Core Viewpoint - The report from Citigroup highlights the positive outlook for the Chinese gaming industry, driven by policy support, innovation, and the growth of self-developed games in overseas markets, among other factors [1] Group 1: Industry Trends - The annual China Gaming Industry Conference will be held in Shanghai this month, where the annual report on the Chinese gaming industry will be released [1] - Key trends driving growth in the Chinese gaming market include increased application of generative AI, empowerment of the digital economy, effective measures for the protection of minors, and talent development [1] - Citigroup believes that the Chinese gaming market will achieve sustainable growth next year, supported by the rise of generative AI interactive applications and innovative gameplay [1] Group 2: Company Insights - Citigroup has reiterated its "buy" rating for Tencent, NetEase, and Century Huatong as preferred stocks in the sector [1] - NetEase's stock price increased by 1.91% to $142 ahead of the market opening, with a target price set at $161 for its U.S. shares [1]

文/猫与海，春城 导语： 如此高的投入，原来他们竟然在做这个品类 其创始人告诉笔者，在立项的时候也曾经想过往重度品类方向进军，但经过一番调研与摸索之后，最后 还是选择往休闲益智类方向，并且列了几个可能选项——"我们最后选择三消，是因为三消是几个选项 品类难度最高的一个，我们认为我们团队做事情，要做稍微有点门槛的事情；另外，三消这个品类，它 是一个属于长线爆发、而不是短期爆发性的产品赛道 。" 笔者了解到，三消虽然是一个休闲品类，但在海外特别在欧美却是一个重点的头部品类，年收入超过10 亿美金的头部产品并不少，一直是一个刚需品类，每隔一段时间就会有新的头部产品跑出来。 这位创始人对这个品类也有着比较深入的调研与深刻的见解，他向笔者详细地分析了这个品类的用户画 像，特别指出，这个品类在美国等发达国家地区一定要做成纯付费，现在大行其道的混变是绝对不行 的。——"这个品类在很多地区的用户习惯、付费都已经非常成熟，而反过来，其对产品的品质、长线 运营能力要求也非常高。" 甚至连退出并购条件都谈好了。 现在的游戏业融资太卷了：还没融到资，就已经先帮资方找好、谈妥退出路径了！ 今年下半年，进一步跟进《找产品与投融资》栏目， ...

Core Viewpoint - The latest global survey indicates a significant increase in positive perceptions of China among young people worldwide, contradicting the narrative that China is "misunderstood" in the West [1]. Group 1: Survey Methodology - The survey, titled "2025 China International Image Global Survey Report," included a substantial sample size of 51,700 valid questionnaires from 46 countries, ensuring a comprehensive representation of both developed and developing nations [3]. - The methodology was adaptable to different national contexts, utilizing face-to-face interviews, phone surveys, and online questionnaires to gather data [3]. Group 2: Young People's Affection for China - Young respondents showed a strong preference for Chinese symbols, with the Great Wall and high-speed rail receiving approval rates of 67% and 65% respectively, while pandas and smartphones also garnered over 60% approval [5]. - The survey revealed three main reasons for this affection: China's openness through visa-free transit policies, impressive development achievements in technology and infrastructure, and engaging cultural products that present a multifaceted image of China [7][9]. Group 3: Impact of the Survey - Following the survey's release, a subsequent poll indicated that a significant portion of American youth believes the U.S. should learn from China, with this view being more prevalent than dissenting opinions [11]. - The survey's influence has led to increased interest in Chinese culture among young people globally, with a rise in social media sharing of Chinese travel vlogs and a growing number of students applying for exchanges or studies in China [14]. Group 4: Global Youth Perspectives on China - Over 70% of young people worldwide hope for stable or improved U.S.-China relations, with a higher proportion favoring China over the U.S. in terms of goodwill [16]. - The survey results indicate that nearly 70% of foreign respondents have a favorable view of China, with even higher approval rates among youth in Africa and BRICS nations [18]. Group 5: Recognition of China's Governance Concepts - The concepts of "building a community with a shared future for mankind" and "green mountains and clear waters are as valuable as mountains of gold and silver" received recognition from nearly 80% of global youth, particularly in Africa and BRICS countries [19]. Group 6: Media and Government Reactions - The survey's findings have prompted Western media to adjust their narratives, leading to more balanced reporting on China's achievements, as young audiences are less receptive to one-sided negative portrayals [21]. - Governments worldwide are increasingly prioritizing cooperation with China, particularly in technology, trade, and cultural exchanges, as they implement policies to attract Chinese investment and promote youth engagement [21]. Group 7: Long-term Implications - The recognition of China among young people is based on tangible benefits and experiences, as evidenced by rising support for the Belt and Road Initiative, which is seen as contributing to infrastructure improvements and job opportunities in various countries [23]. - The growing appreciation for China's development and leadership reflects a broader desire for a fair and just international order, indicating that the choices of young people will shape the future of global relations [25][26].

Group 1 - The gaming sector experienced a slight increase of 0.19% on December 30, with Sanqi Interactive Entertainment leading the gains [1] - The Shanghai Composite Index closed at 3965.12, showing no change, while the Shenzhen Component Index rose by 0.49% to 13604.07 [1] - The top-performing stocks in the gaming sector included Sanqi Interactive Entertainment, which rose by 3.73% to a closing price of 23.37, with a trading volume of 881,200 shares and a transaction value of 2.057 billion yuan [1] Group 2 - The gaming sector saw a net inflow of 212 million yuan from institutional investors, while retail investors experienced a net outflow of 77.4385 million yuan [2][3] - The stock with the highest net inflow from institutional investors was Sanqi Interactive Entertainment, with 210 million yuan, while it faced a net outflow of 48.6921 million yuan from speculative funds [3] - Other notable stocks included Shunwang Technology, which had a net inflow of 60.256 million yuan from institutional investors, but a net outflow of 74.9229 million yuan from retail investors [3] Group 3 - The gaming ETF (product code: 159869) tracking the China Securities Animation and Gaming Index increased by 0.48% over the past five days, with a current price-to-earnings ratio of 37.50 [5] - The gaming ETF saw an increase in shares to 8.7 billion, with a net subscription of 83.827 million yuan [5]

Group 1 - The core viewpoint of the article highlights that Century Huatong has become the largest gaming company in A-shares by acquiring several companies, including Seven Cool, Tianyou, Diandian Interactive, and Shengqu Games [1] - Shengqu Games operates classic IPs such as "Legend" and "Dragon Valley," contributing stable profits, while Diandian Interactive has become a key growth driver with two global hits in the SLG category [1] - The potential for overseas casual games is expected to create a new growth curve for Diandian Interactive [1] Group 2 - The relative valuation method applied gives Century Huatong a 2026 PE of 21X, corresponding to a target market value of 172.2 billion yuan, with a "Buy" rating initiated [1]

Investment Rating - The report maintains an "Outperform" rating for the media industry relative to the CSI 300 index [1] Core Insights - The media industry is experiencing a significant improvement in policy environment and accelerated AI application, which is expected to enhance both valuation and performance [6][15] - The gaming sector continues to grow steadily, with the domestic market size and user base reaching new highs, driven by strong supply and demand dynamics [7][16] - The animation film sector has shown exceptional performance, contributing nearly 50% to the total box office, with major titles like "Nezha 2" and "Zootopia 2" leading the box office rankings [11][16] Summary by Sections Investment Recommendations - Focus on sectors with high growth potential driven by improved policy and AI applications, particularly in gaming, animation films, and advertising [6][15] - Key companies to watch include Gigabit, Kying Network, and Perfect World in gaming, as well as Light Media and Wanda Film in the film sector [16] Market Review - As of December 26, 2025, the media index fell by 3.78%, underperforming compared to the growth of the ChiNext index and CSI 300 [17][18] - Only the gaming sector saw a slight increase of 1.18%, while other sectors, including internet advertising and social media, experienced significant declines [17][20] Industry News - The domestic gaming market is projected to generate actual sales revenue of 350.79 billion yuan in 2025, marking a year-on-year growth of 7.68% [45][46] - The animation film sector's box office exceeded 500 billion yuan for the year, with animation films accounting for a substantial portion of the total revenue [11][16] Monthly Data - In November 2025, the domestic film market generated a box office of 3.55 billion yuan, a year-on-year increase of 89.29% [26][27] - The total number of viewers reached 114.7 million, reflecting a 20.27% increase compared to the previous year [27][29]

Investment Rating - The report maintains a "Positive" investment rating for the gaming sector [6]. Core Insights - The number of game approvals in December reached a multi-year high, with significant titles from companies like Tencent, Kaiying, and 37 Interactive Entertainment receiving approval. The total number of game approvals for 2025 is expected to reach 1,771, a 25% increase from 2024, marking the highest number since 2019 [2][4][9]. - The report highlights a new product cycle for listed companies, with several key new games set to launch, suggesting continued investment opportunities in the gaming sector [2][4][9]. Summary by Sections Game Approval Highlights - In December, 147 game approvals were issued, including 144 domestic and 3 imported games. The total for 2025 is projected to be 1,771, with 1,676 domestic and 95 imported games, reflecting a stable approval rhythm [9]. - The pace of imported game approvals has accelerated, with monthly approvals starting from October 2024, averaging around 100 approvals annually over the past three years [9]. New Game Launches - Several companies are advancing their key new games, indicating the onset of a new product cycle. Notable launches include Giant Network's "Supernatural Action Group" and Tencent's "Counter-Strike: Future," among others [9]. - The report lists several companies to watch for investment opportunities, including Giant Network, Kaiying, Perfect World, 37 Interactive Entertainment, and Tencent [9].

Market Overview - The Shanghai Composite Index closed at 3965.12 points, with no change in percentage, and a trading volume of 887.53 billion [1] - The Shenzhen Component Index closed at 13604.07 points, up by 0.49%, with a trading volume of 1254.79 billion [1] - The ChiNext Index closed at 3242.91 points, up by 0.63%, with a trading volume of 559.50 billion [1] Sector Performance - The humanoid robot concept saw significant gains, with Boke Co., Ltd. hitting a 20% limit up, along with Hualing Cable and Beite Technology also reaching their limit up [1] - The short drama game concept was active, with Bainacheng hitting a 20% limit up [1] - Sectors such as electric motors, energy metals, oil, auto parts, consumer electronics, cultural media, semiconductors, industrial mother machines, and reducers showed strong performance [1] - Conversely, sectors like commercial retail, photovoltaic, wind power, airport operations, insurance, real estate services, and Hainan free trade concepts experienced declines [1] - The commercial concept saw a pullback, with Shenjian Co., Ltd. hitting a limit down [1]

南都N视频记者近日获悉，在公安部"净网2025"专项行动统一部署下，巨人网络今年积极配合公安机 关，针对《征途》系列游戏私服及其衍生的黑灰产链条，开展代号为"断链"的专项打击行动，抓获犯罪 嫌疑人40人，涉案金额累计3000余万元。 行动覆盖全国多省市，成果丰硕。今年5月到7月间，警方在江苏、广东等地抓获多名私服搭建及运营人 员；9月，在安徽、江苏同步摧毁一处《原始征途》手游私服代理工作室，抓获17人；10月，在四川、 广东连破两处代理团伙，抓获11人，2人主动投案；11月、12月，集中攻坚私服推广和分销环节，依法 查处多名涉案人员，部分人员通过直播、短视频违法推广。行动共抓获犯罪嫌疑人40人，涉案金额累计 3000余万元，有力震慑了游戏私服领域的违法犯罪活动。 巨人网络方面表示，本次"断链"行动不仅打击终端代理和推广人员，还溯源追查，对组织策划、技术支 持和资金流转等关键环节进行系统清理，遏制了私服黑灰产扩散。针对侵犯《征途》知识产权的违法行 为，巨人网络将配合司法机关追究法律责任，启动民事索赔程序，追缴非法所得，维护公司与玩家权 益。公司也提醒玩家，私服运营不稳定，存在诈骗、盗号等高风险，应通过官方渠道游 ...

Core Insights - The classic IP "The Legend of Sword and Fairy" (referred to as "Xianjian") has released significant updates, including a trailer for the remastered version of "Xianjian 4" and the premiere of the official animation "Xianjian 3" [1][3] Group 1: Game Development - The remastered version of "Xianjian 4" utilizes Unreal Engine 5 (UE5) to reconstruct scenes and character models, significantly enhancing visual quality and interactive experience while preserving the essence of the original storyline [3] - The remastered version aims to meet the emotional expectations of long-time players and inject new technological vitality into the IP [3] Group 2: Animation and Content Distribution - The animation "Xianjian 3" seeks to balance nostalgia and innovation, leveraging Tencent Video's distribution capabilities to reach a broad user base, laying the groundwork for long-term content output [5] - The pre-launch reservation for "Xianjian 3" exceeded 1 million, and it quickly ranked on the platform's anime trending list after its release [1] Group 3: IP Management and Strategy - Since 2021, Zhongyou Mobile has secured the global complete rights to the "Xianjian" IP and has engaged in strategic partnerships across various fields to enhance the IP's value [5] - The company is actively developing multiple projects for the IP, including short dramas and films, indicating a long-term and diversified approach to IP adaptation [5] - As the gaming industry shifts to a phase of stock competition, classic IPs with high recognition and emotional resonance are becoming key assets for companies to build long-term competitiveness [5]