1. The policy documents continue to increase, and smart radio and television has become a powerful starting point for the construction of digital countryside. The planning routes of many places have been announced one after another: the State Administration of radio, film and television, as the main force, has continuously issued supporting documents to support the construction of digital countryside. Since 2021, smart radio and television has complied with the wave of rural digital transformation and ushered in a large-scale specific implementation plan. From 2021 to 2022, national digital village construction documents were intensively issued, and some provinces and regions have laid out the development route of smart radio and television service digital village in advance. We believe that with the further excavation of the driving force of China’s rural economic growth, the impact of digital transformation will be more far-reaching. The military and horses have not moved, the food and grass have taken the lead, and the intensive introduction of policies fully proves that the digital village will usher in stronger strength, wider scope and multi-dimensional support from point to area. Therefore, as an effective starting point for the construction of digital village, smart radio and television has investment value.
2. “Smart radio and television +” application scenario mode or core construction ideas: (1) smart radio and television + industrial revitalization. (2) Smart radio and television + rural governance. (3) Smart radio and television + public service.
3. Smart radio and television relies on 700MHz Shaanxi Broadcast & Tv Network Intermediary(Group)Co.Ltd(600831) to open up the “high” and “new” video situation of digital village construction
(1) radio and television work together with mobile to continuously promote the co construction and sharing strategy. Operators may continue to rely on 700MHz frequency band to occupy 5g commercial opportunities.
(2) smart radio and television opens the “high” and “new” video situation of digital village construction. Ultra high definition industry, especially 4K / 8K video terminals and VR related terminal equipment, may accelerate its penetration into the countryside through the construction of digital countryside.
4. The demand for digital rural broadband is improving, and the infrastructure is undergoing large-scale transformation and upgrading. With the gradual increase of the popularity of rural Internet, the corresponding amount of infrastructure construction is also further increased. The greater traffic demand will force the transformation and upgrading of traditional digital village infrastructure, and the emerging industries applied to the construction of digital village will gradually open the market, such as the Rural big data system based on cloud, and the corresponding data storage and edge computing requirements will also increase rapidly with the increase of data volume in the process of digital village construction.
5. Relevant beneficial objects and investment logic
1) companies with relevant construction advantages in various fields under the “smart radio and television +” application mode. In terms of smart radio and television + industrial revitalization, the relevant targets that may be applied to the construction of Jiangsu Nonghua Intelligent Agriculture Technology Co.Ltd(000816) Satellite Internet: Shenzhen H&T Intelligent Control Co.Ltd(002402) , Sumavision Technologies Co.Ltd(300079) etc; Huitongda (Hong Kong stock) is the subject matter related to the construction of digital agriculture and business platform. In terms of smart radio and television + rural governance, government system construction and monitoring equipment related subjects: Beijing Egova Co.Ltd(300075) , Hangzhou Hikvision Digital Technology Co.Ltd(002415) ; Related objects of emergency broadcasting system: Xgd Inc(300130) . In terms of smart radio and television + public services, digital rural medical construction: Winning Health Technology Group Co.Ltd(300253) ; Online education field: Shenzhen Tianyuan Dic Information Technology Co.Ltd(300047) , Bizconf Telecom Co.Ltd(300578) , Yealink Network Technology Co.Ltd(300628) .
2) core beneficiary operators of 700MHz band: China Mobile and provincial branches of radio, film and television, such as Guizhou Bc&Tv Information Network Co.Ltd(600996) , Guangxi Radio And Television Information Network Corporation Limited(600936) , Shaanxi Broadcast & Tv Network Intermediary(Group)Co.Ltd(600831) , etc; Service providers of operators: Business-Intelligence Of Oriental Nations Corporation Ltd(300166) etc. Subjects related to the benefit of UHD video service and VR equipment: Daheng New Epoch Technology Inc(600288) , Skyworth Digital Co.Ltd(000810) , Wuhu Token Sciences Co.Ltd(300088) etc.
3) under the trend of large-scale transformation and upgrading of infrastructure, relevant equipment manufacturers usher in new development points: it main equipment manufacturers: Unisplendour Corporation Limited(000938) , Zte Corporation(000063) etc; Edge computing and cloud native benefit target: Qingcloud Technologies Corp(688316) ; Under the agricultural big data system, storage equipment manufacturers: Toyou Feiji Electronics Co.Ltd(300302) , yihengchuangyuan, etc.
6. Risk warning
The promotion of digital village strategy is less than expected; The landing speed of relevant supporting measures is lower than expected; Systemic risk.
