Information security is always accompanied by information technology. The “spear” of information technology becomes more and more sharp with the development of the times, and the “shield” of information security is bound to become stronger. As big as state secrets and government secret messages, as small as text messages in our mobile phones, and advertisements on elevator screens, strong technical protection is required.
Xinda Jiean is a leader in the field of information security. Mastering the encryption algorithm introduced by my country, the national secret, and applying it to self-developed chips, Xinda Jiian, which has two halos of “national secret” and “chip self-produced”, has attracted much attention from the government and the industry. Its security chips are used in various industries such as government affairs, industry, Internet of Things, and consumer electronics.
The road to chip research and development is always difficult, not to mention creating “explosive” chips. Although Xindajie’an’s products have been popularized in many fields, and the annual revenue has exceeded 100 million, it has not yet achieved profitability due to high costs and expenses. So, how did Xinda Jiean popularize its security chips to all walks of life? Can its information security technology drive Xinda Jiean out of the loss-making area?
The national secret chip is of great significance
In 2015, the “backdoor vulnerability” incident of the famous Internet company Juniper caused global concerns about information security.
Backdoors have a more figurative name – Trojan horses. As the name suggests, its function is like the Trojan horse that lurked into the city in the Bittroy War, silently hiding in the computer, collecting information and providing a channel for hackers to access. Juniper network products are implanted with high-risk backdoor code before they leave the factory, without the knowledge of manufacturers and customers. As soon as the incident came out, it spread all over the world. There are more than 2,000 devices exposed to the Juniper network in my country, and people are panicking for a while.
Fortunately, my country has long realized that “without network security, there is no national security”, and has listed information security as a major strategy that goes hand in hand with political security and economic security. In 2011, the State Cryptography Administration launched a commercial cryptographic algorithm independently developed by my country—National Secret, which can well solve the above-mentioned information security loopholes.
The national secret algorithm is not only better than the international general algorithm in processing speed, but it also has special requirements for users – “code filing”. The equipment manufacturer must submit the code to the State Secrets Office for review, and only after confirming the safety can obtain the production qualification. The “audit” of the State Secret Office can check out the “unauthorized code” of the backdoor code, so as to fundamentally eliminate the hard-to-detect system loopholes such as backdoor loopholes.
Due to its great security significance, the state secret system is required to be used compulsorily in institutions with high confidentiality requirements such as public security organs and government departments. Among them, the commercial encryption system is used to protect important information other than state secrets and has a wider range of applications: by the end of 2017, the sales volume of commercial encryption products in my country had reached 1.322 billion sets, with an industrial scale of 24 billion yuan and an average growth rate for two years. up to 35%.
Since 10 years ago, Xinda Jiean has been the first to develop a security chip equipped with a commercial cryptographic algorithm, which makes information storage and processing “secure”. Based on this “trump card”, the company extended downstream, launched a large family of products equipped with security chips: secure U disk, communication module, secure mobile phone, etc., and launched gateways, cloud platforms and other supporting connections and applications. In the field of information security, the company is one of the few companies that can provide one-stop services from chips to platforms.
(Image source: Xinda Jie’an prospectus)
“The police are in full swing, and a bunch of illegal cars are checked.” Public security personnel have long been familiar with the advertising slogans of this law enforcement software. Policing is the earliest market that Xinda Jiean has set foot in. Its star products such as law enforcement instrument hardware and police service software are deployed in more than 330 prefecture-level public security organs across the country, accounting for 42% of the 24 provinces where mobile police platforms are built. At the military parade marking the 70th anniversary of the victory of the Anti-Japanese War, Hangzhou G20 Summit and other large-scale national conferences, the company’s mobile police equipment played a pivotal role.
After accumulating technology in the field of mobile policing, Xinda Jiean has gradually expanded its business to emerging fields such as industrial Internet and urban Internet of Things. Taking the application of the Internet of Things as an example, the elevator screen giant Xinchao Media has used Xindajie’an’s security solution on a large scale in its digital screen media. There are 400,000 elevator digital screens equipped with the company’s products, accounting for 6% of the national digital screen media. .6%.
With its national secret chips as bricks and tiles, Xinda Jiean has built a solid city wall for my country’s information security.
The lost and found of the Internet market
Huawei is a very important partner of Xindajiean in the Internet field. The two have cooperated many times to launch popular mobile phones such as HUAWEI Mate10/20/20 pro. At Huawei’s previous star product launches, there is always an important partner, Xinda Jiean.
However, Xinda Jiean was not so beautiful from the beginning, but experienced the painful process of being rejected by Huawei, “self-reliant” and failure.
In 2013, Xinda Jiean first set foot in the field of smart phones, hoping to integrate national secret chips with mobile phones to create “safer” smart phones. However, due to the immature technology, the company’s attempts to cooperate with well-known manufacturers such as Xiaomi, Huawei, and ZTE were all rejected.
Xindajie’an, who was closed, had to find another way out, so he started a vigorous self-produced mobile phone plan:
Xinda Jiean is responsible for the design of the security system. Huizhou BYD designs and manufactures mobile phones according to the company’s technical solutions and requirements for appearance and performance. The two cooperate to launch Xinda Jiean’s own brand mobile phones. In the first cooperation, Xindajie Anben invested 53 million yuan and purchased 30,000 complete machines from Huizhou BYD.
However, this abrupt “cross-border” operation is destined to be attacked by professional brands such as Huawei and Xiaomi. Due to the lack of experience in the production and promotion of mobile phones, the popularity of the Xinda Jiean brand of mobile phones is very low, and the sales are bleak. Two years later, the company ended its self-produced mobile phone program.
This bold attempt has caused Xinda Jiean to suffer a lot: all the complete machines purchased before are unsalable, and the accumulated asset impairment losses in three years have reached more than 45 million, which has seriously dragged down the company’s performance.
However, what is lost is the east corner, and what is harvested is the mulberry elm. In the two years of self-produced mobile phones, the company has accumulated rich experience and has become the only manufacturer of security chip companies that has systematically participated in the whole process of R&D and production of mobile phones. Different from when it was rejected in the past, Xinda Jiian has already polished the technology of integrating chips with mobile phone hardware, and has provided complete upper-level software development services. Its overall security service technical solution has undergone the test of actual combat.
Xindajiean has finally become the “security chip manufacturer that knows the most about mobile phones”. Huawei, Xiaomi, ZTE and other major manufacturers have successively invested olive branches in the company for cooperation.
Having learned the lessons of “cross-border”, Xinda Jiean only focused on security technology in the subsequent cooperation process, providing security chips and application software services for mobile phone manufacturers.
Combining the brand advantages of Huawei and ZTE and the technical advantages of Xindajie’an, smart security mobile phones have finally sold in the market. The operating income of Xinda Jiian security mobile phone has also increased significantly. Within two years, its revenue has increased from 30 million to over 90 million, more than doubled. The gross profit of the business has also turned from loss to profit, and the gross profit margin has gradually increased.
In the mobile phone market, Xinda Jiian has finally ushered in the spring of development. As the previously unsalable inventory is gradually cleared up, the secure mobile phone business of Xinda Jiean will certainly contribute huge profits.
From the Internet to the Internet of Vehicles
The era of the Internet of Vehicles is coming. The business of Xinda Jiian has also expanded from the traditional mobile Internet to the Internet of Vehicles position.
Like mobile phones and tablets, cars are essentially large “mobile terminals”, and network technology has endowed them with diverse functions such as remote control, autonomous driving, and entertainment calls. While the in-vehicle information system is becoming more and more “cool”, safety hazards are also growing. Both BMW and Tesla have reported car intrusion incidents: hackers exploited system vulnerabilities to remotely penetrate the interior of the vehicle, open the door and drive away. Therefore, the safety protection of automobile system should not be underestimated.
In the era of the Internet of Vehicles, an all-round information interaction network of “people-vehicles-road-cloud” will be fully formed. According to the development goals of the Internet of Vehicles in my country set by the National Development and Reform Commission, by 2020, the coverage rate of the Internet of Vehicles in major cities and highways must reach 90%, and by 2025, the 5G Internet of Vehicles must basically meet the needs of smart cars. Technology development, safety first, in this context, the security protection of the Internet of Vehicles is particularly urgent.
By migrating the one-stop service experience accumulated in the early mobile field, Xinda Jiian quickly emerged in the field of car networking security.
The national secret security chip is used as the “base”, the security gateway is used as the “sandwich”, and the security control platform is used as the “surface”. The significance of Xinda Jiean to automobile manufacturers is not only the chip, but a solution integrating “hardware-connection-software” solution provider.
In addition, high-speed moving vehicles have high requirements for real-time information processing, and “immediacy” is a technical difficulty for common hardware and traditional IT manufacturers. With years of experience in the mobile field, the company is far ahead in processing information.
Combining the two advantages, in 2017, Xinda Jiean finally ushered in a development “milestone” – the important customer BYD achieved mass production of connected vehicles, marking that Xinda Jiean became the industry’s first mass-produced automotive safety solution provider. Since then, the company’s automotive business has grown by leaps and bounds, and has reached cooperation with Aiways, Yutong, Zotye and other manufacturers.
In 2019, Xindajie’an’s business has reached a new level: its automotive-grade security chip is favored by the automobile giant Audi due to its superior performance. Xinda Jiian is responsible for the security chip, Huawei is responsible for the communication module, and Lear is responsible for the integration. After mass production, Xinda Jiean will be expected to move from domestic to international and gallop in the global market.
In just two years, more than 500,000 vehicles have integrated the company’s safety solutions. In 2018, its revenue grew to 4.78 million yuan, a seven-fold increase in one year.
The rapid growth of Xinda Jie’an’s automotive safety business benefits from the “general trend” of the development of the Internet of Vehicles era. At present, the scale of China’s Internet of Vehicles market has reached 57.4 billion yuan. With the promotion and application of 5G, its scale is expected to double within two years, rapidly growing to a scale of 100 billion yuan. The Internet of Vehicles market is on the eve of its outbreak, and Xindajiean, which has a first-mover advantage, is bound to skyrocket and achieve more breakthroughs in performance.
With the “trump card” of self-developed national secret chips, Xinda Jiean continues to grow and develop. In the traditional Internet position, the company has experienced the twists and turns of “lost and found”: the self-produced mobile phone encountered “Waterloo”, but the company accumulated technology and became an important partner of Huawei. In the emerging field of Internet of Vehicles, the company takes the lead in mass production of automotive safety solutions, taking the first-mover advantage in the vast blue ocean. In the era of more and more important information security, the rapid development of Xinda Jiean has just begun.
The Links: NL10276BC28-08B MG50G6ES40