At the World Artificial Intelligence Conference held this summer, Digital China contracted a number of booths with the size of a single company, bringing exhibits in a variety of fields, including the directly usable AI native empowerment platform "Shenzhou Wenxue", and the intelligent computing base "Shenzhou Kuntai AI Intelligent Computing Series Server", which attracted the attention of many audiences.
It is understood that on the recently released "Fortune" (Chinese version) China Top 500 list, Digital China ranked 186th on the list with an annual operating income of 119.624 billion yuan, an increase of 8 places from 2023, which is also the eighth consecutive year that the company has been on the list. In addition, according to the 2024 interim results report, Digital China's AI-driven digital cloud services and software business grew by 62.7%, and the AI-accelerated digital cloud integration strategy is continuing to be implemented. Today, let's get closer to this company that has been rooted in Changning for more than 20 years, continues to accumulate and embrace change.
The proportion of high-value business continues to increase
According to the 2024 interim results report, Digital China's cloud service and software business achieved operating income of 1.44 billion yuan during the reporting period, a year-on-year increase of 62.7%, gross profit margin increased to 19.1%, and a total profit of 32.65 million yuan. This means that Digital China has not only improved its performance and profitability, but also the proportion of high-value businesses is continuing to increase, driving the overall value increase.
This is due to the digital cloud integration and information innovation strategy proposed by Digital China in 2017. The corresponding business covers cloud computing and digital services and self-owned brand hardware, and is defined by the company's founder Guo Wei as the two core strategic businesses of Digital China.
In recent years, Digital China has successively established cloud computing centers and acquired related enterprises, gradually transforming into a vendor that sells cloud and services, and carries out digital transformation through "digital cloud integration". In 2023, Digital China will launch "Shenzhou Wenxue" on the basis of its knowledge graph product Jarvis, stepping into the AI-driven "Digital Cloud Fusion 2.0". As an AI native empowerment platform, "Shenzhou Wenxue" is compatible with many mainstream large models at home and abroad, such as Alibaba, Baidu, OpenAI, etc., and has a series of practical generative AI tools such as writing, Wensheng diagrams, and Wensheng videos. In specific practice, the implementation capability of "Shenzhou Learning" has been verified in many industries, such as training medical representatives through simulated interactive dialogue, helping a provincial-level human resources and social security department to build a digital teller project through one-to-one intelligent Q&A, multi-channel response, and enriching business knowledge base, and a number of large enterprises have used "Shenzhou Learning" to realize the implementation of AI enterprise scenarios.
Zhu Zhu, deputy general manager of Digital China's enterprise cloud business group, told reporters that this set of tools is also widely used within the company. At the beginning of this year, the company held an AI painting competition with the theme of "Future Technology and the World in Your Eyes", and the majority of employees actively submitted their contributions, and also held a small film festival.
Information innovation and digital cloud integration go hand in hand. The full name of Xinchuang is information technology application innovation, covering the autonomy and innovation of hardware, software, network security, cloud computing and other aspects, and the independent brand hardware sector is an important part of Xinchuang.
In recent years, the demand for AI computing power in China has skyrocketed, and the global computing equipment computing power scale in 2023 will be 1369EFlops, and only China will contribute 450EFlops, accounting for one-third of the global computing power, with a growth rate of nearly 50%. In the face of such opportunities and challenges, Digital China's self-developed AI servers are adapted to a variety of domestic GPU technology routes, and have batch delivery capabilities on the basis of independent and controllable, and continue to maintain a leading advantage in the industry. In the first half of this year, Shenzhou Kuntai AI server achieved revenue of 560 million yuan, a significant increase of 273.3% year-on-year.
According to reports, relying on 20 years of accumulation, Digital China has worked closely with Huawei, including partners, to promote the deep integration of AI infrastructure and applications with various industries, and accelerate its transformation into a leading digital transformation partner. Up to now, China Kuntai has worked with more than 800 partners and completed mutual product certification with nearly 200 ISV partners.
Digital China's achievements in the field of digital transformation are being seen by more and more people. This year, Digital China was selected as one of the "Top 10 Contributing Enterprises to Digital Transformation in 2024" for its outstanding practices and achievements in promoting industrial digital transformation.
Rooted in Changning for more than 20 years
Looking out the window of Digital China's office building, you can see the bustling crowds at Songhong Road Station of Metro Line 2 and Darong City. Perhaps it is a coincidence or fate, Digital China and Linkong Park have witnessed each other's development process together.
In 1998, Lenovo Group Shanghai Branch was established. In 2000, Lenovo Group's business was spun off and Shanghai Lenovo Digital China Co., Ltd. was established. In 2001, Shanghai Lenovo Digital China Co., Ltd. changed its name to Shanghai Digital China Co., Ltd. In the past 20 years, Digital China has experienced various changes and growth from association to Digital China, from warehouse to science and technology park, from IT distribution to AI-driven. Today, Digital China Co., Ltd. is the largest subsidiary of Digital China in East China, covering all major business units of the Group and employing approximately 600 people. Since its opening in 2015, iSGO Gallery (Shanghai), a professional contemporary art gallery, has been committed to artist promotion, art investment and collection, and has held dozens of contemporary art exhibitions.
The company actively participates in various activities of the airport park, and was rated as the "home of qualified employees in the airport park" in 2022 and the "civilized unit of Changning District" in 2018-2020.
At the same time, the rinku park has also flourished during this time. In 1998, Linkong started the first batch of large-scale investment. In 2003, Digital China Science and Technology Park was completed. In 2006, Zhongshan Park Station to Songhong Road Station, the western extension of Metro Line 2, was put into operation. Today's airport park, the construction goal of "garden-style, high-tech, and headquarters-type" has long been realized, and the location adjacent to the Hongqiao hub has enabled it to embark on a new journey of development.
In the future, Digital China will continue to be based in Changning, actively embrace the power of digitalization, embark on a unique path of digital transformation, and promote the deep integration of AI infrastructure and applications with various industries under the framework of the "AI-driven digital cloud integration" strategic system, and accelerate its efforts to become a leading digital transformation partner.
Written by Mao Yiyun
Editor: Bi Yangjing
Editor-in-charge: Yan Wenbin
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