To The Moon

At the beginning of the year 2022, the world's most influential annual exhibition—American International Consumer Electronics Exhibition (CES) will be held on January 5th to 8th. This annual feast brings the best consumer electronics manufacturers and chip manufacturers together, whose "black technology" and products are very attractive to consumers.

After being forced to move online due to the epidemic last year, CES2022 will return to Las Vegas and be held in the form of "online + partial offline". Of course, the impact of the epidemic is still lingering. This exhibition will be closed one day in advance, and the number of visitors has not recovered to the pre-epidemic level, and Nearly 50 industry leaders, such as Microsoft, Alphabet(GOOG)，AMD, Intel, Nvidia and MSI confirmed that they all gave up offline participation due to security considerations, but these core manufacturers will still release new products online.

According to CES official news, there are more than 2,000 exhibitors in this CES 2022, focusing on the latest scientific and technological fields such as artificial intelligence, AR/VR, games and computing, automobiles and transportation. Software and hardware products related to meta-universe, autonomous driving and space exploration will surface.

In addition to the terminal market, the competition of the performance in the upstream chip field has always been the highlight. Boosted by global chip demand, all three chip giants have performed well in 2021 (NVIDIA > AMD > Intel). The release of new product is expected to drive the terminal market to usher in a new round of product upgrade.

Intel's counterattack?

For Intel，A number of new consumer products will be released at CES 2022. Core 12 series processors will be used to complete the counterattack, so as to regain the performance advantage of Core mobile processors in X86 market.

The desktop version of the 12th generation Core series processor Alder Lake-S has been launched in November, and Intel arrange the Core 12 Series processor mobile version release at CES, introducing many advanced features into notebook platform, including hybrid architecture design, specifications of up to 14 cores and 20 threads, DDR5 or LPDDR5 memory, GNA 3.0 independent acceleration unit, etc.The performance of game books and thin books has ushered in a great leap. It can be predicted that the competition pattern of notebook market will change dramatically in 2022.

Other new products will be released including H670/B660/H610 chipset and Intel Arc) Alchemist graphics card with Xe-HPG architecture, forming a richer product line to meet different user needs.

In addition, Intel will also announce the new development of the company's two most important businesses: personal computing and autonomous driving/mobile eye. $Intel(INTC)$

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NVIDIA: "Meta Universe + Autopilot"

​$NVIDIA Corp(NVDA)$ is one of the best chip stocks in 2021, rising 125% in the whole year. NVIDIA is no longer just a graphics card designer, but has further expanded its business scope to core technology fields such as data center, high-performance computing and AI.It is the underlying technical support for realizing meta-universe and automatic driving. At present, the company has developed AI-driven automatic driving assistant-Nvidia Drive Concierge and Omniverse meta-universe platform.

Therefore, NVIDIA is undoubtedly one of the most concerned companies in CES. The company will release CES keynote speech online at 0:00 am on January 5, sharing new breakthroughs in accelerated computing in design, simulation, games and self-driving cars. Nvidia's new products are all related with GPU.

AMD

In recent two years, AMD always surprised the market, especially in the field of desktop CPU, which surpassed Intel, and the soaring stock price seems to be the most proof.

AMD will release a new generation ofRyzen 6000 processors at 11:00 pm on January 4th, including mobile version and desktop version.

The mobile CPU is Rembrandt, which adopts TSMC N6 process and is equipped with Zen 3 + core; The desktop version ofRyzen 6000 series is a new product codenamed Vermeer S. Based on the existing Ruilong 5000 series with 7nm Zen3 architecture, 3D stacking extra cache can improve the game performance by 15% on average.

In terms of GPU, AMD should launch entry-level RX 6500 XT and RX 6400 this time. $AMD(AMD)$

Summary

At present, the general expectation is that the high prosperity of the semiconductor industry may continue in 2022. Although it may cool down compared with 2021, the huge market demand for electronic consumer goods such as personal computers, smart phones and audio-visual equipment are unlikely to fade in a short time. The market predicts that the global sales of semiconductor industry will increase by 10% year-on-year, reaching a historical high of 600 billion US dollars.

Upstream chip manufacturers will also rely on bargaining power to achieve sustained revenue growth and profit margin expansion.