“Science and Technology Innovation Board Daily”, July 11 (Editor Song Ziqiao) Electronic analyst Guo Mingyi published an article today saying that Apple has used quadruple reflection prism (periscope) cameras since the iPhone 15 Pro Max and has planned a specification upgrade route for the next few years. The latest supply chain survey shows that iPhones will continue to use glass prisms in the next few years. Crystal Optoelectronics, the number one supplier of Prism, is one of the leading beneficiaries in the relevant supply chain.

Crystal Optoelectronics quickly picked up and stopped in the afternoon.

According to Guo Mingyi, some models of the next four generations of Apple phones are expected to use glass prisms —

In the iPhone 16 series in the second half of 2024, both Pro and Pro Max models will use quadruple reflection prism cameras (same specifications as the iPhone 15 Pro Max); the penetration rate of quadrilateral prism cameras will increase from 35%-40% of the iPhone 15 series to 60%-65% of the iPhone 16 series, so shipments of quadruple reflective prism cameras will increase by about 160% year-on-year in 2024.

The higher-end iPhone 17 models are expected to be equipped with an upgraded quadruplex prism camera. It has not yet been determined whether only the iPhone 17 Pro Max is equipped with an upgraded quadruple prism camera; if so, the 2H26 iPhone 18 Pro will also be equipped with an upgraded quadruple prism camera.

The quad-reflective prism camera will once again welcome a significant upgrade in specifications on the new iPhone 19 in 2027. The upgrade is higher than that of the iPhone 17 and iPhone 18. It is expected that the 2H27 quad-reflex prism camera will support a higher optical zoom ratio.

Crystal Optoelectronics is the core supplier of Apple optical components, supplying it with thin-film optical panels, microprisms, etc. The products can be used in the front and rear cameras of Apple phones, face recognition modules, camera covers, etc. Guo Mingyi said that Crystal Optoelectronics's revenue and profit will benefit from an increase in supply share (from 70%-75% in 2023 to more than 80% in 2024); capital expenditure and R&D expenses in 2024 will be drastically reduced, which is also conducive to profit growth.

Notably, according to media reports, Apple's embrace of AI is expected to boost iPhone demand. Apple plans to increase new iPhone shipments by 10% in 2024, and iPhone 16 shipments are expected to reach 90 million units in the second half of this year.

By the close of Wednesday, Apple's stock price had risen 1.88% to $232.98, a record high for the seventh consecutive trading day. The company's total market capitalization reached 3.572 trillion US dollars, regaining the global “stock king” position and opening a gap of 100 billion dollars with Microsoft.

Corresponding to this, A-share Apple concept stocks have shown strong performance recently. This week (as of press release), Chaoyang Technology, Jiebang Technology, Dongshan Precision, Shennan Circuit, Lante Optoelectronics, Hengmingda, Bosuo Technology, Crystal Optoelectronics, Xiangyuan New Materials, and Desai Battery all increased by more than 15%. In addition, concept stocks such as Goertek, Lansi Technology, Lingyi Intelligent Manufacturing, USX Electronics, and Changying Precision fluctuated upward for several months.

Industry insiders believe that with the imminent launch of new iPhones and the arrival of the peak season for the consumer electronics industry, “Fruit Chain” companies are poised to perform well.

CICC said that in the era of end-side AI, it is recommended that priority be given to the Apple industry chain. Android is expected to closely follow, and 2H24-2025 may usher in common prosperity between the Apple and Android industry chains.