Core Insights - Bilibili has announced the new list of its top 100 content creators (UP主) for the year [1] - By 2025, the total viewing time of content from these top creators is projected to exceed 83 billion minutes [1] - On average, each video from the top 100 creators is expected to be viewed for over 250 million minutes [1]

Group 1 - The accounts of well-known figures Jia Guolong and Luo Yonghao have been banned on Weibo due to negative behavior, as stated by Weibo's CEO Wang Gaofei [1] - Jia Guolong responded to accusations from Luo Yonghao, emphasizing that his company, Xibei, has operated legally and has not engaged in any illicit activities [1][2] - Xibei's public relations vice president, Song Xuan, has resigned, citing personal development reasons and the pressure from recent events [4][6] Group 2 - Ctrip has been under investigation by local market regulatory authorities for alleged monopolistic practices, including price manipulation and forced exclusivity [5][7] - Some Moutai provincial direct stores are now allowing eligible taxpayers to purchase the Flying Moutai at a price of 1499 yuan per bottle, without the need to buy additional products [7] - New regulations for the recycling and utilization of used power batteries from electric vehicles will be implemented starting April 1, 2026, focusing on comprehensive lifecycle management [7] Group 3 - Several smartphone manufacturers, including Xiaomi and OPPO, have lowered their annual shipment forecasts by over 20% due to rising upstream supply chain costs [8] - Porsche announced a 10% decrease in global deliveries for 2025, totaling 279,449 vehicles, with significant declines in the European market attributed to supply shortages [12][13] - Gree Electric plans to distribute over 5.58 billion yuan in cash dividends to shareholders, with a payout of 10 yuan per 10 shares [10] Group 4 - Smart has suspended its charging cooperation with multiple charging operators, possibly due to financial pressures [11] - Major banks in the U.S. have reduced their workforce by approximately 10,600 employees, marking the highest reduction in nearly a decade [14] - The AI startup Anthropic has appointed former Microsoft executive Irina Ghose as its General Manager for India [14]

Core Insights - The "Three-Body" IP, celebrating its 20th anniversary, is expanding its influence through collaborations with Google Cloud and Bilibili, positioning itself as an "imagination engine" for AI exploration [1][3]. Group 1: Collaboration with Google Cloud - The partnership with Google Cloud aims to push the boundaries of AI creative capabilities using the "Three-Body" IP as a central element, exploring advanced models like Gemini and Veo [3]. - The "Three-Body" trilogy, comprising 880,000 words, offers a vast data landscape and a complex logical framework, providing AI with a rich source of imagination and reality testing [3][5]. Group 2: AI Creative Contest with Bilibili - To celebrate the 20th anniversary, the "Three-Body" universe has launched an "AI Creation Contest" on Bilibili, targeting creators to expand and recreate the original work's narrative using AI tools [7]. - The contest features a prize pool of 1 million, encouraging contributions that leverage the "Three-Body" worldview and themes [7].

Investment Rating - The report maintains an "Outperform" rating for the media industry [2] Core Insights - AI is reshaping user entry forms and the distribution of internet traffic, leading to a revolution in the underlying distribution of industry chain value [4] - The transition from "productivity" to "monetization" in AI applications is expected to accelerate, with 2026 being a critical turning point [5] - The rise of Generative Engine Optimization (GEO) signifies a shift from traditional SEO to a model that prioritizes data structure and authority, impacting how content is valued and distributed [4][5] Summary by Sections AI Reshaping Entry Forms - AI is transforming user interaction from keyword-based searches to natural language queries, significantly shortening the information retrieval process [4][14] - The traditional search engine era is ending, giving way to a new era characterized by AI-driven search capabilities [4][14] Commercial Monetization Acceleration - By 2026, the GEO market is projected to reach $24 billion globally, with the domestic market expected to hit 11.1 billion yuan, indicating exponential growth [5][52] - Chinese consumers exhibit a high trust level in AI applications at 80%, compared to 35% in the U.S. and 40% in Europe, particularly in personalized shopping recommendations [5][41][42] Content Industry Upgrade - AI-generated content (AIGC) is not only reducing costs but also creating new supply, with AI-driven video production becoming increasingly viable [6][58] - The emergence of AI anime short dramas is expected to open new market opportunities, particularly among younger male audiences [6][70] Investment Recommendations - The report suggests focusing on the GEO direction, particularly in marketing services and high-quality content, while also considering potential rebounds in content sectors like film and gaming [7][52] - Companies that can optimize AI data and content will likely benefit from the shift towards GEO, with a new emphasis on brand authority and content quality [55][56]

Core Insights - Bilibili's AD TALK marketing conference revealed significant growth in user engagement and advertising revenue, with a focus on AI-driven marketing tools and the evolving demographics of its user base [1][2][4][19] User Demographics and Engagement - Bilibili has 117 million daily active users and 376 million monthly active users, with an average user age of 26, indicating a shift towards a more financially independent demographic [1] - The average daily usage time for Bilibili users increased to 112 minutes in 2025, a growth of 6 minutes year-on-year [8] - Over 2.2 billion users engaged with consumer content on Bilibili last year, contributing to sustained advertising revenue growth [2][8] Advertising Revenue and UP Master Earnings - Bilibili's advertising revenue has seen over 20% growth for eleven consecutive quarters, significantly outpacing the market average [2] - The average income for UP Masters increased by 22% year-on-year, reflecting the platform's commitment to supporting content creators [2][8] AI Integration in Marketing - Bilibili introduced "Bilibili Bid," a one-stop AI marketing data strategy center aimed at enhancing advertising efficiency through automated processes [4][5] - The penetration of automated advertising has exceeded 65%, reducing manual operations by 85% and increasing ad performance by 90% [5] - AI tools are designed to address various advertising challenges, including audience targeting and content optimization [4][5] Marketing Strategies and Tools - The conference emphasized the introduction of four major marketing scenarios and five marketing tools, integrating AI into all marketing processes [3][4] - Bilibili plans to open more search traffic to advertisers, allowing for greater control over targeting and pricing [6] - The platform is exploring new advertising models within its playback pages, which are identified as key engagement areas for users [6][18] Content and Brand Engagement - Bilibili's user base is transitioning from students to working professionals, leading to increased consumer demand and reduced resistance to advertising [19] - The platform's "weekly must-watch" list shows that 24% of the content is commercial collaborations between brands and UP Masters, indicating successful commercialization education among users [20] - Bilibili is committed to enhancing its mid-to-long video ecosystem with a diverse range of content planned for 2026, including new IPs and professional content creators [20]

Core Insights - Bilibili (B站) is focusing on enhancing its advertising capabilities and user engagement, with a significant increase in user activity and content creation expected by 2025 [3][5][15]. User Engagement and Demographics - By 2025, the average daily usage time of Bilibili users is projected to reach 112 minutes, an increase of 6 minutes year-on-year, indicating a strong engagement level [3]. - The number of content creators (UP主) with over 100,000 followers has grown by over 20% year-on-year, reflecting a vibrant creator ecosystem [3]. - The average age of Bilibili users is 26, with new users averaging 23 years old, suggesting a demographic shift towards a more financially independent audience [4]. Advertising Revenue and Growth - Over 2.2 billion users engaged with consumer-related content on Bilibili last year, contributing to a sustained growth in advertising revenue, which has exceeded 20% for eleven consecutive quarters [5]. - The average income of UP主 has increased by 22% year-on-year, indicating a healthy monetization environment for content creators [5][9]. AI Integration in Advertising - Bilibili has introduced "哔哩必达," a one-stop AI marketing data strategy center aimed at enhancing advertising efficiency through automated targeting and optimization [8]. - The penetration of automated advertising has surpassed 65%, reducing manual operations by 85% and increasing ad performance by 90% [9]. - AI is also being utilized to assist in creative processes, with AIGC (AI-Generated Content) improving engagement metrics, such as a 15% increase in click-through rates for titles [10]. Marketing Strategies and Tools - Bilibili is shifting towards a more closed-loop advertising model, allowing transactions to occur within the platform, which is expected to enhance conversion rates and efficiency [14]. - The platform plans to open more search traffic to advertisers, enabling them to have greater control over their advertising strategies [11]. - Bilibili is exploring new advertising formats on its playback pages, which are considered high-quality user engagement areas [11][13]. Content Ecosystem and Future Plans - Bilibili is committed to maintaining its focus on mid-to-long-form video content, which is seen as essential for building brand trust and consumer engagement [16]. - The platform is set to produce a variety of content, including 40 domestic productions and multiple podcast programs, to enrich its content ecosystem and attract advertisers [17].

Core Insights - The animation market experienced significant growth in the past year, with monthly online views skyrocketing from 3 billion to 15 billion, and total views exceeding 75 billion, surpassing traditional animation market size within a year [1] - Despite the rise of short animations, long video platforms have not been significantly impacted, as top IP annual series remain stable, indicating a parallel development path [1][2] - The rapid evolution of short animations towards IP and quality production is expected to disrupt the current market equilibrium [1][7] Group 1: Market Dynamics - The domestic drama market faced a notable impact from short dramas, with the top 20 long dramas in 2025 seeing a 20% reduction in effective views compared to previous years [2] - Animation has become a crucial support for long video users, with 6 out of the top 10 new shows on Tencent Video being anime series, enhancing user acquisition and retention [2] - The overall impact of short animations on long-form anime remains limited, as the latter continues to attract substantial viewership [5][6] Group 2: Content Quality and Audience Engagement - Current short animations primarily serve as "fast food" entertainment, lacking the depth and emotional connection found in long-form anime, which continues to dominate viewer preferences [5][6] - The transition of short animations towards quality and IP-driven content is anticipated, with platforms beginning to leverage classic stories to establish emotional connections with audiences [9][10] - The rise of male and female-targeted short animations is expected to cater to diverse audience needs, potentially shifting viewer demographics [10] Group 3: Platform Strategies - Major platforms like Tencent Video and Bilibili are actively engaging in the short animation space, with Tencent Video launching initiatives to support quality content creation [11][19] - Bilibili's unique UGC community is driving the production of short animations, although it faces challenges in upgrading to higher-quality 3D animations [19][21] - Platforms are exploring collaborations with web novel IPs to enhance the quality and appeal of short animations, indicating a shift towards more structured content creation [10][23]

Core Viewpoint - UBS report indicates that Bilibili-W (09626) management believes the company's fourth-quarter performance will meet expectations, with target prices raised for both Hong Kong and US stocks, maintaining a "Buy" rating [1] Group 1: Financial Projections - Hong Kong target price increased from HKD 279.9 to HKD 314.9, and US target price raised from USD 36 to USD 40.5 [1] - Revenue and profit forecasts for 2026 have been adjusted upwards by 1% and 2% respectively due to improved advertising growth prospects [1] Group 2: Advertising Growth - Management holds a constructive view on advertising growth prospects, noting early signs of demand from AI and gaming advertisers [1] - The company is confident in its ability to secure budget allocations from e-commerce advertisers and plans to actively expand into new verticals to broaden its advertising client base [1] Group 3: Gaming Developments - For the game "Three Kingdoms: Strategy of the World," management anticipates seasonal fluctuations in Q4 2025, with revenue expected to stabilize in Q1 this year due to two seasons (S12 and S13) [1] - The Hong Kong, Macau, and Taiwan versions of the game are set to launch at the end of January, while versions for Japan and South Korea are planned for the second half of this year [1] - Regarding "Three Kingdoms: Hundred Generals Card," the company plans a new round of testing after the Lunar New Year, believing the game has significant potential in lower-tier markets and considering the development of a mini-game version [1]

Core Viewpoint - UBS reports that Bilibili-W (09626) management believes the company's fourth-quarter performance will meet expectations, raising the target price for Hong Kong shares from HKD 279.9 to HKD 314.9 and for US shares from USD 36 to USD 40.5, maintaining a "Buy" rating [1] Group 1: Advertising Growth Outlook - Management holds a constructive view on advertising growth prospects for 2026, noting early signs of demand growth from AI and gaming advertisers [1] - The company is confident in its ability to sustainably capture budget allocations from e-commerce advertisers and will actively expand into new verticals to broaden its advertising client base [1] Group 2: Gaming Performance - For the game "Three Kingdoms: Strategy of the World," management anticipates seasonal fluctuations in Q4 2025, with revenue expected to stabilize in Q1 this year due to two seasons (S12 and S13) being included [1] - The Hong Kong, Macau, and Taiwan versions of the game are set to launch at the end of January, while the Japanese and Korean versions are planned for release in the second half of this year [1] Group 3: Future Game Developments - Regarding "Three Kingdoms: Hundred Generals Card," the company plans to conduct a new round of testing after the Lunar New Year, believing the game has significant potential in lower-tier markets [1] - Management maintains a constructive outlook on the medium to long-term operational potential and profitability of this game and may consider developing a mini-game version [1] Group 4: Financial Forecast Adjustments - The firm has adjusted its revenue and profit forecasts for 2026 upwards by 1% and 2% respectively, due to improved advertising growth prospects [1]

Group 1 - The core viewpoint of the article is that UBS's research report indicates Bilibili's management believes the company's fourth-quarter performance meets expectations, with a positive outlook for advertising growth through 2026 [1] - Management has noted early signs of demand growth from AI and gaming advertisers, indicating a constructive view on future advertising prospects [1] - The company is confident in its ability to sustainably capture budget allocations from e-commerce advertisers and plans to actively expand into new verticals to broaden its advertising client base [1] Group 2 - UBS has raised its revenue and profit forecasts for 2026 by 1% and 2% respectively, due to improved advertising growth prospects [1] - The target price for Hong Kong stocks has been increased from HKD 279.9 to HKD 314.9, and the target price for US stocks has been raised from USD 36 to USD 40.5, while maintaining a "Buy" rating [1]