You Fang Technology: Expected to ship to Intel this year

2022-07-30 0 By news, recently, You Fang Technology said in an investigation by institutions that the semiconductor chip shortage in the automotive industry last year, the company in Europe and the United States last year’s Internet of vehicles terminal orders recovered quickly, but the chip shortage caused an impact on the delivery of orders, the revenue failed to meet expectations and failed to recover to the normal level.The supply of some chips this year has eased from last year, and there is still a shortage of MCU chips and CAT.1 chips for automobiles.Prices for different chip types have risen and fallen, but overall prices are gradually stabilizing, Youfang said.We have read the research reports related to the automobile industry, some are optimistic and pessimistic, some are optimistic that there will be a relatively large reduction in the semiconductor chip by June this year, and some are even later.According to the supply security of the company with upstream suppliers communication, while the supply of auto chip is still unable to fully meet the requirements, but due to the supply of chip with greater ease, so delivery also have improved considerably and accordingly company in overseas car network terminal sales target this year is formulated according to the supply of auto chip.In order to deal with the problem of shortage of automobile chips, the company has prepared goods in advance since last year to meet future demand through long-term preparation of goods. Meanwhile, customers are also assisting manufacturers to communicate with them about supply guarantee. In the current serious situation of the epidemic, some colleagues of the company are on business trips in the United States to coordinate the delivery of orders.The advantages of Youfang technology in the power industry mainly include the following aspects: 1. First-mover advantage, continuous innovation, stable and reliable products.As the earliest domestic manufacturer to enter the electric power industry, the company made great innovation in the module, launched the world’s first pure data industrial standard module, and realized the domestic replacement of the communication module in the electric power industry.And then our modules followed state Grid all over the country and operated in all kinds of harsh environments.In terms of overseas power expansion, the company has both exported to domestic watch factories and directly supplied to major overseas watch factories. Last year, the company made progress in expanding overseas power markets in Europe, the Middle East and India.The communication system of overseas electric power is related to the network construction of each country, involving 2G, 3G, NB, CAT-M, 4G and so on.Overseas electricity demand is mainly in Europe and Asia.Most of the bids for phase 1 of the Middle East Saudi Arabia project have been completed, and other Middle East countries are still expanding.India electric power in the rapid development, the company modules to India many well-known watch factories supply and accounted for a large proportion.In North America, electricity mainly uses small wireless and does not use cellular communication. In South America, electricity has cellular communication requirements. In Eastern Europe, we have two local plants covering The European region, and Russia also has some requirements.Two wheels, good technology, points out that sharing two rounds of electric vehicles, the company with Meituan cooperation, in addition the company also with a lot of regional carriers, regional operators mainly through two large domestic solution ShangPing Taiwanese businessmen to provide terminal and platform services, companies and solution ShangPing Taiwanese businessmen cooperation, occupy a higher market share.There is also a trend of intelligent front installation of two-wheeled electric vehicles. At present, the penetration rate of intelligent is still relatively low. In the future, medium and high-end models may realize Internet connection, and the company is also in the process of layout.The company’s CAT.1 module and smart module have been commercialized on a large scale in the field of two-wheeled electric vehicles and established partnerships with leading manufacturers in India and Southeast Asia.It is reported that the company mainly provides terminals in the overseas Internet of vehicles market, including intelligent OBD, emergency lights and other products.Together with overseas partners, the company penetrates from rear assembly to quasi-front assembly, entering audi, Nissan, Skoda, Fiat, Chrysler and other auto factories. OBD plug and play provides vehicle information collection, and on this basis realizes derivative business and value-added services through networking.Last year’s shipments were hurt by a shortage of chips for cars, and this year’s forecast is more optimistic.In addition, European countries are revising traffic laws and regulations, which gives birth to the application scenarios and markets of emergency lights. The company has made a significant breakthrough in market development and has great potential in the future.Companies in the domestic market mainly provide car networking module, module currently points before and after loading, module front loading through two years of the company’s cultivation, the 4 and the 1 modules are used, the company is among the first to the 1 module manufacturers for carriage, is applied to such as chery, dongfeng commercial vehicle, and saic car charging equipment.The company has also released 5G+V2X modules, which are being pushed forward.The rear assembly of the module is applied to the tracking device and vehicle data recorder, among which the market demand for tracking device is very large. The company has carried out cooperation with the leading customer companies in the domestic tracking industry, and has also carried out cooperation with overseas head customers in the tracking project in Vietnam and India. Under the policy guidance, the process of 2G switching CAT.1 will be accelerated this year.The CAT. 1 module has been scaled up for trackers.In terms of gross margin, Youfang Technology believes that in the past two years when the price of raw materials rises, the company will also raise prices for downstream customers.The gross profit margin of a company is closely related to the product structure.In the past two years, module business accounted for a large proportion of income contribution, while the domestic module gross margin was consistent with the industry average gross margin (15%-18%), and the terminal gross margin was higher than the module gross margin. However, the overseas Internet of vehicles terminal business was affected by the epidemic and the lack of core in the past two years, and the income contribution was small.The company’s overall gross margin is expected to improve over the next few years as terminal and cloud revenues and share increase.Cloud products with higher margins started to contribute revenue this year.In terms of 5G, Youfang Technology has two main lines. One is the industrial level 5G communication module series developed based on domestic 5G chips, which mainly meets the Chinese market and overseas markets except Europe and the United States, and is used in industrial, commercial and consumer application scenarios.The other is a vehicle-grade 5G+C-V2X communication module based on Qualcomm’S 5G chip, which is used in traffic and the Internet of vehicles.The company’s 5G product range is complete, but 5G is still in the stage of application development and continuous expansion.In the future, multiple communication systems will coexist: NB-iot will be used in low-speed mode, CAT.1 or CAT.4 of 4G will be used in medium-speed mode, and 5G will be used in large-bandwidth and low-latency scenarios.In the application scenarios of 5G in the Internet of Things, one of the applications is industrial gateway and industrial router, which may be used in factories, power industry, hospitals and even banks to replace the original GATEWAY of 4G and facilitate intelligent manufacturing and industry 4.0.Another application of 5G is in cars. Many models already have 5G, but not for autonomous driving, but for broadband connectivity, vehicle-oriented networking and multimedia applications.In addition, downhole equipment and some professional terminals in the coal mining industry will use 5G, and scenes such as docks and airports will also have 5G applications.However, the usage of 5G per unit in these scenarios is limited. After this mode is formed and can be replicated in batches, the usage of 5G will gradually increase.In terms of laptop, currently, we are mainly cooperating with Intel to expand the overseas education market and provide CAT.4 module. The products are in the stage of cooperative testing and are expected to be delivered this year.In the next few years, the company will follow the “cloud-tube-terminal” layout, providing modules, terminals and clouds, providing different product portfolios for different industries, and the proportion of terminal and cloud revenues will gradually increase in the future.(Proofreading /Arden)