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On December 26, the first batch of 200 cars of Zhiji automobile went offline in Saic Motor Corporation Limited(600104) Lingang factory. Zhiji automobile is an automobile brand jointly built by Saic Motor Corporation Limited(600104) , Shanghai Zhangjiang Hi-Tech Park Development Co.Ltd(600895) and Alibaba. The first batch of test drives of experience version is expected to arrive at the store in February 2022 and be officially delivered in April next year. The new car is positioned as a pure electric medium and large sedan. The opponent locks Weilai et7, and the angel wheel version of Zhiji L7 announced the pre-sale price of 408800 yuan. In terms of intelligent cockpit, the front large screen of Zhiji L7 seat is 39 inches and the resolution is 4K.
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Demand side: steady growth of on-board display. 1) Display: according to omdia, the global shipment of on-board display will be 140 million pieces in 2020, with a market scale of 7.2 billion US dollars. It is estimated that the shipment of on-board display will be 230 million pieces in 2025, with a 5-year CAGR of 10%, and the market scale of on-board display will be 12.8 billion US dollars and a 5-year CAGR of 12%. It mainly benefits from the demand for display screen driven by automotive intelligence (large screen + multi screen). 2) intelligent cockpit: the global automotive intelligent cockpit market will reach US $39 billion in 2020, and is expected to reach US $56 billion in 2025, with a CAGR of 8%. Intelligent cockpit mainly includes central control screen, instrument panel, HUD and other fields.
Supply side: the market share of mainland enterprises is expected to continue to rise. 1) Displays: in H1 of 2021, the global competition pattern of vehicle mounted displays is: Tianma (14%), Youda (13%), JDI (12%), BOE (12%), LG (10%), qunchuang (8%), others (31%). In terms of subregions, the market share of mainland China is 31%, that of Taiwan is 24%, and that of Japan is 18%. Among them, Chinese manufacturers Tianma, BOE, Infovision Optoelectronics (Kunshan) Co.Ltd(688055) The market share continued to rise. Compared with monitors, TVs The concentration of tablet computers (CR2 exceeds 50%) is low in the field of vehicle (CR2 is less than 30%). In the long run, whether from the perspective of willingness to invest in new equipment and service response speed, we believe that the market share of Chinese enterprises is expected to continue to rise, and the market share of Tianma and BOE is expected to rise to the level of 20% ~ 30%. 2) smart cockpit: the main players are traditional Tier1, overseas enterprises are mainly Bosch and mainland, and Chinese enterprises are mainly Yanfeng Visteon Huizhou Desay Sv Automotive Co.Ltd(002920) etc.
Industry barriers: we believe that from the perspective of the display module industry chain, compared with touch sensro, PCB, backlight, downstream assembly and other fields, the screen is the link with the highest technical barriers and capital barriers. In the long run, we believe that the screen factory will gradually extend downstream to seize the system assembly share of Tier1.
Investment advice
In the short term, we are optimistic about the demand for display screen driven by automobile intelligence (large screen + multi screen). In the long term, we are optimistic that the screen factory will extend to the downstream vehicle display system field with the help of screen resources and seize the share of traditional Tier1 in the 100 billion market. It is suggested to pay attention to Jingdong Jingdian, shentianma, Wuhu Token Sciences Co.Ltd(300088) , Lens Technology Co.Ltd(300433) .
Risk statement
Intelligence is less than expected, industry competition intensifies, and technology iteration risks.
