Key investment points: Pre-winning the bid for the IDC4 computer room project in Ordos, cloud computing business implementation, laser display, cloud computing, smart city operation trident business, long-term bullish report summary: Pre-bid for the IDC computer room construction project in Inner Mongolia, and the cloud computing business is gradually being implemented. The company announced that it became the first candidate to win the bid for the No. 4 data center construction project in the Inner Mongolia Cloud Computing Industrial Park. The BT construction project for Data Center No. 4 in Cloud Computing Industrial Park is located in the Cloud Computing Industrial Park of Ordos High-tech Industrial Park. After completion, the No. 4 data center will be used as a high-end data operation center, and about 3,000 racks will be built; there are ten Bitcoin computer rooms, each with an area of about 3,000 square meters, a total construction area of about 30,000 square meters, and the construction period of the project is 90 days. Occupying the IDC business cost depression, “resources+network advantage” has built a long-term moat for the IDC industry. The company's two core strengths in the IDC business are the low resource costs in Ordos and the advantages of the backbone network that is being built gradually. From the perspective of electricity costs, in the future, Ordos will supply electricity directly to cloud computing centers in Kengkou. Electricity costs can be the lowest in the country, and the cost advantages brought about by energy advantages cannot be ignored. The “Ordos-Beijing” optical cable is expected to be completed within 16 years. The optical cable will be built simultaneously with the oil pipeline. At the same time, in terms of future cable maintenance, it will enjoy a later guarantee of joint maintenance with the oil pipeline. At the same time, the company is laying out an autonomous and controllable transmission network that can reach developed regions of the country. The “resource+transmission network” advantage will form the company's long-term moat and create an exclusive advantage in the IDC industry. The volume of laser business supports performance growth, and the smart city business creates a service-type operation platform. At present, the company's laser business level has a clear first-mover advantage, and the cooperation with NEC has bound sales partners in the international market. The short-term laser business is expected to expand rapidly, supporting the growth of the company's performance. The smart city business is shifting to service operation projects. The company and the Yingkou Municipal Government have cooperated to build a cross-border e-commerce service platform. Later, the launch of more functional modules for the smart city business will rapidly reduce operating costs and enhance the company's service operation capabilities. Keep up the “buy” rating! We are strongly optimistic about the company's exclusive advantages in the field of laser display and cloud computing. The second half of the year will usher in a significant improvement in fundamentals. We strongly recommend that we embrace the company's estimate of the 2015-2017 EPS of 0.40, 0.90, 1.60 yuan, and the first target price of 50 yuan!