On February 28, leading edge AI company Yuntian Lifei (688343) released its 2024 annual performance report. The report shows that in 2024, it achieved a total revenue of 918 million yuan, a year-on-year increase of 81%. This strong revenue growth is mainly due to the increase in income from intelligent operation services and sales of smart hardware products.
In July 2024, Yuntian Lifei’s key edge AI strategy was fully unveiled, announcing its commitment to continuously promote the application of edge AI in three major business areas: smart hardware, intelligent operation, and smart industries. Thanks to its forward-looking strategic layout and the rapid advancement of the AI industry, Yuntian Lifei achieved a revenue of 629 million yuan in the second half of 2024, far exceeding the 289 million yuan in the first half and surpassing the total revenue of 506 million yuan for the entire year of 2023, leading to a year-on-year growth of over 80% for 2024.
In the past six months, Yuntian Lifei’s transaction volume has significantly increased, with February this year seeing a 23-fold increase compared to August last year, and its stock price has also risen sharply, marking the arrival of the ‘Davis Double-Click’ moment.
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Leading Edge AI Company Anchors Three Major Sectors
Founded in Shenzhen in 2014, Yuntian Lifei made its debut on the Sci-Tech Innovation Board in April 2023, crowned as the ‘first AI stock in Shenzhen’. As an AI company with full-stack capabilities in algorithms, chips, and big data, it focuses on large model inference chips and AI smart hardware. Through multi-dimensional layouts including technology research and development, product iteration, ecological cooperation, and scene implementation, it has continuously deepened its efforts in the edge AI field, gradually establishing a leading position. In July 2024, Yuntian Lifei’s key edge AI strategy was fully unveiled, making it a leading edge AI company in China.
Currently, AI is bringing about an unprecedented wave of technological revolution, with DeepSeek gaining popularity, driving the application of ‘large models + industry’ to become a focal point. In this process, edge AI is an indispensable force.
The foundation of edge AI is edge computing. Edge computing is a distributed computing framework whose core logic is to push computing, storage, and data processing tasks from cloud data centers to the edge nodes of the network, such as devices that create data (like smartphones and cars), to improve efficiency.
Edge AI combines edge computing and artificial intelligence technology to perform intelligent data processing and decision-making on edge devices, facilitating the implementation of large models.
Today, from autonomous driving to embodied intelligence and AI smartphones, edge AI based on device-side intelligence is being embraced by more and more giants. On one hand, Google, Microsoft, and Meta have launched lightweight large models to support edge AI applications; on the other hand, Apple and NVIDIA have introduced edge AI chips to support the operation of large models at the edge. According to Guotai Junan Research, edge intelligent hardware devices are expected to maintain a compound annual growth rate of over 50% in the next three years.
With a broad outlook, Yuntian Lifei is actively delving into edge AI from the underlying algorithms and chips to scene applications, continuously promoting edge AI in three major areas: smart hardware, intelligent services, and smart industries, based on its self-developed multimodal large model and algorithm chip technology platform.
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Outstanding Growth in Smart Hardware Performance
Market research predicts that by 2025, the global smart hardware market size will reach hundreds of billions of dollars, with an annual compound growth rate remaining in double digits.
As a leading AI company with independently controllable core technology capabilities, Yuntian Lifei has developed a series of smart hardware products for various edge AI scenarios based on its self-developed ‘Yuntian Book’ large model and neural network processor, including AI chips, AI glasses, wearable devices, AI education hardware, and the ‘Tianzhou’ large model integrated machine developed in collaboration with Huawei.
Its self-developed DeepEdge series edge AI chips can support more powerful lightweight edge intelligent devices and edge intelligent computing acceleration cards, further enhancing the scene adaptability of AI solutions. As early as 2023, Yuntian Lifei partnered with Huawei to launch the ‘Tianzhou’ large model training and inference integrated machine, which is equipped with the ‘Yuntian Book’ large model with over 100 billion parameters and can be deployed on Huawei Ascend servers, supporting private deployment and applications in government and transportation scenarios. By February 2025, this integrated machine had successfully adapted to the DeepSeek-R1 full-size model (671 billion parameters) and has been deployed in both Longgang District and Nanshan District of Shenzhen, marking the practical implementation of the Yuntian Book large model training and inference integrated machine in edge AI scenarios.
2025 is expected to be the year of explosion for AI smart hardware, with companies like Meta and Huawei frequently making moves in the field of AI glasses. Yuntian Lifei is pushing research and development of a series of consumer products such as educational products and smart glasses under an independent brand, likely to ride the wave of the industry.
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Actively Layout Smart Industries and Intelligent Operations
In addition to smart hardware being the main driver of the company’s revenue growth in 2024, the smart industries and intelligent operations, which are the three pillars of Yuntian Lifei’s business, have also achieved significant results in 2024.
Leveraging its self-developed multimodal large model technology, Yuntian Lifei has formed a product and solution system for various industries including urban governance, smart transportation, smart emergency response, smart city management, smart parks, smart communities, smart commercial applications, smart road inspections, smart policing, low-altitude economy, and smart education, continuously expanding innovative business in line with the characteristics of multimodal large model technology and industry needs.
The ‘Yuntian Book’ series of large models is becoming a powerful engine for the implementation of smart industries, achieving innovative breakthroughs in many challenging industry problems. Currently, the ‘Yuntian Book’ has been applied in areas such as government public opinion processing, intelligent document writing, police video semantic retrieval, urban road CT inspections, and corporate employee training.
According to estimates by CITIC Construction Investment, from 2023 to 2027, the compound annual growth rate of peak computing power demand for global large model training is expected to reach 78%. Yuntian Lifei is seizing this market opportunity and actively laying out its intelligent operation business.
In June last year, Yuntian Lifei signed an AI computing power operation cooperation agreement with Deyuan Fanghui. Deyuan Fanghui will purchase AI training and inference heterogeneous computing power services from Yuntian Lifei, with a total service fee of 536 million yuan per year, contributing approximately 1.6 billion yuan in revenue to Yuntian Lifei over the three-year service period. Public information shows that Deyuan Fanghui has recently won projects from institutions such as China Mobile Communications Group Hebei Co., Ltd. According to Yuntian Lifei, its wholly-owned subsidiary Lifei Technology has delivered services in batches as per the contract, with about 60% of the computing power services having passed acceptance.
The combined technology is expected to bring 1.3 billion yuan in revenue over three years, while the collaboration with Deyuan Fanghui is expected to generate 1.6 billion yuan in revenue, potentially bringing nearly 1 billion yuan in annual income to Yuntian Lifei, surpassing its total revenue for 2024.
CITIC Securities previously predicted that Yuntian Lifei would achieve revenues of 892 million yuan, 1.24 billion yuan, and 1.57 billion yuan from 2024 to 2026. According to the performance report, Yuntian Lifei achieved a revenue of 918 million yuan in 2024, exceeding broker expectations.
In 2024, the edge AI strategy has led to significant revenue growth for Yuntian Lifei, further validating the immense potential of the artificial intelligence industry. Whether it can continue to maintain high growth at an average rate of nearly 30% as predicted by brokers in 2025 and 2026 remains to be seen.
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Transaction Volume Increased 23 Times in Six Months, Driving Stock Price Up Over Twofold
In the secondary market, AI concept stocks have been favored by investors, and Yuntian Lifei’s stock price has continued to rise in recent months.
By the end of August 2024, Yuntian Lifei’s stock price was 23.31 yuan/share, and by the end of February 2025, it had risen to 72.91 yuan/share, a cumulative increase of 213% over six months, significantly outperforming the market. During the same period, the Sci-Tech Innovation 50 Index rose from 694 points to 1079 points, with a cumulative increase of 55%, 158 percentage points less than Yuntian Lifei’s increase.
Yuntian Lifei’s transaction volume has also significantly increased. Last August, its total transaction volume was only 1.9 billion yuan, while in February this year, it reached 45.4 billion yuan, an increase of nearly 23 times. The abundant capital inflow and good liquidity have driven its stock price to more than double.
China’s technological strength is rising with great momentum, and domestic AI companies are increasingly emerging on the global innovation map. Overseas investment banks have been bullish on Chinese assets since 2025, not just verbally, but have been continuously increasing their positions with real capital. The revaluation of Chinese assets may just be beginning, and Yuntian Lifei, which possesses core technologies, has reason to be viewed favorably.