Analyst: Guo Minghui Ming-Chi Kuo

According to our latest survey, Apple will launch a newly designed MacBook Air around mid-2022. One of the main selling points of this new model is the use of a Mini LED display screen. JD will be the new supplier of the MacBook Air's Mini LED display. We believe that this order is of great significance to JD. This is the second time that JD has received a high-end order with a high unit price from Apple. It will make a significant contribution to JD's Mini LED display design and production capacity and facilitate the acquisition of non-Apple orders. Furthermore, we believe that the market underestimates the contribution of specification upgrades and product portfolio/capacity optimization to JD's revenue and profit in 2H21-2022.

We anticipate Apple will launch a newly designed MacBook Air with a Mini LED display in mid-2022.

1. We believe the new 2022 MacBook Air will significantly increase mini LED display shipments due to its lower price product positioning.

2. It is currently uncertain whether the existing M1 MacBook Air will end production after mass production of the Mini LED MacBook Air. If production of the M1 MacBook Air ends, that means the Mini LED MacBook Air may start at the same price as the current M1 MacBook Air. If the M1 MacBook Air doesn't end production, it means the M1 MacBook Air may sell for less. We think any of these situations will contribute to overall MacBook Air shipments.

3. The Mini LED MacBook Air will be available in several case color options, with an exterior design similar to the new 3Q21 MacBook Pro.

4. The total number of MacBook Air shipped in 2021 was approximately 5.5 to 6 million units. We anticipate a total of 8 million MacBook Air shipments or more in 2022, thanks to the Mini LED MacBook Air.

We anticipate JD will be the new display supplier for the Mini LED MacBook Air in 2022.

1. In JD's valuation policy, the market only focuses on TV display prices and shipments, but we believe that specification upgrades and product combination/production capacity optimization are more important for JD to increase sales in the future.

2. JD 2H21 will begin shipping 65-inch TVs or above and high-end IT (notebook and display) displays, and reduce the proportion of shipments of 32-inch TV panels with lower unit prices and lower profit margins. Although TV panel shipments will change and decline as a result, overall revenue and profit will reverse.

3. On the side of the display screen, we estimate that JD's iPhone OLED display shipments are expected to significantly reach about 150% YOY or above 20-25 million units in 2022. Benefiting from iPhone display order contributions, JD's share of the mobile OLED market is expected to increase from 5-10% in 2021 to 10-15% in 2022.

4. In addition to the medium-scale display method mentioned above, we expect that JD will also start shipping OLED displays for Windows notebooks starting in 2022, starting in 2022, JD will also begin shipping OLED displays for Windows laptops. In addition, high-cost IT equipment display shipments will also increase due to optimized production capacity.

5. Larger display options, shipments of high-priced 65-inch TVs or more will increase due to optimized production capacity. Furthermore, we expect JD to ship a glass-substrate Mini LED display for TVs in 2022 (vs. the current Mini LED display using a PCB board). Mini LED displays with glass substrates will be lighter and thinner, which will help JD increase its market share of high-end TV displays.

Investment advice:JD is the new supplier of Apple Mini LED displays; specification upgrades and product combination/capacity optimization are the key drivers for the JD.com 2H21-2022.

Take risks and take risks:Production of new products has been delayed or market demand has fallen short of expectations.

Our latest survey suggests that Apple Will Launch An All-New Design MacBook Air Around Mid-2022. One of the main selling points of this new model is the closet of a mini LED display, and BOE will be the new display supplier of the Mini LED MacBook Air. THIS ORDER IS BOE FOR BOE, AS IT IS THE FIRST TIME FOR BOE TO SECURE A BOE TO SECURE A BOE ORDER WITH HIGH ASP FROM APPLE. It Will Contribute to Boe's Capabilities for Mini LED Display Design and Production and Production Non-Apple Orders. In profit, we believe that market undertones the specifications and product mix/capacity optimization to Boe's revenue and profit in 2H21-2022.

We predict that Apple will launch the all-new design MacBook Air conditioner with a mini LED display in mid-2022.

1. We believe the new 2022 MacBook Air will buy mini LED display lighting due to its more affordable product position.

2. Is it not yet done is the existing M1 MacBook Air will end production after the Mini LED MacBook Air goes to mass production. If the M1 MacBook Air does end production, the Mini LED MacBook Air will start at the same price as the current M1 MacBook Air. On the other hand, if the M1 MacBook Air doesn't end production, the price of the M1 MacBook Air may be lower. We think accident scenario will help with total effort of MacBook Air.

3. The miniature of the mini LED MacBook Air will offer color options, and the form factor design will be similar to the 3Q21 new MacBook Pro.

4. We estimate that the total MacBook Air Rains in 2021 will reach 5.5 to 6 million units. We Forecast Total MacBook Air Reach 8 Million Units or More in 2022, Benefiting from the Sale of the Mini LED MacBook Air.

We predict that BOE will be the new display supplier of Mini LED MacBook Air in 2022.

1. The Mini LED Display Stands for the 3Q21 New MacBook Pro Models are LG Display and Sharp/GIS. We predict that the 2022 new mini LED MacBook Air Display will be BOE and LG Display.

2. Since BOE has only low-end coolers for MacBook Air in the past, it is cheap for BOE to high ASP Mini LED display orders. We believe that this order will help Boe's Apple business grow in 2022.

3. The Boe's Mini LED Display Order from Apple Will Help the Company Upgrade Its Design and Production Capabilities for Mini LED Displays. We Believe BOE Will Receive More Orders for Mini LED Relaxation from Non-Apple Brands Due to Its Desire Design and Production Capabilities.

We have a positive view that specification growth and product mix/capacity optimization will drive Boe's growth.

1. In terms of Boe's clothing, the market is only relaxation about TV panel relaxation and relaxation. Still, we believe that specification growth and product mix/capacity optimization are more critical to Boe's aggressive growth.

2. Starting from 2H21, BOE will decide the distributed allocation of 65-inch TV panels or above and above IT (notebook and monitor) panels and reduce the amount of low-asp and -profit 32- INCH TV PANEL COOLED. As a result, profits TV panel will change due to this change, overall revenue and revenue can grow.

3. In terms of small-sized panels, we estimate that Boe's iPhone OLED display lamps to grow by 150% YOY or higher to 20-25 million units in 2022. Benefiting from the benefits of iPhone display orders, we expect that the Boe's smartphone OLED market share will benefit from 5— 10% in 2021 to 10— 15% in 2022.

4. In terms of reference panels, in expectations to the high ASP mini LED Macbook Air conditioner in 2022, we expect BOE to start shipping OLED laptops for Windows notebooks in 2022. High ASP IT device panel will also reduce due to capacity optimization.

5. In terms of large panels, high ASP 65-inch TV panels or above will increase due to capacity optimization. In seasons, we expect BOE to ship Mini LED lamps that adopt glass substrates for TVs in 2022 (designers the current mini LED display's lamps of a PCB substrate). Mini LED TV That Adopt Glass Substrates Will Be and Strains, BOE Its Market Share in TV

Stock for actions: BOE to be a new supplier of Apple mini LED lamps; specification appliances and product mix/capacity optimization to be key growth drivers for BOE in 2H21-2022.

risk: New product demand demand due to COVID-19.