Core Points - The new operational plan for TikTok in the U.S. has been approved by President Trump, ensuring its continued operation in compliance with U.S. laws [1] - A joint venture named "TikTok USDS Joint Venture" will handle data and content security, valued at $14 billion, while TikTok's overall U.S. business is valued at approximately $40 billion [1][4] Group 1: Operational Structure - The operational plan involves two main entities: "BD TikTok US," a wholly-owned subsidiary of ByteDance responsible for commercial activities, and the "TikTok USDS Joint Venture," which focuses on data and content security [3][4] - ByteDance will hold 19.9% of the joint venture, while new investors will collectively own 50%, making ByteDance the largest single shareholder [4] Group 2: Revenue Sharing and Cost Structure - The revenue-sharing mechanism between ByteDance's U.S. subsidiary and the joint venture will be crucial, as data security and content safety are high-cost operations [5] - The joint venture will incur significant expenses related to data security infrastructure and content moderation, which are essential for compliance with U.S. regulations [5] Group 3: Comparison with Other Models - The operational model resembles Apple's "Cloud on Guizhou" approach, where local compliance is achieved through a partnership with a local entity, in this case, Oracle for TikTok's data security [6][7] - This "delegated operation" model reflects a shift where foreign companies must adapt to local regulations, similar to past practices in China [7][8]

这两天，有关TikTok美国业务的调整方案，逐渐有了更多的细节披露。 根据复旦大学国际政治系教授沈逸透露的信息，此次调整涉及到了两个重要实体： 字节跳动TikTok美国公司（以下简称"BD TikTok US")； TikTok美国数据安全公司（TikTok US Data Security，以下简称"TikTok USDS"）。 调整过后，"TikTok美国业务"将由这两个公司分别运营。 其中，美国用户数据存储和安全、内容安全保障、软件检查和上架批准等业务，被纳入到"TikTok USDS"，并在这家公司引入新股东，但字节跳动保留最大单一股东地位；而其他诸如广告、电商、跨 境商业活动等重要业务，依然会由字节跳动全资持有的"BD TikTok US"负责运营。 当然，负责数据和内容安全的"TikTok USDS"，也需要有收入，才能够覆盖相关成本。目前的传闻是， TikTok美国业务中的一些本土收入，比如美国本地的直播收入、中小企业广告收入，可能会纳 入"TikTok USDS"，这也算"专款专用"了。此外，TikTok美国业务的不同主体之间，还会有商业上合理 的收入分成安排。 与收入相比，更重要的是算法的所 ...

Core Viewpoint - Tencent's MMORPG "Taris World" will cease operations for its international server on November 4, 2023, at 08:00 Beijing time, while there are no current plans to shut down the domestic server [1] Group 1 - "Taris World" is positioned as a competitor to "World of Warcraft" and is set to launch its domestic server ahead of "World of Warcraft" returning to China on June 12, 2024 [1] - The game features cross-platform account data synchronization, allowing players to access it on mobile, tablet, and PC [1] - The game will adopt a seasonal update model with expansion packs, introducing five new dungeons and two raids per season, along with new gameplay mechanics, gear, and storylines [1]

Group 1 - The Shanghai government has introduced measures to promote the high-quality development of the software and information services industry, including a pilot policy that allows foreign game companies' products developed in Shanghai to be treated as domestic games [1][2] - The measures consist of 17 initiatives aimed at supporting the digital content industry, including the establishment of digital content industry clusters and facilitating financing for digital content projects [2] - In 2023, Shanghai's total sales revenue from online games reached 144.528 billion yuan, with domestic market sales accounting for 119.01 billion yuan and overseas sales approximately 25.52 billion yuan [2] Group 2 - The approval process for domestic and imported games differs, with imported games requiring an overseas IP contract filing, which may be bypassed if games developed in Shanghai are classified as domestic [3] - The potential classification of foreign-developed games as domestic could allow foreign game developers to act as direct publishers in China, changing their role significantly in the market [3][4] - The current measures do not provide detailed regulations on this potential change, leaving uncertainty about its implementation [4]

Core Viewpoint - The Federal Trade Commission (FTC) officially withdrew its antitrust lawsuit against Microsoft's acquisition of Activision Blizzard, marking the end of regulatory disputes surrounding what is described as the "largest merger in gaming history" [1][2][4]. Regulatory Developments - On May 22, the FTC announced the withdrawal of its lawsuit, stating that continuing the litigation was not in the public interest after the Ninth Circuit Court upheld a lower court's decision to deny a preliminary injunction against the merger [2][3]. - The FTC's efforts to block the merger began in December 2022, citing concerns that the acquisition could suppress competition [2][4]. Acquisition Details - Microsoft announced its plan to acquire Activision Blizzard for approximately $69 billion in January 2022, which faced significant regulatory scrutiny in multiple countries before being completed in October 2023 [1][6]. - The total transaction value was reported to be $75.4 billion, with Microsoft utilizing over half of its cash reserves, which amounted to $111.26 billion as of June 30, 2023, for the acquisition [4][5]. Market Impact - Following the acquisition, Microsoft's Xbox content and services revenue surged by 50%, with Activision Blizzard contributing 44% to this growth [5]. - The merger is expected to enhance Microsoft's competitive position across various gaming sectors, including console, PC, and mobile gaming, while also expanding its player base significantly [4][5]. Challenges and Responses - The acquisition faced challenges from the UK's Competition and Markets Authority (CMA), which expressed concerns about Microsoft's potential dominance in the cloud gaming market [7][8]. - Microsoft made concessions by selling cloud gaming rights to Ubisoft, which helped alleviate some regulatory concerns from the CMA [8]. Future Considerations - With regulatory hurdles cleared, the focus now shifts to how Microsoft will effectively integrate Activision Blizzard into its gaming operations [9].

Core Viewpoint - NetEase reported strong performance in Q1 2025, with net revenue of 28.829 billion RMB, reflecting a year-on-year growth of 7.4% and a quarter-on-quarter growth of 7.8% [1][2] Group 1: Financial Performance - NetEase's Q1 2025 gross profit reached 18.479 billion RMB, marking an 8.6% increase year-on-year, with a gross margin of 64.1% [2] - The company's operating expenses for Q1 2025 were 8.038 billion RMB, a decrease of 14.4% year-on-year, attributed to reduced marketing spending in the gaming sector [2] - Net profit attributable to shareholders for Q1 2025 was 10.301 billion RMB, showing a significant year-on-year increase of 34.9% [2] Group 2: Business Segments - Revenue from games and related value-added services in Q1 2025 was 24.048 billion RMB, accounting for approximately 83.4% of total revenue, with a year-on-year growth of 12.1% [1] - New game releases, such as "Yan Yun Shi Liu Sheng" and "Jie Wai Kuang Chao," contributed to the revenue growth, with the former surpassing 30 million registered players and the latter achieving a peak of over 110,000 concurrent players shortly after launch [1] - Non-gaming segments, including Youdao, NetEase Cloud Music, and other businesses, experienced revenue declines of 6.7%, 8.4%, and 17.6% respectively [1] Group 3: Market Reaction - Following the earnings announcement, NetEase's stock price rose by 1.2% to 168.1 HKD per share, with a market capitalization of 532.5 billion HKD [2] - In pre-market trading in the US, NetEase's stock price increased by 4.85%, reaching 112.3 USD per share [2]