Group 1 - MiHoYo has taken measures against over 260 leakers of unreleased game content for "Genshin Impact" and "Honkai: Star Rail" to protect its intellectual property and maintain operational integrity [1] - The company aims to enhance player engagement and monetization by preventing leaks that could diminish the excitement and anticipation for new content [1] - The gaming industry is experiencing a decline in the popularity of the two-dimensional genre, with a reported 8% decrease in actual sales revenue for the mobile game market in the first half of 2025 [4][5] Group 2 - MiHoYo has been positioned as the fourth largest mobile game publisher in China for over six months, with its revenue growth stagnating compared to competitors like Tencent and NetEase [2][3] - The company has seen a significant revenue increase of 28% due to the successful launch of version 3.4 for "Honkai: Star Rail," which led to a 325% revenue surge in July 2025 [10][11] - Despite the success of "Honkai: Star Rail," MiHoYo's other titles have not reached the heights of "Genshin Impact," indicating a need for innovation and diversification in its game offerings [8][18] Group 3 - MiHoYo is exploring new game development opportunities, with 6-7 projects in the pipeline that cover various popular genres, including a new title featuring auto-chess mechanics [17][18] - The company is facing increased competition in the gaming market, with emerging players like Point Interactive gaining traction and challenging established giants [22] - To maintain its position, MiHoYo must adapt its strategies and potentially expand beyond the two-dimensional genre to achieve sustainable growth [22]

Group 1 - MiHoYo is breaking out of its comfort zone with the new game "Honkai: Resonance Spirits," which combines auto-chess, spirit cultivation, and exploration gameplay, marking its first foray into the PVP arena [1][8] - The official announcement of "Honkai: Resonance Spirits" garnered over 1 million views on Bilibili within 7 hours, and the pre-registration count exceeded 3 million [1][2] - The game features a sunny coastal town where players, as "Fate Masters," interact with various spirits, emphasizing exploration and combat [2][4] Group 2 - Combat is the core gameplay of "Resonance Spirits," with each spirit having unique attributes that contribute to the auto-chess mechanics, alongside additional strategies like in-game equipment and buffs [4][11] - The game also includes various interactive mini-games to enhance non-combat entertainment, increasing its appeal to players [4][7] - The design of spirits is engaging, with 31 spirits showcased, which could lead to potential merchandise opportunities [4][7] Group 3 - The introduction of "Resonance Spirits" adds a new option in the auto-chess genre and represents MiHoYo's exploration of PVP games or high DAU games [8][12] - The mobile game market saw a decline of 8% in actual sales revenue in the first half of 2025, highlighting the challenges faced by traditional content-heavy games [8][15] - MiHoYo's shift towards lighter and fragmented gameplay in "Resonance Spirits" aligns with current player preferences for casual experiences [11][12] Group 4 - The game signifies a fundamental shift in MiHoYo's business logic, moving from content-driven models to gameplay-driven models, potentially creating a mixed commercial model centered on competitive gameplay [11][12][16] - The success of "Honkai: Resonance Spirits" could redefine player engagement and monetization strategies in the gaming industry [12][16] - The overall Chinese gaming market is recovering, with actual sales revenue reaching 168 billion yuan in the first half of 2025, growing by 14% [13][15] Group 5 - The emergence of "Resonance Spirits" reflects a broader trend in the gaming industry towards innovative gameplay experiences, as seen in other successful titles that combine different genres [15][16] - MiHoYo's attempt to innovate in the PVP space could set a precedent for future developments in the gaming sector, encouraging more companies to explore gameplay integration [16]

Core Viewpoint - MiHoYo has taken significant legal action against game content leaks, reflecting its challenges in maintaining growth after rapid expansion, despite continued revenue from its flagship games, Genshin Impact and Honkai: Star Rail [2][12]. Group 1: Legal Actions and Industry Impact - MiHoYo's "Special Action Against Game Leaks" has resulted in criminal measures against leakers and court orders to cease infringement activities [2][3]. - The leaked content includes unreleased game features and software testing packages, with over 260 leakers held accountable [3][5]. - Industry experts warn that leaks can lead to competitors mimicking content, potentially damaging MiHoYo's reputation as an original creator [5][6]. Group 2: Revenue and Market Position - Genshin Impact has consistently contributed over 70% of MiHoYo's revenue since its launch in 2020, while Honkai: Star Rail has become the second major revenue source since its release in 2023 [3][7]. - MiHoYo has faced challenges in maintaining its position among the top three mobile game publishers in China, being surpassed by Tencent and NetEase [7][10]. Group 3: Player Engagement and Game Lifecycle - Genshin Impact is entering its fifth year, facing declining player engagement as content consumption outpaces updates, leading to player fatigue [10][11]. - Players have expressed dissatisfaction with the game's monetization mechanics, particularly regarding the high costs associated with acquiring rare characters [10][11]. - MiHoYo's new title, Honkai: Star Rail, has underperformed, generating only one-third of the revenue of Honkai: Star Rail in its first month and dropping out of the iOS top 100 within 41 days [10][11]. Group 4: Future Prospects and Competition - MiHoYo is exploring new game genres, as seen with the upcoming release of Honkai: Inheritance Spirits, which aims to broaden its audience [11][12]. - The company faces competition from Tencent in the new game genre, indicating a challenging landscape ahead [12].

Game Releases - Tencent's self-developed FPS game "Counter-Strike: Future" began its "Evolution Test" recruitment on August 25, featuring cross-platform data sharing and classic gameplay modes along with new innovative modes [1] - The fantasy multi-dimensional combat game "Double Helix" by Hero Games announced its public test date for October 28 during a live broadcast on August 26, removing the character and weapon gacha system and focusing on cosmetic purchases [3] - "Clockwork Mania" launched its global public test on August 28, combining retro American art style with bullet-hell shooting, and featuring a collaboration event with "Tom and Jerry" [5] - miHoYo's new title "Honkai: Fate Spirits" was first revealed on August 29, featuring a blend of pet collection and auto-chess gameplay, expanding the boundaries of the Honkai IP [7] Industry News - The number of game licenses issued in August reached a new high for the year, with a total of 173 games approved, including notable titles from NetEase and Bilibili [13][14] - 37 Interactive Entertainment reported a revenue of 8.486 billion yuan for the first half of 2025, a year-on-year decrease of 8.08%, while net profit increased by 10.72% [15] - The company has over 20 new games in development, with more than half being SLG titles, and is actively applying AI technology across various operational aspects [15] Company Developments - The head of NetEase's "Onmyoji" division, Jin Tao, has left to start a new venture, partnering with former NetEase Art Design Center president "Master" [17] - The newly established Guangzhou Jizi Information Technology Co., Ltd. has a registered capital of 1 million yuan, focusing on software and hardware sales, among other services [18]

Core Viewpoint - The release of miHoYo's new game "Honkai: Star Rail" is seen as a critical moment for the mobile game market, which is currently experiencing a downturn. The game's potential to innovate gameplay is more important than its initial reception [1][8]. Industry Overview - The mobile game market for second-generation games has seen a decline in actual sales revenue by 8% year-on-year in the first half of 2025, continuing the downward trend [7]. - Players are increasingly scrutinizing new releases, seeking fresh experiences amid a saturated market [1]. Gameplay and Design - The game features town exploration and auto-chess combat mechanics, indicating a shift towards integrating diverse gameplay elements [2]. - There is a growing emphasis on gameplay innovation over content, as past successes were heavily reliant on content-driven models [4][5]. Market Dynamics - The competitive landscape is shifting, with some older games experiencing a resurgence by focusing on content, while new innovations are emerging in gameplay and business models [7]. - Examples of innovative gameplay include "Wangyue" with exploration elements and "Erchong Luoxuan" with shared weapon mechanics, which aim to reduce player burden [7]. Business Model Considerations - The choice of gameplay in "Honkai: Star Rail" reflects a deeper consideration of business models, as the traditional monetization strategies may not sustain future growth [12]. - The success of miHoYo in the past creates pressure to innovate while maintaining its leading position in the market [12][14]. Strategic Implications - The decisions made by miHoYo will serve as a reference for the industry, highlighting the balance between traditional models and the need for innovation [14]. - The outcome of "Honkai: Star Rail" could either reinforce the effectiveness of established strategies or signal a necessary shift towards new approaches in the gaming industry [14].

Group 1 - The gaming sector is experiencing a slight decline, with the gaming ETF (159869) showing a minor drop, despite a net inflow of 321 million yuan over the past five trading days, indicating strong investor interest [1] - miHoYo has launched an official account for its new game "Honkai: Inheritance Spirits" across multiple social media platforms, showcasing its intent to expand its IP and diversify its offerings [1] - The new game allows players to explore various environments, collect unique spirits, and engage in automatic chess battles, enhancing the company's competitive edge in the two-dimensional and casual gaming markets [1] Group 2 - Zhonghang Securities reports that the gaming sector is driven by three factors: ongoing policy support, industry recovery, and accelerated AI implementation [1] - In the short term, the normalization of game approvals and the release of new titles during the summer will support performance [1] - In the medium to long term, AI technology is expected to reshape development and operations, leading to cost reduction and content upgrades, while global expansion will continue to open growth opportunities [1][2]