Review of the overall market and communication segments

Weekly market: This week (2024.12.16-2024.12.20), the Shanghai Composite Index retraced 0.70%, the Shenzhen Component Index retraced 0.62%, and the ChiNext retraced 1.15%. This week, Shenwan Communications rose 4.27%.

Considering the continued high prosperity of the communications industry, AI, 5.5G and satellite communications continue to promote the development of the industry, and we give the communication and electronics industry a "Recommended" rating.

Sub-industries: This week (2024.12.16-2024.12.20) among the three-level sub-industries of the communication sector, communication network equipment and devices rose the most, with an increase of 7.02%, and communication cables and supporting callbacks were the highest, with a decline of 1.98%, and each subdivision mainly showed an upward trend this week.

In terms of individual stocks: This week (2024.12.16-2024.12.20), the number of stocks that rose, fell and flattened in the communication sector accounted for 54.33%, 36.22% and 9.45% respectively. Among them, in terms of analysis of gainers, Riseconda (61.09%), Borche Technology (50.11%), and Ruijie Network (46.14%) ranked among the top three.

Bean Bao released a visual understanding model that is 85% cheaper than the industry price

At the Volcano Engine Force conference, ByteDance officially released the bean bag visual understanding model.

The input price of the 1,000 tokens of the bean bag visual understanding model is only 3 cents, and after conversion, one yuan can process 284 720P pictures, which is 85% cheaper than the industry price.

According to Tan Cheng, president of Volcano Engine, the bean bag visual understanding model can not only accurately identify visual content, but also have excellent understanding and reasoning skills, and can perform complex logical calculations based on image information, complete tasks such as analyzing charts, processing codes, and answering subject questions. Previously, the Doubao visual understanding model has been connected to the Doubao App and PC products.

According to the on-site disclosure, the Doubao general model pro has been fully aligned with GPT-4o, and the price is only 1/8 of the latter, and the music model has been upgraded from a simple structure of 60 seconds to a complete work of 3 minutes; Version 2.1 of the Wensheng Graph Model is the first in the industry to realize the productization ability of accurately generating Chinese characters and one-sentence P graphs, and the model has been connected to Jimeng AI and Doubao App. According to the sharing, version 1.5 of the Doubao video generation model with longer video generation capabilities will be launched in the spring of 2025, and the end-to-end real-time speech model of Doubao will also be launched soon

According to the data, as of mid-December, the average daily tokens usage of the bean package universal model has exceeded 4 trillion, an increase of 33 times from when it was first released seven months ago.

It is recommended to pay attention to the direction: computing power industry chain, satellite Internet

Recommended Targets:

Computing power: Zhongji Innolight (300308. SZ）； Xinyisheng (300502. SZ）； Yuanjie Technology Co., Ltd. ( 688498.SH ) ; Shanghai Electric Co., Ltd. (002463.SZ); FII (601138. SH）

Satellite Communications: Hager Communications (002465. SZ）； Fujitec (835640.HK) BJ）； China Telecom (601728. SH）； Fudan Microelectronics(688385. SH）。

Risk Warning:

The risk of uncertainty in the international political environment and the risk that market demand is less than expected.