Recently, a fully - owned subsidiary of SY Holdings Group Limited (referred to as "SY" or the "Group", Stock Code: 6069.HK), SY Technology (Wuxi) Co., Ltd., has entered into a strategic partnership with Wuxi Digital Whale Technology Co., Ltd. (referred to as "Digital Whale"). Leveraging Wuxi Economic Development Zone's (referred to as "Wuxi EDZ") existing intelligent computing infrastructure and SY's industrial supply chain ecosystem, the two parties will prioritize providing more flexible intelligent computing power support to SMEs within the supply chain. Additionally, they will offer comprehensive supply chain financing solutions to AI application companies and robotics enterprises already served by Digital Whale, while assisting them in enhancing procurement efficiency and expanding sales scale.
With the rapid adoption and deepening application of large-scale AI models across various industries, intelligent computing power has become a highly sought-after global scarce resources. Major Chinese internet platforms are proactively securing stable AI computing capacity as a critical strategic move. Against this backdrop, SY has partnered with local governments possessing intelligent computing infrastructure to preemptively secure scarce computing resources. This ensures ample intelligent computing capacity reserves, empowering the digital and intelligent transformation of industrial supply chains.
Under this partnership, SY has officially gained access to the Xuelang Computing Center, NVIDIA AI Computing Center, and Sugon Advanced Computing Center, all operated by Digital Whale. Currently, SY has secured over 60 H800 servers, providing more than 1,000P of intelligent computing capacity. Leveraging SY’s decade-long expertise in infrastructure, healthcare, e-commerce, and other industries—along with its industrial ecosystem resources and supply chain data—the company will combine Digital Whale’s strengths in intelligent computing resource deployment and operations within Wuxi EDZ. Together, they aim to accelerate the adoption of AI agents in supply chain scenarios, helping core enterprises enhance supply chain management efficiency while enabling SME suppliers to secure more sales orders and working capital.
Digital Whale serves as the primary operator and developer of intelligent computing infrastructure in Wuxi Economic Development Zone (Wuxi EDZ), having already supported over 50 AI enterprises - including industry leaders like Galaxy General-Purpose Humanoid Robotics and WeRide - along with numerous large-scale research initiatives. With a portfolio of more than 30 successful implementation cases, the company has demonstrated its ability to help enterprises achieve an average 28% reduction in R&D costs, establishing itself as a fundamental platform for digital transformation across key sectors such as smart manufacturing, smart city development, and autonomous driving technologies. Through this strategic partnership in intelligent computing capabilities, SY gains the capacity to deliver enhanced value-added services that will strengthen client relationships and improve retention rates. The collaboration further enables SY to work jointly with Digital Whale in providing tailored financial solutions for supply chain operations and advanced computing support specifically designed for cloud service providers, AI innovators, and robotics companies based within Wuxi EDZ. This comprehensive approach combines SY's financial expertise with Digital Whale's technical infrastructure to drive innovation and efficiency across multiple high-tech industries.
SY has demonstrated remarkable efficiency gains through AI adoption, achieving 57% business growth last year while utilizing just one H800 server - an implementation that kept human resource cost increases to only 5.6%, generating savings exceeding RMB 40 million. Building on this success, SY is scaling up its AI infrastructure with plans to deploy 15 H800 servers this year. These powerful systems will support locally deployed, full-capacity large language models including DeepSeek and Qwen (Tongyi Qianwen) to drive comprehensive operational upgrades. The technology implementation will transform SY's internal processes through advanced business automation, significantly improve risk identification capabilities, and enhance client-facing industrial SaaS services with more convenient and feature-rich solutions. These strategic AI investments position SY to potentially double both its business scale and revenue within a three-year timeframe, building on the proven efficiency gains already demonstrated through its focused AI adoption strategy.
It's worth noting that the current procurement cost of a single H800 server is estimated to be at least RMB 2 million, meaning a direct purchase of 15 units would require a minimum capital expenditure of RMB 30 million. Through its strategic intelligent computing partnership with Wuxi Economic Development Zone and Digital Whale, SY has avoided the need to build its own computing infrastructure, thereby saving substantial capital investment. This innovative approach enables SY to concentrate more resources on AI agent development and application, while strengthening its integration with industrial ecosystems. Such strategic resource allocation positions SY to unlock greater growth potential amid the ongoing wave of industrial digital transformation.
China's AI industry has achieved remarkable breakthroughs this year, highlighted by three landmark developments: the domestically developed open-source large language model DeepSeek topping global download charts, Alibaba's announcement of a RMB 380 billion investment in cloud and AI hardware infrastructure, and the global tech community's enthusiastic response to Manus - the world's first general-purpose AI agent. These milestones have collectively positioned China's AI industry as the global leader in growth rate. Current data reveals that in 2024 alone, China's core AI industry reached a scale of nearly RMB 600 billion, supported by over 4,500 specialized AI companies. Looking ahead, industry projections indicate this core market will exceed RMB 1 trillion by 2030, with the potential to drive related industries beyond RMB 10 trillion - figures that underscore the sector's extraordinary development potential and capacity to transform the global technological landscape.
Moving forward, SY Holdings will continue to explore innovative applications of large AI models like DeepSeek, while supporting the growth of more SMEs in technological breakthroughs and business expansion through the development and operational services of intelligent computing power resources.
