Hua Er Jie Jian Wen·2025-09-25 00:41Core Insights - Kuaishou's latest AI model, "Keling AI 2.5 Turbo," has achieved nearly a 30% cost reduction while maintaining top-tier performance, positioning the company as a leading player in the global AI video generation market [1][5] - The model shows significant improvements in text response, dynamic effects, style consistency, and aesthetic quality, enhancing controllability, stability, and consistency in video generation [1][5] - Goldman Sachs maintains a "buy" rating for Kuaishou, with a 12-month target price of HKD 83, indicating a potential upside of 12.1% from the current stock price [1] Performance and Cost Advantages - The Keling 2.5 Turbo model offers a dual advantage of high performance and significant cost savings, making it an economical solution for AI video generation [3][4] - In user preference tests, 51% preferred Keling 2.5 over Seendance 1.0, 57% over Seendance 1.0 mini, and 69% over Veo3 fast, indicating Kuaishou's leading position in AI video generation technology [4][5] - The cost for generating a 5-second video in high-quality mode (1080p) is only 25 points, nearly 30% cheaper than the previous version 2.1 [4][5] Commercial Potential and Market Share - Despite competition from Google and ByteDance, the AI video generation industry is still in its early stages, with rapid market growth disrupting traditional advertising and short film production [5] - The technological advancements of Keling AI 2.5 Turbo lay the groundwork for applications in various fields, including film, short dramas, gaming, animation, and advertising, while also providing high-quality solutions for individual creators [5] - Revenue from Keling AI is projected to grow from USD 154 million in 2025 to USD 365 million by 2027, with annual growth rates of 62% in 2026 and 46% in 2027, reflecting strong market demand for high-quality AI video generation tools [5]