百度 (BIDU) 2022 Q3 法說會逐字稿

Thank you for standing by, and welcome to the Baidu Inc. Third Quarter 2022 Earnings Conference Call.

感謝您的支持，歡迎來到百度公司 2022 年第三季度財報電話會議。

(Operator Instructions) I would now like to hand the conference over to your host for today, Juan Lin, Baidu's Director of Investor Relations. Please go ahead.

（操作員說明）現在，我想將會議交給今天的主持人，百度投資者關係總監林娟。請繼續。

Hello, everyone, and welcome to Baidu's Third Quarter 2022 Earnings Conference Call. Baidu's earnings release was distributed earlier today, and you can find a copy on our website as well as on Newswire services. On the call today, we have Robin Li, our Co-Founder and CEO; Rong Luo, our CFO; Dou Shen, our EVP in charge of Baidu AI Cloud Group; and Xin-Zhe Li, our SVP in charge of Baidu Intelligent Driving.

大家好，歡迎來到百度2022年第三季度財報電話會議。百度的收益報告已於今天早些時候分發，您可以在我們的網站和新聞專線服務上找到一份副本。今天的電話會議有我們的聯合創始人兼首席執行官李彥宏；羅榮，我們的首席財務官；負責百度 AI 雲事業部的執行副總裁沉鬥； Xin-Zhe Li，我們負責百度智能駕駛的高級副總裁。

After our prepared remarks, we will hold a Q&A session.

在我們準備好的發言之後，我們將舉行問答環節。

Please note that the discussion today will contain forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations. For detailed discussions of these risks and uncertainties, please refer to our latest annual report and other documents filed with the SEC and Hong Kong Stock Exchange. Baidu does not undertake any obligation to update any forward-looking statements, except as required under applicable law.

請注意，今天的討論將包含根據 1995 年美國私人證券訴訟改革法案的安全港條款作出的前瞻性陳述。前瞻性陳述受風險和不確定因素的影響，可能導致實際結果與我們目前的結果大不相同期望。有關這些風險和不確定性的詳細討論，請參閱我們向美國證券交易委員會和香港聯交所提交的最新年度報告和其他文件。除適用法律要求外，百度不承擔任何更新任何前瞻性陳述的義務。

Our earnings press release and this call include discussions of certain unaudited non-GAAP financial measures. Our press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited most directly comparable GAAP measures and is available on our IR site at ir.baidu.com. As a reminder, this conference is being recorded. In addition, a webcast of this conference call will be available on Baidu's IR website.

我們的收益新聞稿和本次電話會議包括對某些未經審計的非 GAAP 財務措施的討論。我們的新聞稿包含未經審計的非 GAAP 措施與未經審計的最直接可比的 GAAP 措施的對賬，可在我們的 IR 網站 ir.baidu.com 上查閱。提醒一下，這次會議正在錄製中。此外，本次電話會議的網絡直播將在百度的 IR 網站上提供。

I will now turn the call over to our CEO, Robin.

我現在將把電話轉給我們的首席執行官羅賓。

Hello, everyone. Recapping the third quarter in broad terms, we delivered improved bottom line results despite a challenging macro environment, especially for the mobile ecosystem, operating profit resumed a positive year-over-year growth. And for AI Cloud, operating loss and margin improved meaningfully, both on a year-over-year and a quarter-over-quarter basis.

大家好。總體回顧第三季度，儘管宏觀環境充滿挑戰，但我們仍取得了更好的利潤業績，尤其是對於移動生態系統，營業利潤恢復了同比正增長。對於 AI Cloud，營業虧損和利潤率同比和環比均有顯著改善。

Businesses across the line from mobile ecosystem to AI cloud to intelligent driving have been negatively affected by the resurgence of COVID. Throughout Baidu's history, however, we have experienced many challenging environments. Periods of challenges have enabled us to emerge stronger given our relentless effort on building long-term growth. We're using this period to ready ourselves for current business conditions to improve.

從移動生態系統到 AI 雲再到智能駕駛，整個行業的業務都受到 COVID 捲土重來的負面影響。然而，縱觀百度的歷史，我們經歷過許多充滿挑戰的環境。鑑於我們為建立長期增長所做的不懈努力，挑戰時期使我們變得更加強大。我們正在利用這段時間為改善當前的業務狀況做好準備。

Our key short-term tasks remain unchanged, which are efficiency optimization and continuous investments in the new AI businesses. Our new AI business such as AI Cloud and Intelligent Driving are well aligned with China's tech innovation and national initiatives. By doing so, we will further strengthen our leadership in the new AI business and reaccelerate business growth.

我們的短期重點任務不變，即效率優化和對新人工智能業務的持續投資。我們新的人工智能業務，如人工智能雲和智能駕駛，非常符合中國的科技創新和國家倡議。通過這樣做，我們將進一步加強我們在新人工智能業務中的領導地位，並重新加速業務增長。

In Q3, Baidu Core ad revenue was down 4% year-over-year but improved from the second quarter 10% year-over-year decline, as macro has improved gradually since June. Encouragingly, revenues from health care and retail recorded positive year-over-year growth in the quarter. Going forward, once COVID situation alleviates in major cities and revenues across different verticals such as travel, franchising and local services should rebound.

第三季度，百度核心廣告收入同比下降 4%，但較第二季度同比下降 10% 有所改善，因為宏觀自 6 月以來逐漸改善。令人鼓舞的是，本季度醫療保健和零售收入實現了同比正增長。展望未來，一旦主要城市的 COVID 形勢有所緩解，旅遊、特許經營和本地服務等不同垂直領域的收入應該會反彈。

For our new AI business, I am proud to report some highlights. Revenues from AI Cloud increased by 24% year-on-year to RMB 4.5 billion in the quarter. AI Cloud has been a major growth driver for Baidu Core non-advertising revenue. In Q3, non-advertising accounted for 26% of Baidu Core total revenue, that's up from 21% a year ago.

對於我們新的 AI 業務，我很自豪地報告一些亮點。本季度AI Cloud收入同比增長24%至45億元人民幣。 AI Cloud 一直是百度核心非廣告收入的主要增長動力。第三季度，非廣告業務佔百度核心總收入的 26%，高於一年前的 21%。

Baidu Apollo auto solution continued to gain traction among leading automakers and the total projected accumulated sales reached RMB 11.4 billion recently, growing more than 50% year-over-year. Apollo Go completed 474,000 rides in the quarter, up 311% year-over-year. By the end of Q3, Apollo Go has completed 1.4 million rides on public roads. We believe we remain the largest autonomous ride-hailing service provider globally.

百度Apollo汽車解決方案持續受到龍頭車企的青睞，近期預計累計銷售額達到114億元，同比增長超過50%。 Apollo Go 在本季度完成了 474,000 次出行，同比增長 311%。截至第三季度末，Apollo Go 已完成 140 萬次公共道路騎行。我們相信我們仍然是全球最大的自動駕駛叫車服務提供商。

Now let's review the third quarter operational highlights. Revenues from AI Cloud increased by 24% year-over-year to RMB 4.5 billion in the quarter. In Q3, the operating loss margin for AI Cloud improved notably both year-over-year and quarter-over-quarter. Over the past quarters, we have made shifts away from some lower-margin businesses to build sustainable growth for AI Cloud. Meanwhile, we continue to take measures to standardize our solution to cut down deployment costs as we scale up. Our efforts have allowed us to gradually improve operating profit and margin.

現在讓我們回顧一下第三季度的運營亮點。 AI Cloud 本季度收入同比增長 24% 至人民幣 45 億元。第三季度，AI Cloud 的營業虧損率同比和環比都有顯著改善。在過去的幾個季度中，我們已經從一些利潤率較低的業務轉移到為 AI Cloud 建立可持續增長。同時，我們繼續採取措施使我們的解決方案標準化，以在我們擴大規模時降低部署成本。我們的努力使我們能夠逐步提高營業利潤和利潤率。

I'll take ACE smart transportation as an example. In the past quarter, we continued to grow revenue and improve operating margin for smart transportation as we gain scale. Leveraging our strong AI capabilities and our insights into the industry, we have divested the solutions for typical use cases such as traffic management and V2X for urban road and highway.

我以ACE智能交通為例。在上個季度，隨著規模的擴大，我們繼續增加智能交通的收入並提高營業利潤率。憑藉我們強大的人工智能能力和對行業的洞察力，我們已經剝離了典型用例的解決方案，例如城市道路和高速公路的交通管理和 V2X。

Previously, we talked about how our projects help improve traffic efficiency on city roads in Beijing, Guangzhou, Changsha, Chongqing and other cities. Recently, [Zhuzhou] city an important transportation hub in Hunan province, adopted our smart traffic management solutions. Our solutions covered more than 70% of the major intersections in the business district of Zhuzhou . After adopting our solutions, delays have been reduced by 22% during rush hour in the current region.

此前，我們談到了我們的項目如何幫助北京、廣州、長沙、重慶等城市的城市道路提高交通效率。最近，湖南省重要的交通樞紐[株洲]市採用了我們的智能交通管理解決方案。我們的解決方案覆蓋了株洲市商業區70%以上的主要路口。採用我們的解決方案後，當前區域高峰時段的延誤減少了22%。

By the end of the quarter, Baidu ACE smart transportation solutions has been adopted by 63 cities, up from 24 cities a year ago and 51 cities a quarter ago based on contract amount of over RMB 10 billion -- RMB 10 million per city. As we demonstrated our capability to use AI to improve transportation efficiency in more cities, ACE smart transportation will further expand its market share.

截至本季度末，百度ACE智能交通解決方案已被63個城市採用，高於一年前的24個城市和一個季度前的51個城市，合同金額超過100億元人民幣——每個城市1000萬元人民幣。隨著我們在更多城市展示利用人工智能提升交通效率的能力，ACE智慧交通將進一步擴大其市場份額。

We're trying to repeat our success in smart transportation in other key verticals, such as manufacturing, energy and utilities and the public sector. We will empower our customers with AI capabilities to help them increase productivity and cost control. With AI Cloud, our customers will be better positioned to take advantage of digital and Intelligent transformation.

我們正試圖在其他關鍵垂直領域複製我們在智能交通方面的成功，例如製造業、能源和公用事業以及公共部門。我們將為我們的客戶賦予人工智能能力，幫助他們提高生產力和成本控制。借助 AI Cloud，我們的客戶將能夠更好地利用數字化和智能化轉型。

We believe we remain well positioned in the early-stage, fast-growing market due to: Number one, our capabilities to establish end-to-end solutions based on our full stack AI capabilities ranging from chip design to deep learning frameworks to large language models to application-level software; and Number two, our insight about customers' pain points and our growing know-how and capabilities to solve their profits.

我們相信我們在早期、快速增長的市場中仍然處於有利地位，因為：第一，我們有能力根據我們的全棧人工智能能力建立端到端解決方案，從芯片設計到深度學習框架再到大型語言模型到應用級軟件；第二，我們對客戶痛點的洞察力以及我們不斷增長的解決客戶利潤的專業知識和能力。

While COVID caused delays in project implementation and complicated our sales team's efforts, hampering new contract wins, we believe the long-term trend of digital and intelligent transformation remains unchanged. Looking ahead, we will continue to focus on quality growth and aim to improve margins to achieve profitability for AI Cloud.

儘管 COVID 導致項目實施延遲並使我們的銷售團隊的工作複雜化，阻礙了新合同的贏得，但我們相信數字化和智能化轉型的長期趨勢保持不變。展望未來，我們將繼續專注於有質量的增長，並旨在提高利潤率以實現 AI Cloud 的盈利。

In Intelligent Driving, we marked several key highlights in the third quarter and our years of investments in intelligent driving have begun bearing fruit. Baidu Apollo auto solutions, our total projected accumulative sales exceeded CNY 11.4 billion recently. Based on our current pipeline, some of the major car models equipped with ANP and AVP are expected to be launched in the second half of next year. We expect meaningful revenue contribution from this business to begin in 2024, and profit to expand once material revenue kicks in. Such growth demonstrates the increasing demand for our auto solution.

在智能駕駛方面，我們在第三季度打出了幾個亮點，多年來在智能駕駛方面的投入已經初見成效。百度Apollo汽車解決方案，近期預計累計銷售額超過114億元。根據我們目前的產品線，一些配備 ANP 和 AVP 的主要車型預計將在明年下半年推出。我們預計該業務將於 2024 年開始做出有意義的收入貢獻，一旦物質收入開始出現，利潤將擴大。這種增長表明對我們的汽車解決方案的需求不斷增加。

In Q3, we extended our partnership with one of China's largest automotive and technology companies ANP, AVP and HD Maps for one of their popular models. As of today, we have announced a collaboration with many OEM partners. Serving various automakers has helped us standardize our auto solutions, making them compatible with more popular car model. As more cars equipped with our auto solutions get into consumer and we will continue to refine and update our solutions.

在第三季度，我們擴大了與中國最大的汽車和技術公司之一的 ANP、AVP 和 HD Maps 的合作夥伴關係，以支持他們的一款熱門車型。截至今天，我們已經宣布與許多 OEM 合作夥伴展開合作。為各種汽車製造商提供服務幫助我們標準化了我們的汽車解決方案，使其與更流行的車型兼容。隨著越來越多配備我們汽車解決方案的汽車進入消費者市場，我們將繼續改進和更新我們的解決方案。

Considering the sizable development cost for high-level autonomous driving technology, many automakers seek partnerships with reliable suppliers who have strong brand and technology capabilities. We have differentiated ourselves with world-leading Level 4 autonomous driving, which has been established through years of investments. Now we are proactively building high-quality partnerships with an increased number of auto OEMs to accelerate our partners' progress in autonomous driving.

考慮到高水平自動駕駛技術的開發成本巨大，許多汽車製造商尋求與具有強大品牌和技術能力的可靠供應商合作。我們通過多年的投資建立了世界領先的 4 級自動駕駛，使自己與眾不同。現在我們正積極與越來越多的汽車主機廠建立高質量的合作夥伴關係，以加速合作夥伴在自動駕駛方面的進步。

A few months ago, we integrated Baidu Map into our intelligent driving group to create synergies between the Baidu Map, also -- Baidu Map mobile app and the map solutions for auto and transportation industries. Since our map have already been widely adopted, we have obtained more insights in the transportation industry, allowing us to strengthen our solutions for the mobility sector.

幾個月前，我們將百度地圖整合到我們的智能駕駛集團中，以在百度地圖以及百度地圖移動應用程序與汽車和交通行業的地圖解決方案之間創造協同效應。由於我們的地圖已經被廣泛採用，我們對交通行業有了更多的了解，使我們能夠加強我們在交通領域的解決方案。

On Apollo Go, we continue to scale up our operations, and we believe we remain the largest autonomous ride-hailing service provider worldwide. In the third quarter, the rides provided by Apollo Go reached 474,000, increasing 311% year-over-year and 65% quarter-over-quarter. A vast majority of the rides were for serving passengers during rush hours, covering places like subway stations, office buildings and shopping malls.

在 Apollo Go 上，我們繼續擴大運營規模，我們相信我們仍然是全球最大的自動駕駛叫車服務提供商。第三季度，Apollo Go提供的乘車服務達到47.4萬人次，同比增長311%，環比增長65%。絕大多數遊樂設施是在高峰時段為乘客提供服務，覆蓋地鐵站、寫字樓和購物中心等場所。

As our operation continues to expand, Apollo Go keeps learning and improving from scenarios that do not occur during the testing phase. Leveraging large-scale operations, we're making Apollo Go a professional AI driver while offering a safe and comfortable autonomous ride-hailing service.

隨著我們的業務不斷擴大，Apollo Go 不斷從測試階段未發生的場景中學習和改進。通過大規模運營，我們將Apollo Go打造成專業的AI司機，同時提供安全舒適的自動駕駛服務。

Today, with an Apollo Go vehicle enters dense intersection, it is able to easily take a gap between pedestrians, bicycles and other moving objects, safety driving school while providing a comfortable experience to the passengers. Apollo Go continues to improve autonomous ride-hailing services under extreme weather.

如今，Apollo Go車輛進入密集路口，能夠輕鬆拉開行人、自行車等移動物體之間的空隙，安全駕校，同時為乘客提供舒適體驗。 Apollo Go 繼續改進極端天氣下的自動乘車服務。

Scalable operations have indeed reinforced our Level 4 autonomous driving capabilities, setting a strong foundation for further operation expansion. We believe this virtuous cycle will make Apollo Go the most experienced AI driver to handle various situations on the road on a large scale.

可擴展的運營確實增強了我們的 4 級自動駕駛能力，為進一步的運營擴展奠定了堅實的基礎。我們相信這種良性循環將使 Apollo Go 成為最有經驗的 AI 駕駛員，能夠大規模處理道路上的各種情況。

We're facing the expansion of Apollo Go based on a comprehensive financial model. In previous earnings calls, we talked about Apollo Go's achievement in the Yizhuang region of Beijing. In fact, Apollo Go has achieved significant progress in other Tier 1 cities as well.

我們正面臨基於綜合財務模型的 Apollo Go 的擴展。在之前的財報電話會議上，我們談到了 Apollo Go 在北京亦莊地區的成就。事實上，Apollo Go在其他一線城市也取得了顯著進展。

In Q3, on average, each vehicle in Beijing, Shanghai and Guangzhou completed more than 15 rides per day. According to our knowledge, this number is quite close to the average daily rides for traditional ride-hailing services.

第三季度，北京、上海和廣州的平均每輛車每天完成15次以上的出行。據我們了解，這個數字與傳統網約車服務的日均出行量相當接近。

We believe that our strong and improving safety track record on public roads provide a strong endorsement for more cities to issue permits for fully driverless ride hailing. We believe fully driverless ride hailing will create more affordable urban transport and attract more consumers to the ride-hailing market. Baidu will continue to invest to capture this massive market opportunity.

我們相信，我們在公共道路上良好且不斷改善的安全記錄為更多城市頒發完全無人駕駛叫車許可證提供了強有力的支持。我們相信完全無人駕駛的網約車將創造更實惠的城市交通，並吸引更多消費者進入網約車市場。百度將繼續投資以抓住這個巨大的市場機會。

Moving to the mobile ecosystem. Our operating profit improved on a year-over-year basis. We continue to generate strong cash flow in the quarter. Our mobile ecosystem continued to expand. In September, Baidu App's MAUs increased by 5% year-over-year to 634 million. In Q3, total mobile search queries increased by double digits year-over-year, and feed distributed through Baidu App increased by 23% year-over-year.

轉向移動生態系統。我們的營業利潤同比有所改善。我們在本季度繼續產生強勁的現金流。我們的移動生態系統繼續擴展。 9 月，百度 App 的 MAU 同比增長 5% 至 6.34 億。第三季度，移動搜索查詢總量同比增長兩位數，通過百度應用分發的信息流同比增長 23%。

We continue to introduce short videos in feed and search results. In September, short video distribution and time spend within Baidu Feed grew double digits year-over-year. For Baidu Search in September, 23% of the clicks on search result pages were short videos. And we expect the prevalence of video in search results to continue progressing rapidly.

我們繼續在提要和搜索結果中引入短視頻。 9 月，百度動態中的短視頻分發和時間花費同比增長兩位數。 9 月份的百度搜索，搜索結果頁面的點擊中有 23% 是短視頻。我們預計視頻在搜索結果中的普及率將繼續快速增長。

We're using AI to produce more short videos for our mobile ecosystem. While it is still in a very early stage, we believe AI will allow us to generate short videos much faster and more cost effectively than human-generated content.

我們正在使用 AI 為我們的移動生態系統製作更多短視頻。雖然它仍處於非常早期的階段，但我們相信人工智能將使我們能夠比人工生成的內容更快、更經濟地生成短視頻。

In e-commerce, users are coming to Baidu App for product search, which resulted in a continuous increase in product-related search queries. Quarterly GMV facilitated by Baidu Search grow by about 52% year-over-year in Q3. Today, users come to Baidu App not only to search for information and knowledge, but increasingly to look for services and merchandise. As we are able to make purchases and book services without leaving Baidu App, we have been deepening our understanding of user needs.

在電商領域，用戶越來越多地來到百度App搜索商品，導致商品相關的搜索量不斷增加。百度搜索促成的季度 GMV 在第三季度同比增長約 52%。今天，用戶來到百度應用程序不僅是為了搜索信息和知識，而且越來越多地是為了尋找服務和商品。由於我們可以在不離開百度應用程序的情況下進行購買和預訂服務，因此我們一直在加深對用戶需求的理解。

Meanwhile, more customers are leveraging our ecosystem infrastructure to build their marketing campaigns and even operate their businesses on our mobile ecosystem. This has allowed us to accumulate more customer insights and better serve the customers.

與此同時，越來越多的客戶正在利用我們的生態系統基礎設施來開展營銷活動，甚至在我們的移動生態系統上開展業務。這讓我們積累了更多的客戶洞察，更好地服務客戶。

The improving insights into our users and customers have, in turn, allowed us to improve user experience and app conversion. In the future, we believe our mobile ecosystem will continue to generate strong profit and cash flow.

對我們的用戶和客戶的深入了解反過來又使我們能夠改善用戶體驗和應用程序轉換。未來，我們相信我們的移動生態系統將繼續產生強勁的利潤和現金流。

To close, during this uncertain time, we focused on making the long-term investments that will position us to be stronger coming out of this challenging period, including Baidu AI Cloud and Intelligent Driving. While the advertising industry has been impacted by COVID-19, some of our verticals could recover faster when there is an upturn in the economy, which will drive our ad revenue to resume growth.

最後，在這個不確定的時期，我們專注於進行長期投資，這些投資將使我們在這個充滿挑戰的時期變得更加強大，包括百度人工智能雲和智能駕駛。雖然廣告業受到 COVID-19 的影響，但當經濟好轉時，我們的一些垂直行業可能會更快恢復，這將推動我們的廣告收入恢復增長。

Before I turn the call to Rong, I want to thank Baidu's employees for their diligent work in a challenging environment and the time and effort they put into making our company story of success in the long term.

在我將電話轉給榮之前，我要感謝百度員工在充滿挑戰的環境中辛勤工作，以及他們為我們公司的長期成功故事所付出的時間和努力。

With that, let me turn the call over to Rong to go through the financial highlights.

有了這個，讓我把電話轉給榮，讓他了解一下財務亮點。

Thank you, Robin. Now let me walk through the details of our third quarter financial results. Total revenue was RMB 32.5 billion, increasing 2% year-over-year. Revenue from Baidu Core was RMB 25.2 billion, increasing 2% year-over-year. Baidu Core online marketing revenue was RMB 18.7 billion, decreasing 4% year-over-year, but improved 10% from the second quarter as macro has improved gradually since June. Baidu Core, non-online marketing revenue was RMB 6.5 billion, up 25% year-over-year, driven by cloud and other AI-powered businesses. In Q3, AI Cloud increased by 24% year-over-year to RMB 4.5 billion. Revenue from iQIYI was RMB 7.5 billion, decreasing 2% year-over-year.

謝謝你，羅賓。現在讓我詳細介紹一下我們第三季度的財務業績。總收入為人民幣325億元，同比增長2%。百度核心收入為人民幣252億元，同比增長2%。百度核心網絡營銷收入為人民幣 187 億元，同比下降 4%，但隨著宏觀經濟自 6 月以來逐漸好轉，較第二季度增長 10%。百度核心，在雲和其他人工智能業務的推動下，非在線營銷收入為人民幣 65 億元，同比增長 25%。 Q3，AI Cloud同比增長24%至45億元。來自愛奇藝的收入為人民幣 75 億元，同比下降 2%。

Cost of the revenues was RMB 16.3 billion, increasing 1% year-over-year. Baidu Core, cost of revenue was RMB 10.7 billion, increasing 15%, 1-5 year-over-year, which was in line with the growth in sales of AI Cloud and other AI-powered businesses.

收入成本為人民幣163億元，同比增長1%。百度核心，收入成本為人民幣107億元，增長15%，同比1-5年，與AI Cloud和其他人工智能業務的銷售額增長一致。

Operating expenses was RMB 11 billion, decreasing 19%, 1-9, year-over-year, primarily due to a decrease in channel spending, promotional marketing expenses and staff-related expenses.

營業費用為人民幣110億元，同比1-9下降19%，主要是由於渠道支出、促銷營銷費用和員工相關費用的減少。

Baidu Core selling, general and administrative expenses were RMB 4.2 billion, decreasing 31%, 3-1, year-over-year. SG&A accounting for 17%, 1-7, of Baidu Core revenue in the quarter and decreased from 25% in the same period last year. Baidu Core research and development expenses was RMB 5.3 billion, decreasing 4% year-over-year. R&D, accounting for 21% of Baidu Core revenues in the quarter and decreased from 22% in the same period last year.

百度核心銷售、一般和管理費用為人民幣 42 億元，同比下降 31%，3-1。 SG&A佔該季度百度核心收入的17%，1-7，低於去年同期的25%。百度核心研發費用53億元，同比下降4%。研發，佔該季度百度核心收入的 21%，低於去年同期的 22%。

Operating income was RMB 5.3 billion. Baidu Core operating income was RMB 5 billion, and Baidu Core operating margin was 20%. Non-GAAP operating income was RMB 7.2 billion. Non-GAAP Baidu Core operating income was RMB 6.7 billion. And non-GAAP Baidu Core operating margin was 26%.

營業收入為人民幣53億元。百度核心營業收入為人民幣50億元，百度核心營業利潤率為20%。非美國通用會計準則營業收入為人民幣 72 億元。非美國通用會計準則百度核心營業收入為人民幣 67 億元。非美國通用會計準則百度核心運營利潤率為 26%。

Q3 present the first year-over-year growth in non-GAAP operating profit and margin perspective since Q2 2021.

第三季度非美國通用會計準則營業利潤和利潤率自 2021 年第二季度以來首次出現同比增長。

Total other loss, net was RMB 4.8 billion, decreasing 78% year-over-year, which mainly including a fair value loss of RMB 3.1 billion and impairment of long-term investments of RMB 1.4 billion. In the third quarter last year, we recognized a fair value loss of RMB 18.9 billion. A significant portion of long-term investments, including but not limited to investments in equity securities of public and private companies, private equity funds and digital assets. This is subject to quarterly fair value adjustments, which may contribute to net income volatility in future periods.

其他總虧損淨額為人民幣48億元，同比下降78%，主要包括公允價值虧損人民幣31億元和長期投資減值人民幣14億元。去年第三季度，我們確認了 189 億元人民幣的公允價值損失。很大一部分長期投資，包括但不限於對上市公司和私營公司的股權證券、私募股權基金和數字資產的投資。這會受到季度公允價值調整的影響，這可能會導致未來期間的淨收入波動。

Income tax expenses was RMB 908 million compared to an income tax benefit of RMB 1.8 billion in Q3 2021, primarily due to an increase in deferred tax benefit recognized on fair value loss of long-term investments and deduction on certain expenses that were previously considered non-deductible in the third quarter of 2021.

所得稅費用為人民幣 9.08 億元，而 2021 年第三季度的所得稅收益為人民幣 18 億元，這主要是由於長期投資的公允價值損失確認的遞延所得稅收益增加，以及扣除之前被認為非必要的某些費用- 2021 年第三季度免賠額。

Net loss attributable to Baidu was RMB 146 million, and diluted loss per ADS was RMB 0.87. Net income attributable to Baidu Core was RMB 25 million. Non-GAAP net income attributable to Baidu was RMB 5.9 billion. Non-GAAP diluted earnings per ADS was RMB 16.87. Non-GAAP net income attributable to Baidu Core was RMB 5.8 billion, and non-GAAP net margin for Baidu Core was 23%.

歸屬於百度的淨虧損為人民幣1.46億元，每股ADS攤薄虧損為人民幣0.87元。歸屬於百度核心的淨利潤為人民幣0.25億元。歸屬於百度的非美國通用會計準則淨利潤為人民幣 59 億元。非美國通用會計準則每股 ADS 攤薄收益為 16.87 元人民幣。歸屬於百度核心的非美國通用會計準則淨利潤為人民幣 58 億元，百度核心的非美國通用會計準則淨利潤率為 23%。

Adjusted EBITDA was RMB 8.9 billion, and adjusted EBITDA margin was 27%. Adjusted EBITDA for Baidu Core was RMB 8.2 billion, and adjusted EBITDA margin for Baidu Core was 33%.

調整後EBITDA為人民幣89億元，調整後EBITDA利潤率為27%。百度核心的調整後 EBITDA 為人民幣 82 億元，百度核心的調整後 EBITDA 利潤率為 33%。

As of September 30, 2022, cash, cash equivalents, restricted cash and short-term investments were RMB 184.5 billion and cash, cash equivalents, restricted cash and short-term investments, excluding iQIYI were RMB 179.5 billion. Free cash flow was RMB 6.6 billion, and free cash flow, excluding iQIYI, was RMB 6.4 billion.

截至2022年9月30日，現金、現金等價物、受限制現金和短期投資為人民幣1,845億元，現金、現金等價物、受限制現金和短期投資（不包括愛奇藝）為人民幣1,795億元。自由現金流為人民幣66億元，不包括愛奇藝在內的自由現金流為人民幣64億元。

Baidu Core had approximately 36,500 employees as of September 30, 2022. On a separate note, iQIYI generate positive operating profits on both GAAP and non-GAAP basis in this quarter. In addition iQIYI also generated positive free cash flow in this quarter.

截至 2022 年 9 月 30 日，百度核心擁有約 36,500 名員工。另外，愛奇藝在本季度的 GAAP 和非 GAAP 基礎上均產生了正的營業利潤。此外，愛奇藝在本季度也產生了正的自由現金流。

With that, operator, let's now open the call to questions.

話雖如此，接線員，現在讓我們開始提問。

(Operator Instructions) The first question today comes from Alicia Yap with Citigroup.

（操作員說明）今天的第一個問題來自花旗集團的 Alicia Yap。

I have two questions. First, can management comment how should we look at the advertising demand recovery in the near term and also in the next 2 quarters?

我有兩個問題。首先，管理層能否評論我們應該如何看待近期和未來兩個季度的廣告需求復蘇？

And then secondly, can management comment on how you think about the competitive landscape in the China advertising market will evolve going forward? And what would Baidu long-term market share be?

其次，管理層能否評論一下您對未來中國廣告市場競爭格局的看法？百度的長期市場份額是多少？

Alicia, this is Robin. Let me answer your questions. Yes, our revenues are very sensitive to COVID-control measures. Baidu Core's ad revenues returned to positive year-over-year growth in August. But in September, it decreased again because of a new round of COVID resurgence. Overall, Q3 was much better than Q2 because there was a recovery from the second quarter, in which there were a lot of disruptions caused by COVID.

艾麗西亞，這是羅賓。讓我回答你的問題。是的，我們的收入對 COVID 控制措施非常敏感。百度核心的廣告收入在 8 月份恢復了同比正增長。但在9月份，由於新一輪的COVID死灰復燃，再次下降。總體而言，第三季度比第二季度好得多，因為第二季度出現了復甦，其中有很多由 COVID 造成的中斷。

When we entered the fourth quarter, the situation improved in October but since early November, it got a bit cloudy because another round of COVID impacted some regions, like Guangzhou and Beijing.

當我們進入第四季度時，情況在 10 月份有所好轉，但從 11 月初開始，由於新一輪 COVID 影響了一些地區，例如廣州和北京，情況變得有點陰霾。

We're closely watching how the situation will develop. I think the short term will probably still be quite volatile, but the economy should improve in the midterm and beyond. China has been fighting against this COVID for almost 3 years and the country has been gaining experience.

我們正在密切關注事態的發展。我認為短期可能仍會相當波動，但經濟應該會在中期及以後有所改善。中國抗擊新冠肺炎已近 3 年，經驗也不斷積累。

Well, we're certainly going to see some ongoing disruptions and uncertainties. The overall situation should improve -- should move in a positive direction over the next few quarters. As you know, many of our ad verticals were affected by COVID and macro. So once COVID and macro situations improve, our ad revenues from different verticals such as travel, franchising or local services should rebound.

好吧，我們肯定會看到一些持續的中斷和不確定性。總體情況應該會有所改善——在接下來的幾個季度裡應該會朝著積極的方向發展。如您所知，我們的許多垂直廣告都受到 COVID 和宏的影響。因此，一旦 COVID 和宏觀形勢有所改善，我們來自旅遊、特許經營或本地服務等不同垂直領域的廣告收入應該會反彈。

Again, we will closely watch how COVID situation develops, and we will work very hard to bring our ad revenue back to a positive year-over-year growth as soon as possible.

同樣，我們將密切關注 COVID 形勢的發展，我們將非常努力地工作，盡快將我們的廣告收入恢復到同比正增長。

In addition, AI Cloud and Intelligent Driving, our new businesses, also negatively impacted by the COVID disruption. So if COVID impact subsides, this non-advertising businesses should also see improvement.

此外，我們的新業務 AI Cloud 和智能駕駛也受到 COVID 中斷的負面影響。因此，如果 COVID 的影響消退，這種非廣告業務也應該會有所改善。

And regarding to your question on competition in the online advertising market, first of all, I think Baidu App is one of the very few super apps in China's mobile Internet industry, well recognized and well established. Search ads enjoying the best ROI among various types of performance ad because users explicitly express their intent in our search box. And search ads connect users' intentions with the most relevant product and service offerings. This is why a lot of advertisers consider Baidu Search as the most important and most efficient channel to reach their targeted audience.

關於你關於在線廣告市場競爭的問題，首先，我認為百度應用是中國移動互聯網行業為數不多的超級應用之一，公認的和成熟的。搜索廣告在各種類型的效果廣告中享有最佳投資回報率，因為用戶在我們的搜索框中明確表達了他們的意圖。搜索廣告將用戶的意圖與最相關的產品和服務聯繫起來。這就是為什麼許多廣告商將百度搜索視為接觸目標受眾的最重要、最有效的渠道。

And secondly, China's mobile Internet is maturing. User growth is gradually slowing down and the competitive landscape is much less volatile than before.

其次，中國的移動互聯網正在走向成熟。用戶增長正在逐漸放緩，競爭格局的波動性也比以前小得多。

With this backdrop, Baidu App still managed to grow its user base nicely over the past many quarters. On top of that, with the unique positioning of Search, we believe we should be able to sustain our market share in the online advertising market over the long run.

在此背景下，百度應用在過去多個季度中仍然成功地擴大了用戶群。最重要的是，憑藉搜索的獨特定位，我們相信我們應該能夠長期保持在線廣告市場的市場份額。

And thirdly, unlike our peers, most of our advertisers are SMEs, right, being in the real economy. Many of them run businesses in the service sector such as local services, business services and travel. This businesses work hurt the most by the pandemic. So when COVID impact subside, ad revenue should rebound quickly and Baidu stand to gain share in the overall advertising industry.

第三，與我們的同行不同，我們的大多數廣告客戶都是中小企業，對，在實體經濟中。他們中的許多人經營服務行業的業務，例如本地服務、商業服務和旅遊。這些企業的工作受到大流行的傷害最大。因此，當 COVID 影響消退時，廣告收入應該會迅速反彈，百度將在整個廣告行業中獲得份額。

The next question comes from Eddie Leung with Bank of America.

下一個問題來自美國銀行的 Eddie Leung。

Pretty solid quarter despite all the macro headwinds. I have a couple of questions on cloud services. So we have seen -- it seems like a slowdown in the industry. So could you talk a little bit about the reasons behind the slowdown? And how you guys are thinking about the growth rates in the upcoming, let's say, your quarters or in the medium term?

儘管存在所有宏觀不利因素，但該季度仍相當穩定。我有幾個關於雲服務的問題。所以我們已經看到——這個行業似乎在放緩。那麼你能談談經濟放緩背後的原因嗎？你們如何看待即將到來的增長率，比方說，你們的季度或中期？

And then secondly, could you also talk a little bit about the competitive landscape. We have seen a media reporting market share gains by cloud companies outside the Internet sector in the past 1 or 2 years, right? So any color on the competitive landscape, will be useful?

其次，您能否也談談競爭格局。在過去的 1 或 2 年裡，我們看到媒體報導了互聯網領域以外的雲公司的市場份額增加，對嗎？那麼競爭格局上的任何顏色都會有用嗎？

And then finally, I remember, Robin, you mentioned about the margin improvement of cloud. So could you also talk about your thoughts on the role to profitability? Any time line would be helpful.

最後，我記得，羅賓，你提到了雲的利潤率提高。那麼，您能否也談談您對盈利能力作用的看法？任何時間線都會有所幫助。

Thanks a lot for your questions. This is Dou. I'll try to answer your questions. So for the revenue growth part, right, I think it's slowing down mainly due to the COVID-19 impact, such -- for example, because of the travel restrictions, we could not even implement our projects on time, and the bidding for the new contracts was also affected.

非常感謝您的提問。這是竇我會盡力回答你的問題。因此，對於收入增長部分，對吧，我認為它正在放緩主要是由於 COVID-19 的影響，例如，由於旅行限制，我們甚至無法按時實施我們的項目，以及競標新合同也受到影響。

Apart from that, I also want to highlight that we are focused on healthier and more sustainable growth by cutting some low-margin businesses. So we believe this approach is crucial for the long-term development.

除此之外，我還想強調，我們通過削減一些低利潤業務來專注於更健康、更可持續的增長。因此，我們認為這種方法對於長期發展至關重要。

Actually, looking beyond the current quarter, as Robin has just mentioned, the trend for China's traditional industries and the public sector to use AI and move their business onto the cloud remains unchanged. So I think post pandemic, the companies should gain more confidence in their future growth so that they are more willing to spend more money on digital and intelligent upgrades.

實際上，放眼本季度之後，正如羅賓剛才提到的，中國傳統行業和公共部門使用人工智能和將業務上雲的趨勢沒有改變。所以我覺得疫情過後，企業應該對自己未來的增長更有信心，才會更願意花更多的錢在數字化和智能化的升級上。

Baidu has already demonstrated that we are very capable of using AI to improve the efficiency in transportation. As you can already see, our ACE smart transportation revenues have been growing rapidly, and we continue to gain market share accordingly.

百度已經證明，我們非常有能力利用人工智能來提高交通效率。正如您已經看到的，我們的 ACE 智能交通收入一直在快速增長，我們也相應地繼續獲得市場份額。

So in the meanwhile, we are reducing the operating loss for small transportation because we continue to expand scale and continue to increase operating leverage. So in our next steps, so we are excited about repeating our success in transportation in other traditional industries like manufacturing and utilities.

所以與此同時，我們正在減少小型運輸的經營虧損，因為我們繼續擴大規模並繼續增加經營槓桿。因此，在接下來的步驟中，我們很高興能在製造業和公用事業等其他傳統行業中重複我們在運輸方面的成功。

So actually, in the -- just the past quarter, so our cloud revenues from the manufacturing and utilities industries both grow solidly. And it's largely because of our continuous efforts in improving the end-to-end AI capabilities and our understanding of the fundamental needs in these industries.

所以實際上，在過去的一個季度裡，我們來自製造業和公用事業行業的雲收入都在穩步增長。這在很大程度上是因為我們在提高端到端人工智能能力方面的持續努力以及我們對這些行業基本需求的理解。

So to answer your questions, we believe this -- our sustainable competitive advantages to compete against other players. In addition, the market is expanding and there are plenty of opportunities for us and our peer companies to grow over the long term.

因此，為了回答您的問題，我們相信這一點——我們與其他參與者競爭的可持續競爭優勢。此外，市場正在擴大，我們和我們的同行公司有很多長期發展的機會。

So talking about the profitability. So Baidu AI Cloud reduced operating loss and continue to improve operating loss margin this quarter. To expand on that, our personal cloud has been generating decent operating profit and margin. And our enterprise part grow faster than personal cloud, and we're very happy to see the trend of loss reduction because of the efforts I just mentioned earlier. So our strategy to standardize solutions in the user -- in the use cases for key industries started to bear fruit. So we have worked very hard to replicate more solutions from one user case to another to grow business scale and improve margins.

所以在談論盈利能力。因此，百度人工智能雲在本季度減少了經營虧損並繼續改善經營虧損率。為了擴大這一點，我們的個人云一直在產生可觀的營業利潤和利潤率。而且我們的企業部分比個人云增長更快，我們很高興看到損失減少的趨勢，因為我剛才提到的努力。因此，我們在用戶中標準化解決方案的戰略——在關鍵行業的用例中開始取得成果。因此，我們非常努力地將更多解決方案從一個用戶案例複製到另一個用戶案例，以擴大業務規模並提高利潤率。

So it's already proven in smart transportation as we have mentioned. And in the future, we look forward to expanding this approach at a large scale in more key industries. So AI Cloud is very important new business for Baidu, and we will continue to grow the business and improve margins going forward.

所以正如我們提到的，它已經在智能交通中得到證明。未來，我們期待在更多關鍵行業大規模推廣這種方法。所以人工智能雲對百度來說是非常重要的新業務，我們將繼續發展業務並提高未來的利潤率。

The next question comes from Alex Yao with JPMorgan.

下一個問題來自摩根大通的 Alex Yao。

I have a couple of questions on Baidu Core margins. In the past several quarters, you guys did a very good job in terms of cost control and the margin improvement. As large-scale BU and headcount streamlining has been already down, how much more room should we think about for further cost cutting in Baidu Core in the coming quarters and 2023? And the related question is how should we think about the Baidu Core operating margin going forward?

我有幾個關於百度核心利潤率的問題。在過去的幾個季度裡，你們在成本控制和利潤率改善方面做得非常好。大BU和精簡人員已經減少，未來幾個季度和2023年，百度核心進一步削減成本的空間還有多大？相關的問題是我們應該如何看待未來的百度核心運營利潤率？

Lastly, would Baidu slow down the cloud and autonomous driving investments if the macro situation further deteriorates?

最後，如果宏觀形勢進一步惡化，百度是否會放緩對雲和自動駕駛的投資？

Thank you, Alex, for your questions. Let me try to figure your questions. This is Julius. I think Robin has said at the very beginning of the prepared remarks, I think for Baidu Core, we continue to optimize the cost expenses and we continue to improve our operational efficiency, which is one of our key short-term tasks. At the same time, we kept investing in the new AI businesses for our future growth.

亞歷克斯，謝謝你提出的問題。讓我試著弄清楚你的問題。這是朱利葉斯。我想羅賓在準備好的發言一開始就說過，我認為對於百度核心，我們繼續優化成本支出，我們繼續提高我們的運營效率，這是我們短期的關鍵任務之一。同時，我們不斷投資於新的人工智能業務，以實現我們未來的增長。

This strategy actually has not changed in the past few quarters. And this strategy allows us to weather through the challenging market environment, and we believe that it will prepare us for accelerated growth again once the macro [downgrade] is over.

這個策略其實在過去幾個季度都沒有改變。這一戰略使我們能夠度過充滿挑戰的市場環境，我們相信一旦宏觀[降級]結束，它將為我們再次加速增長做好準備。

In Q3, let me recast some of the numbers. Baidu costs non-GAAP operating profit margin expanding to 26% from 24% in the same period last year. I think it has represented the first year-over-year growth in non-GAAP operating profit and margin perspective since Q2 2021. And we made a lot of efforts to achieve such results. You'll probably see that from our earning release. Our SG&A has decreased once again in Q3, this quarter from the same quarter last year. We have been very disciplined with the channel spending and promotional activities. And just to add that, it was already less consecutive quarter that SG&A achieved a year-over-year decline. And going forward, we will continue to control the variable costs and expenses as same as what we did in the past.

在第三季度，讓我重鑄一些數字。百度成本非美國通用會計準則營業利潤率從去年同期的 24% 擴大至 26%。我認為這是自 2021 年第二季度以來非 GAAP 營業利潤和利潤率首次同比增長。我們為取得這樣的成績付出了很多努力。您可能會從我們的財報中看到這一點。我們的 SG&A 在第三季度再次下降，本季度與去年同期相比。我們對渠道支出和促銷活動一直非常嚴格。補充一點，SG&A 已經連續幾個季度出現同比下降。展望未來，我們將繼續像過去一樣控制可變成本和費用。

If you look into our each part of our business, for mobile ecosystem, our operating profit actually is going up on a year-over-year basis, even though we know the revenue was negatively impacted by COVID-19. And we have also already mentioned earlier and which is just repeated by Dou, we made a lot of efforts for the healthy growth of AI Cloud. This quarter, the operating loss margins for AI Cloud improved significantly, both on a year-over-year basis and quarter-over-quarter basis.

如果您查看我們業務的各個部分，對於移動生態系統，我們的營業利潤實際上是同比增長的，儘管我們知道收入受到了 COVID-19 的負面影響。而且我們前面也已經提到了，竇剛又重複了一遍，我們為AI Cloud的健康成長做出了很多努力。本季度，AI Cloud 的營業虧損率同比和環比都有顯著改善。

If we separate two part, for enterprise and public status, we're allocating our resources to high-margin business and reduce the low-margin business. Also, we continue to standardize our end-to-end solutions, including the IaaS, PaaS, SaaS for key user cases (inaudible) and as much expectations started one of the examples, we continue to grow fast and at the same time, improve the margins quite notably. And in the personal cloud, same as well in the past, we continue to generate a decent profit this quarter.

如果我們將企業和公共地位兩部分分開，我們就是在將資源分配給高利潤業務，減少低利潤業務。此外，我們繼續標準化我們的端到端解決方案，包括針對關鍵用戶案例（聽不清）的 IaaS、PaaS、SaaS 以及作為示例之一的許多期望，我們繼續快速增長，同時改進利潤率非常顯著。在個人云方面，與過去一樣，本季度我們繼續創造可觀的利潤。

For our robotaxi business, Apollo Go, we also chose to grow Apollo Go at a well-measured pace. We have very comprehensive financial models to optimize and forecast the cost and expenses in this business, especially the labor costs and the vehicle hardware costs. We have been very careful to measure and estimate the cash flow for this business.

對於我們的機器人出租車業務 Apollo Go，我們還選擇了以合理的速度發展 Apollo Go。我們有非常全面的財務模型來優化和預測這項業務的成本和費用，尤其是人工成本和車輛硬件成本。我們一直非常謹慎地衡量和估計該業務的現金流量。

Our strategy is to strengthen our leading position in robotaxi all over the world, acquire sizable market shares in the ride-hailing sector, especially in the key cities in China and in the future, and ultimately try to generate more profits in these key areas. We are not expanding our operations without thinking about building a sustainable and profitable business models for Apollo Go.

我們的戰略是鞏固我們在全球robotaxi的領先地位，在網約車領域，尤其是在中國和未來的重點城市獲得相當大的市場份額，並最終嘗試在這些重點領域產生更多利潤。如果不考慮為 Apollo Go 建立可持續且盈利的商業模式，我們就不會擴大我們的業務。

For auto solutions, (inaudible) mentioned just now, we already have a projected cumulative sales of around RMB 11.4 billion, while revenue contribution is still very small at this stage, and we expect it to see more revenue keying from the second half of next year or maybe early in 2024, as small cars with our solutions can become available in the market. And once the meaningful revenue kicks in, this business should start to generate profit.

汽車解決方案方面，剛才提到（聽不清），我們已經預計累計銷售額在114億元人民幣左右，但現階段的收入貢獻仍然很小，我們預計明年下半年會有更多的收入。年或 2024 年初，因為採用我們解決方案的小型汽車可以在市場上銷售。一旦有意義的收入開始出現，這項業務就應該開始產生利潤。

I would like to also make it clear the RMB 11.4 billion is our estimate including the contract side and nomination letters we received from OEMs. In auto industry, our nomination letter means a supplier is affected for certain projects, and then the OEMs will sign up contracts with us first. Our estimate is based on our assumptions of the timing of launch, the pricing, the future volumes. I hope this gives you a better understanding of how we have made these calculations.

我還想澄清一下，114 億元人民幣是我們的估計，包括我們從 OEM 收到的合同方和提名信。在汽車行業，我們的nomination letter是指某個供應商在某些項目上受到影響，然後主機廠會先與我們簽訂合同。我們的估計是基於我們對發佈時間、定價和未來數量的假設。我希望這能讓您更好地理解我們是如何進行這些計算的。

Looking forward, we will continue to be very disciplined with the cost and expenses. And at the same time, we'll continue to invest in the AI Cloud and Intelligent Driving for our long-term growth despite of the challenging environment in the short term. And in the future, we believe our mobile ecosystem will continue to generate decent profits and cash flow to support our investments in the new AI business. And we'll also continue to work very hard to narrow our loss in AI Cloud.

展望未來，我們將繼續嚴格控製成本和開支。同時，儘管短期環境充滿挑戰，我們仍將繼續投資人工智能雲和智能駕駛，以實現我們的長期增長。在未來，我們相信我們的移動生態系統將繼續產生可觀的利潤和現金流，以支持我們對新人工智能業務的投資。我們還將繼續努力縮小我們在 AI Cloud 方面的損失。

The next question comes from Gary Yu with Morgan Stanley.

下一個問題來自摩根士丹利的 Gary Yu。

Congrats on the expanded partner network and growing backlogs for ADS business. I have a question on your auto solutions. Just wondering, when should we expect meaningful revenue to start gains? And how do you differentiate the Apollo's auto solution from your peers? And could you help us understand the underlying market space for Baidu Apollo's auto solutions? And a related question to that is, have you noticed a significant change in the attitude of the OEMs towards self-developing for intelligent driving solutions?

祝賀合作夥伴網絡的擴展和 ADS 業務積壓工作的增加。我對你們的汽車解決方案有疑問。只是想知道，我們什麼時候應該期望有意義的收入開始增長？您如何將 Apollo 的汽車解決方案與同行區分開來？您能否幫助我們了解百度Apollo汽車解決方案的潛在市場空間？與此相關的一個問題是，您是否注意到主機廠對自主開發智能駕駛解決方案的態度發生了重大變化？

Gary, this is Robin. We think huge opportunities in the auto solutions market, in the first 10 months of this year, EV sales increased by more than 100% in China. We're now the largest EV market in the world, accounting for more than half of the global EV sales.

加里，這是羅賓。我們認為汽車解決方案市場存在巨大機遇，今年前 10 個月，中國電動汽車銷量增長超過 100%。我們現在是世界上最大的電動汽車市場，佔全球電動汽車銷量的一半以上。

A clear trend for the auto industry is vehicle intelligence. Baidu is benefiting from this trend. Our years of investments in autonomous driving have begun to bear fruit. Baidu Apollo's auto solutions derived from our L4 technology. A lot of AI models we build for robotaxi can be used for ASD.

汽車行業的一個明顯趨勢是車輛智能化。百度正受益於這一趨勢。我們多年來在自動駕駛方面的投資已經初見成效。百度Apollo的汽車解決方案源自我們的L4技術。我們為 robotaxi 構建的很多 AI 模型都可以用於 ASD。

Another point to note is that as the market leader, we have been investing in autonomous driving for about 10 years. And thanks to this investment, we not only have completed tens of millions of testing miles on the public roads, but also accumulated a very valuable experience by running the largest robotaxi fleet on urban roads on a daily basis. This has provided us great insight, and we have used these insights to develop auto solutions that best meet our customers' needs.

還有一點需要注意的是，作為市場領導者，我們在自動駕駛方面的投資已經有大約 10 年的時間了。由於這項投資，我們不僅在公共道路上完成了數千萬英里的測試，而且通過每天在城市道路上運行最大的 Robotaxi 車隊積累了非常寶貴的經驗。這為我們提供了深刻的見解，我們利用這些見解開發了最能滿足客戶需求的汽車解決方案。

So for example, ANP 3.0. We believe it is the most advanced intelligent driving solution for city roads on the market. Because ANP 3.0 is derived from our core driving technology, we were able to use a very limited amount of R&D personnel to make this advanced solution available to the market within a short time. Jidu's first car, ROBO-01 will be the first one to use ANP 3.0. We believe that with more and more automakers adopting our auto solutions, we will become more experienced in making our solutions compatible with more popular car models.

例如，ANP 3.0。我們相信這是目前市場上最先進的城市道路智能駕駛解決方案。由於ANP 3.0源於我們的核心驅動技術，我們能夠利用非常有限的研發人員在短時間內將這一先進的解決方案推向市場。極度的第一款車ROBO-01將率先使用ANP 3.0。我們相信，隨著越來越多的汽車製造商採用我們的汽車解決方案，我們將在使我們的解決方案與更多流行車型兼容方面變得更有經驗。

On the other hand, with more and more cars with our auto solutions are on the go, we will be able to grow experience from everyday users and we'll continue to improve our auto solutions.

另一方面，隨著越來越多的汽車採用我們的汽車解決方案，我們將能夠從日常用戶那裡獲得經驗，我們將繼續改進我們的汽車解決方案。

As I mentioned earlier, our total projected cumulative sales for Apollo's auto solutions reached CNY 11.4 billion, which is more than 50% from last year.

正如我之前提到的，我們預計阿波羅汽車解決方案的累計銷售額達到 114 億元人民幣，比去年增長了 50% 以上。

Based on our current pipeline, some of the major car models that are equipped with ANP, AVP should be launched starting in the second half of next year. So meaningful revenue contribution for this business should begin in 2024, and profit will follow.

根據我們目前的計劃，一些配備 ANP、AVP 的主要車型應該會在明年下半年開始推出。因此，這項業務的有意義的收入貢獻應該在 2024 年開始，利潤將隨之而來。

On the differentiation, if you look at the cost side, as we mentioned many times before, developing advanced intelligent solutions require massive investment in technology and talent. Frankly speaking, most companies cannot afford this kind of investment.

在差異化上，如果從成本端來看，我們之前多次提到，開發先進的智能化解決方案需要大量的技術和人才投入。坦率地說，大多數公司都負擔不起這種投資。

Automakers trust our brand and technology. So a lot of them have chosen to partner with Baidu Intelligent Solutions. For them, we are a trustworthy and reliable supplier because we have made years of investment in intelligent driving technology, and we have a strong cash position, and our advertising business continue to generate strong cash flow to support our investments.

汽車製造商信任我們的品牌和技術。所以他們中的很多人都選擇了與百度智能解決方案合作。對於他們來說，我們是值得信賴和可靠的供應商，因為我們在智能駕駛技術方面進行了多年的投資，我們擁有雄厚的現金狀況，我們的廣告業務繼續產生強勁的現金流來支持我們的投資。

Going forward, this will continue to support with the collaboration with many automakers at large scale. That's why more and more leading automaker have recognized us and have broadened partnership with Baidu. For example, in the quarter, we expanded our partnership with one of China's largest auto companies, and we plan to use our ASD solutions for yet another of their popular car model. And the ASD solution used into ANP, AVP and HD Map. Going forward, we are looking forward to more partnerships with OEMs, both domestically and internationally.

展望未來，這將繼續支持與許多汽車製造商的大規模合作。這就是為什麼越來越多的領先汽車製造商認可我們並擴大與百度的合作夥伴關係。例如，在本季度，我們擴大了與中國最大的汽車公司之一的合作夥伴關係，我們計劃將我們的 ASD 解決方案用於他們的另一種流行車型。並將 ASD 解決方案用於 ANP、AVP 和 HD Map。展望未來，我們期待與國內外 OEM 建立更多合作夥伴關係。

The next question comes from Kenneth Fong with Credit Suisse.

下一個問題來自瑞士信貸的 Kenneth Fong。

I have a follow-up question about Apollo Go. On a fully autonomous driving, what kind of progress will be seen in the near term? Could management also talk about a key milestone that Apollo Go will achieve in 2023 and even in the longer term? And to achieve this milestone, how should we think about the impact on your P&L as well as cash flow? And when should we expect Apollo Go business to achieve breakeven?

我有一個關於 Apollo Go 的後續問題。在全自動駕駛方面，近期會有怎樣的進展？管理層能否也談談Apollo Go在2023年乃至更長期將實現的一個關鍵里程碑？為了實現這一里程碑，我們應該如何考慮對您的損益和現金流的影響？我們應該期望 Apollo Go 業務何時實現盈虧平衡？

Thanks for your question. This is (inaudible).We are making very good progress in the package of providing fully driverless ride-hailing service for the public. We believe Apollo Go is the largest autonomous ride-hailing service provider in the world, because, number one, when we look at the numbers back on [coverage] rate. Apollo Go has provided 1.4 million rides for the public. In Beijing, Shanghai and Guangzhou each half complete 15 rides per day. We are also providing fully driverless ride-hailing services to public in Wuhan and Chongqing. And the number of ride providers by fully driverless [AI] is growing very fast.

謝謝你的問題。這是（聽不清）。我們在為公眾提供完全無人駕駛的叫車服務方面取得了很好的進展。我們相信 Apollo Go 是世界上最大的自動駕駛叫車服務提供商，因為，當我們回顧 [覆蓋率] 的數字時，排名第一。 Apollo Go 已為公眾提供了 140 萬次乘車服務。在北京、上海和廣州，每天各一半完成 15 次騎行。我們還在武漢和重慶為公眾提供完全無人駕駛的網約車服務。完全無人駕駛 [AI] 的乘車供應商數量增長非常快。

And number two, Apollo Go is already in more than 10 cities in China. It is also cities have a population of more than 10 million, as Rong Luo mentioned in his script, building up operation of us is to improve technology and safety. He gave examples about technical improvement. Let me share some examples about how our operation help us to improve user experience.

第二，Apollo Go已經在中國10多個城市落地。同樣是千萬級以上的城市，正如羅榮在他的劇本中所說，建立我們的運營是為了提高技術和安全。他舉例說明了技術改進。讓我分享一些關於我們的運營如何幫助我們改善用戶體驗的例子。

In operations, we got a lot of feedback from passengers. For example, passengers, one half, a, operated to moderate; b, to fill them up faster and to (inaudible) plan or rules than before. We then refined and improved our open for quality. Our efforts have helped us gain more recognition from passengers. Today, in Chongqing, Beijing, Apollo Go is already importantly for AI computing.

在運營中，我們收到了很多乘客的反饋。比如乘客，二分之一，a，操作適度； b，比以前更快地填充它們並製定（聽不清）計劃或規則。然後，我們完善並改進了我們的開放質量。我們的努力讓我們得到了更多乘客的認可。今天，在重慶、北京，Apollo Go 已經是 AI 計算的重頭戲。

After trying Apollo Go, people come to realize that it is a reliable and fixed service. It drives just like a professional driver. Some people may wonder why is Apollo Go can be better than human drivers? This operation is always be in compliance with traffic regulation and the AI driver never get tired or distracted like human drivers, all of those allow Apollo Go to provide [very stable] drive to public.

在嘗試了 Apollo Go 之後，人們開始意識到它是一種可靠且固定的服務。它像專業司機一樣駕駛。有些人可能會疑惑，為什麼 Apollo Go 可以比人類司機做得更好？這種操作始終符合交通規則，AI 司機永遠不會像人類司機一樣疲倦或分心，所有這些都讓 Apollo Go 能夠為公眾提供[非常穩定]的駕駛。

Our strong track record of around [150] has helped us to entrust, both from [our user] and also from our regulator. We mentioned before, set in Wuhan and Chongqing. We will allow to provide fully driverless ride-hailing service this August. The operation in both cities is well on track.

我們在 [150] 左右的良好記錄幫助我們贏得了 [我們的用戶] 和監管機構的信任。我們之前提到過，場景在武漢和重慶。今年 8 月，我們將允許提供完全無人駕駛的網約車服務。在這兩個城市的運營都進展順利。

Going forward, we plan to continue to expand this operation -- and this operation and as more fully driverless vehicles. In 2023 and beyond, we will continue to fulfill our operation. In particular, fully driverless ride-hailing operation in more region and reduce hardware and the vehicle cost. We believe robotaxi will eventually be profitable and cheaper than the current ride-hailing service. We will continue to invest in robotaxi to capture a huge market opportunity.

展望未來，我們計劃繼續擴大這項業務——以及這項業務以及更完全無人駕駛的車輛。在 2023 年及以後，我們將繼續履行我們的業務。特別是在更多區域實現完全無人駕駛網約車運營，降低硬件和車輛成本。我們相信 robotaxi 最終會盈利，而且比目前的叫車服務更便宜。我們將繼續投資robotaxi，以捕捉巨大的市場機會。

Kenneth, this is Julius. Regarding your question about the impact on our P&L and cash flow. We believe the overall impact is actually manageable. As Robin said in the script, actually our team today has built a very comprehensive financial world for Apollo Go. This model actually helped us to understand what should we do, where we should improve and adjust to generate profit in these models in the future.

肯尼斯，這是朱利葉斯。關於您關於對我們的損益和現金流的影響的問題。我們認為整體影響實際上是可控的。正如Robin在劇本中所說，其實我們今天的團隊已經為Apollo Go搭建了一個非常全面的金融世界。這個模型實際上幫助我們了解我們應該做什麼，我們應該在哪些地方改進和調整以在未來這些模型中產生利潤。

For example, today, we are working very hard towards two goals. Number one is we aim to remove safety officers in the cars, as labor cost is where we should reduce and make a kind of new ways. And number two, we continue to reduce the hardware costs. During the past quarters, we continued to improve our L4 autonomous driving technology and just now, both Xin-Zhe and Robin have given some examples of how we do that, how we leverage the large-scale operation to improve technology. These efforts help us to earn trust and build track records.

例如，今天，我們正在努力實現兩個目標。第一是我們的目標是取消車內的安全員，因為勞動力成本是我們應該減少的地方，並創造一種新的方式。第二，我們繼續降低硬件成本。在過去的幾個季度裡，我們不斷改進我們的 L4 級自動駕駛技術，剛才 Xin-Zhe 和 Robin 都給出了一些我們如何做到這一點的例子，我們如何利用大規模運營來改進技術。這些努力幫助我們贏得信任並建立業績記錄。

Today, we are providing fully driverless ride-hailing services in Wuhan and Chongqing, meaning no safety officers in the car at all. In Beijing, we're also making good progress as the safety officers today are now allowed to -- not to see behind the steering wheel and maybe even the front seats, which will help us to remove the safety officers in more cities and reduce the labor costs in the future.

今天，我們在武漢和重慶提供完全無人駕駛的網約車服務，這意味著車上根本沒有安全員。在北京，我們也取得了很好的進展，因為現在允許安全員看不到方向盤後面，甚至看不到前排座椅，這將有助於我們在更多城市取消安全員並減少未來的勞動力成本。

And on the other hand, for the hardware perspective, most of the newly added car in the coming 12 months will be RT5, the model of Apollo Go. This means there will be some investments in hardware next year. Once a sizable amount of RT6 which we have just launched a few months ago, pulling operation in the year 2024, our unit economy will specifically improve because RT6 has much lower production costs than any previous generations of robotaxis.

另一方面，從硬件角度來看，未來12個月新增的車型中，絕大部分都是RT5，即Apollo Go的車型。這意味著明年將在硬件方面進行一些投資。一旦我們幾個月前剛剛推出的大量 RT6 將在 2024 年投入運營，我們的單位經濟性將得到特別改善，因為 RT6 的生產成本遠低於前幾代機器人出租車。

The unit economy in our operations in key cities is also improving because we continue to scale out and improve the order cost -- the cost efficiencies. Robin has mentioned, our rides continue to grow in the past few quarters and also each car now provide 15 rides every day in some Tier 1 cities.

我們在主要城市運營的單位經濟也在改善，因為我們繼續擴大規模並提高訂單成本——成本效率。 Robin 提到，過去幾個季度我們的遊樂設施持續增長，在一些一線城市，每輛車現在每天提供 15 趟遊樂設施。

Apollo Go today is becoming -- recognized as a reliable and efficient way for daily commute. Overall, our Apollo Go measures -- we aim to achieve the unit economy in key cities before we expand to more cities. I think just a summary, all of this impact to our cash flow and the P&L is manageable, and we have the patience.

今天的 Apollo Go 正在成為公認的可靠且高效的日常通勤方式。總的來說，我們的 Apollo Go 措施——我們的目標是在擴展到更多城市之前在重點城市實現單位經濟。我認為只是一個總結，所有這些對我們現金流和損益的影響都是可控的，我們有耐心。

The next question comes from Lincoln Kong with Goldman Sachs.

下一個問題來自高盛的 Lincoln Kong。

I want to ask about our sales of our advanced chips to China because we have seen recently a lot of press report around U.S. chip restriction against China. So we wonder how you are seeing these restrictions impacting your ability to grow the business by AI Cloud, the autonomous driving and lastly, wider our AI business? So could you also remind us our business that's the most is depending on the advanced large AI chips and if there's any way, we'll be able to manage this with the master chip capability?

我想問一下我們向中國銷售我們的先進芯片的情況，因為我們最近看到很多關於美國對中國芯片限制的新聞報導。因此，我們想知道您如何看待這些限制影響您通過 AI 雲、自動駕駛以及最後擴大我們的 AI 業務來發展業務的能力？那麼您能否也提醒我們，我們的業務最依賴於先進的大型人工智能芯片，如果有任何辦法，我們將能夠通過主芯片能力來管理它？

Thank you, Lincoln. You're right. This is a hard topic to reason actually. So the short answer to your question is that we think the impact is quite limited in the near future, and here are the reasons. So first of all, as of today, a large portion of our AI Cloud business and even wider AI business does not rely too much on the high advanced chips. And secondly, for the part of our business is that need advanced chips, we have already started enough in hand actually to support our business in the near term.

謝謝你，林肯。你是對的。這實際上是一個很難推理的話題。所以對你的問題的簡短回答是，我們認為在不久的將來影響非常有限，原因如下。所以首先，截至今天，我們的很大一部分 AI Cloud 業務甚至更廣泛的 AI 業務並沒有過多地依賴高級芯片。其次，對於我們業務的一部分是需要先進的芯片，我們實際上已經開始了足夠的工作來支持我們在短期內的業務。

Thirdly, there were some alternative to the restricted chips and we have the technologies to use these alternatives to achieve almost the same effectiveness and efficiency in our AI Cloud and the wider AI businesses. Last, but not least, automotive chips are not on the prohibited list. So this means that in the near future, in-vehicle computing is not affected.

第三，受限芯片有一些替代品，我們擁有使用這些替代品的技術，可以在我們的 AI Cloud 和更廣泛的 AI 業務中實現幾乎相同的有效性和效率。最後但同樣重要的是，汽車芯片不在禁止名單上。所以這意味著在不久的將來，車載計算不會受到影響。

So when we look at the mid- to longer term, we actually have our own developed AI chip, so named Kunlun. Actually, we already started to use Kunlun chip to support some large-scale AI computing tasks internally. We also use Kunlun to serve external customers already. So because we have full stack AI capabilities from chips to AI frameworks to foundation models and then to application software, so we can achieve much higher efficiency as we optimize the tasks from end to end.

所以我們從中長期看，其實我們有自己研發的AI芯片，所以叫崑崙。實際上，我們內部已經開始使用崑崙芯片來支持一些大規模的AI計算任務。我們也已經使用崑崙來服務外部客戶。所以因為我們擁有從芯片到AI框架到基礎模型再到應用軟件的全棧AI能力，所以我們可以在端到端優化任務的過程中實現更高的效率。

So let me give you some examples. By using our Kunlun chips (inaudible) and large language models, the efficiency chip perform text and image recognition talks on our AI platform has been improved by 40% and the total cost has been reduced by 22% -- 30%.

所以讓我給你舉幾個例子。通過使用我們的崑崙芯片（聽不清）和大語言模型，芯片在我們的人工智能平台上進行文本和圖像識別對話的效率提高了 40%，總成本降低了 22% - 30%。

There are more cases like this in a quality inspection in our smart manufacturing projects and image recognition in the smart city products and so forth. So as our business grows, we believe our end-to-end capabilities will gain us even stronger competitive advantages.

在我們智能製造項目的質檢、智慧城市產品的圖像識別等方面，這樣的案例比較多。因此，隨著我們業務的增長，我們相信我們的端到端能力將為我們帶來更強大的競爭優勢。

For the core chips, so we expect to see more auto force, including core chips to be manufactured in China in the future, so as China's intelligent driving market continues to develop rapidly. So this means that supply chain in auto industry may become more and more independent and -- unless we're in the imports.

對於核心芯片，所以我們期待看到更多的汽車發力，包括核心芯片未來在中國製造，中國的智能駕駛市場會繼續快速發展。所以這意味著汽車行業的供應鏈可能會變得越來越獨立——除非我們在進口。

So once again, I want to emphasize that Baidu has built a very strong R&D team. We keep introducing cutting-edge technologies to the market, and we help users and customers to use these technologies to improve efficiency. So that's why we believe we can leverage our strong AI capabilities and AI algorithms to support the top level computing, even though we face some turbulence in the semiconductor supply chain.

所以我要再次強調，百度已經建立了一支非常強大的研發團隊。我們不斷向市場推出前沿技術，我們幫助用戶和客戶使用這些技術來提高效率。所以這就是為什麼我們相信我們可以利用我們強大的人工智能能力和人工智能算法來支持頂級計算，即使我們在半導體供應鏈中面臨一些動盪。

So to sum up, chip sales restriction should have a limited impact on our business operation in the near term. Instead, we think increased some good market opportunities for the Chinese chip companies and our equipment AI chips and our AI business will eventually benefit from these opportunities.

因此綜上所述，芯片限售對我們短期內的業務運營影響有限。相反，我們認為為中國芯片公司和我們的設備 AI 芯片增加了一些良好的市場機會，我們的 AI 業務最終將受益於這些機會。

The last question today comes from James Lee with Mizuho.

今天的最後一個問題來自 James Lee with Mizuho。

I have two here. First, can you guys provide some more color on your progress of e-commerce search and short-video opportunities? Can you guys talk about maybe from a consumer, merchants and creators' point of view, what kind of pain points are you trying to resolve here?

我這裡有兩個。第一，你們能不能多說說你們在電商搜索和短視頻機會方面的進展？你們能不能從消費者、商家和創作者的角度談談，你們想在這裡解決什麼樣的痛點？

And second, can you talk about the traction that you have made in open mobile ecosystem and potential monetization opportunities here?

其次，您能談談您在開放式移動生態系統中所產生的吸引力和潛在的貨幣化機會嗎？

Yes, this is Robin. I mentioned earlier that we have been building closed-loop experience for our users and advertisers in our mobile ecosystem, especially Baidu App. For e-commerce, because of the efforts we made in the past, users now come to Baidu not only for information and knowledge, but also for services and merchandise.

是的，這是羅賓。我之前提到，我們一直在為我們的移動生態系統中的用戶和廣告商構建閉環體驗，尤其是百度 App。對於電子商務，因為我們過去的努力，現在用戶來百度不僅是為了信息和知識，而且是為了服務和商品。

Since the beginning of this year, merchandise-related search queries on Baidu have grown much faster than last year. You may be wondering why? It is because users increasingly find out that on our platform, they can now find detailed product information, product reviews and even buy the product without leaving our app.

今年以來，百度上與商品相關的搜索查詢增長速度遠超去年。你可能想知道為什麼？這是因為用戶越來越多地發現，在我們的平台上，他們現在可以在不離開我們的應用程序的情況下找到詳細的產品信息、產品評論甚至購買產品。

Now we have a huge number of SKUs available for search on our platform. We have also deepened the partnership with leading e-commerce platform, so that users can easily buy products they need here on Baidu App.

現在我們的平台上有大量的 SKU 可供搜索。我們還深化了與領先電商平台的合作，讓用戶可以在百度App上輕鬆購買到自己需要的商品。

Just like I said in my prepared remarks, in Q3, GMV facilitated by the Search continue to grow very fast. I also mentioned earlier that retail has been an outperforming vertical for our online ad business for quite a few quarters. Even very recently, revenues from the retail vertical during the Double 11, e-commerce promotional season, grow by double digits from last year. And this all prove that our efforts gradually bearing fruit.

就像我在準備好的發言中所說的那樣，在第三季度，搜索促進的 GMV 繼續快速增長。我之前還提到過，在好幾個季度裡，零售業一直是我們在線廣告業務表現出色的垂直行業。就在最近，雙十一電商促銷季期間零售垂直領域的收入也比去年增長了兩位數。而這一切都證明我們的努力正在逐漸開花結果。

As for our short video, we're making short videos increasingly available in our Feed and Search services. For feed, short video distribution and time spend continue to grow steadily. Right now, about 85% of the feed distributed by Baidu App are short videos. And for Search, more than 20% of the clicks on the search pages were short video. This number increased by more than 80% year-on-year during the month of September. So we believe the popularity and the adoption of video in our search results will ramp up quickly.

至於我們的短視頻，我們正在讓越來越多的短視頻出現在我們的 Feed 和搜索服務中。對於 Feed，短視頻分發和時間花費繼續穩步增長。目前，百度應用分發的信息流中約有 85% 是短視頻。而對於搜索，搜索頁面上超過 20% 的點擊是短視頻。這個數字在 9 月份同比增長了 80% 以上。因此，我們相信視頻在我們的搜索結果中的受歡迎程度和採用率將迅速上升。

When we talk about monetization, short videos, especially for videos that provide fully immersive video experience, can be much better monetized than text and images. For example, in feed, ECM -- eCPM for fully immersive video apps are much higher than text and images. This is one key reason for feed revenue to show positive growth year-over-year in this quarter, even though the macro environment was unfavorable. This progress in feed has made us quite confident that short videos will also benefit the search revenue later on.

當我們談論貨幣化時，短視頻，特別是對於提供完全身臨其境的視頻體驗的視頻，可以比文本和圖像更好地貨幣化。例如，在提要中，ECM——完全沉浸式視頻應用的 eCPM 遠高於文本和圖像。這是本季度飼料收入同比正增長的一個重要原因，儘管宏觀環境不利。 Feed 的這種進步讓我們非常有信心，短視頻也將在以後的搜索收入中受益。

Now we're also trying to use AI-generated content to enrich our short-video portfolio. We're still at a very early stage for them. We believe with AI, we will generate a large number of short videos in a faster and more cost-effective way.

現在我們也在嘗試使用人工智能生成的內容來豐富我們的短視頻產品組合。對於他們來說，我們仍處於非常早期的階段。我們相信借助人工智能，我們將以更快、更具成本效益的方式生成大量短視頻。

To sum up, e-commerce and short videos are two areas that could drive incremental revenue growth for us, and we will continue to work hard on that. Meanwhile, we would like to stress that profit growth remains a top priority for our mobile ecosystem.

綜上所述，電子商務和短視頻是兩個可以為我們帶來增量收入增長的領域，我們將繼續努力。同時，我們要強調的是，利潤增長仍然是我們移動生態系統的重中之重。

As for interoperability, we believe it is a long-term trend. As we talked about it before, being a search engine, we benefit from more content becoming searchable on the Internet.

至於互操作性，我們認為這是一個長期趨勢。正如我們之前談到的，作為一個搜索引擎，我們受益於更多的內容在 Internet 上變得可搜索。

Looking into the longer term, we believe the government's willingness to build an open mobile Internet industry remains unchanged because it benefit the users and the SMEs. And for us, by the way, is getting ourselves ready for that trend.

展望更長期，我們認為政府建設開放的移動互聯網產業的意願不會改變，因為這有利於用戶和中小企業。順便說一句，對我們來說，我們正在為這種趨勢做好準備。

This concludes our question-and-answer session and concludes the conference call. Thank you for attending today's presentation. You may now disconnect.

我們的問答環節到此結束，電話會議也結束了。感謝您參加今天的演講。您現在可以斷開連接。