# Overseas CSP Manufacturers’ CAPEX Continues to Rise Month-on-Month + Annual CAPEX Revised Upward
Last week, overseas CSP manufacturers released their latest financial reports, showing that Q3 overseas CAPEX has continued to rise month-on-month (up 66% year-on-year, up 9% month-on-month). Amazon has revised its annual CAPEX to $125 billion (previously $100 billion); META has revised its annual CAPEX to $70-72 billion (previously $66-72 billion); Google has revised its annual CAPEX to $91-93 billion (previously $85 billion); Microsoft expects its capital expenditure growth rate for fiscal year 2026 to exceed that of fiscal year 2025.
Domestic AIDC Companies’ Q3 Performance
Zhiheng: Revenue from data center power supplies in the first three quarters is approximately 600 million (close to the total for 2024), with a year-on-year growth rate of about 60%.
KeHua: Revenue from data center products in Q3 is approximately 660 million, with a year-on-year growth of over 40%.
KeShida: Revenue from data centers in Q3 has a year-on-year growth of over 20%, with overseas revenue accounting for more than domestic. North American UPS OEM orders have begun shipping, with the next batch expected to ship next year.
Oulutong: Data center revenue in the first three quarters has a year-on-year growth of over 70%, with high-power products doubling, accounting for about 70%.
Jinpan: Revenue from downstream data centers in the first three quarters is 974 million, with a year-on-year increase of 337.47%.
Igor: The proportion of high-margin downstream sectors such as data centers, overseas, and power distribution has increased, driving a turnaround in Q3 performance.
AIDC Target Changes Update
[Igor] North America Power Shortage Logic
1. Recently, North American transformer partners have increased orders, and order intake is good; 2. Currently, all overseas customers being developed by the company are energy storage customers, with shipments already sent to a leading energy storage company in North America in Q3, amounting to tens of millions in a single quarter; 3. Long-term SST is also under development, with mid-voltage rectifier supporting phase-shifting transformers having a history of shipments.
The company’s data center-related orders for 2026 have been revised up from 800 million to 1.1 billion.
[Hongfa] AIDC Products & Market Opportunity Overview
1. High-voltage DC relays: High-voltage DC relays will be used in energy storage, power transmission, cabinet power distribution, etc. The company expects the market size in 2026-2027 to be 3-4 billion. 2. Power relay products for power supply support, with a revenue scale of 700-800 million in 2024, and future CAGR expected to be 20-30%. 3. Additionally, Hongfa’s new product categories, such as connectors, sensors, and fuses, will also find some applications. 4. Considering that Hongfa not only manufactures components but also modules, the overall business prospects will be higher than those of standalone components.
Overall expectation: Hongfa’s potential business scale and potential in AIDC will exceed 5 billion, or even higher. They are currently interfacing with key customers for application scenarios and solution development.
[Zhiheng Electric] Launches 800V DC Power Supply Products
On October 31, Zhiheng Electric’s joint venture in Singapore launched two flagship products for the overseas market: 1. SuperX Panama-800VDC new construction solution: An end-to-end DC solution for new AIDC; 2. SuperX Aurora-800VDC retrofit solution: A DC solution for the renovation and upgrade of existing data centers.
AIDC Target Recommended Combinations:
1. Mid-voltage rectifiers: [Zhiheng] [Igor].
2. SST: [Sunshine] [Sifang] [Jinpan].
3. Component upgrades: High-voltage DC [Hongfa], circuit breakers [Liangxin].
4. AIDC Energy Storage: [Sunshine]