EB SECURITIES: Solid-state transformers have significant advantages over traditional ones, and the demand for key components will continue to rise.

EB Securities released a research report stating that the rapid development of AI technology and the continuous increase in global data center capital expenditures are expected to maintain investment opportunities in AIDC power supplies; the release of Rubin architecture HVDC in 2026 will be a significant catalyst for the development of companies' 800V HVDC and SST products; the progress of domestic companies in the development of HVDC and SST products, entry into the supply chain of overseas manufacturers, and the opening of the domestic green power direct connection and AC-DC hybrid market will also provide important support for industry development; the demand for key components such as SiC, nanocrystalline alloys, and heat dissipation materials for medium-voltage high-frequency SST products will continue to increase. The firm stated that Solid-State Transformers (SST) have significant advantages over traditional transformers, as they are compact and lightweight, can convert between AC and DC, and have advantages in terms of volume and flexibility. Currently, the main application scenarios include AC-DC hybrid distribution networks, green power direct connection, and electric vehicle charging stations. SST is the future development trend of AIDC power distribution architecture. Nvidia has stated that they are exploring the application of medium-voltage rectifiers (converting medium-voltage AC to 800VDC) and are committed to using SST technology as a future facility power distribution solution. In addition, high-frequency transformers are core components of SST, and amorphous nanocrystalline materials can effectively solve the technical challenges of high-frequency transformers. The key technical bottlenecks of high-frequency transformers include small capacity, high loss density, and difficulties in designing large capacity batteries, making the system complex and costly. Amorphous nanocrystalline materials not only provide high resistivity to reduce eddy current losses, but also have excellent soft magnetic properties provided by nanocrystals, making their advantages in the application of SST more apparent.