Core view
Four ministries and commissions linked together, and the “counting from the east to the west” was fully launched. On February 17, 2022, the national development and Reform Commission, together with the central network information office, the Ministry of industry and information technology and the national energy administration, issued a document agreeing to start the construction of National Computing hub nodes in 8 places, including Beijing, Tianjin and Hebei, the Yangtze River Delta, Guangdong, Hong Kong, Macao, Dawan District, Chengdu and Chongqing, Inner Mongolia, Guizhou, Gansu and Ningxia. At the same time, 10 national data center clusters are further planned according to the entrusted computing hub, To specifically undertake the construction of large / super large data centers, it marks the completion of the overall layout design of the national integrated data center system, and the “counting from the east to the west” project has been fully launched. After the “South-to-North Water Transfer” and “power transmission from the west to the East”, another national super project has come.
Computing power has become an important infrastructure for national economic development. The demand is urgent and will continue to grow. At present, a new round of scientific and technological revolution and industrial reform are reshaping the global economic structure. As the core productivity of digital economy, computing power has become a new focus of global strategic competition. Up to now, the scale of China’s data center has reached 5 million standard racks, and the computing power has reached 130 eflops (1.3 trillion floating-point operations per second). With the comprehensive and continuous penetration of digital technology into all fields of economy and society, the demand for computing power in the whole society is still very urgent, and it is expected to grow rapidly at a rate of more than 20% every year.
The East digital West computing project is expected to drive the overall improvement of computing power demand in the central and western regions, and focus on the benefits of relevant communication, power and data security industrial chains. First, the communication network structure will be significantly optimized, the network node level of the national data center cluster will be improved, and the network transmission quality will be improved. Second, the linkage of energy layout will be strengthened, the integrated design of data center and power network will be strengthened, and renewable energy power generation enterprises will be promoted to supply power to the data center. The state will support the data center cluster supporting renewable energy power stations, and give priority to the support of energy consumption indicators for the implementation of data center projects with outstanding achievements in “counting from the east to the west”. Third, technologies and models such as data security circulation will continue to innovate, and the upstream and downstream demand of the data security industry chain will increase.
Related high-performance computing chips, communication chips, interface chips and other hardware facilities ushered in favorable conditions. East digital West computing project is the scope of new infrastructure, which needs to build a new data center, which needs many high-performance computing chips: 1) computing chips: the increase of data processing capacity is bound to reverse stimulate the data processing speed, and the demand for high-performance computing chips such as CPU and GPU is expected to continue to increase. 2) Memory chip: data storage is the basis of data transmission and processing. There is still much room for the development of memory chips in China. It is suggested to pay attention to the upstream and downstream industrial chain of memory chips. 3) Server chip and interface chip: hardware facilities are the basis of computing network. The construction of data center cluster is expected to promote the expansion and upgrading of servers and interfaces.
Investment suggestions:
High performance computing chip is the most difficult to make domestically. The Chinese mainland high performance computing chip is in the initial stage, and A shares are relatively few companies. It recommends attention to Montage Technology Co.Ltd(688008) , core technology, Giantec Semiconductor Corporation(688123) , Gigadevice Semiconductor (Beijing) Inc(603986) , Changsha Jingjia Microelectronics Co.Ltd(300474) , Cambricon Technologies Corporation Limited(688256) and Verisilicon Microelectronics (Shanghai) Co.Ltd(688521) .
Risk tips:
The research and development of high-performance computing chip is difficult and less than expected.
