Agora Inc (API) 2024 Q1 法說會逐字稿

Good day, and thank you for standing by, welcome to Agora Inc's first quarter 2024 financial results conference call.

美好的一天，感謝您的耐心等待，歡迎參加 Agora Inc 2024 年第一季財務業績電話會議。

(Operator Instructions)

（操作員說明）

Please be advised that today's conference is being recorded.

請注意，今天的會議正在錄製中。

The company's earnings results, press release, earnings presentations, SEC filing, and a replay of today's call can be found on its IR website at investor.agora.io.

該公司的獲利結果、新聞稿、獲利演示、美國證券交易委員會備案文件以及今天電話會議的重播可以在其投資者關係網站 Investor.agora.io 上找到。

Joining me today are Tony Zhao, Founder, Chairman and CEO; Jingbo Wang, the company's CFO.

今天加入我的是創辦人、董事長兼執行長 Tony Zhao；王靜波，該公司財務長。

Reconciliations between the company's GAAP and non-GAAP results can be found in its earnings press release.

該公司的 GAAP 和非 GAAP 業績之間的調整可以在其收益新聞稿中找到。

During this call, the company will make forward-looking statements about its future financial performance and other future events and trends.

在本次電話會議中，該公司將對其未來財務表現以及其他未來事件和趨勢做出前瞻性陳述。

These statements are only predictions that are based on what the company believes today and actual results may differ materially.

這些陳述只是基於公司目前認為的預測，實際結果可能有重大差異。

These forward-looking statements are subject to risks uncertainties, assumptions and other factors that could affect the company's financial results and performance of its business and which the company discuss in detail in its filing with the SEC.

這些前瞻性陳述受到風險不確定性、假設和其他可能影響公司財務表現和業務表現的因素的影響，公司在向 SEC 提交的文件中詳細討論了這些因素。

Including today's earnings press release and the risk factors and other information contained in the final prospectus relating to its initial public offering.

包括今天的收益新聞稿以及最終招股說明書中與其首次公開發行相關的風險因素和其他資訊。

Agora Inc, remain no obligations to update any forward-looking statements the company may make on today's call.

Agora Inc 仍然沒有義務更新該公司在今天的電話會議上可能做出的任何前瞻性聲明。

With that, let me turn it over to Tony.

那麼，讓我把它交給東尼。

Hi, Tony.

嗨，托尼。

Thanks operator, and welcome, everyone to our earnings call.

感謝營運商，歡迎大家參加我們的財報電話會議。

I will first review our operating results in the past quarter.

我首先回顧我們上個季度的經營業績。

Agora revenues were $15.8 million in the first quarter, up 3% quarter-over-quarter.

Agora 第一季營收為 1,580 萬美元，季增 3%。

This is a great result, considering the macro-economic challenges under the high interest rate environment, and is mainly driven by usage growth from emerging use cases such as live shopping.

考慮到高利率環境下的宏觀經濟挑戰，這是一個很好的結果，並且主要是由直播購物等新興用例的使用量成長所推動的。

As of the end of this quarter, Agora had over 1,700 active customers, up 16% compared to one year ago.

截至本季末，Agora 活躍客戶超過 1,700 家，較一年前成長 16%。

Shengwang revenues were RMB122.6 million in the first quarter, down 16% year-over-year, mainly due to challenging macro-economic and regulatory environment, as well as the disposal of the customer engagement cloud in the first quarter of 2023.

聲網第一季營收為人民幣1.226億元，年減16%，主要由於宏觀經濟和監管環境充滿挑戰，以及2023年第一季處置顧客互動雲。

As of the end of this quarter, Shengwang had over 3,800 of active customers, down 2% compared to one year ago.

截至本季末，聲網活躍客戶數超過3,800家，較一年前下降2%。

Now moving on to our business, product, and the technology updates for this quarter. despite a challenging operating environment, we continued to focus on enhancing the fundamental performance of our products.

現在繼續討論本季的業務、產品和技術更新。儘管經營環境充滿挑戰，我們仍持續專注於提升產品的基本效能。

In both markets, we released new versions of our SDKs that set new standards for stability and performance, demonstrating our strong commitment to creating long-term value for customers.

在這兩個市場，我們發布了新版本的 SDK，為穩定性和性能設定了新標準，體現了我們為客戶創造長期價值的堅定承諾。

Let's first talk about Agora.

我們先來說說Agora。

We recently launched our adaptive video optimization technology that can deliver exceptional live video quality and enhance the overall user experience.

我們最近推出了自適應視訊優化技術，可以提供卓越的即時視訊品質並增強整體用戶體驗。

It leverages our 10 years of real-world experience and expertise accumulated through hundreds of billions of minutes of video usage.

它利用了我們透過數千億分鐘的影片使用累積的 10 年實際經驗和專業知識。

This advanced technology leverages wireless machine learning algorithms to dynamically adjust parameters and optimize performance at every step along the video processing pipeline.

這項先進技術利用無線機器學習演算法來動態調整參數並優化視訊處理流程中每一步的效能。

From the moment that video is captured through its final rendering and display on the viewers screen.

從影片被捕捉到最終渲染並顯示在觀眾螢幕上的那一刻起。

Our technology continues to adapt to changing network conditions and device capabilities.

我們的技術不斷適應不斷變化的網路條件和設備功能。

Our adaptive video optimization technology empowers our customer to differentiate their live video application in three key areas: optimized image quality, unmatched video fluency and ultra-low latency.

我們的自適應視訊優化技術使我們的客戶能夠在三個關鍵領域使其即時視訊應用程式脫穎而出：優化的圖像品質、無與倫比的視訊流暢度和超低延遲。

For example, KUMU, a social live streaming application, recently adopted our adaptive video optimization technology.

例如，社群直播應用程式 KUMU 最近採用了我們的自適應視訊優化技術。

Users now experience smooth, high0-quality video without freezing, even on older devices and with slow Internet connection.

現在，即使在較舊的裝置和網路連線速度較慢的情況下，使用者也能體驗流暢、高品質的影片而不會卡頓。

Since implementing our adaptive video optimization technology, KUMU has seen a 30% increase in session length and overall user engagement.

自從實施我們的自適應視訊優化技術以來，KUMU 的會話長度和整體用戶參與度增加了 30%。

This quarter, we also made concrete progress in engaging with Twilio customers as Twilio's programmable video product continues its sunset process.

本季度，隨著 Twilio 的可編程視訊產品繼續其日落進程，我們在與 Twilio 客戶互動方面也取得了具體進展。

Additionally, we saw increased traffic to our websites and developer community, reflecting our growing mindshare amongst developers.

此外，我們還發現我們的網站和開發者社群的流量增加，這反映出我們在開發者中的認知度不斷提高。

I believe this will help us reach a broader spectrum of developers and customers going forward.

我相信這將有助於我們在未來接觸到更廣泛的開發人員和客戶。

Last week, OpenAI launched GPT-4o a true end-to-end multimodal ChatGPT that can directly reason across audio, video, and text in real-time.

上週，OpenAI 推出了 GPT-4o，這是一個真正的端到端多模式 ChatGPT，可以直接即時推理音訊、視訊和文字。

It confirms our earlier prediction that generative AI models would soon gain the capabilities to interact with human users directly in voice or video format.

它證實了我們先前的預測，即生成式人工智慧模型很快就會獲得以語音或視訊格式直接與人類用戶互動的能力。

We anticipate a paradigm shift in the interaction between human and AI models, which will inspire the next generation of killer apps.

我們預計人類和人工智慧模型之間的互動將發生範式轉變，這將激發下一代殺手級應用程式的誕生。

As this shift will lead to a substantial increase in the amount of voice and the visual feed transmitted globally in real time, the importance of a low latency and highly reliable transmission network will be higher than ever.

由於這種轉變將導致全球即時傳輸的語音和視覺資訊量大幅增加，因此低延遲和高可靠傳輸網路的重要性將比以往任何時候都更高。

This will put us in a unique position to become a critical infrastructure in the AI first future of human computer interaction.

這將使我們處於獨特的地位，成為人工智慧優先的人機互動未來的關鍵基礎設施。

Now let's turn to Shengwang.

現在我們來說說勝王。

We are thrilled to announce the launch of our new solution for live sports forecasting.

我們很高興地宣布推出新的體育賽事直播預測解決方案。

This summer, major sports events such as the European Football Championships and the Paris Olympic Games will attract billions of viewers globally.

今年夏天，歐洲足球錦標賽、巴黎奧運等重大體育賽事將吸引全球數十億觀眾。

Our cloud native solution is designed to provide an alternative to traditional satellite studio-based broadcasting.

我們的雲端原生解決方案旨在提供傳統衛星攝影棚廣播的替代方案。

Compared to traditional solution that rely on satellite and private lines, our solution uses our global network and in-house algorithms to significantly reduce latency and enhance image quality.

與依賴衛星和專線的傳統解決方案相比，我們的解決方案使用我們的全球網路和內部演算法來顯著減少延遲並提高影像品質。

Apart from the technology -- apart from the technical advantage, our solution also offers cost savings and greater operating flexibility for our customers.

除了技術之外——除了技術優勢之外，我們的解決方案還為我們的客戶提供成本節約和更大的營運靈活性。

Traditionally, hosts and commentators have to be in the same studio room or in the sports arena to cover a game.

傳統上，主持人和解說員必須在同一個演播室或體育場內才能報道比賽。

This approach incurs significant costs and also limits the number of competitors that can work simultaneously.

這種方法會產生巨大的成本，並且還限制了可以同時工作的競爭對手的數量。

So most of the time, viewers could only listen to the same commentators.

所以大多時候，觀眾只能聽同一個解說員的聲音。

However, with our cloud broadcasting solution, hosts and commentators can now be anywhere with an internet connection.

然而，借助我們的雲端廣播解決方案，主持人和評論員現在可以在任何有網路連線的地方。

Our technology ensures that the video and audio feeds of commentators -- co-commentators in the same channel are highly synchronized with the sporting event of broadcasting.

我們的技術確保評論員（同一頻道的聯合評論員）的視訊和音訊輸入與廣播的體育賽事高度同步。

As a result, many athletes, experts, and celebrities can create their own channel to cover the same game, allowing end users to choose their preferred commentators to enjoy the game.

因此，許多運動員、專家和名人可以創建自己的頻道來報導同一場比賽，從而允許最終用戶選擇他們喜歡的評論員來欣賞比賽。

Shengwang has partnered with leading sports forecasting platform in China to bring end users an elevated viewing experience for the upcoming European Football Championship and Paris Olympic Games this summer.

聲網與中國領先的體育預測平台合作，為終端用戶帶來今年夏天即將舉行的歐洲足球錦標賽和巴黎奧運會的優質觀看體驗。

I believe this new experience will trigger a major transformation in sport broadcasting, and our powerful, flexible, and cost-effective solution will become widely adopted by additional platforms to power many other live sporting events throughout the year.

我相信這種新體驗將引發體育轉播領域的重大變革，我們強大、靈活且經濟高效的解決方案將被其他平台廣泛採用，為全年許多其他現場體育賽事提供支援。

In 2024, we'll continue to host our ChaoYinSu program, which strive to facilitate start-ups to explore and build innovative RTE applications.

2024年，我們將繼續舉辦潮銀速計劃，致力於幫助新創公司探索和建構創新的RTE應用。

Over the past years, we have cooperated with renowned VC funds, ecosystem partners and industry leaders to build one-stop support to start-ups.

多年來，我們與知名創投基金、生態系統合作夥伴和產業領導者合作，為新創公司提供一站式支援。

This year, we have all in Moonshot AI, a prominent player in foundation generated AI models, to accelerate development of applications that harness the power of RTE and generated AI.

今年，我們全力支援 Moonshot AI（基礎生成人工智慧模型中的傑出參與者），以加速利用 RTE 和產生人工智慧的力量的應用程式的開發。

Participating start-ups will have access to Moonshot's latest functionalities and our full portfolio of product offerings as building blocks to bring their ideas to life.

參與的新創公司將能夠使用 Moonshot 的最新功能和我們完整的產品組合，作為將他們的想法變為現實的構建模組。

We are excited to see what the innovative start-ups will create.

我們很高興看到創新新創公司將創造什麼。

I'll start-ups with the most compelling and groundbreaking applications will be showcased at our upcoming RTE conference in October.

我將在 10 月即將舉行的 RTE 會議上展示具有最引人注目和突破性應用程式的新創公司。

Before concluding my prepared remarks, I want to thank both Agora and Shengwang teams for their hard work and commitment during this challenging period.

在結束我準備好的演講之前，我要感謝 Agora 和聲網團隊在這個充滿挑戰的時期的辛勤工作和奉獻。

Let's stay focused to strengthen our technology leadership and increased market share, meanwhile, moving toward sustained profitability in 2024.

讓我們繼續專注於加強我們的技術領先地位並增加市場份額，同時在 2024 年實現持續盈利。

With that, let me turn things over to Jingbo, who will review our financial results.

接下來，讓我把事情交給景波，他將審查我們的財務表現。

Thank you Tony.

謝謝你托尼。

Hello, everyone.

大家好。

Let me start by first reviewing financial results for the first quarter of 2024 and then I will discuss outlook for the second quarter.

首先讓我回顧一下 2024 年第一季的財務業績，然後討論第二季的前景。

Total revenues were $33 million in the first quarter, a decrease of 8.4% quarter-over-quarter and a decrease of 9.4% year-over-year.

第一季總營收為3,300萬美元，季減8.4%，年減9.4%。

Agora revenues were $15.8 million in the first quarter, an increase of 3.3% quarter-over-quarter and, an increase of 4.6% year-over-year.

Agora 第一季營收為 1,580 萬美元，季增 3.3%，年增 4.6%。

The increase was primarily due to the expansion and usage growth in certain verticals, such as live shopping, as well as business resilience in the US market and other developed markets.

這一增長主要是由於直播購物等某些垂直行業的擴張和使用量增長，以及美國市場和其他已開發市場的業務彈性。

Shengwang revenues for RMB 122.6 million in the first quarter, a decrease of 17% quarter-over-quarter, and a decrease of 16% year-over-year.

聲網第一季營收為人民幣1.226億元，季減17%，年減16%。

The quarter-over-quarter decrease was primarily due to seasonality since, Q4 is generally the high season for digital transformation projects and Q4 is generally the low season for social and education customers who tend to have lower usage during the Lunar New Year.

環比下降主要是由於季節性因素，因為第四季度通常是數位轉型專案的旺季，而第四季度通常是社交和教育客戶的淡季，這些客戶在農曆新年期間的使用率往往較低。

The year-over-year decrease was primarily due to slowing demand from internet customers due to regulation and general economic conditions.

年比下降主要是由於監管和總體經濟狀況導致網路客戶的需求放緩。

Dollar-based net retention rate is 92% for Agora and 78% for Shengwang, excluding revenues from discontinued business.

以美元計算的淨保留率為 Agora 92%，聲網為 78%（不包括已終止業務的收入）。

Moving onto costs and expenses.

轉向成本和費用。

For my following comments, I will focus on non-GAAP adjusted financial measures, which exclude share-based compensation expenses, acquisition related expenses, financing related expenses, amortization, expenses of acquired intangible assets, income tax related to acquired intangible assets, depreciation of property and equipment and the amortization of that is right.

在我的以下評論中，我將重點放在非公認會計準則調整後的財務指標，其中不包括股權激勵費用、收購相關費用、融資相關費用、攤銷、收購無形資產費用、與收購無形資產相關的所得稅、折舊財產和設備及其攤提是正確的。

Adjusted gross margin for the first quarter was 63.2%, which was 3.9% lower than Q1 last year and 2% lower than Q4 last year.

第一季調整後毛利率為63.2%，比去年第一季下降3.9%，比去年第四季下降2%。

The decrease were mainly due to a change in product mix and lower utilization rate of infrastructure in Q1.

下降的主要原因是第一季產品結構的變化以及基礎設施利用率的下降。

Our adjusted R&D expenses decreased 13.6% year-over-year to $14.6 million in Q1.

第一季調整後的研發費用年減 13.6% 至 1,460 萬美元。

Adjusted R&D expenses represented 44.2% of total revenues in the first quarter, compared to 46.3% in Q1 last year.

調整後的研發費用佔第一季總營收的 44.2%，而去年第一季為 46.3%。

Adjusted sales and marketing expenses were $6.3 million in Q1, decreased 25% year-over-year.

第一季調整後的銷售和行銷費用為 630 萬美元，年減 25%。

Sales and marketing expenses represented 19.2% of total revenue in the quarter compared to 23% in Q1 last year.

銷售和行銷費用佔本季總收入的 19.2%，而去年第一季為 23%。

Adjusted G&A expenses were $6.5 million in Q1 slightly increased 6.6% year-over-year, primarily due to the increase of expected credit loss.

第一季調整後的一般及行政費用為 650 萬美元，年比小幅增加 6.6%，主要是由於預期信用損失的增加。

G&A expenses represented 19.6% of total revenues in the quarter compared to 16.8% in Q1 last year.

G&A 費用佔本季總收入的 19.6%，而去年第一季為 16.8%。

Adjusted EBITDA was negative $6.1 million, translating to a 18.4% adjusted EBITDA loss margin for the quarter compared to 17.7% in Q1 last year.

調整後 EBITDA 為負 610 萬美元，表示本季調整後 EBITDA 虧損率為 18.4%，而去年第一季為 17.7%。

Non-GAAP net loss was $4.8 million in Q1, translating to a 14.5% net loss margin for the quarter, significantly lower than the net loss margin of 25.1% in Q1 last year.

第一季非 GAAP 淨虧損為 480 萬美元，相當於該季度淨虧損率為 14.5%，顯著低於去年第一季 25.1% 的淨虧損率。

Now turning to cash flow.

現在轉向現金流。

Operating cash flow was negative $6.5 million in Q1 compared to negative $8.9 million last year.

第一季營運現金流為負 650 萬美元，而去年為負 890 萬美元。

Free cash flow was negative $7.1 million compared to negative $9.1 million last year.

自由現金流為負 710 萬美元，而去年為負 910 萬美元。

Moving on the balance sheet.

在資產負債表上移動。

We ended Q1 with $380.8 million in cash, cash equivalents, bank deposits, and financial products issued by banks, or $4.13 per ADS.

第一季末，我們擁有 3.808 億美元的現金、現金等價物、銀行存款和銀行發行的金融產品，即每份美國存託憑證 4.13 美元。

Net cash inflow in the quarter was mainly due to deposit received in relation to the disposal of a small portion of land for headquarters project of $19.3 million, which was offset in part by free cash flow of negative $7.1 million and share repurchase $3.4 million.

本季度淨現金流入主要是由於與總部項目處置一小部分土地有關的 1,930 萬美元收到的押金，部分被負 710 萬美元的自由現金流和 340 萬美元的股票回購所抵消。

Now turning to guidance for the second quarter of 2024, we currently expect total revenues to be between $34 million and $36 million.

現在轉向 2024 年第二季的指導，我們目前預計總收入將在 3,400 萬美元至 3,600 萬美元之間。

This forecast reflects our current and preliminary views on the market and operational conditions, which are subject to change.

該預測反映了我們對市場和營運狀況的當前和初步看法，這些看法可能會改變。

In closing, we'll continue to focus on enhancing our technology, increasing our market share, and moving toward sustained profitability in 2024.

最後，我們將繼續專注於增強技術、增加市場份額，並在 2024 年實現持續盈利。

Thank you to both Agora and Shengwang teams your hard work and contribution during this challenging period.

感謝聲網和聲網團隊在這個充滿挑戰的時期的辛勤工作和貢獻。

Thank you everyone for attending the call today.

感謝大家參加今天的電話會議。

Let's open up for questions.

讓我們開放提問。

(Operator Instructions) Yang Liu, Morgan Stanley.

（操作員指示） Yang Liu，摩根士丹利。

Thanks, for the opportunity to ask question.

謝謝，給我提問的機會。

Two questions here.

這裡有兩個問題。

The first one is on your customer base.

第一個是你的客戶群。

We saw a sequential decline in the first quarter this year, mainly for the Shengwang parts.

今年第一季我們看到環比下降，主要是勝王零件。

What is the reason for that?

這是什麼原因呢？

And is customer churn behind us or it will be an ongoing process?

客戶流失是否已經過去，或者這將是一個持續的過程？

Yeah, that's the first question.

是的，這是第一個問題。

The second one is on the outlook as the guidance implies some QonQ improvement on a year on year stabilization of total revenue.

第二個是關於前景，因為該指導意味著總收入同比穩定有所改善。

What is the driver even mainly helped by the Agora revenue or you are expecting the Shengwang parts can also recover in second quarter?

主要是聲網營收的推動還是您預計聲網部分也能在第二季恢復？

Thank you.

謝謝。

Thank you.

謝謝。

I'll take both those questions.

我將回答這兩個問題。

So on the customer part, that's right in Q1 Shengwang revenue drop both sequentially and year over year.

因此，在客戶方面，聖旺第一季的營收季比和年比均出現下降。

And the slight decrease in number of customers was actually in line with -- consistent with the decrease in revenue.

客戶數量的略有下降實際上與收入的下降是一致的。

Additionally, to provide some color on the overall macro backdrop, the tougher regulatory environment and also the generic macroeconomic environment in China.

此外，為整體宏觀背景、更嚴格的監管環境以及中國的整體宏觀經濟環境提供一些色彩。

Means that a lot of the smaller social and entertainment start-ups and apps operating much more difficult environment and therefore, we see more churn due to customers' others revenues and business resident.

這意味著許多規模較小的社交和娛樂新創公司和應用程式的營運環境要困難得多，因此，我們會看到由於客戶的其他收入和業務駐留而造成的更多流失。

So moving to our competitors.

所以轉向我們的競爭對手。

So we expect that to continue, but obviously, that should become more moderate in the coming quarters, thus on the customer base.

因此，我們預計這種情況將繼續下去，但顯然，在未來幾個季度，這種情況應該會變得更加溫和，從而影響客戶群。

In terms of outlook, we actually expect post Shengwang and Agora to have sequential improvement in Q2 and actually more on the Shengwang side and one more on the Shengwang side.

就前景而言，我們實際上預期後聲網和聲網在第二季度會出現環比改善，而且實際上聲網方面會有所改善，聲網方面也會有所改善。

This is as I explained Q1 is generally the low season for social and also education customers.

正如我所解釋的，第一季通常是社交和教育客戶的淡季。

So we normally see some pickup in Q2.

因此，我們通常會在第二季度看到一些回升。

And also for digital transformation customers generally, Q1 is the low season due to the New Year holiday, which means the project execution will be much slower.

而且對於一般的數位轉型客戶來說，第一季是元旦假期的淡季，這意味著專案執行速度會慢很多。

So we see -- we will see improvements on both Shengwang and Agora in Q2.

所以我們看到——我們將在第二季度看到聲網和聲網的改進。

Thank you.

謝謝。

(Operator Instructions) [Billie Li], Bank of America Securities.

（操作員指示）[Billie Li]，美國銀行證券。

Hi, management.

嗨，管理層。

Thanks for taking my question.

感謝您提出我的問題。

I have two questions.

我有兩個問題。

Firstly, regarding the AI I imagine you mentioned there's more opportunities in this area.

首先，關於人工智慧，我想你提到這個領域有更多的機會。

So could management give some more color on the AI, the incremental revenue, flexibility in future, in which scenarios we could see more meaningful revenue in the future from the AI?

那麼，管理階層是否可以對人工智慧、增量收入、未來的彈性給予更多的關注，在哪些情況下我們可以在未來從人工智慧中看到更有意義的收入？

My second question is about the expenses, the operating expenses.

我的第二個問題是關於費用，營運費用。

So we notice like a 1Q this year is at least there's some quarter on quarter increase for the operating expenses, especially like R&D.

因此，我們注意到今年第一季的營運費用至少有一些季度成長，尤其是研發費用。

How do we see the trend in the following quarters for the expenses -- operating expenses?

我們如何看待接下來幾季的費用（營運費用）的趨勢？

Thank you.

謝謝。

Okay, on the AI development is definitely more inclined.

好吧，對AI開發肯定是更傾向於。

In the previous earnings calls we actually predicted that human users we will be able to drop it and interact with AI models in voice and video formats.

在先前的財報電話會議中，我們實際上預測人類用戶將能夠放棄它並以語音和視訊格式與人工智慧模型進行互動。

Initially is a tax based but we consider it will happen in voice.

最初是基於稅收的，但我們認為它將以語音形式發生。

What happens was actually faster than we imagined.

事情發生的速度其實比我們想像的還要快。

For the long term, particularly for all, is ahead of our expectations, thanks to the rapid evolution and the Google arm release of generating AI models.

從長遠來看，特別是對於所有人來說，這超出了我們的預期，這要歸功於生成人工智慧模型的快速發展和谷歌手臂的發布。

With generating AI models, multimodal capabilities there will be another dimension being added to our RTE activities.

透過產生人工智慧模型、多模式功能，我們的 RTE 活動將增加另一個維度。

RTE activities will expand from human to human, and human to machine or device to also include human to generating AI models.

RTE 活動將從人與人、人與機器或設備擴展到人與生成人工智慧模型。

The scope of route of real time implement will give expand data.

實時器的路徑範圍將給出擴展數據。

In the long run, this will hugely increase the amount of RTE activities and enrich's people's lives.

從長遠來看，這將大大增加RTE活動量，豐富人們的生活。

In the next few years, we'll be able to see many more use cases emerge and mature, such as AI based interactive education, customer service, personal assistant, social and gaming, use cases, voice and video conversations, we will become the new norm of interaction between human users and call agents powered by generating AI models.

未來幾年，我們將能夠看到更多用例的出現和成熟，例如基於人工智慧的互動教育、客戶服務、個人助理、社交和遊戲、用例、語音和視訊對話，我們將成為由生成的人工智慧模型驅動的人類使用者和呼叫代理之間互動的新規範。

As a result, massive amount of real-time voice and video will flow through global internet and latency will become a critical factor.

因此，大量的即時語音和視訊將在全球網路上流動，延遲將成為關鍵因素。

When introducing GPT4o, opening remarks actually mentioned it has an average response time of 320 milliseconds.

在介紹GPT4o時，開場白實際上提到它的平均反應時間為320毫秒。

However, when an overseas users talks with the model wrong trip transmission agency needs to be added on top of a models response business latency.

然而，當海外用戶與模型對話時，需要在模型響應業務延遲的基礎上添加錯誤的行程傳輸機構。

And the experience cloud and the experience could change from exceptional to and variable.

體驗雲和體驗可能會從特殊變為可變。

To deliver a low latency, highly reliable and high-quality user experience.

提供低延遲、高可靠和高品質的使用者體驗。

Our technology is the right choice for foundation model AI companies and for most companies who build applications on top of generative models.

我們的技術是基礎模型人工智慧公司和大多數在生成模型之上建立應用程式的公司的正確選擇。

Thank you, Billie.

謝謝你，比莉。

So I'm tanking the question on the operating expenses.

所以我要迴避關於營運費用的問題。

So I think in our last earnings call, we already explained that the low operating expenses was obviously due to a constant two measured by the same time, it was due to -- it was below the normal level due to a reversal of certain accrued expenses that we accrued year-end bonuses and performance bonus every quarter.

因此，我認為在我們上次的財報電話會議中，我們已經解釋過，較低的營運費用顯然是由於同一時間測量的常數二所致，這是由於某些應計費用的逆轉而低於正常水準我們每季都會計提年終獎金和績效獎金。

But however, given the tough operating environment last year, and the final operating loss was below our internal budget.

但考慮到去年嚴峻的經營環境，最終的經營虧損低於我們的內部預算。

So the actual realized here and bonus, and performance bonus was lower than the earlier across growth.

所以這裡實際實現的獎金和績效獎金都低於之前的跨越成長。

So there was some reversal in Q4 which caused the equal four, quarterly operating expenses at number we now.

因此，第四季出現了一些逆轉，導致我們現在的第四季營運支出相等。

And that's why there was some small sequential increase from Q4 to Q1.

這就是為什麼從第四季到第一季出現一些小幅連續成長的原因。

So looking for this year, we are still very cautious about the overall operating environment.

所以展望今年，我們對於整體的經營環境還是非常謹慎的。

So we'll continue to manage our expenses very carefully, and we do now expect OpEx in G&A, and including R&D expenses to increase sequentially from Q1 onward.

因此，我們將繼續非常謹慎地管理我們的費用，我們現在預計一般管理費用（包括研發費用）的營運支出將從第一季開始連續增加。

And if anything, we will try to control the overall expenses.

如果有的話，我們會盡力控制整體開支。

Well,

出色地，

[Billie].

[比利]。

Thank you, Tony.

謝謝你，托尼。

Thank you Jingbo.

謝謝靜波。

Thank you.

謝謝。

Thank you for the questions.

謝謝你的提問。

(Operator Instructions) There are no further questions.

（操作員說明）沒有其他問題。

Thank you, everybody, for attending the company's call today.

謝謝大家今天參加公司的電話會議。

As a reminder, the call recording in the earnings release will be available on the company's website at investor.agora.io. And if there are any questions, please feel free to e-mail the company.

提醒一下，財報中的通話錄音將會在公司網站 Investor.agora.io 上提供。如果有任何疑問，請隨時給公司發送電子郵件。

Thank you.

謝謝。

That concludes today's conference call.

今天的電話會議到此結束。

Thank you for your participating.

感謝您的參與。

You may now disconnect.

您現在可以斷開連線。