Huizhou Te Chuang 5G PCB orders will grow substantially
"Next year, our 5G Printed Circuit Board will see a substantial increase in orders, conservatively estimating the size of 200 million to 300 million yuan." In June this year, China's 5G commercial license was issued. As one of the participating enterprises in Huizhou 5G industry, Special Innovation Technology increased capital and assets around the 5G strategic layout. It is planned to declare the listing of small and medium-sized boards in 2021. Zhao Huicai, director and deputy general manager of Special Creative Technology Company, said, "In the 5G era, China's 5G production and Commerce will accelerate, so 5G will be a way out. PCB has a large market and many subdivisions. We are confident to break out of the subdivisions of 5G communications.
The tuyere is the opportunity. Against the background of Sino-US trade frictions, PCB industry has been listed on the tax increase list of the United States, which has greatly affected many enterprises. Special technology is no exception. Although products are mainly exported to Europe and have little direct impact, many domestic customers mainly export to the United States, "indirect impact is still large."
Zhao Huicai said that at that time, the company judged that "the PCB field of base station antenna will enter into the stock market competition. Of course, we need to consolidate the stock market, but we also need to start looking for the incremental market and lay out new growth points. China's 5G production and Commerce will accelerate, so 5G will be a way out.
According to the introduction, the realization of 5G technology needs many hardware, such as base station, radar, radio frequency antenna, etc. Among them, many related components are welded, assembled and even packaged on the basis of PCB.
From the product point of view, PCB products can be extended upstream and downstream. As a result, the company has been looking for a 5G team since August last year, deploying from technology research and development, team reserve, customer resources and other aspects, and formally established a 5G business department in October last year.
The cycle of 5G components from approval to prototype manufacture and mass production is about half a year to one year. Therefore, when the state officially issued the 5G commercial license, most domestic enterprises in the field of 5G communication antenna have become their customers. At present, a batch of customers'orders have entered mass production.
"We anticipate that 5G PCB orders will grow substantially next year, conservatively estimating the size from 200 million to 300 million yuan." Zhao Huicai is confident about this.
Product upgrading-Extending from Single Product to Whole Industry Chain
According to Zhao Huicai, the company has mastered more than 100 patents. In the 5G field, the company has cooperated with experts and professors from South China University of Technology, Xi'an University of Electronic Science and Technology, Southeast University and other universities to overcome technical difficulties. At present, the company's products are still relatively single, and is actively seeking transformation and upgrading. Based on PCB, the company is working with University experts to extend the whole industry chain around millimeter wave, antenna and so on.
In the 5G era, antenna is just needed to realize the co-connection of all things. At present, the common method of antenna manufacturing is that antenna manufacturers buy special technology circuit boards to assemble products, but only circuit boards account for 60% to 70% of the finished products. On the one hand, because of complex technology, high threshold and obvious competitive advantage, on the other hand, by transferring profits from antenna manufacturers and extending to upstream and downstream industries such as chip design, packaging and application modules, we can pull up the whole industry chain. Form a very unique competitive advantage.
With the implementation of the Outline of Development Planning for Guangdong, Hong Kong, Macao and Dawan District and Huizhou's proposal to build a trillion-level electronic information industry, in April this year, the Special Innovation Technology and the Association of Small and Medium-sized Enterprises jointly sponsored an event to gather scientific research resources of universities and top and bottom managers of 5G industrial chain, to explore the technical application and industry trend of 5G development, and also to benefit from it. More peer enterprises in the state tap potential customers.
"The effect is very good. Soon two universities signed a contract with our company, and our customers accelerated their cooperation with us." Zhao Huicai said.
Increase capital and output-Planned initial investment of 300 million yuan to build new plant
Attention should be paid to technology and R&D to continuously improve the gold content of innovative technology. In 2016, Special Innovation Technology became the "Engineering Technology Research and Development Center" of Huizhou City; in 2017, Special Innovation Technology became a high-growth small and medium-sized enterprise in Guangdong Province, one of the first five enterprises to enter the provincial list in Huizhou and one of the first 175 enterprises in the whole province; In 2018, Special Innovation Technology was awarded the title of "Guangdong Technology Center Unit".
Zhao Huicai did not hide his excitement about the opportunities that 5G brought to the company's development. "We predict that the opportunities in the 5G field will surpass those in the automobile field in the future."
At present, there are not a few enterprises engaged in 5G PCB production in China. Zhao Huicai said that 40 to 50 enterprises in the customer resources of special technology are listed companies, and there are many quasi-listed companies, which have advantages in technology reserves and technological capability. PCB industry has many subdivisions and small customer overlap rate. Peers are willing to help each other and develop together. "For example, the top companies in the industry are very supportive of our company. They also send technicians to the company to assist in tackling key technical problems. So we are confident to break out in the field of subdivision.
The benign development of the enterprise makes the way of the special technology market more and more stable, and the company plans to increase capital and output. Zhao Huicai revealed that the production base in Huizhou has been operating at full capacity, and there is an urgent need to expand production. The company plans to increase production efficiency by stages and invest 300 million yuan in the first phase to build a new plant. If it gets the land, it can start construction in half a year.
At the same time, the company's SME listing plan is also on the agenda. Zhao Huicai disclosed that according to the current development momentum of Special Innovation Technology, the company plans to declare the listing of small and medium-sized boards in 2021.
