TENCENT (00700.HK) purchased about RMB2 billion worth of GPU computing power resources from ByteDance in 1Q25, which is dominated by Nvidia (NVDA.US)'s H20 cards and servers, CAIJING.COM.CN quoted sources as saying. Tencent Yuanbao's current update primarily uses cards from ByteDance.

It has been reported that BABA-W (09988.HK) also placed a GPU order with ByteDance after DeepSeek went viral in 1Q25.

However, the person in charge of ByteDance responded that the above information was untrue.
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US stocks are rebounding as investors bet on the support from both the Fed and US President Donald Trump's administration, believing that both monetary policy makers and the White House will take action to cushion the economic or market downturns, UBS issued a report saying.

About 70% of S&P 500 companies beat 1Q25 earnings estimations, with Alphabet (GOOGL.US)'s strong results underscoring "investing in innovation", UBS added. The broker forecasted mid-teens growth in global tech earnings this year, despite a 3-5% tariff-related impact.
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BofA Securities released a research report expecting Apple (AAPL.US) to report a higher-than-expected revenue performance, mainly due to earlier demand due to tariff concerns.

The broker slightly raised its revenue forecasts for March and June quarters for Apple, meanwhile lowering its revenue forecasts further out to reflect higher costs on a more complex supply chain and delays in the launch of AI-enabled Siri.

BofA Securities adjusted its FY2025/ FY2026 revenue projections for Apple to US$412 billion/ US$440 billion from US$411 billion/ US$450 billion , and its EPS estimations to US$7.25/ US$7.82 from US$7.3/ US$8.2, respectively. Meanwhile, the broker chopped its target price for Apple from US$250 to US$240, with rating kept at Buy.
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China’s smartphone market shipped 70.9 million units in 1Q25, up 5% YoY, sustaining the recovery trend from 2024, driven by national subsidy policies and a rebound in consumer demand, as revealed by the latest Canalys data.

XIAOMI-W (01810.HK) led with 13.3 million units shipped, a 40% YoY upswing, boosting its market share by 5%, reclaiming the top spot for the first time in a decade, fueled by subsidies and its "Human x Car x Home" integrated strategy.

Huawei followed closely in second place with an 18% market share, shipping 13 million units, up 12% YoY. OPPO and vivo ranked third and fourth with 15% market shares each, shipping 10.6 million (down 3% YoY) and 10.4 million units (up 2% YoY), respectively. Apple (AAPL.US) placed fifth with a 13% market share, shipping 9.2 million units, down 8% YoY.
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The overall discount rate of the auto market in mid-April was approx. 23.7%, a slight recovery from late-March, according to the latest survey conducted by the China Passenger Car Association (CPCA).

The leading manufacturers, which accounted for nearly 80% of the total market in terms of retail sales volume, targeted a 7.1% YoY growth in retail sales in April, down about 10% MoM.

The total retail sales of passenger vehicle in narrow sense in April is estimated to be around 1.75 million units, up 14.4% YoY and down 9.8% MoM, while the retail sales of NEV will reach 900,000 units, with a penetration rate of 51.4%.
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When asked at Intel (INTC.US)'s results conference on Thursday (24th, local time) whether the company would reconsider its IDM model, CEO Lip-Bu Tan, who took office in March this year, answered that Intel regards TSMC (TSM.US) as a partner and has always had a good partnership with it, Nikkei Asia reported. He also revealed that he had previously met with TSMC to discuss ways to collaborate on a win-win basis.

Intel's net profit for 1Q sank by 24% to US$580 million. At the results call, Tan noted that the quarterly results show that the company is moving in the right direction, yet there is no quick fix. Although Intel is working hard to regain market share and push forward sustainable growth, it expects that US tariff policies and global trade uncertainties will pose additional obstacles to its sales.

In Intel's estimate, its 2Q revenue will range from US$11.2 billion to US$12.4 billion. CFO David Zinsner explained that the forecast range is wider than usual due to uncertainties from tariffs and a potential recession. He added that the unpredictable US trade policies and regulatory risks have lifted the chances of an economic slowdown, while the probability of a recession is escalating, making it difficult for Intel to predict its operating performance for 2Q and beyond.
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As investors continued to stay on the sideline for the progress on global trade, U.S. stock market sustained their uptrend on Thursday, marking a third consecutive day of gains.

The DJIA, after opening lower, surged 486 points or 1.2%, closing at 40,093, its first close above 40,000 since April 15. The Nasdaq ascended 457 points or 2.7%, ending at 17,166. The S&P 500 rose 108 points or 2%, finishing at 5,484.

Techs rallied, with Tesla (TSLA.US), Nvidia (NVDA.US), Amazon (AMZN.US), and Microsoft (MSFT.US), each gaining over 3%. Meta (META.US), Alphabet (GOOG.US), and Apple (AAPL.US) saw increases between 1% and 2%.
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Amid concerns over a potential economic downturn prompting some investors to question whether tech companies might scale back investment plans, senior executives from Amazon (AMZN.US) and Nvidia (NVDA.US) stated on Thursday that the construction of AI data centers has not eased, on the back of rising power demand from artificial intelligence.

Kevin Miller, Amazon’s Vice President of Global Data Centers, noted strong ongoing demand, with an uptrend expected over the coming years and in the long term. Similarly, Josh Parker, Nvidia’s Senior Director of Corporate Sustainability, said there are no signs of a slowdown.
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Tesla (TSLA.US)'s latest results were mixed, Goldman Sachs issued a research report saying.

While 1Q25 non-GAAP EPS was US$0.27, weaker than the market consensus of US$0.41, and Tesla declined to provide formal guidance in light of tariff uncertainty, the broker believed that there are still some positives for Tesla, such as higher-than-market-consensus 1Q25 non-GAAP auto gross profit margin excluding regulatory credits, and that Tesla is still forecasting to begin its robotaxi operation in June, albeit in small scale.

Therefore, Goldman Sachs kept rating at Neutral on the stock, and chopped its target price to US$235 from US$260 as it believed that the increase in FSD's software revenue will partially offset the downside risk to the near- to medium-term consensus forecasts.
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Chinese large tech firms are unlikely to cut AI-related investments, even in the face of US chip restrictions, Christopher Yip, Sector Lead of China Local Government, Infrastructure Ratings at S&P Global Ratings, noted.

Chinese AI platform, DeepSeek, was unveiled earlier, and tech companies are improving their AI algorithms and programming to reduce the need for computing resources, Yip added.

However, the use of alternative chips may be less efficient and more expensive to operate than Nvidia (NVDA.US)'s products, which could lead to increased costs for AI infrastructure development in China.

Yip explained that S&P Global raised the outlooks and ratings of MEITUAN-W (03690.HK), XIAOMI-W (01810.HK), JD-SW (09618.HK) and other individual stocks on the basis that the companies are mainly focused on China's domestic market or have minimal exposure to the US market. Therefore, the direct impact of the tariffs may be minimal for the above companies.
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