Core Viewpoint - The public fund industry is witnessing a trend where even large-scale fund companies are gradually exiting the APP direct sales business due to cost pressures and the dominance of major players in the market [1][2]. Group 1: Industry Trends - The trend of public funds suspending or terminating their APP operations has expanded from smaller funds to mid-sized funds with over 100 billion in assets, and even to those exceeding 300 billion [2][3]. - The operational and maintenance costs of fund APPs are significant, often ranging from millions to nearly ten million, while the customer acquisition through these channels remains low, leading to poor economic viability [4][10]. Group 2: Competitive Landscape - The dominance of major third-party fund distribution platforms, such as Ant Group's fund management, is creating a "winner-takes-all" scenario, making it increasingly difficult for smaller funds to compete [5][6]. - The market share of leading platforms is stark, with Ant Group holding 7,388 billion in equity fund assets, significantly outpacing competitors like China Merchants Bank and Tiantian Fund [6]. Group 3: Strategic Responses - In response to the competitive pressures, some mid-sized funds are seeking to embrace internet platforms through equity acquisitions, as seen with the acquisition of a stake in Pioneer Fund by Zhinanzhen [8][9]. - The shift towards internet platforms reflects the need for smaller funds to adapt their business models in order to survive in a market dominated by larger players [9][10].