced to lower product prices, thus posing a threat to profitability.

　　(VII) Macro-environmental risks

　　The company’s overseas sales revenue accounts for a relatively high proportion. At the same time, some products of the company’s main terminal brand manufacturers are also sold to other countries and regions except Chinese mainland. In the future, if relevant countries or regions construct trade barriers through trade policies, tariffs, import and export restrictions, etc. for trade protection or other reasons, and restrict the business development of corporate customers and terminal brand manufacturers in the local market, it may lead to a decrease in the demand for corporate chips by corporate customers and related terminal brand manufacturers, which will adversely affect the company’s operating performance.

　　(8) Risks related to depositary receipts

　　(9) Other major risks.

　　1. Risk of special corporate governance structure with special voting rights.

　　On July 3, 2020, all shareholders of Sitway (Shanghai) Electronic Technology Co., Ltd. signed the Articles of Association of Sitway (Shanghai) Electronic Technology Co., Ltd., which set the excess voting rights and agreed that Xu Chen and his wholly-owned or controlled shareholders would exercise their voting rights five times the proportion of their subscribed capital contribution.

　　On December 15th, 2020, the company held the founding meeting and the first general meeting of shareholders. All shareholders attended the meeting, and the meeting unanimously reviewed and approved the Proposal on Setting up Special Voting Shares of Sitway (Shanghai) Electronic Technology Co., Ltd., and formulated the articles of association and set up special voting shares arrangements. Unless the arrangement of special voting rights is terminated by the resolution of the company’s shareholders’ meeting, the setting of special voting rights of the company will continue and run for a long time. According to the arrangement of special voting rights, the company’s share capital consists of Class A shares with special voting rights and Class B shares of ordinary shares. Except for considering specific matters, the number of voting rights corresponding to Class A shares and Class B shares is the same, and the number of voting rights per share of Class A shares held by Xu Chen, the controlling shareholder and actual controller, is five times that of Class B shares held by other shareholders.

　　Under the special voting mechanism, Xu Chen, the controlling shareholder and actual controller of the company, can decide the ordinary resolutions of the company’s shareholders’ meeting, and can also play a similar decisive role in the special resolutions of the shareholders’ meeting, which will restrict the influence of other shareholders of the company except Xu Chen on the company’s major decisions through the shareholders’ meeting to some extent.

　　If minority shareholders, including public investors, hold different opinions with controlling shareholders and actual controllers on major decisions of the company and raise objections when voting at the shareholders’ meeting, it is likely that they will not be able to have a substantial impact on the voting results of the shareholders’ meeting because of the relatively significant difference in the number of voting rights per share.

　　Under special circumstances, Xu Chen’s interests may be inconsistent with those of other shareholders of the company, especially the minority shareholders, which may damage the interests of other shareholders, especially the minority shareholders.

　　

　　V. Main operations during the reporting period

　　During the reporting period, the company realized an operating income of 2,857,343,300 yuan, up by 15.08% over the same period of last year; The net profit attributable to shareholders of listed companies was 14,215,500 yuan, and the net profit attributable to shareholders of listed companies after deducting non-recurring gains and losses was 607,400 yuan, which turned losses into profits.

　　

　　VI. The Company’s Discussion and Analysis on the Company’s Future Development

　　(A) the industry pattern and trends

　　1, the industry structure and status

　　The company’s products have been widely used in smart security fields including network cameras, analog closed-circuit cameras, home care cameras, smart doorbells, drones, sweeping robots, industrial cameras, smart transportation, face recognition, etc. Intelligent vehicle-mounted driving recorder, vehicle-mounted panoramic and rear-view camera, driver monitoring system, passenger monitoring system and other automotive electronic application fields; Smart phones, tablets, smart homes, smart health and other consumer electronics applications are promoting the development and progress of smart life.

　　Through the comprehensive layout of FSI-RS series, BSI-RS series and GS series, the company is technology-driven, meeting the rigid requirements of industry application fields for excellent imaging in low-light environment, maintaining high performance of chips in high-temperature working environment, showing bright and dark details in strong light contrast environment, shooting fast-moving objects without distortion/tailing, and shooting high-frame-rate video. It has the core advantages of competing with leading CMOS image sensor manufacturers such as Sony, and covers all levels of high, medium and low-end.

　　The company has become a leading supplier of CMOS image sensors for smart security, smart phones and automotive electronics. According to TSR statistics, the company ranked first in global security CIS shipments from 2020 to 2022, and its market share reached 33.3% in 2022. At the same time, according to the latest report data of Yoe, in 2022, the company ranked fourth in the world and second in China in the vehicle CIS market; Ranked fifth in the world and third in China in the CIS market of the Internet of Things; It ranks sixth in the world and second in China in the industrial CIS market.

　　2. Industry development trend

　　(1) the field of smart security

　　According to the latest data of YOLE, in 2022, the global CIS market will be about US$ 21.3 billion, of which security applications will account for 6% and the market size will be about US$ 1.241 billion.

　　Driven by the iterative updating of emerging technologies, the security industry is developing rapidly in the direction of digitalization, intelligence and ultra-high definition. Intelligentization has become the mainstream trend of the development of security industry. With the transformation of security monitoring to intelligence, the AI chip embedded in the device enables the camera to carry out structured processing, intelligent calculation and analysis and image recognition on video data, which promotes the transition of video monitoring equipment from passive monitoring to active recognition, and the realization of intelligent function needs to be based on high-definition image. According to TSR report, CIS in the field of security application needs resolution ranging from VGA (300,000 pixels) to 12 million pixels, and its center of gravity is gradually moving towards high resolution. The demand for 8 million pixels is increasing at an annual growth rate of 85% year by year. Therefore, high resolution has become the development trend of high-end security image sensor products.

　　At the same time that security monitoring has started the intelligent stage, machine vision technology is also becoming the core driving force of modern industry. With the commercialization of AI and 5G technologies, machine vision is no longer limited to industrial applications. Emerging downstream application markets such as drones, sweeping robots and AR/VR have injected new vitality into the development of machine vision industry. With the deepening of automation, digitalization and intelligence in the field of industrial manufacturing around the world, machine vision will have a wider development space.

　　According to the data of MarketandMarkets and GGII, the global machine vision market will be 80.40 billion yuan in 2021. It is predicted that the global machine vision market will grow at a compound annual growth rate of 13.2% from 2022 to 2025, and the global machine vision market will reach 127.61 billion yuan in 2025. In the emerging field of machine vision, the trend of "machine vision replacing manual identification" has brought great growth space for the industry. As a standard component in the upgrade process of "machine vision replacing manual identification", CMOS image sensor has ushered in a new opportunity in the AI ​ ​ era.

　　(2) the field of automotive electronics

　　With the popularization of new energy smart cars, the continuous improvement of ADAS technology and the improvement of on-board chip computing power, the number of cameras on modern cars is increasing rapidly. In order to achieve better image recognition function, the application scope of vehicle-mounted CMOS image sensor has been expanded from only realizing the functions of visual reversing and driving recorder in the past to realizing 360-degree panoramic imaging, roadblock detection, blind spot monitoring, driver monitoring system, automatic driving and other functions through up to 13 cameras on a bicycle.

　　In addition, with the improvement of intelligent driving technology, vehicle-mounted cameras have further developed in the direction of binocular and binocular. In order to improve the ranging accuracy, the improvement of intelligent driving in obstacle avoidance technology has promoted the use of 3D cameras. ADAS system includes many functions, such as driving record, intelligent navigation, panoramic image, lane departure warning and so on, and the demand for accessories such as driving recorder is also increasing. In order to maintain the competitiveness of their own vehicle products, major automobile manufacturers are expected to introduce more cameras to obtain video image information to build a diversified in-vehicle intelligent vision system including driver monitoring system, blind spot detection, pedestrian collision prevention, signal light recognition, etc., so as to cover various applications of in-vehicle cameras. CIS includes rear view/automatic parking (AVM/RVC/APA), in-vehicle monitoring (DMS/OMS), driving recorder (DVR), and automatic driving (autopilot).

　　Compared with the intelligent security field, the automotive electronics field has many similarities, such as: good night vision imaging performance; As low noise as possible; To cope with the rapid change of light and dark environment, high-width dynamic range (HDR) is needed; Wide temperature range requirements; High standard redundancy design, etc. The company’s deep technical accumulation in the field of smart security has helped the company quickly cut into the field of automotive electronics. At the same time, compared with CIS of security and consumer terminals, vehicle CIS needs to pass strict vehicle regulation certification to ensure the reliability of products. Therefore, since entering the vehicle field, the company has always adhered to safety as the cornerstone, established a high-quality R&D control system at the beginning of product design, and kept in line with international standards, and regarded vehicle safety as a key factor in the field of production R&D. It has passed the three industry certification standards of IATF16949, AEC-Q100 and ISO26262:2018, and established a perfect R&D and quality management system for vehicle-level chips. With the rapid rise of domestic vehicles, especially domestic new energy vehicles, the company will achieve rapid growth in the field of automotive electronics.

　　(3) the field of smart phones

　　According to the latest data of YOLE, in 2022, the global CIS market is about 21.3 billion US dollars, and the largest downstream field is mobile phone applications, accounting for 64%, with a market size of about 13.452 billion US dollars. Therefore, the field of smart phone CIS is also an important field of business layout of major CIS manufacturers.

　　In 2023, the overall market scale of mobile phone CIS tends to be stable, mobile phone terminals enter the stock market, and high-end smart phone consumers demand higher and higher shooting performance of cameras. Under this trend, CIS, as the core imaging device, has become a key selling point for major mobile phone manufacturers to enhance their experience, and the market structure of smart phone CIS is changing rapidly.

　　For the high-end flagship machine circuit, several XS series of high-end products for the main camera and auxiliary camera (including telephoto and wide angle) of the flagship have been shipped on a large scale, which not only opened up a second growth curve for the company’s revenue, but also marked the company’s remarkable progress in catching up with the high-end product lines of overseas leading manufacturers, thus further enhancing the company’s market position and brand influence.

　　With the increasing number of cameras, it is very important to balance the performance and cost of smart phone CIS. Therefore, in the mass computer and flagship machine market, CIS chips show completely different development trends. According to IDC statistics, among Android phones, the sales of low-end models below $600 accounted for nearly 70% in 2023, and the shipments accounted for over 90%. Therefore, the rear camera of low-end models with large value is the main market focused by CIS manufacturers. TrendForce believes that the future upgrade direction of smart phone CIS will focus on the optimization of CIS structural design. By improving the structure and materials of photosensitive elements, the performance of photosensitive elements will be further improved, and the image processing algorithm will be optimized and upgraded. The AI algorithm will break through the hardware limitation, further improve the clarity and dynamic range of images, reduce noise and improve the imaging quality.

　　In view of the CIS market of mainstream smart phones, the company has also carried out in-depth technical cooperation with domestic fabs, and adopted technological innovations such as single-chip integration to launch products that are more cost-effective and better meet the needs of mainstream smart phones. At the same time, the company continuously improves the dynamic range of products, reduces noise, optimizes power consumption and other performances, further improves the differentiated product matrix, brings excellent imaging performance to the smart phone imaging system, and continuously enhances the company’s market position and brand influence in the smart phone field.

　　(II) Company development strategy

　　Since its establishment, the company has been focusing on the research and development and design of high-performance CMOS image sensors. Through outstanding technological innovation and efficient research and development capabilities, we have accumulated and built a mature core technology system, providing serialized and differentiated products to meet the market demand of multi-scenarios and full performance. The company has a relatively complete product matrix in the field of smart security, and always maintains a leading position in the industry. At the same time, the company launched a series of products in the field of automotive electronics and smart phones, which quickly gained market recognition and customer trust with excellent performance and quick response, and achieved rapid growth and improvement in turnover and market position. The company will continue to invest in R&D, constantly explore and innovate, widely apply core technologies to various fields, strengthen cooperation with customers, and improve product quality and service level to meet the escalating market demand and improve market share and industry competitiveness. The specific development strategy plan is as follows:

　　1. Further enrich product series and application fields.

　　At present, the application field of the company’s products has successfully expanded from smart security to smart phones and automotive electronics. The company plans to further enrich the product range, expand the application fields, and fully tap the application methods of the company’s existing core technologies, such as SFCPixe patented technology, night vision full-color technology, global shutter technology based on back-illuminated technology, etc. in other emerging fields.

　　2. Continuously improve the industry-leading R&D efficiency.

　　The company will continuously improve the industry-leading R&D efficiency, keep close contact with downstream applications and customers, continuously improve the company’s products, optimize and improve product performance and user experience, and enhance customer satisfaction, so as to increase market share and brand influence, and promote the steady growth of business.

　　3. Strengthen the construction of talent team.

　　The industry in which the company is located has high requirements for the background, research and development ability and work experience of technical talents. With the continuous expansion of the company’s business scale and the continuous enrichment of the product line, the company is facing more and more challenges. In this case, having outstanding talents will become the key factor for the company’s steady development in the future. Therefore, according to the future development strategic plan, the company will continue to optimize the allocation of human resources, further improve the internal talent training mechanism, and increase the introduction of high-end talents to build a world-class R&D and management team. This not only lays a solid foundation for the company’s sustainable development, but also helps the company to maintain its competitive advantage in the industry and achieve long-term stable growth.

　　(3) Business plan

　　In the future, the company will continue to optimize the product matrix, improve product performance and user experience, strengthen cooperation with core customers, expand cooperation areas, and actively explore new market opportunities, so as to enhance market share in smart security, smart phones, automotive electronics and other fields and achieve steady growth in turnover. At the same time, the company will continue to pay attention to brand building and marketing promotion, constantly enhance brand awareness and maintain a leading position in the highly competitive market. The specific business plan is as follows:

　　1, close to customer demand to enhance the ability of technological innovation.

　　Adhering to the vision of "let people see and know the world better", the company adheres to the concept of "taking customers as the core, and is committed to providing high-quality and intelligent video solutions", and has always developed a series of distinctive core technologies closely following the needs of customers. The company will further explore the customer needs of emerging image sensor applications such as smart security, smart phones and automotive electronics, and develop diversified and differentiated product series, covering a full range of high, medium and low-end products to meet the customer needs of different positioning.

　　2, increase the chip research and development capabilities.

　　The company has always adhered to the product development concept of "R&D generation, mass production generation and pre-research generation", and achieved high chip R&D efficiency under the blessing of "multi-pronged" supply chain and upstream and downstream resource system. The company will continue to increase its R&D capabilities so that it can quickly respond to changes in customer needs, so that its terminal products can better adapt to the complex and ever-changing market environment and achieve a win-win situation with customers.

　　3. Build a solid intellectual property system barrier.

　　During the reporting period, the company obtained 424 patents, including 194 invention patents and 230 utility model patents. In addition, the company obtained 27 software copyright registrations. Through continuous investment in R&D, the company has continuously iteratively upgraded its products and expanded its application fields, laying the foundation for products to maintain their leading edge. The company has built a core technology and intellectual property system to improve the signal-to-noise ratio, sensitivity, frame rate and dynamic range of CMOS image sensors, and will further improve intellectual property barriers through continuous technological innovation and technology accumulation in the future.

　　4. Strengthen the construction of R&D team.

　　The company attaches great importance to the introduction and cultivation of talents, regards the ability of the company’s R&D and technological innovation team as the company’s core resources, and has recruited technical talents at home and abroad, and has established an excellent R&D team. The company actively establishes an international talent cultivation system with R&D personnel as the core, strengthens the cultivation of R&D talents and the common culture of the company, while improving the professional skill level and project management level of R&D talents, and injects continuous energy support for the company to maintain long-term R&D innovation momentum.

　　5. Actively explore customer resources.

　　The company will further strengthen the close cooperation with end customers, deeply participate in the design of customers’ product schemes, and collect customers’ product demand information in time. In product design, we always keep pace with the increasing demands of customers, even ahead of them, and quickly implement them in product customization and development. According to the continuous updating requirements of customers, through the rapid iteration mode of "small steps and quick running" and convenient product upgrade channels, new products with better performance and better meeting customer needs will be launched in a short period to serve customers. With the good reputation among terminal brand customers, as well as the company’s rich product matrix and excellent product performance in smart security, smart phones, automotive electronics and other application fields, we actively expand new customer resources and continuously increase market share.

　　　 Movie Network News(Text/Jingyu) On September 24, the film held a media test screening in Beijing. After a year and a half of success, director Li Yu once again joined hands with Fan Bingbing to present an excellent psychological suspense drama for fans. In 105 minutes, the director used a rather complex narrative structure, psychedelic pictures and plots to present an ordinary murder story in a very interesting and beautiful way. Feng Shaofeng and Huo Siyan joined the two stars to add a lot of color to the film, but "Fan Ye" Fan Bingbing is the absolute protagonist of the film. In the film, she can not only show off her half-naked body without scruples, but also show the fragility and psychological collapse of women with tearful eyes, which can be said to challenge her acting skills.

The suspense of the film is comparable to that of "Mulholland Drive". The complex story is intriguing

　　　 The film "Double Exposure" tells the story of Song Qi (Fan Bingbing), a consultant for a cosmetic surgery company, who discovers the secret love affair between her boyfriend Liu Dong and her friend Zhou Xiaoxi. In a fit of rage, Song killed Zhou Xiaoxi on impulse. Song Qi, who is burdened with guilt for murder, begins to have constant hallucinations, and unknowingly, she gradually discovers the truth of the murder.

　　　 If the film were just about a bloody case between two women fighting for a man, it would be too simple and vulgar. In fact, when the director tells the opening story, he has already placed a few foreshadows, hinting at the more complicated story that follows. In particular, the heroine Song Qi spies on the cheating of her boyfriend and friend. With the eerie background electronic music, raindrops begin to fall from the sky, and the picture begins to become very psychedelic, suggesting that the protagonist seems to be in a similar illusory sleepwalking. And as Song Qi’s neuroticism intensifies, even the less sensitive audience can guess that what the protagonist is doing should be a fantasy.

　　　 When the mystery is solved in the middle of the film, the audience will feel a sincere sense of comfort in solving the mystery. It turns out that everything Song Qi does, although it is a fantasy thing, is a projection of another blood crime hidden in his psychology. Fantasy characters and recurring things are the prototype of another story, but they have undergone the most ingenious disguise and distortion of human psychology. And this technique is more common in suspense and thriller films, although not as good as David Lynch’sMulholland Drive.It is so complex and difficult to understand, but it still has an extraordinary structural charm, which alone shows that the film’s script skills are not shallow.

Next page: "Fan Ye" challenges the limit of acting, shows half-naked and plays forbidden love

　　Xinhua News Agency, Los Angeles, December 16th, special feature: Why did the loss of a mountain fire hit a hundred-year record — — Reflection on Mountain Fire Disaster in California, USA

　　Xinhua News Agency reporter Huang Heng Gaoshan

　　On the real-time fire map of California Forest Fire Bureau, many mountain fires are still burning. Compared with the basically controlled mountain fire "Kemp", these mountain fires are small in scale, but they still make Californians nervous.

　　Recently, mountain fires "Kemp", "woolsey" and "Hill" have ravaged the north and south of California at the same time, causing at least 89 deaths and burning more than 20,000 buildings. The "Kemp" mountain fire has become the most deadly and destructive mountain fire disaster in the United States in the past 100 years because it claimed more than 80 innocent lives.

　　Although California mountain fires are related to natural factors, they also expose some problems such as outdated infrastructure, improper planning and insufficient budget in some parts of the United States, which causes American society to reflect.

　　Climate change policy is questioned.

　　On December 7, the US Environmental Protection Agency announced a new policy, which greatly loosened the restrictions on carbon emissions of new coal-fired power plants. This is the latest action of the Clean Power Plan issued by the current US government during its subversion of the Obama administration. In the eyes of many scientists, similar carbon emission loosening policies will aggravate global warming, thus leading to more "Kemp"-style deadly mountain fires.

　　According to the statistics of the National Inter-departmental Fire Center of the United States, four of the five largest mountain fires in California history occurred after 2012 in terms of fire area. The "Thomas Mountain Fire", which just set a fire area record at the beginning of this year, was surpassed by the "Mendocino Joint Mountain Fire" with a fire area of more than 1,148 square kilometers seven months later.

　　Neil Laru, an atmospheric researcher at the University of Nevada, Reno, believes that the frequent severe mountain fires are behind the trend of climate warming. "When the atmosphere warms, it also becomes hungrier." Strong winds accelerate the spread of fire, and at the same time, "thirsty" air will absorb water from plants, making vegetation more flammable. "Heat, drought and strong winds are all raw materials for mountain fires. It’s all collected this time. "

　　In the view of California Governor Jerry Brown, "Fire Devil" is rampant because of human factors. He emphasized to the media and the public that global warming and the increase in extreme weather are the fundamental reasons for the destructive power of California mountain fires. Humans need to "stand with nature" to stop the trend of global warming.

　　This is an important part of the White House’s policy philosophy. The current U.S. government not only withdrew from the Paris Agreement on Climate Change, but also abolished a series of energy reform measures formulated during the Obama era by administrative order, and even planned to force the reduction of automobile exhaust and carbon emission standards of coal-fired power plants.

　　Coincidentally. When reflecting on the severe flooding caused by Hurricane Harvey in Houston last year, many scientists also expounded the relationship between climate change and frequent hurricanes. Jim Black, a professor of environmental engineering at Rice University in Texas, told reporters that in the United States, climate change has almost become a taboo topic, and he does not agree with this practice. He believes that facing up to climate change will help to deal with disastrous weather conditions to a certain extent.

　　"These measures [to loosen carbon emission restrictions] mean that when people face heat waves, droughts, fires and floods, the government will ignore them. These disasters will become more terrible because of climate change. " Ken Chimel, president of the American Union of Concerned Scientists, told reporters.

　　Infrastructure aging buried hidden dangers.

　　In addition to the "bad weather", California suffered heavy fire losses in the past two years, which also reflected two major livelihood issues that have plagued the United States for many years, namely, the housing crisis and the aging of infrastructure. Failure to nip in the bud is closely related to these disadvantages of people’s livelihood.

　　In California, for example, the housing needs of a large number of low-income people have been unable to meet for a long time, and their homes have been forced to gradually expand from the edge of the city to the adjacent wild forest areas, some of which are even the originally planned urban fire belts. In order to ensure the real estate tax that supports local finance, some municipal authorities have relaxed supervision on developers. As a result, a large number of buildings were illegally built in the forest. Once a mountain fire happens, it is easy to cause huge personal and property losses.

　　Richard halsey, an expert on mountain fires, wrote in the Los Angeles Times that the social reasons behind mountain fires must be acknowledged, including "poor planning". "They allow developers to leave hidden dangers during development, but let firefighters take the blame."

　　The aging of power, communication, emergency and other infrastructure has seriously affected the life-saving and escape measures such as fire warning, notification and evacuation. The communication signal in the mountainous area of California is extremely poor. In Paradise Town, the hardest hit area of the mountain fire "Kemp", many victims who escaped from the fire confirmed to reporters that about one-third of the 27,000 residents in the town did not receive the mandatory evacuation order issued by the police through mobile phones, networks and other channels when the mountain fire occurred.

　　According to an after-the-fact investigation by the California Public Facilities Committee, the first batch of firefighters who rushed to Paradise Town arrived at the scene 10 minutes after the fire broke out, at about 6: 45 am on November 8. Due to the shortage of local base stations and communication difficulties, although the county sheriff’s office quickly issued an evacuation order, it was past 8 o’clock when the first batch of residents learned the order, and by 10: 15, the mobile communication signal in Paradise Town was completely interrupted.

　　Savannah Lauscher, a resident of Paradise Town, recalled that when she received the alarm at about 8: 30, the ashes had drifted outside her house. "We saw a wall of fire. The Woods 50 yards (about 45 meters) away are burning and moving forward at a speed of almost 10 yards (about 9 meters) per minute. " Their family escaped by car like most people, but the road was so congested that they had to drive into the opposite lane to find a way out. Many people abandoned their cars and fled, while many people who stayed in the cars were burned to death.

　　Old power facilities are also a great hidden danger. According to the investigation report of the California Forest Fire Bureau on the cause of the fire in 2017, of the 21 large-scale fires in that year, 17 were caused by the equipment failure of Pacific Gas and Power Company. According to reports, the cause of the "Kemp" mountain fire may also be related to this.

　　Insufficient special budget attracts criticism.

　　The frequent occurrence of catastrophic mountain fires highlights the shortage of funds related to disaster prevention and relief in the United States. When the fiscal deficit and debt are rising, the U.S. government insists on using more government budgets in the military field, and does not hesitate to squeeze the budgets of federal agencies related to people’s livelihood. In addition, short-sighted economic and fiscal policies have magnified the shortcomings of insufficient and unbalanced disaster prevention and relief resources in the United States at this stage.

　　In FY 2018, the department responsible for forest fire prevention at the federal level — — The overall fire budget of the US Forestry Administration decreased by 17%, of which the budget for fire fighting was 1.06 billion US dollars, and in fiscal year 2017, the bureau spent more than 2.5 billion US dollars on fighting mountain fires. Overexpenditure on fire fighting has resulted in less and less expenses on fire prevention and related scientific research.

　　Us president trump accused California of failing to clean up dead trees and weeds in the forest in time after the "Kemp" mountain fire. The budget table of the US Forestry Administration shows that this year’s federal budget will directly reduce the budget for "cleaning up dangerous combustibles" from more than $37 million to zero. The inter-departmental "Joint Fire Science Research Project" has funded 280 sub-projects in the past 10 years, which has played a great role in guiding the disaster reduction and prevention of mountain fires. However, the funding for this research project in 2018 is less than a quarter of that in 2011.

　　Due to historical reasons, a large area of land in the western United States belongs to the federal government. Take the forests of California as an example, 40% are owned by federal agencies, 30% are privately owned, and 30% are owned by the California government. The federal government has invested less in the prevention, control and scientific research of mountain fires, so the state government has to use local financial funds to advance. In 2016, California paid $16 million in firefighting funds for the federal government. Until 2017, the money was not returned, which led California to threaten to stand by and watch the fires in the federal government’s jurisdiction.

　　The California mountain fire also exposed the imbalance in the allocation of disaster relief forces of local governments in the United States. An official of the Los Angeles Fire Department told the reporter that "Kemp" caused heavy casualties in northern California, while the other two fires near Los Angeles caused relatively light losses. The most direct reason was that the local government in southern California had more money, so it could hire more firefighters, professional firefighting planes and other large equipment. The worst-hit paradise town, which is located in Buyut County, is one of the poorest places in California.

　　The casualties and losses caused by a fire are heartbreaking. The inability of the federal and local governments to cope with the disaster has exposed the shortcomings of American social governance. These deep-seated contradictions and problems should arouse the reflection of the American government and society, otherwise, the future fire and water disasters will only be more ruthless. (Participating in reporters: Wu Xiaoling, Changyuan, Gaolu, Liu Liwei)

　　[car home Information] At the beginning of the article, let’s sell it first. In this article, you will see the introduction of all the core new models of Huawei system, and we will also show the family map in the article. This paper will introduce you from three parts: sales volume, new technology and new models. Without further ado, let’s start the text.

　　In the first half of 2024, Huawei HarmonyOS Zhixing refreshed everyone’s cognition: a new car was launched less than one year after it was launched, and the speed of pushing new products did not lose digital products at all. (|), M7 push new models every year, and every time it is not as small as traditional car companies push new models. This time, the new model M7 () has optimized the front face, replaced with 192-line laser radar, upgraded the sound system, upgraded the seat, and added CDC continuous variable damping shock absorber.

　　Even more outrageous is the intellectual S7. Due to Chery’s production capacity, the car was delayed, and after Chery adjusted its "status", Huawei held a press conference for it and upgraded its products. The two conferences were separated by just over four months, which was an unprecedented operation in the automobile circle.

● Sales volume: I didn’t expect it to be the best-selling model of Huawei.

"Ask the world M9"

　　Of course, there is something even more amazing. In the 136 days since its listing, the M9 has definitely exceeded 80,000 units. Treasures! This is a car with a price as high as 469,800-569,800 yuan. According to the latest data, in May, the M9 sold 16,462 units in a single month, which is the only brand in China. The era of BBA lying down to make money is really over!

"Sales List of 500-100 Million Yuan Models"

　　If you open the car home sales list and choose the price range of 500,000-100,000 yuan, the sales volume of M9 in the world is "far ahead", even surpassing the Audi A6L, which ranks first in the list all the year round. The reason is that the M9 has the largest size and the most configuration among the same price models. Of course, Huawei is deeply involved in this car from research and development to sales. It is also a model with a high amount of "Hua" and can attract a lot of attention.

"HarmonyOS Zhixing Vehicle Sales List"

　　The M7 also has a monthly sales of over 10,000, which is a very cost-effective product in this price range. Intellectual S7 also has a good sales performance, and it has also created a good record shortly after its listing. Of course, not all models advertised as Huawei sell well. For example, the performance of the M5, which overlaps with the price of the M7, is relatively average. In addition, Aouita and Polar Fox, who chose Huawei HI mode, did not have much surprise in sales.

"Aouita Vehicle Sales List"

　　On the whole, I believe many people didn’t expect that the best-selling model among Huawei’s cooperative models turned out to be the most expensive model. We found that products with high content of "Hua" really sell well, technologically advanced models are highly sought after, unique products are easier to win, and hybrid models are more popular than pure electric models. Then, how many exciting new technologies and products are there in the "Huawei Family"? We will reveal them to you one by one.

● New technology: "Far ahead" again? Can parking spaces from the ground to the underground in the park also automatically assist driving?

　　Before talking about new products, it is necessary to talk about Huawei’s smart car solution Gankun, which is the latest technology that will be cited by smart car selection mode and HI mode cooperative models. The brands involved will include the current intellectual, intellectual and enjoyment circles of smart cars, as well as new brands that may be named as proud circles, and also include HI-mode Extremely Fox, Aouita, Deep Blue, Chuanqi, Lantu and Warrior.

　　Core highlight solutions include Gankun Intelligent Driving, HarmonyOS Cockpit, Gankun Vehicle Lighting, Gankun Vehicle Control and Gankun Vehicle Cloud Service. Of course, the most important thing here is Gankun Zhijia. Recently, ADS 3.0 has been newly upgraded. Compared with ADS 2.0, upgrading the GOD general obstacle detection network based on the integration of BEV bird’s eye view network will have stronger recognition and processing capabilities.

　　If expressed in Huawei’s way, it will continue to be "far ahead" in the field of smart driving. After this upgrade, the intelligent driving system has a faster response speed, and AEB is safer, which can truly realize the automatic driving from destination to destination. In addition, automatic parking is more powerful, and you can drive into the underground garage parking space without memory.

　　The new intelligent driving system can drive more like a real person, improve the traffic efficiency, improve the pass rate of complex intersections by 96%, and the end-to-end architecture can be enabled when there is a road. With the cooperation of 192-line laser radar and 4D high-precision millimeter-wave radar, it can cope with intelligent driving above L3 level, and it can also easily cope with rainy and foggy weather. At the same time, ADS 3.0 can realize intelligent driving and pilot NCA from parking space to parking space, and can reach with one button, and can realize automatic assisted driving from open roads to park roads and from the ground of the park to underground parking spaces. When everyone is still driving in NOA city, Huawei has already rolled into a new realm of "end-to-end" in advance.

　　At the same time, parking supports leaving the car, and these operations do not need to remember parking, and even can be parked in extremely narrow parking spaces that old drivers can’t complete. When the braking distance of AEB is not enough, the system can avoid obstacles under the premise of safety, and can be upgraded from forward object recognition to oblique crossing and crossing bicycles. This seems to be more in line with the road conditions in China. Automatic parking and AEB can no longer be used under certain conditions, and their practicability is greatly enhanced.

　　HarmonyOS cockpit is the most impressive one for everyone. This time, we upgraded the model of Qianwu engine, which can sense every passenger in the car and accurately push preferences. Gankun Audio brings an immersive experience, and can actively reduce noise, and can realize front and rear isolation sound shields, and the video in the front row and the back row is complementary to each other. Gankun car smart screen has a comprehensive screen with 2K resolution and 87% screen ratio. Needless to say, the operation of HarmonyOS cockpit, this upgrade, will bring a better audio-visual effect experience.

　　The vehicle-mounted lighting in Gankun is reflected in three aspects. The intelligent car light module can be projected to the corresponding warning picture on the road to remind pedestrians or drivers, and can also be used as a slide projector to project to the black-and-white image picture on the wall. The second is augmented reality head-up display, which can provide route display of AR real-life navigation in combination with real scenes, which is more intuitive. The third is the light field screen, which can break through the physical space limitation in the car and realize the imaging of 40-inch super-large frame at 3 meters. It is also a profound experience.

　　Gankun vehicle control is intelligent, providing a safe, comfortable and energy-saving driving experience. Gankun Che Yun is to build intelligent, safe and reliable cloud services for smart cars.

　　In general, the most eye-catching technology is still ADS 3.0. Huawei Gankun ADS 3.0 has laid the foundation for the continuous evolution of the end-to-end architecture. Relevant persons said that end-to-end will bring about a double improvement in the autopilot experience and performance, and consumers will be more willing to accept autonomous driving, thus increasing the penetration rate of autonomous driving. End-to-end can think like human beings and give the best solution. At present, Tesla FSD V12 has realized the end-to-end neural network model. Musk also said that its subscription volume has greatly increased after V12 was pushed, and the industry speculated that the proportion of its subscribers has increased from 2% to 20%, which proves that such a smart driving system is more practical.

　　These new technologies will be applied to new models regardless of smart car selection or HI mode. In addition to the models we know at present, many new models have been added, and many HI models have been added.

● New models: HarmonyOS Zhixing (intelligent car selection) +HI mode Next, 13 new products will be announced.

　　We have probably drawn the current cooperative models of Huawei and the new models that are known to be launched at present, reaching a total of 20 models. After all the models are listed, the scale is really huge, covering more than 100,000 to one million models at all levels. Let’s take a look at the brands one by one. First, let’s take a look at the new products of HarmonyOS Zhixing (intelligent car selection mode).

HarmonyOS Zhixing (Zhixuanche)

○ Cyrus and Huawei
AITO Boundaries M8(5-seat Edition Boundaries M9)
Price:It is estimated that the sale will start at 400,000 yuan (guess)
Time to market:Listing during the year (guess)
Energy type:Pure electric, extended range hybrid

　　After Celestial and Huawei launched the new model M5, M7 and M9 in the past six months, it is expected to launch a model M8. Although this car has not been made public, its spy photos have been flying all over the sky. According to a sales representative of HarmonyOS Zhixing, this car may be a new version of M9, a smaller M9, and it will be named M8 according to the internet.

"Ask the world M8"

　　Judging from the spy photos, its design is highly similar to that of the asking world M9. It is a five-seat version of the asking world M9, and its front, rear and interior are highly similar to that of the asking world M9. I didn’t expect that Cyrus, who challenged the ideal all the way, also embarked on the route of "nesting dolls". The positioning of M9 and M8 is very similar to L9 and L8, which will also use all the most advanced technologies of Huawei, including smart lens headlights, HarmonyOS cockpit, rear projection, car refrigerator, Turing chassis, ADS 3.0 intelligent driving and so on. Of course, make a bold prediction, will the starting price of M8 be less than 400,000 yuan? What do you think? Of course, this may also be another ideal model of Huawei.

Chery and Huawei
Zhijie R7
Level:Medium and large SUV
Price:Estimated 300,000-400,000 yuan (guess)
Time to market:Recently listed
Energy type:Pure electric

　　After the launch of S7 by Chery and Huawei’s Zhijie, the second car is a very dynamic SUV R7, which adopts a coupe body design and is expected to sell for 300,000-400,000 yuan. However, considering that the price of Zhijie S7 is against Tesla Model 3, the final pricing of Zhijie R7 is likely to be against Tesla Model Y, which may bring us price surprises.

『Zhijie R7』

　　Of course, the size of this car is 4956mm and the wheelbase is 2950mm, which is obviously larger than Model Y. However, in design, the intellectual realm R7 is more like the elevated intellectual realm S7, and the design language is exactly the same. Judging from the exposed interior, it is also highly similar to S7. Of course, the new car will also be equipped with Huawei’s latest technologies, such as ADS 3.0 Intelligent Driver, a new generation of HarmonyOS Cockpit, Car Cloud Service 3.0, brand-new AR-HUD, Megapixel Intelligent Lamp Module, etc. At the same time, it will also be equipped with an 800V silicon carbide high-voltage platform as standard as S7. Obviously, this car is aimed at Tesla Model Y. At present, HarmonyOS Zhixing is one of the biggest markets for cakes, which must not be missed.

○ BAIC and Huawei
Xiangjie S9
Level:Medium and large car
Price:The pre-sale price is 450,000-550,000 yuan.
Time to market:Listed in August
Energy type:Pure electric

　　Enjoy the world S9 is another new member of Smart Car, which is jointly launched by BAIC and Huawei. Its pre-sale price is 450,000-550,000 yuan, and it will be listed in early August. Enjoy the world S9 body size of 5160/1987/1486mm, wheelbase of 3050mm, and this car size is relatively close to the model is Weilai ET7, positioning medium and large cars.

『Xiangjie S9』

　　Turing chassis, ADS 3.0 intelligent driver and brand-new HarmonyOS cockpit will not be absent from this car, and it is expected to be the same as the M9, but its rear row will provide more luxurious equipment. From the information that has been exposed, the rear row of the new car will adopt a four-seat layout, equipped with zero-gravity seats, with massage, heating and ventilation functions, and the rear row seats are expected to be "flat" with a large inclination angle, providing a small table and a warm and cold armrest box. At the same time, the rear row will be equipped with a car-gauge laser projector, electric projection curtain and HUAWEI SOUND SUPERIOR panoramic sound, and all four windows will be equipped with double-layer laminated sound insulation glass. Power on the new car to provide single and double motor version, the maximum battery life of more than 800km. At present, the middle and high-end electric cars have not sold particularly well, and the Enjoy S9 is a breakthrough. Of course, its strength will be the same as that of the Ask M9, relying on all the new technologies of Huawei to attract consumers.

Huawei and JAC
Aojie (unnamed)
Price:Million level
Level:Medium and large MPV
Time to market:Listed in the spring of 2025
Energy type:Pure electric

　　Huawei and JAC are another member of Smart Car. Previously, it was rumored that the new brand was called Aojie, and the products would be millions. According to the EIA report released by JAC, the cooperation project with Huawei will be built on the brand-new X6 luxury new energy platform, and the models will cover B-class to D+ class, including cars, SUVs, MPVs, crossover vehicles, sports vehicles, etc., sharing platform development.

『Jianghuai product planning』

　　According to the plan, the first model produced by X6 platform may be an MPV with a length of 5.2 meters and a wheelbase of 3.2 meters. The planned annual production capacity is 35,000 vehicles, and the new car will be launched in the spring of 2025. This news was also confirmed by a HarmonyOS Zhixing salesman, and the new car will be a million-level MPV. At present, Huawei does not have a million-class model. This MPV will be a brand-new attempt. Of course, this car will definitely have a surprising product experience. We look forward to the official answer.

　　In terms of intelligent car selection, HarmonyOS Zhixing has covered all aspects. Aojie mainly focuses on millions of consumption, and Wenjie M9, Wenjie M8 and Xiangjie S9 mainly focus on the middle and high-end luxury car market of 400,000-500,000 yuan, while Zhijie S7, Zhijie R7, Wenjie M5 and Wenjie M7 mainly focus on the entry-level luxury car market of 250,000-400,000 yuan. Cars, SUVs and MPVs have been fully covered. Of course, for Huawei, it is not enough. Next, let’s take a look at the cooperation of HI mode. Although it is not sold in HarmonyOS Zhixing terminal, it will also match Huawei’s latest technology.

HI mode

○ GAC Chuanqi and Huawei
The first car:Large coupe
Time to market:Listed in the first quarter of 2025
Energy type:Pure electric (guess)
Other models:Large pure electric SUV and large pure electric MPV

　　At this year’s Beijing Auto Show, the new model of Guangzhou Automobile Chuanqi Spoiler will be equipped with Huawei’s latest Gankun smart car solution, using Gankun ADS 3.0 and a new generation of HarmonyOS cockpit. Subsequently, large cars, large SUVs and large MPVs based on Huawei’s next-generation technology will be launched, and the first model will be launched and delivered in the first quarter of 2025.

『Guangzhou Automobile Chuanqi and Huawei Product Planning』

『Guangzhou Automobile Chuanqi and HuaweiConcept car design of the first model』

　　Just a few days ago, GAC Chuanqi revealed the concept car design of the first model, which looks more like a two-door coupe. Of course, this is only a concept car. The production version is expected to be a five-door model with a high probability, but it shows that this car will be a coupe design concept. Compared with several smart cars, this model is more distinctive, showing the unique product characteristics of GAC Chuanqi. At present, there is no specific price positioning of this model, but it may be a model with the same positioning as the Enjoy World S9 by visual inspection, which will produce differentiated products.

Deep blue and Huawei
Deep blue L07
Level:in-between car
Price:Estimated 150,000-200,000 yuan (guess)
Time to market:Listed during the year
Energy type:Pure electric, extended range hybrid

　　After Aouita, Deep Blue also joined Huawei’s camp. Of course, Deep Blue is also a HI model. The first cooperative model L07 looks very close to Deep Blue SL03. Deng Chenghao, CEO of Deep Blue Auto, said that compared with SL03, L07 has a new appearance, a new interior, a new power and a new configuration ratio. SL03 focuses on sports technology and L07 focuses on intelligent technology. However, from the official map of L07, it is more like an improved product of SL03.

Deep blue L07』

　　The official said that the L07 is a model with deep cooperation with Huawei, with intelligent technology as the core, giving users a refreshing intelligent driving experience. The landing of Deep Blue L07 will become the most intimate product equipped with Huawei intelligent system, which may cost as little as 100,000 yuan. Of course, considering the price factor, it may not be equipped with Huawei Gankun ADS 3.0, but Huawei has also launched an ADS SE version for low-end models, which will have no urban intelligent driving and support high-speed NCA and intelligent parking. It is expected that Deep Blue L07 will probably be equipped with this system, and it is also expected to introduce HarmonyOS cars.

　　Deep Blue L07 will be Huawei’s first model with a price of more than 100,000 yuan. Its listing will go deep into BYD’s current main market. Comparatively speaking, BYD’s current weakness is in the field of intelligent driving. Of course, BYD has spent a lot of money on research and development. In this gap period, Huawei models still have a chance to get a share.

○ Aouita and Huawei
Aouita 07
Level: medium SUV
Price: estimated 250,000-350,000 yuan (guess)
Time to market:Listed in the third quarter
Energy type:Pure electric, extended range hybrid

　　Aouita was one of the earliest car companies to cooperate with Huawei. Compared with Extreme Fox, Aouita has made every product equipped with Huawei’s intelligent driving system, and the following new products will continue this feature. The good news is that Aouita will start the route of extended-range vehicles, and the price is expected to be further reduced. Both Aouita 11 and 12 will launch extended-range hybrid vehicles. According to the declared information, the two models will use 1.5T engines as the range extender.

"Aouita 07"

　　At the same time, Aouita will also launch an SUV model Aouita 07 with a slightly larger size than Tesla Model Y. In terms of body size, its length, width and height are 4825/1980/1620(1610)mm and its wheelbase is 2940mm respectively. It will also have HarmonyOS cockpit and Huawei advanced intelligent driver, and its price will be much lower than that of Aouita 11. At the same time, this model will also be driven by extended range and pure electric. The pure electric version provides two-wheel drive models and four-wheel drive models. The former is equipped with a driving motor with a maximum of 252 kW, and the latter is equipped with a dual motor with 188 kW before and 252 kW after. The extended-range version is equipped with a 1.5T engine with a maximum power of 115kW. As for the motor, the two-wheel drive version is equipped with a single motor with a maximum power of 231kW, and the four-wheel drive version is equipped with a dual motor with a maximum power of 131kW and a maximum power of 231kW.

　　Aouita 07 is another model aiming at Tesla Model Y besides Zhijie R7. At the same time, it also has extended-range models, and it can grab some markets of ideal L6 together with Wenjie M7, killing two birds with one stone.

Aouita 08 (guess) code E16
Level:Medium coupe
Price:Estimated 230,000-330,000 yuan (guess)
Time to market:Listed during the year
Energy type:Pure electric, extended range hybrid

　　In addition, Aouita will launch a model with the benchmark Tesla Model 3, which is cheaper than the model 12. The power form of E16 is also expected to include pure electricity and extended range. Please refer to Aouita 07.

Aouita E16』

　　At the end of last year, Huawei and Changan set up a joint venture company to jointly develop intelligent driving solutions, intelligent cockpit, intelligent digital platform, intelligent Che Yun, AR-HUD and intelligent lights. Huawei will further cooperate with Changan to create customized products for Changan.

○ Lan Tu and Huawei
Lan tu zhi yin
Level:Medium SUV
Price:It is expected to be sold within 200,000 (guess)
Time to market:Released this year
Energy type:Pure electric

　　This year, Lantu has publicly stated that the new pure electric SUV model built by Lantu and Huawei will be released this year, and this model is likely to be a bosom friend. At the same time, Lantu Dreamer, the industry’s first MPV model equipped with Huawei’s intelligent driving and intelligent cockpit, will also be launched in the first half of next year.

"Lan Tu bosom friend"

　　According to Lu Fang, CEO of Lantu Automobile, Lantu Zhiyin will be equipped with the strongest Sandian in the industry, the strongest cockpit in Lantu and the strongest intelligent driving in the world. From the description point of view, its high probability is the SUV that Lantu cooperates with Huawei. And the map said that this SUV will help increase the sales of the map, indicating that this model may have a more surprising price. With reference to the pricing of the map FREE, this car is likely to start selling within 200,000 yuan because of its smaller size.

　　Zhiyinhui is a brand-new entry-level product of Lantu. Its model size is 4725/1900/1636(1653)mm, and its wheelbase is 2900 mm.. Its size is obviously smaller than that of Lantu FREE, which is close to that of Tesla Model Y, and it is positioned as a medium-sized SUV. The interior design of the car is also relatively simple, with only a central control panel and a narrow dashboard. At present, it is known that this model will be a pure electric model with a 230 kW motor.

　　Companion will probably become another SUV model with a price of 200,000 yuan after Deep Blue L07. Of course, its pricing may be higher than that of Deep Blue L07, and there will be no direct competition. The price of the main model may still exceed 200,000 yuan.

Lan tu Meng Jia Hua Wei zhi Jia ban
Level:Medium and large MPV
Price:Estimated 350,000-450,000 yuan (guess)
Time to market:The first half of 2025
Energy type:Pure electric and plug-in hybrid

"Lan Tu Dreamer"

　　Lantu Dreamer will also be equipped with ADS 3.0 and a new generation of HarmonyOS cockpit, which will also become the first MPV in Huawei’s intelligent driving system. Dreamer is also expected to be the first MPV cooperated by Huawei. After cooperating with Huawei, the product competitiveness of Dreamer will be greatly enhanced, and it will attack the MPV market that Tengshi D9 has been occupying.

Warrior and Huawei
Warrior 917 Huawei Intelligent Driving Edition (guess)
Level:Large SUV
Price:Estimated 650,000-700,000 yuan (guess)
Time to market:Release this year (guess)
Energy type:Pure electric

　　The new products of Warrior and Huawei have not been officially disclosed yet, but the official said that the cooperation between Warrior and Huawei will open a new era of luxury electric off-road intelligence in China. Therefore, the cooperative model will still be a model that deeply cultivates the luxury off-road market. It may be a 917, or it may be a new model. It will make off-road vehicles more intelligent and enter the previous blank market.

Warrior 917

　　It can be seen that after the HI model is joined, the product prices of Huawei cooperation will be more comprehensive, especially in the price range of 150,000-300,000 yuan, and more products will be launched. At the same time, compared with the similar product styles of HarmonyOS Zhixing family, HI mode models will also introduce more differentiated models, bringing more products and forming complementary advantages.

　　In addition to the above products and models, Huawei has previously signed contracts with brands such as Zero Run and Kaiyi, but the scope of cooperation will be smaller and will not involve the research and development of vehicle products. Zero Run will enable HarmonyOS native Application development on its app. Kaiyi jointly develops smart car life services based on Huawei’s terminal cloud application ecology, AI and smart full-scenario services, and payment services.

Write at the end:

　　Huawei’s family is growing and becoming a force to be reckoned with in the industry. Both HarmonyOS Zhixing and Hi model have rapidly expanded Huawei’s influence in the automobile industry, and indeed brought many phenomenal products. And perhaps the models we introduced today are just the tip of the iceberg. With the breakthrough of sales of more Huawei models, perhaps more new models will join. (Text/car home Qin Chao)

　　Toyota’s new Crown Sport PHEV model has been launched in the Japanese domestic market, with a starting price of 7,650,000 yen (about 380,000 yuan). Delivery tasks are expected to start before the end of this year or 2024 at the soonest. At the same time, the new car is also expected to be imported into the domestic market next year.　

　　Toyota’s new Crown Sport PHEV model is equipped with a large blackened mesh grille on the front face and split LED headlight sets on both sides. The rear of the car is equipped with a hidden exhaust layout, and a large spoiler is added above the tailgate for a more sporty atmosphere. According to Toyota officials, engineers have added extra support to the chassis to improve rigidity and adjusted the settings of shock absorbers in the adaptive variable suspension system, while the 20-inch ventilated disc and six-piston brake calipers provide stronger braking force. At the same time, the interior of the new car will also be equipped with a multi-function steering wheel with the crown logo, and equipped with LCD digital meters and floating LCD central control screen. The RS model will also be equipped with sports seats and red rear seat belts.

　　Toyota’s new Crown Sport PHEV model will be equipped with a plug-in hybrid system composed of a 2.5L naturally aspirated engine + two electric motors and a lithium-ion battery, with a combined maximum power of 225kW, a pure electric range of up to 90 kilometers, and an E-Four electronically controlled four-wheel drive system. (Source: Toyota Motor)

　　 Xinhua News Agency, Beijing, August 31st (Reporter Zheng Xin) The State Sports General Administration recently announced the 13th Five-Year Plan for Competitive Sports (hereinafter referred to as the Plan). According to the Plan, during the Thirteenth Five-Year Plan period, China’s competitive sports will implement the Olympic glory plan, and the football reform should be taken as a breakthrough to improve the development level of the three major sports, and at the same time, the preparations for the Winter Olympics should be taken as an opportunity to promote the development of ice and snow sports.

　　 The Plan reviews the development of competitive sports in China during the Twelfth Five-Year Plan period, and defines the main tasks during the Thirteenth Five-Year Plan period, including "continuing to implement the Outline of the Olympic Glory Plan (2011— "2020)", "Deepening reform, exploring the development path of professional sports with China characteristics", "Insisting on frugality and honesty, and successfully hosting various domestic and international competitions" and so on.

　　 Among the policy measures, the Plan proposes to "take the football reform as the leading factor, strengthen the research and key support for the three major sports, such as football, basketball and volleyball", including "studying and formulating preferential policies for the three major sports in domestic competitions, talent exchange, the combination of sports and education, the reward mechanism and the construction of reserve talent bases" and "carrying out activities such as entering schools, communities and enterprises to attract the majority of young people. Go out, please come in ’ To learn from foreign advanced experience, improve the coaching level of coaches, and promote the rapid improvement of competitive level ",and" to improve the three major game systems, actively develop and cultivate the competition market of this project, improve the marketization and socialization level of this project, and improve the creative ability of project market value ".

　　 The column of "Three Big Ball Development Action Plan" has defined the following goals: In terms of football, men’s and women’s football teams have performed well in major international events such as the World Cup, the Asian Cup and the Olympic Games; In terms of basketball, men’s and women’s basketball teams ensure Olympic qualification, maintain a leading level in Asia, narrow the gap with the world’s advanced level, and establish more than 30 basketball key reserve talent training bases to host the 2019 Men’s Basketball World Cup; In terms of volleyball, China women’s volleyball team maintains its leading position in Asia and the advanced level in the world, while China men’s volleyball team gradually narrows the gap with the world’s top teams and strives to qualify for the 2020 Olympic Games.

　　 In addition, the Plan also proposes to take the opportunity of organizing the 24th Winter Olympics in Beijing in 2022 to vigorously promote the development of ice and snow sports. During the "Thirteenth Five-Year Plan" period, the preparations for the Winter Olympics should adhere to the concept of "green hosting, shared hosting, open hosting and clean hosting", strengthen the training of various professionals in winter sports, realize the obvious improvement of the comprehensive strength and competitiveness of winter sports, improve the level of competition organization, and comprehensively train soldiers and lay a good foundation for the successful hosting of the 2022 Winter Olympics.

　　Xinhua News Agency, Beijing, August 30th-The Ministry of Water Resources issued a circular on the 30th, predicting that autumn rains in West China are obvious in the near future and autumn, and autumn floods may occur in Jialing River, Minjiang River, Tuojiang River, Hanjiang River and Weihe River in the Yangtze River basin.

　　At the same time, the circular shows that regional storms and floods may occur in coastal areas of South China, and autumn droughts may occur in central Jiangnan and eastern South China. Flood and drought disaster prevention is facing severe challenges.

　　Li Guoying, deputy commander of the National Defense General and Minister of Water Resources, presided over a meeting on the same day to analyze and judge the current and autumn flood and drought situation and arrange key work for flood and drought disaster prevention.

　　Li Guoying demanded that we should do a good job in autumn flood prevention in key river basins, and conduct research and analysis on reservoir by reservoir. While scientifically intercepting floods and ensuring flood control safety, we should seize the favorable opportunity at the end of flood season to reserve water resources and create conditions for ensuring the safety of urban and rural water supply in autumn and winter this year and even next spring.

　　At the same time, Li Guoying stressed that it is necessary to do a good job in drought prevention in the Pearl River and Hanjiang River basins in advance, effectively carry out the storage and dispatching of key reservoirs in the upper reaches of the Xijiang River, especially the Datengxia Hub in the main stream of the Xijiang River, and provide water resources guarantee for ensuring the water supply safety in cities such as Macao and Zhuhai.

　　China Seismological Network officially measured that a magnitude 5.0 earthquake occurred at 5: 36 on March 28th in Mangya City, Haixi Prefecture, Qinghai Province (38.28 degrees north latitude and 90.89 degrees east longitude) with a focal depth of 9000 meters. The population within 20 kilometers of the epicenter is about 12,000, within 50 kilometers is about 13,000, and within 100 kilometers is about 19,000. The average elevation within 5 kilometers of the epicenter is about 3095 meters.

　　According to the official measurement by China Seismological Network, another earthquake of magnitude 3.8 and 4.2 occurred in Mangya City at 6: 57 and 7: 00. When the earthquake is strong, many people are awakened in their sleep.

　　According to Xining Evening News of National Seismological Network

CCTV News:On June 5th, the Ministry of Education issued the Action Plan for Deepening the Teaching Reform of Basic Education Curriculum. This year, it will start the deepening reform of basic education curriculum and deepen the core literacy orientation. By 2027, it will form a supporting normal and long-term implementation mechanism.

The "Action Plan for Deepening the Teaching Reform of Basic Education Curriculum" proposes that the national, local and school-based curriculum implementation of compulsory education and the compulsory, selective compulsory and elective curriculum implementation of ordinary high schools will be planned as a whole according to the national curriculum plan, with emphasis on giving local and school curriculum implementation autonomy.

Ordinary senior high school: offering elective courses in different levels and categories.

It is necessary to formulate school plans for curriculum implementation. In the compulsory education stage, it is necessary to ensure the full implementation of the national curriculum and pay attention to the overall implementation of local curriculum and school-based curriculum; On the basis of ensuring that compulsory courses are well opened, ordinary senior high schools pay attention to adapting to students’ special advantages and development needs, and provide stratified and diverse elective courses to form a series of courses that reflect the school-running characteristics.

Changing teaching methods and paying attention to inspiring interactive inquiry teaching

The reform of teaching methods will be carried out, focusing on the key and difficult issues of teaching reform such as core literacy-oriented teaching design, subject practice (experimental teaching), interdisciplinary theme learning, homework design, examination proposition and comprehensive quality evaluation, and exploring practical models for effectively promoting teaching reform in regions and schools with different development levels. Pay attention to heuristic, interactive and inquiry teaching, overcome the phenomenon of simple teachers telling students to listen and teaching knowledge, and guide students to think actively, ask questions actively and explore independently.

National and provincial curriculum monitoring will be carried out, key indicators for monitoring will be developed, and the status of curriculum implementation and the development of students’ core literacy will be monitored, and a feedback improvement mechanism will be formed to provide reference for effectively promoting curriculum implementation.

Paying attention to process evaluation and promoting students’ all-round development

The plan also puts forward that we should pay attention to the teaching evaluation of core literacy, give play to the guiding, diagnosis and feedback functions of evaluation, enrich innovative evaluation methods and pay attention to process evaluation, so as to promote teaching and learning by evaluation and promote students’ all-round development.