Event overview:
According to the news of Tencent on December 21, 2021, the global wearable device market report for the third quarter of 2021 released by IDC shows that the global shipment of such devices in this quarter increased by 9.9% year-on-year to 138.4 million units. In the wrist wearable device segment, Huawei ranked first in the world with apple in Q3 shipments in 2021. It is reported that following the second quarter of 2020, Huawei has once again reached the top in the subdivided field of global wrist wearable devices.
Analysis and judgment:
Everyone needs health monitoring. The smart watch track is about to break out. Since the first smart watch was released by nutshell electronics in 2013, smart watches have experienced the development trend of intelligence and medical treatment in these eight years. Around sports management and health management, the whole industry chain of smart watches continues to promote the renewal and iteration of products. According to the survey report of global market monitor, among the many functions of smart watches, the health detection function ranks first. More than 70% of potential users will consider the integrity of the product health detection function. The health detection function has become the most important factor affecting consumers’ purchase of smart watches. With the gradual breakthrough of medical function technology integrating blood pressure, blood oxygen, blood glucose, ECG monitoring and body temperature monitoring, the functions of smart watches in the field of health detection will be more and more abundant. When the medical functions integrating blood pressure, blood oxygen, blood glucose, ECG monitoring and body temperature monitoring are truly intelligently reflected, it is expected that the real outbreak point of the market will come. According to the news released on the official microblog of Huawei terminal on December 14, 2021, Huawei wrist ECG blood sample recorder Huawei watch D has been registered with the food and Drug Administration for class II medical devices, and is expected to be released at Huawei’s winter flagship new product launch on December 23, 2021. According to zaker news on October 26, 021, according to macrumors, Apple’s suppliers are currently developing components for the next generation sensor in Apple watch series 8, which will allow users to measure their blood glucose levels. The report shows that apple and its suppliers have begun to develop short wave infrared sensors. The sensor type is medical equipment. The new sensors are likely to be installed on the back of the watch, so that the watch can measure the sugar content in the wearer’s blood. Overall, we believe that the smart watch industry has accelerated into the early stage of outbreak, and the whole industry is expected to usher in rapid expansion next year.
The industrial chain is mature, the meta universe leads, and the prospect of VR / AR is promising
Benefiting from the virtual home economy, the VR industry has witnessed explosive growth in the past 20 years. In 2020, the global VR shipment was 6.7 million units, a year-on-year increase of 72%. The global shipment volume is expected to reach about 8 million units in 21 years and 14.8 million units in 22 years, crossing the most important threshold. VR will be an important home entertainment terminal in the future. The market space of immersive VR with main game function in the future can be similar to the game console market. In addition to immersive VR in the main game market, viewing VR and various b-end application landing scenarios are gradually mature, especially viewing VR, with a potential target population of about 600 million. At present, the industry is growing rapidly. Immersive VR, the main game market, mainly focuses on players in oculus, Sony, HTC and Pico. At present, major VR host manufacturers will successively launch new products in the second half of this year and the first half of next year, and the industry is expected to further develop rapidly. The downstream ecology of VR is improving day by day, and various games promote the increase of VR active users. According to VR gyro data, steamvr has 104 million sessions, with an average of 30 minutes per session. We believe that under the general trend of meta universe, arvr, as a hardware carrier, will accelerate its progress and drive the rapid development of the whole industry under the background of mature industrial chain.
Key recommendations:
Will Semiconductor Co.Ltd.Shanghai(603501) ， Rockchip Electronics Co.Ltd(603893) ， Allwinnertech Technology Co.Ltd(300458) ， Bestechnic (Shanghai) Co.Ltd(688608) ， Luxshare Precision Industry Co.Ltd(002475) ， Goertek Inc(002241) ， Zhejiang Crystal-Optech Co.Ltd(002273)
Beneficiary:
Shunyu optical technology, Lianchuang Electronic Technology Co.Ltd(002036) , Zhejiang Lante Optics Co.Ltd(688127) , BOE, Tianma Microelectronics Co.Ltd(000050) , etc
Risk statement
Industry demand is not as expected, industry competition is becoming more and more fierce, macroeconomic downturn and systemic risk.
