In the past two years, the financing environment for innovative drugs in China has begun to change, with investors becoming more cautious and calm. How do they view the current capital 'cold winter'? 2023 What changes will occur in the annual investment style?    Biopharmaceutical technology innovation pharmaceutical companies in the past two years IPO listing Frequent "price cuts" have hit even leading companies, leaving them in a difficult situation. Considering the current macro environment, 2023 What are some suggestions for pharmaceutical companies planning to go public in the coming year? From the perspective of investment and financing, from which dimensions can we judge the feasibility of an innovative drug company's R&D pipeline? For innovative drug companies in 2023 What suggestions are there regarding the product layout pipeline selection and partner selection for the year?    In terms of outbound strategies, in addition to Europe and the US, 2023 What other international markets are worth investing in for the year?    How can a pharmaceutical company survive and achieve good development in a complex environment?    Frost & Sullivan Frost & Sullivan Mao Hua, Partner and Managing Director of Frost & Sullivan Greater China, was interviewed by 21 21st Century Business Herald    Interview, to jointly discuss the aforementioned topics. 21 Century Economic Report Q In the past two years, the financing environment for innovative drugs in China has begun to change, with investors becoming more cautious and rational. How do you view the current capital 'cold winter'? 2023 What changes will occur in the annual investment style? fattening Partner and Managing Director of Frost & Sullivan Greater China Region   Against the backdrop of the global economy's macro situation, 2022 The cooling of the domestic innovation drug investment and financing environment is not a local phenomenon. This applies to both primary market financing and secondary market transactions in China. IPO listing Judging from the current situation, market sentiment is relatively low, and investors tend to be cautious and rational. 2022 End of the year 2023 At the beginning of the year, the market's tight conditions gradually eased, and it was clear that signs of market recovery were emerging. The valuations of listed companies in the healthcare sector were adjusted to a reasonable level, investment and financing activity picked up, and participants in the industry began to regain confidence. In the dynamic changes of the external environment, market logic has undergone corresponding shifts. Investors now focus on the innovative value of corporate products and long-term strategic layout. In the face of the current phenomenon in China where innovation drug targets are concentrated and homogenized, investors are also paying attention to early-stage enterprises. Technological innovation, long-term product layout strategies, commercialization capabilities, and the manifestation of value returns after investment are all areas of concern. Q Biopharmaceutical technology innovation pharmaceutical companies in the past two years IPO listing Frequent "price cuts" have left even leading companies struggling with the dilemma of "price cuts". Considering the current macro environment, your view is that 2023 What are some suggestions for pharmaceutical companies planning to go public in the coming year? fattening Partner and Managing Director of Frost & Sullivan Greater China Region   In the face of volatile capital markets, many projects globally, including those in China, have chosen to postpone their schedules or even enter a 'suspended' state, hoping to wait until a better issuance window arrives. This is a very passive choice. In the current macro environment, IPO listing It is no longer just the endpoint for a company's sprint, but rather a landmark on the development path. In the coming period, pharmaceutical companies intending to go public need to look further ahead, proactively transform their development strategies, enhance their investment value from within, and gain market recognition. Q From the perspective of investment and financing, from which dimensions can we assess the feasibility of an innovative drug company's R&D pipeline? For innovative drug companies in 2023 What are your suggestions regarding the product layout pipeline selection and partner selection for the year? fattening Partner and Managing Director of Frost & Sullivan Greater China Region   When assessing the value and risks of an innovative pharmaceutical company's R&D pipeline, one can focus on comprehensive considerations such as technological innovation, commercial profitability potential, including current clinical value development, market capacity, competitive landscape, and technology platform. For example, whether it can solve clinical pain points, whether there are R&D and commercial teams capable of better allocating resources to conduct clinical research, production, and subsequent commercialization. 2023 In [a certain year], for innovative pharmaceutical companies, product layout should be advanced, whether license-in grant Whether it is independent research and development, it is necessary to clarify the product's technological innovation and subsequent commercialization model early on. Moreover, there should be a product pipeline so that in the increasingly fierce market competition, there can be an accumulation and layout, which can support the decline in the sales of listed products in the future. In the face of international markets, enterprise choices license-out operation When considering other business cooperation models, you can pay attention to the partner's resource integration capabilities and past R&D or business experience. Q How do you view it 2022 What are the achievements of the enterprise's "going global" in [FY] ? In terms of going global strategy, besides Europe and America, 2023 What other international markets are worth investing in for the year? fattening Partner and Managing Director of Frost & Sullivan Greater China Region   The 'going global' of innovative pharmaceutical companies is an important trend under the transformation and upgrading of the industry. In order to seek new business growth points and expand new growth space, 'going abroad' has become one of the strategic deployments of many innovative pharmaceutical companies. Overseas market competition requires going through strict 'value' tests. 2022 There are also many companies that have achieved good results after 'going global'. The European and American markets with high healthcare spending have always been the main battleground for global pharmaceutical companies. In addition, some Asian countries are also attractive. For example, Singapore, with its rich industrial clusters, has attracted many well-known multinational pharmaceutical companies to set up operations. For instance, the pharmaceutical outsourcing service company WuXi AppTec plans to invest in building a modern biopharmaceutical production base in Singapore. Q What do you think 2023 How can pharmaceutical companies in 2021 survive and achieve good development in a complex environment? fattening Partner and Managing Director of Frost & Sullivan Greater China Region   2023 Annual pharmaceutical companies need to adapt to changes, actively adjust their expectations and strategies. In the current more complex market environment, capital flows towards technology innovation, differentiation, and enterprises with unique characteristics. Therefore, companies need to carry out long-term layout plans with a forward-looking perspective. In addition to achieving technological innovation and clinical value for products, companies need to plan their commercialization paths as early as possible. For example, making reasonable plans for the future sales model of products in the pre-clinical stage is crucial in deciding whether to develop them independently or seek suitable partners, thereby realizing market value and generating investment returns in the future. In addition, enterprises can flexibly adjust their development models and learn to utilize available resources to ensure their survival in complex environments. For example In the context where pharmaceutical companies find it difficult to 'open source', they can appropriately 'cut costs' and use idle capacity for development CDMO company or CRO company Businesses, or streamlining those less clear-cut lines of business, should direct core resources towards more promising and rewarding areas.   * This interview was published in 21 Economic Times of the Century, reporter: Ji Yuanyuan   Original title is    "The    Can investment in innovative drugs return to the 'spring' period?    >>    (Click on "Read the Original Article" at the end of the text to read the full report).

Socially-run Medical Institutions: The Development Summit Forum on Blood Purification 2023 year 2 month 8 day -9 On the day, sponsored by “Health China Observation” magazine and undertaken by the Western Promotion Association of the Zhongguancun Nephropathy and Hemodialysis Innovation Alliance, 2023 Healthy China - The "Socially Operated Medical Institutions' Hemodialysis Development Summit Forum" was held at the Yanlong Bay Hotel in Sanya City, Hainan Province. The forum focused on hemodialysis technology innovation, the current situation and prospects of socially operated medical institutions providing hemodialysis services, and socially operated nephrology hospitals. / The paper conducts an in-depth discussion on four aspects: operational management of dialysis centers, investment and financing in the blood purification industry run by non-governmental organizations.       As a special invitee at the conference, Frost & Sullivan Frost & Sullivan Guo Jing, Senior Consulting Director of the Healthcare Business Unit at Frost & Sullivan (referred to as 'Frost & Sullivan'), was invited to attend the event and delivered a speech on the current situation and development trends of China's blood purification industry. Senior Healthcare Industry Consultant, Frost & Sullivan Greater China Guo Jing Guo Jing first briefly analyzed the current diagnosis and treatment status of patients with end-stage renal disease in China.   Data shows that the number of patients with chronic kidney disease and end-stage renal disease in China is huge, and it is showing an increasing trend.   2017 reach 2021 In [year], the number of end-stage renal disease patients in China decreased from 250 Ten thousand rises 360 Ten thousand, accounting for more than one-third of the global proportion, is significantly higher than the proportion of the population. According to Guo Jing, the treatment rate for end-stage kidney disease in China remains low. Considering the course of the disease and accessibility, hemodialysis is currently the main treatment method. In recent years, although the treatment rate for end-stage renal disease patients in China has been continuously increasing, it is still far lower than that in Europe and America. On one hand, there are fewer hemodialysis centers in China, which is a relatively backward situation compared to developed regions such as Europe and America, accounting for about 1/5 On the other hand, China's accessibility of healthcare professionals per thousand population is also far lower than that of developed regions such as Greece, Norway, the United States, and Japan.   Guo Jing pointed out that there are significant regional differences in hemodialysis conditions in China, with both economic capabilities and the number of dialysis centers jointly affecting the treatment situation for local patients.   Research by the Medical Insurance Branch of the Chinese Social Insurance Society indicates that due to the high frequency and persistence of dialysis treatment, the treatment rate for end-stage renal disease among patients in underdeveloped regions is generally lower than that in developed regions.   In the future, improvements in multiple factors such as education, dialysis resources, affordability, and treatment methods will strongly drive the continuous growth in the number of dialysis patients in China.   According to a study by Frost & Sullivan, current hemodialysis services in China are still dominated by public institutions. However, an increasing number of patients are choosing private institutions for hemodialysis treatment. Both the number of patients receiving hemodialysis at private institutions and the market size of these institutions have shown significant growth. In addition, hemodialysis services have strong regional characteristics, and the patient coverage across the country is not balanced. 2021 In [year], the cumulative number of hemodialysis centers in China reached 6,972 Among them, the distribution of hemodialysis centers is highly correlated with regional economic capabilities. For example, in economically developed regions such as Beijing, Guangdong, and Zhejiang, the number of people covered by a single hemodialysis center is 26 , 25 , 22 ten thousand / Therefore, in some areas, such as Tibet, the number of hemodialysis centers is far from meeting expectations, with each center covering a population of 73 ten thousand / there   "The base number of patients with end-stage renal disease in China is large, the demand for hemodialysis is high, and there is broad market space,"    Guo Jing further added, 'However, due to reasons such as overloaded operations of public hospitals and uneven quality among private institutions, the hemodialysis treatment rate in China is relatively low. There is a high market demand with a large gap, and at present, there has not yet been a scale effect. The market needs to be improved and matured, and the existing hemodialysis demand needs to be released;   In the future, driven by multiple policy factors, it is expected that China's hemodialysis service market will accelerate its development in the direction of resource accessibility, specialized teams, standardized management, centralized players, and chain layout.   " Data shows that the private hemodialysis service market in the United States is relatively concentrated. Top 2 Enterprises jointly occupy about 75% The service centers are located in [specific locations]; the private hemodialysis service market in China is relatively fragmented. Top 10 The enterprise accounts for only about 30% Market share. Guo Jing used Dwebet and Fresenius as examples to analyze the business models of two private hemodialysis service institutions, namely, horizontal expansion of services and vertical integration of the industrial chain, to the guests present.   She believes that for hemodialysis service providers, exploring more diversified business models is also an important way to bring about sustained revenue growth and profitability.   "In addition, with the expansion of service market demand, upstream pharmaceutical and medical device R&D and production will also be an important direction for future market development," said Guo Jing.   Due to the high consumption of consumables for hemodialysis treatment, hemodialyzers and dialysis tubing account for the largest market share among hemodialysis devices and are growing rapidly. At the same time, the proportion of imported hemodialysis equipment such as hemodialysis machines 80% As mentioned above, the localization process is being gradually advanced;   The localization rates of hemodialysis machines and tubing consumables are as follows: 44.7% and 65.7% It has basically achieved domestic substitution. Guo Jing stated that it is expected that the future development of the hemodialysis device market will possess the following characteristics:   （ 1 ) Accelerated localization:   Domestic devices have a price advantage, policy support, and technological innovation that drive up the localization rate;   （ 2 Membrane technology R&D:   Reduce protein adsorption, lower immune response, and improve biocompatibility; （ 3 Intelligent development:   Standardized and automated functions, intelligent monitoring system, reduced failures, saved clinical time, and improved treatment outcomes;   （ 4 ) Industry concentration increases:   Driven by volume-based procurement, production capacity is centralized, enhancing the competitiveness of leading enterprises. About Frost & Sullivan's Healthcare Practice   The Healthcare Practice of Frost & Sullivan has professional analytical capabilities and extensive project experience in the life sciences field. Leveraging the global think tank resources of Frost & Sullivan and its cross-industry business development platform in Greater China, Frost & Sullivan Healthcare has unique core advantages in healthcare industry investment and financing services. Frost & Sullivan Healthcare has a wide range of corporate clients in China and in the past 20 In the year, a vast customer network was established, and a wealth of project experience in various medical sub-fields was accumulated. Project types include Knowledge Center projects (in-depth content, promotional activities). Pre-IPO financing project DCF model Valuation, Business Plan Services), IPO listing We provide listed projects (industry consulting, clinical audits, fundraising and investment writing), market research, market value management, and strategic consulting. We also cooperate with well-known domestic and international information platforms and investment and financing institutions to offer one-stop solutions for enterprises in specialized sub-sectors such as pharmaceuticals and medical devices. Our services have received wide attention from investors. Recent Activities

  Beijing time 2 month 10 International Indexes Committee MSCI The quarterly audit change results were announced. Among them, MSCI China Indexes Newly Included 12 Only Chinese stocks, excluding 6 only; MSCIA The onshore equity index has increased. 10 Only constituent stocks, excluding 5 Only constituent stocks, the above adjustment results will be in 2 month 28 Effective from today. How do you view the newly included sectors such as biomedicine and new energy industries, which involve companies listed on the stock market? Why are they included? 2023 Is there a significant increase in foreign investment interest in Chinese assets over the past year? Is it expected that the attractiveness of Chinese assets will further enhance in the future? Frost & Sullivan Frost & Sullivan Dr. Wang Xin, Global Partner and President of Greater China at Frost & Sullivan (hereinafter referred to as 'Frost & Sullivan'), was interviewed by Securities Daily   Interview, to jointly discuss the aforementioned topics. Securities Daily Q Securities Daily Reporter: How do you view the new sectors included in the stock index, such as biomedicine and new energy industries, involving companies?   MSCI The design of the China Foreign Direct Investment Index aims to represent a list of Chinese enterprises available for foreign investors to invest in. The composition of this list can, to a certain extent, reflect the investment preferences of overseas institutional investors and their expectations for the development of the domestic macro market. In fact, if we start from some important variables that have occurred in the macro market in recent years, this time MSCI The fact that the new target industries involve biomedicine and new energy enterprises is actually an expected outcome.   From the perspective of international markets,   In recent years, the pharmaceutical and new energy sectors have always been highly favored for investment, especially due to 2022 With the recurring COVID-19 pandemic and the impact of events such as the shortage of fossil energy in Europe due to the Russia-Ukraine war, international capital markets have shown a significant increase in their attention to the pharmaceutical and new energy sectors. MSCI The selection of investment targets by indicators is naturally affected to a certain extent by the hotspots in international capital markets.   From the perspective of domestic macro policies,   Biomedicine and new energy industries, as important components of China's 'new economy,' align closely with the current national strategic direction. With national strategies such as industrial upgrading, livelihood project construction, and sustainable development deeply rooted in people's hearts, long-term support from macro policies for the biomedicine and new energy industries is foreseeable. A long-term and sustained favorable policy environment is an important guarantee for attracting foreign capital during the industry development process.   From the perspective of domestic social development,   The enhanced awareness of residents' medical security after the COVID-19 pandemic has provided a strong driving force for future growth in China's biopharmaceutical market. The aging consumer structure has brought opportunities for the rapid development of domestic community health care industries. On the other hand, with the gradual increase in the penetration rate of new energy vehicles in China, the successful attempts of the automotive industry in the new energy market have raised the overall market's confidence and enthusiasm for the application of new energy technologies. The investment opportunities in new energy-related fields such as energy production, energy transmission, energy storage, and other areas are increasingly attractive to overseas investors. Q Reporter of Securities Daily: Why enter 2023 Has foreign investment's interest in Chinese assets increased significantly in recent years? Is it expected that the attractiveness of Chinese assets will further enhance in the future? Firstly, as one of the world's most important economies, China's macroeconomy maintained positive growth during the pandemic, which undoubtedly demonstrated the high stability of the Chinese market to global investors once again. This is very rare in the current overall downward global economic environment. Therefore, overseas institutional investors currently maintain a strong interest in allocating Chinese assets as hedging assets. On the other hand, the lifting of lockdowns did not lead to domestic industrial turmoil, and China's economy has begun to recover strongly in the short term. 2023 The overall market trend for the year is widely viewed as positive by global investors, 2023 An important reason for the increase in foreign investment in the year. In the long run, as the Chinese economy steadily takes off, the attractiveness of the Chinese market to foreign capital will surely become stronger. Especially with the advantages of a large investment market scale in China, the dual-track system, and the high proportion of the 'new economy', the Chinese market will always remain a hot destination for overseas investors.   * This interview was published in 'Securities Daily', with reporters Du Yumeng and Mao Yirong. The original title was    "The    MSCI China Index Quarterly Adjustment 'New Entrants' Several foreign investors have expressed optimism about Chinese assets    >>    (Click on "Read the Original Article" at the end of the text to read the full report).   Recommended Reading   1 Frost & Sullivan: It is expected that the supply-demand gap in the civil shipbuilding industry will continue to widen, driving the industry to maintain a state of rising both volume and price.        2 Frost & Sullivan: It is expected that industries with strong demand such as electronics, power equipment, and pharmaceuticals/biotechnology will continue to maintain steady growth.       3 Frost & Sullivan: The Chinese gaming market has moved from an era of extensive volume growth to one of building high-quality game moats, and the localization process for game developers still has a long way to go. 4 Frost & Sullivan: China has become the world's largest consumer and importer of cherries, but per capita consumption is still relatively low. 5 Frost & Sullivan: Policy guidance to use underutilized land for photovoltaic projects is conducive to improving the economic viability of such projects

Recently, Northeast Pharmaceutical disclosed that in order to accelerate the advancement of its collaboration with the United States MedAbome company ADC Medications and CAR-T The subsidiary established through the implementation of the cell therapy technology cooperation project has completed its industrial and commercial registration. Northeast Pharmaceutical stated that innovative drug research and development is characterized by high technology, high risk, and high added value. Whether the products can successfully be commercialized in the future is susceptible to the influence of some uncertain factors. In the past two years, ADC The number of followers has increased significantly. ADC What are the advantages of the drug? (Target, technological advantages, etc.) Why is there a willingness to develop and invest in it? ADC Track investment? In R&D, ADC What is the research and development difficulty level, where are the barriers, and what is the capital investment like? Currently ADC What stage of development is it in? What is the progress of domestic R&D? Frost & Sullivan Frost & Sullivan Jiang Tengfei, Consulting Director for Healthcare in Greater China at Frost & Sullivan (hereinafter referred to as 'Frost & Sullivan'), was interviewed by 'Economic Times'.   Interview, to jointly discuss the aforementioned topics. Economic Times Q In the past two years, ADC The number of followers has increased sharply, in your view ADC What are the advantages of the drug? (Target, technological advantages, etc.) Why is there a willingness to develop and invest in it? ADC Track investment? Jiang Tengfei Frost & Sullivan's Healthcare Industry Consulting Director for Greater China   ADC Technology is through linker Linking antibodies (with strong specificity) with small molecule cytotoxic drugs (with strong lethality), utilizing the specificity of antibodies to target and transport small molecule cytotoxic drugs to targeted tissues / The parts play their roles. ADC Drugs can reduce the systemic toxic and side effects of small molecule cytotoxic drugs, increase the therapeutic window, and expand bystander killing effects.   with DS-8201 For example, the antibody is HER2 The targeted trastuzumab can accurately identify HER2 Cancer cells with positive expression; Small molecule cytotoxic drugs are camptothecin derivatives Dxd ), has strong membrane permeability, and can target HER2 positive / Kills cancer cells with negative expression; its tetrapeptide linker, possesses 1:8 The drug antibody ratio is such that each antibody can carry more small molecule cytotoxic drugs. ADC The clinical advantages of the drug mainly lie in its clinical efficacy in the field of anti-tumor therapy (for example: breast cancer, urothelial carcinoma, gastric cancer, etc.). DS-8201 For example, DESTINY-Breast03 The findings have prompted ESMO Guidelines for the Diagnosis and Treatment of Advanced Breast Cancer, No. 6 International Consensus on Advanced Breast Cancer ( ABC6 ), 2022 year V2 version NCCN Breast cancer guidelines recommend DS-8201 as HER2 Preferred regimen for second-line treatment of advanced positive breast cancer. and DESTINY-Breast04 is targeted at HER2 Low-expression patients III Phase I clinical trials, and stunning results were obtained, HR positive, HER2 Among patients with low expression, DS-8201 Compared with chemotherapy chosen by doctors, it reduces the risk of disease progression or death in patients 49% , DS-8201 Median progression-free survival in the group PFS ) for 10.1 months, chemotherapy group was 5.4 months.   Compared with chemotherapy, HR Among the positive patient group, DS-8201 Reduce the risk of death 36% Meanwhile, DS-8201 Median survival time in the group Operating System ) for 23.9 months, chemotherapy group was 17.5 months; this milestone breakthrough means DS8201 or will be used for those who originally lacked targeted therapy HR+/HER2- Treatment options are provided for breast cancer patients. Q In R&D, ADC What is the research and development difficulty, what are the barriers, and how is the capital investment structured? Jiang Tengfei Frost & Sullivan Greater China Healthcare Industry Consulting Director   target, linker antibody payloads yes ADCs Four core R&D priorities of the drug.    The highest barrier lies in the development of targets linker Choice. target   Ideal targets are those that are highly expressed on the surface of tumor cells, lowly or not expressed in normal tissues, or are limited to specific tissues. Targets expressed in normal tissues can easily lead to 'off-target' effects and also reduce the enrichment of cancer tissues. ADC dose, reduce ADC Drug therapeutic window. Leukocyte surface differentiation antigens are the most widely used. ADC Targets, as these antigens are highly expressed in tumor tissues but not in normal hematopoietic tissues / Low expression, more than 20 of which are currently in clinical development ADC Half of the drug targets are leukocyte surface antigens CD19 , CD22 , CD30 , CD33 , CD56 , CD74 , CD79b , CD138 (evening). linker In terms of research and development,   Mainly divided into cuttable and non-cuttable linker Designable for cutting linker It mainly utilizes the environmental differences between the blood system and tumor cells, hence cleavage after environmental transformation linker Efficiency is crucial. For example, proteases are sensitive to linker It is stable in blood, but it is cleaved and released as active toxins in lysosomes rich with proteases that recognize its specific protein sequence. It is not cleavable. linker Consisting of stable bonds resistant to proteolytic degradation, its stability in blood is crucial. It can only be released by lysosomes and proteases after entering the cell, where it can be associated with amino acid residues derived from antibody degradation. payload To kill cancer cells. In addition, linker The choice of targets is also closely related. In terms of production,   traditional linker Technology generally involves reducing disulfide bonds between antibody chains, payloads Coupled to cysteine or lysine. Lysine coupling results in each antibody being coupled 0 - 8 A drug molecule, the conjugation site generally occurs at approximately 20 A lysine residue, therefore, the coupling method will produce millions of different forms ADC Drug molecules. Diverse heterogeneity of conjugation at different sites ADC in vivo PK The dynamic properties are also different, and the difficulty of industrial production in the later stages will increase. In terms of production, sample consistency between batches is a core barrier. antibody:   High specificity is at the core, and currently, most ADC Antibodies are all IgG1 It has relatively strong antibody-dependent cytotoxicity ADCC complement-dependent cytotoxicity CDC ), with a long half-life, and IgG1 The hinge formed within the cell is easy to restore and produce. Compared to others IgG2 and IgG4 In comparison, IgG1 and IgG3 of ADCC and CDC Significantly stronger; IgG1 than IgG3 The half-life is longer, allowing for sustained lethality at the tumor site. At the same time, to reduce immunogenic issues, ADC Antibodies are all engineered using humanized or fully human technologies. Toxin molecule payload ):   Currently, the toxic molecules under development mainly include microtubule inhibitors and DNA Damage agents, focusing on factors such as conjugate stability and hydrophobicity, as well as how to combine with antibodies to achieve greater payload The load capacity is also a core R&D issue. ADC The R&D barrier is relatively high, and for a single first-in-class innovative drug First in class The complete project cycle is in 7 - 8 In [year], the investment amount was in 10 Over USD100 million, targeting existing targets ADC Development (e.g., optimization linker Optimizing small molecule cytotoxic drugs or antibodies can significantly reduce time consumption and costs. Q currently ADC What stage is it in of development? What is the progress of R&D domestically? Jiang Tengfei Frost & Sullivan Greater China Healthcare Industry Consulting Director   First generation ADC Medication: 2000 Year USA FDA Approved the first ADC Drug launch Gemtuzumab ozogamicin (commodity name Mylotarg , Wyeth (a subsidiary of Pfizer), targeting CD33 However, compared to other anti-cancer drugs Gemtuzumab ozogamicin There are no significant clinical advantages, and it has severe hepatotoxicity. 2010 year, Gemtuzumab Ozogamicin Take the initiative to withdraw from the market. Second Generation ADC The drug is better than the first generation CMC Features. Second generation ADC Drug representatives include Brentuximab vedotin （ 2011 year 8 month FDA listed Ado-trastuzumab emtansine injection （ 2013 year 2 month FDA listed Inotuzumab Ozogamicin （ 2017 year 8 month FDA listed). However, the second generation ADC The drug treatment window is short, with low tolerance, high plasma clearance efficiency, and low in vivo efficacy. third generation ADC Drugs bind site-specifically, significantly optimizing antibodies and linker The representative drugs are Polatuzumab vedotin , Enfortumab vedotin , Fam-trastuzumab deruxtecan Developing DAR value 2 or 4 Antibody conjugates significantly improve the stability and pharmacokinetics of drugs, increasing drug activity and binding to cells with lower antigen levels. 2020 year 1 month T-DM1 in China NMPA Approved for marketing, followed by Takeda's Vebrutuximab 2020 year 5 Monthly) and Rongchang Biologics' vedolizumab RC48 ) 2021 year 6 Month) in China NMPA Listing, this 3 A landmark event represents the Chinese market ADC The drug began to make a name for itself. And AstraZeneca & The breakthrough drug jointly developed by the First Sanofi & Daiichi Sankyo Group - Dostarcept ( DS8201 ) is also 2022 year 4 The moon is in China NMPA Priority approval is granted, expected to be available in 2023 year H1 Approved for marketing, currently in clinical trials in China ADC drug exceeds 60 One, which will also continue to receive attention in the future.   * This interview was published in "Economic Times", with reporter Zhang Yuguqi as the lead contributor, and the original title was    "The    The sales of star anti-cancer drugs have slowed down, and Rongchang Biotech suffered a huge loss in its first year of listing. 10 hundred million, ADC "The recovery" is long    >>    (Click on "Read the Original Article" at the end of the text to read the full report).

As one of the effective means of precision medicine, nucleic acid drugs can act directly on target genes or targets mRNA Regulate the expression of pathogenic genes at the root cause. In recent years, with the continuous maturation of chemical modification, nucleic acid delivery, and production technologies, RNA The development of drugs has accelerated significantly, with multiple nucleic acid products being launched one after another. Their clinical advantages and market value are becoming increasingly prominent. Globally, innovation and industrialization in nucleic acid drugs and vaccines have made great progress, attracting many pharmaceutical companies to deploy resources in this area. Since the outbreak of the COVID-19 pandemic, mRNA Technology-based emerging vaccines and therapeutic drugs are gradually entering the public eye, showing great development potential in areas such as infectious diseases, tumor treatment, and rare diseases. Against this backdrop, 2023 year 2 month 9 - 10 Date, hosted by Di Yi Life Sciences xRNA Nucleic Acid Drug Development and Innovation Forum 2023 held in Shanghai, revolving around mRNA Vaccine and drug R&D, small nucleic acid drug R&D, mRNA Vaccine analysis, R&D, and manufacturing processes mRNA vaccine / Drug R&D and Innovative Applications, Small Nucleic Acid Drugs and Cyclic RNA The conference focused on topics such as drug and nucleic acid drug delivery strategies and technologies, bringing together experts and scientists from domestic and international nucleic acid vaccine and drug research institutions. The aim was to strengthen exchanges and cooperation, promote the research and development of new-generation nucleic acid vaccines and drugs, delivery technologies, process development, and production, and accelerate the industrialization and marketization process. More than 50 Bit Professional Speaker, attracting nearly 300 Industry professionals participated. Frost & Sullivan Frost & Sullivan Jiang Tengfei, Consulting Director of Healthcare Industry in Greater China at Frost & Sullivan, was invited to attend the event and discuss 'Industry Opportunities and Challenges for Innovative Nucleic Acid Drugs'. License-out of the Mainland Policy Research》published a keynote speech and participated in roundtable discussions with Tang Qiushong, Head of Accelerators at Roche China; Song Xu, Founder and Chairman of Lingtaike Biotech; Yu Wenqiang, Professor at the Institute of Biomedical Sciences at Fudan University; and Shengnuo Medicine Greater China Region. CSO Yang Xianbin, together, discuss how China can prepare for the next generation RNA Played a leading role in the development of drugs. Frost & Sullivan Greater China Healthcare Industry Consulting Director Jiang Tengfei Jiang Tengfei first briefly introduced the current situation and development trends of the innovative nucleic acid drug industry. According to him, since 1953 Since the beginning of this year, nucleic acids have been widely used in drug development. After seventy years of development, multiple targets for different RNA Nucleic acid drugs are in the research and development stage or have been successfully launched on the market. Currently, research on small nucleic acid drugs has a wide range of indications and covers various therapeutic areas. In fields such as cardiovascular and cerebrovascular diseases, nervous system disorders, and respiratory system diseases, the development of small nucleic acid drugs has made up for the limitations of other types of drugs in terms of indications.   As of 2023 year 2 month 80% The above small nucleic acid drug pipeline is in clinical development. I period and II period, about 20 The drug has entered clinical trials III period, expected 2025 - 2026 The year will see a peak in drug launches. Data shows that there are a total of 12 model (excluding 3 Delisted products), including 5 model siRNA Medications and 7 model ASO Medications, mostly used for the treatment of rare diseases.   Although some early-stage small nucleic acid drugs were delisted due to low sales, the majority of current small nucleic acid drugs are showing a growth trend in sales. 2021 The annual market scale exceeds 30 billion dollars.   MNC Companies are actively deploying nucleic acid drugs, covering cardiovascular areas / hepatitis B / nerve / metabolism / Tumors, and other fields. Subsequently, Jiang Tengfei then Pharmaceutical company License-out of the Mainland The opportunities and challenges of the model are analyzed. He pointed out, License-out of the Mainland The model is important for businesses 3 The strategic significance lies in boosting valuation (endorsement), serving as the main business model, and providing funding for research and development.   Jiang Tengfei further explained, License-out of the Mainland Helps prove the company's R&D capabilities and product competitiveness, thereby enhancing the company's valuation; some enterprises use License-out of the Mainland As the main business model, through License-out of the Mainland Obtain milestone payments and sales commissions for externally authorized drugs; domestic pharmaceutical companies can achieve complementary advantages in research and development through cooperation with overseas pharmaceutical companies. At the same time, by leveraging the international market sales network of overseas pharmaceutical companies, they can quickly gain market access and thus obtain capital returns to support subsequent research and development. On the other hand, License-out of the Mainland The model also faces challenges such as low enterprise valuation, limited cooperation rights and interests, restricted transaction implementation, and high operational difficulties:   1 The market value is difficult to increase rapidly:    such as License-out of the Mainland Companies with a primary business model ligand Market value is only 12 billion US dollars, with a historical highest market value of about 40 Hundreds of millions, with the market value maintained at a long-term level 20 about hundreds of millions of US dollars agenus The current market value is only 7 About hundreds of millions of US dollars;   2 ) Difficulty in controlling the discourse power during transaction negotiations:   The selection of partners and whether domestic pharmaceutical companies can maximize benefits during negotiations remain challenges, especially when dealing with companies that have mature commercial models internationally. MNC In transactions between them, domestic pharmaceutical companies find it difficult to hold a dominant position;   3 Total transaction volume is uncertain:   In addition to the down payment, there are uncertainties regarding the realization of milestone payments and sales commissions. How to allocate the down payment and milestone proportions to ensure the interests of the licensors, and how to stipulate non-compete clauses in external licensing agreements are difficult points in transaction implementation;   4 ) R&D continuity is a challenge in operations:   The company needs to enrich its technical reserves to continue passing license-out operation For innovative pharmaceutical companies in the R&D phase, how to achieve a rich technical reserve while operating within limited capital budgets has become a challenge. Jiang Tengfei stated that the previous approach was adopted License-out of the Mainland The problems faced by model companies have also brought many experiences to Chinese small nucleic acid pharmaceutical companies.   For example, 1 ) Pharmaceutical companies should take clinical needs as a starting point to develop indications with high potential for unmet demand in overseas markets; 2 ) Sino-US dual reporting and conducting international multi-center clinical trials have become standard practices for going global. Pharmaceutical companies need to prepare overseas filings in advance, familiarize themselves with overseas regulatory policies, accelerate clinical trials and approval for market launch, and License-out of the Mainland Lay the foundation; 3 Pharmaceutical companies should differentiate their strategies by targeting unmet clinical needs through the layout of new targets and iterative R&D technologies, avoiding homogeneous competition and enhancing product competitiveness. In the subsequent roundtable discussion, Jiang Tengfei was joined by Tang Qiushong, Head of Accelerators at Roche China, Song Xu, Founder and Chairman of Lingtaike Biotechnology, Yu Wenqiang, Professor at the Institute of Biomedical Sciences at Fudan University, and Shengnuo Medicine Greater China. CSO Yang Xianbin, together, discussed how China can prepare for the next generation RNA Played a leading role in the development of drugs. Jiang Tengfei pointed out,   The development of delivery system technology has improved the efficiency of nucleic acid drugs entering cells while avoiding degradation by nucleases. GalNAc Specific to the liver ASGPR The delivery of drugs into hepatocytes holds promise as a major carrier type for nucleic acid drugs targeting liver diseases.    "However, at present, based on GalNAc The nucleic acid drug market is crowded, so development efficiency is key.' Jiang Tengfei said.    LNP Lipid nanoparticles are non-targeted and can easily lead to off-target distribution, necessitating the resolution of toxicity issues caused by off-targeting; PNP Peptide nanoparticles cannot be administered distally and must be injected into the tumor interior. In addition, Jiang Tengfei introduced the current nucleic acid drugs to the guests present CDMO company The main enterprises include WuXi AppTec Biologics,, Guangzhou RuiBo, etc. Finally, when referring to expectations for the nucleic acid innovation drug market, Jiang Tengfei said: 'I hope that future commercializing successful nucleic acid drug entrepreneurs can return to their original intention of treating and saving lives and pay attention to affordability issues.' About Frost & Sullivan's Healthcare Practice The Healthcare Practice of Frost & Sullivan has professional analytical capabilities and extensive project experience in the life sciences. Leveraging Frost & Sullivan's global think tank resources and cross-industry business development platform in Greater China, Frost & Sullivan Healthcare has unique core advantages in healthcare industry investment and financing services. Frost & Sullivan Healthcare has a wide range of corporate clients in China and in the past 20 In the year, a vast customer network was established, and a wealth of project experience in various medical sub-fields was accumulated. Project types include Knowledge Center projects (in-depth content and promotional activities). Pre-IPO financing project DCF model Valuation, Business Plan Services), IPO listing We provide listed projects (industry consulting, clinical audits, fundraising and investment writing), market research, market value management, and strategic consulting. We also cooperate with well-known domestic and international information platforms and investment and financing institutions to offer one-stop solutions for enterprises in specialized sub-sectors such as pharmaceuticals and medical devices. Our services have received wide attention from investors.

The First Shanghai International Digital Arts Expo     In the internet era, digital artworks are highly susceptible to replication and dissemination, making copyright protection extremely challenging. Moreover, with the development of emerging industries such as metaverse and digital collectibles, the ownership of rights for digital artworks has become more complex. The rapid and large-scale authorization of massive amounts of works will face challenges. Therefore, China urgently needs to establish a more complete digital art copyright protection mechanism, build a good digital copyright ecosystem, enhance the copyright awareness of society as a whole, and better protect the interests of producers, operators, and consumers at all nodes of the digital art copyright industry chain.   2 month 10 On the day of the opening forum of the first Shanghai International Digital Arts Expo, held at the Wang Xiaohui Art Museum, as a strategic partner of this expo, Frost & Sullivan ( Frost & Sullivan Wang Chenhui, Managing Partner and Executive Vice President of Frost & Sullivan Greater China Region, was invited to attend this event and delivered a keynote speech titled 2022 China Digital Art Copyright White Paper 2019 (hereinafter referred to as the 'Report').     The report is jointly released by Frost & Sullivan, LeadLeo Research Institute, Shanghai International Digital Arts Expo, National Copyright Trade Base (Shanghai), and Taihe Tai (Shanghai) Law Firm.    The core goal of the report is to clarify the definition of digital art copyright in China, the copyright protection process, and copyright protection technologies. It also explores the copyright regulations for the emerging business format 'digital collectibles', aiming to help creators of digital art, distribution platforms, consumers, and relevant government and enterprises enhance their understanding of digital art copyright, thereby further promoting the healthy development of China's digital art industry.   Wang Chenhui stated that from the perspective of digital art creators, the enhancement of copyright awareness helps to promote the creation of excellent digital art works; from the perspective of digital art-related enterprises, the improvement of copyright awareness is conducive to enhancing the management and operation capabilities of the entire copyright chain; from the government perspective, recognizing the value and significance of digital art copyrights, standardizing regulatory policies, can maximize the release of market value and play an important supporting role of digital copyrights in the cultural industry. 01   Why is the digital art copyright industry worthy of attention?   Wang Chenhui pointed out that, from the perspective of current development, there are four major pain points in the field of digital art copyright, namely: reshaping the copyright ecosystem with emerging business forms, frequent digital copyright litigation, serious infringement of images and audio works, and difficulties for creators to safeguard their rights.     Firstly, the birth of the metaverse and digital collectibles is reshaping the copyright ecosystem:   With the development of metaverse platforms, the way digital content is created may undergo significant changes. For example, AIGC AI-generated content will become one of the main productive forces in the future industry. Low-code, zero-code, and automated content generation will become important development trends. Against this backdrop, the attribution of rights to digital works will become more complex, and the rapid large-scale authorization of massive amounts of works will face challenges.   Secondly, China's digital art industry is facing the frequent issue of digital copyright litigation:   Intellectual property cases accepted by courts at the first instance across China approximately 70% It's a copyright case, and about 70% It is also related to the internet. It can be seen that the protection of digital works' copyrights in the future will be a focus of national copyright protection efforts. In addition, in terms of the types of infringing works, currently, copyright infringement involving images and audiovisual materials accounts for a high proportion:   2021 In [year], among the cases accepted by the Beijing Internet Court, copyright cases accounted for nearly 77% Among them, picture-related cases account for the highest proportion, followed by audio-visual works, and there is a continuous growth trend in this area.   Finally, it is important to note that current art creators are facing difficulties in protecting their digital copyrights:   According to data statistics from the China New Economy Research Institute, approximately 85% The creators of these works are forced to choose 'not to speak out' or 'resolve privately' after their work is infringed upon. The main reason lies in the complexity of the traditional evidence collection and rights protection process, which is time-consuming and costly, costing about 60% The compensation for image infringement cases only accounts for a fraction of the litigation costs 20% . 02   What are digital art copyright works?   According to Wang Chenhui, at the legal level, digital art copyright works are based on copyright, centered around the work itself, and supported by online publications.   （ 1 Definition of digital art copyright works:   Compared to artworks and works in everyday language, digital art copyright works have a certain 'threshold'. Digital art works can only be called digital art copyright works if they meet the legal definition of 'intellectual achievements within the field of art that are original and can be reproduced in some tangible form'. In China, copyright refers to the right of authorship. Digital art copyright works are protected by copyright law.   （ 2 Characteristics of digital art copyright works:   According to legal provisions, digital art copyright works must satisfy two major elements: originality and replicability.   Originality:   A work must be created independently by the author through conception and creation, and only works with originality are protected by copyright law. To determine whether a digital art work is original, one can refer to the following three key points: ① The work was completed independently by the author, not plagiarized or copied from others; ② The work needs to reflect the author's personality and possess a certain level of creative height. For example, in the case of fine arts, originality is usually manifested in the use of lines and colors. In music, originality lies in the combination of notes, the arrangement of scales, and the choreography of rhythms; ③ The work can clearly express the author's thoughts in a certain form.   Replicability:   It refers to the ability to produce one or more copies of a work through methods such as printing, photocopying, tracing, rubbing, recording, video recording, transcription, or photographing, without any change in the content of the work.   （ 3 Basis for digital art copyright works:   Digital art copyright works must comply with the 'Regulations on the Administration of Online Publishing Services'. An online publication refers to a digital work that is provided to the public through information networks and has publishing characteristics such as editing, production, processing, reproduction, distribution, etc. 03   How to protect digital art copyrights?   Wang Chenhui further pointed out that the copyright protection process for digital art works typically involves three major stages: copyright registration and preservation, copyright distribution, and copyright enforcement. In the cross-examination phase of rights protection litigation, judges need to verify and confirm that evidence is accurate and unaltered, providing strong support for the parties' rights protection efforts. However, from the current development situation, a large number of original authors in China lack awareness of retaining evidence during the creation process and after the completion of their works, often facing difficulties in presenting original evidence when dealing with copyright infringement or authorization issues. Therefore, original authors must establish the awareness of retaining original evidence as soon as possible. Currently, there are mainly two methods of digital copyright authentication in China: traditional copyright registration and blockchain copyright authentication. Both methods have legal effect, but blockchain copyright authentication is more convenient and can effectively solve the pain points of long service cycles and high costs associated with digital copyright registration. 04   How is blockchain evidence storage technology applied to commercial copyright protection?     Wang Chenhui stated that compared to traditional copyright protection models, a trusted blockchain platform can effectively improve the efficiency of resolving copyright disputes, reduce rights protection costs, and reshape the value of copyrights.     Confirmation of Rights and Evidence Preservation:    （ 1 The traditional method for copyright registration of works usually involves offline applications, which are cumbersome and require one to travel between multiple departments to prove ownership. / Between organizations, an appointment is usually required 30 Obtaining a copyright registration certificate within a working day does not enable quick confirmation of rights for works;    （ 2 Ant Blockchain can provide SaaS Platform services and API Access services enable individuals and organizations to achieve "publish and get a certificate" instantly. A digital certificate is generated online with one click, which can be verified by the judiciary.   Dissemination Monitoring:   （ 1 Facing the hundreds of millions of new media original works produced daily on online platforms, traditional manual monitoring and comparison methods are difficult to manage the vast amount of data across the entire network, making it challenging to control content distribution and ensure dissemination security; 2 Ant Blockchain uses the feature value extraction of content to generate specific digital fingerprints as its technical feature. It identifies and monitors based on the graphic, text, audio, and video content itself, with an identification accuracy precise to each frame, and a comparison accuracy rate that can reach 99% Above.   Evidence collection for infringement:   （ 1 Due to the strong concealment of online infringement and the characteristics of electronic evidence being easily tampered with and lost, original authors often find it difficult to obtain effective evidence of infringement; 2 Using blockchain electronic evidence collection tools, it is possible to promptly discover and self-solidify infringement evidence at any time. Online evidence collection can be carried out through methods such as web page screenshots and video recordings, and the data is recorded on the blockchain. , Provide reliable judicial evidence for rights protection.   Judicial Rights Protection:   （ 1 The traditional rights protection model is time-consuming, typically taking 3 - 8 Months, and the rights protection cost is as high as hundreds of thousands / piece; ( 2 Based on the evidentiary validity of evidence witnessed by authoritative nodes on the chain, blockchain platforms can introduce authoritative law firms, arbitration institutions, and judicial appraisal institutions to provide more efficient rights protection services throughout the process. The time limit is usually 20 Within 1 day, the cost is only a few hundred yuan / piece.   Intelligent Trading:   （ 1 ) Traditional digital copyright often adopt an offline matchmaking transaction model, lacking industry-standardized services. During the copyright transaction process, information is not interconnected, making it difficult to fairly and effectively distribute copyright revenues among original authors and relevant institutions; 2 ) Through a trusted copyright alliance chain, associated information is shared after being uploaded to the chain. Integration and data exchange can be achieved within smart contracts and business application layers, with fair and real-time revenue distribution realized through smart contracts. 05   In which art fields is blockchain evidence storage technology applied?   From the perspective of current development, Wang Chenhui stated that blockchain authentication technology has been applied in multiple art fields such as images, music, and design. Commercial art platforms have greatly improved the efficiency of copyright protection through blockchain authentication and evidence collection services, making the distribution and circulation of original works safer.   （ 1 ) Image domain case:   ByteDance's subsidiary Toutiao, which owns 800 Wanphotographer provides a vast array of photographers' resources. In collaboration with AntChain, it has applied blockchain technology to the picture copyright industry for the first time. After a photographer's work is uploaded to the blockchain platform and authenticated, they will receive an authentication certificate issued by a notary institution. This certificate can be accepted as evidence of copyright ownership just like traditional copyright certificates after judicial verification. In addition, the copyright registration information on the blockchain platform can be transmitted to the notary office in real-time. When photographers file infringement lawsuits, this can easily solve the problem of obtaining rights protection evidence.   （ 2 ) Music domain case:   Insect Sounds is based on UGC The digital music score operation platform currently uses the Ant Chain copyright platform for music score copyright protection, creating a complete set of processes including content authentication, authorization, and rights protection. This has greatly improved the efficiency of copyright protection and made the distribution and circulation of music score works safer.   （ 3 ) Design domain case:   The Jellyfish Intelligent Design Platform has introduced Ant Chain copyright protection technology, benefiting tens of thousands of users behind the platform. AI Intelligent logo The designed blockchain-based services for small, medium and micro businesses provide a full-chain service including blockchain document storage and digital certificate issuance. The blockchain copyright protection platform enables users to obtain large-scale property rights protection, helping them avoid infringement risks. 06   How should the copyright of digital art collections be regulated and applied?   Wang Chenhui believes that the standardized application of digital art collection copyrights mainly involves three major aspects. Platforms should conduct copyright and authorization reviews during the collection issuance process; clarify copyright ownership during the collection trading process; and specify the usage scenarios and derivative applications for collections during the collection utilization phase.   I. Collection Issuance Phase: Platform and IP address When signing the agreement, copyright and authorization reviews should be conducted. （ 1 When signing an agreement with the rights holder, the platform party should confirm that the rights holder indeed has complete copyright over the relevant work, and that there are no defects such as plagiarism or exclusive authorization. （ 2 ) When granting permissions, the platform provider should choose exclusive authorization as much as possible to prevent other platforms or brands from having the same digital collectibles.   II. Collection Transaction Phase: When the platform conducts transactions with users, it should clearly define the copyright ownership after the collection transaction （ 1 The platform should draft a user agreement to clarify the ownership of intellectual property and copyrights of digital collectibles after transactions. （ 2 The platform should draft a user agreement that clarifies users' infringement behaviors and the consequences they bear.   III. Collection Usage: The platform should specify the usage scenarios and derivative application scenarios for collections （ 1 The platform should draft a user agreement specifying the use scenarios and derivative application scenarios for digital collectibles. （ 2 The platform should clarify that after users purchase digital collectibles, they are not allowed to engage in speculation, money laundering, tokenization, financialization, securitization, or other illegal trading and circulation on public exchanges or privately. 07   How to address the issue of copyright compliance for digital art collections?   Finally, Wang Chenhui also stated that behind the popularity of digital art collections, there is an urgent need to standardize copyright compliance issues, which requires the joint efforts of multiple parties to promote the healthy development of the market. （ 1 museum IP address Fangji Collection Issuance Platform:   The platform should assume the responsibility for content and copyright review of digital collectibles, clarify the ownership of intellectual property rights for collectibles, and comply with regulatory requirements such as compliance limits, chain uniqueness, and prevention of speculation.   （ 2 Collection Designer:   The People's Court adopts a proactive and open attitude towards blockchain evidence collection and storage, encouraging digital art creators to use trusted blockchain platforms for evidence storage and presentation.   （ 3 Collection Issuance Platform:   The distribution platform for digital collectibles should assume legal responsibilities for technical security, network information security, and financial security, and establish a set of intellectual property review mechanisms.   （ 4 Collection Consumer:   Consumers of digital collectibles should pay attention to identifying the type and rights of their purchases, strictly abide by platform trading rules, and avoid speculation, off-exchange trading, fraud, and other behaviors. 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2023 year 2 month 13 Royal Dutch Philsips Elite Club 2023 The first city tour kicked off in Shenzhen, with this elite event specially inviting many industry leaders to engage in an in-depth discussion on market trends, quality breakthroughs, innovative ideas, and other issues. Chief Executive Officer of Royal Philips NV Mr. Hein Schumacher Senior Vice President, Professional Dairy Mr. Roger Loo Chief Business Officer of Professional Dairy Mr. Mark Stolzenbach Ms. Du Jing, General Manager of Professional Dairy Products China, attended the event.   Frost & Sullivan Frost & Sullivan Ms. Zhang Xiaojing, Executive Director of Frost & Sullivan Greater China, was invited to attend and delivered a speech on the future development trends of the Chinese baking and tea beverage markets. Ms. Zhang Xiaojing first shared the development trends of the baking industry. She pointed out,   From the product perspective, baked products are developing towards snack-like, healthy, and wellness-oriented offerings.   In recent years, whether it's cakes, bread or desserts, they have become increasingly compact and exquisite. The trend towards snack foods better meets consumers' needs for 'enjoyment' and 'social sharing', broadening the consumption scenarios; at the same time, consumers also pay more attention to health and wellness. Therefore, baked products made from natural ingredients, such as dairy fats, fresh fruits, nuts, probiotics, etc., as well as freshly baked and short-term shelf-life products at stores, will be more popular. " Z As the main consumer group of baking products, generations are keen on purchasing new products. "Ms. Zhang Xiaojing said. Baking products are trending towards diversified development, with brands creating new product matrices by combining different flavors, textures, and aromas to meet Z The generational pursuit of novelty. at the same time, IP address Brand collaborations are also diverse, helping products break through boundaries, increase brand exposure, and endow baked goods with an 'interesting soul' while being delicious and attractive, thereby enhancing consumers' willingness to purchase.   Ms. Zhang Xiaojing stated that while keeping up with trends and accelerating product launches, baking products also need to focus on strengthening their internal brand capabilities, dedicated to researching differentiated products to establish a brand image. In recent years, baking and beverages have merged and borrowed elements from each other's hits to incubate derivative creative new products. For example, the original coconut latte created by Luckin Coffee has become a hit in the coffee industry, balancing the bitterness of coffee with the sweetness of coconut milk cleverly, bringing new inspiration to baking products. Similar examples include soy milk tea drinks and matcha, which have been successfully incorporated into new baking products, becoming new memory points for brands. In addition, with the upgrade of consumption, baked products are developing towards higher-end directions. The full-platform layout of digital marketing and the popularization of takeout have expanded the reachable consumer group, further promoting the development of the baked market. The high-end positioning of products is mainly reflected in raw materials and design. For example, dairy products have been upgraded from plant-based to animal-based fats, and imported European brands are chosen to enhance the taste of the products; a high-value appearance and design can stimulate consumers' desire to share on social platforms. This kind of social dissemination can continuously bring topics and buzz to the brand, thereby increasing its popularity. In addition to product upgrades, digital marketing across the platform and food delivery will continue to penetrate. Before the pandemic, many brands had already launched online ordering features on third-party food delivery platforms, which accelerated the brand's digital marketing across all platforms over the past three years, including WeChat official accounts, mini-programs, Rednote, Douyin, etc. The increase in the penetration rate of catering and food delivery has also brought about an increase in online ordering volume and average order value for brands. According to Ms. Zhang Xiaojing, the consumption scenarios for baked products are no longer limited to home or bakery stores. They have extended to various settings such as tea shops, cafes, restaurants, and the current popular camping scene. The consumption scenarios and times are closely related. According to Frost & Sullivan research, afternoon tea is the most frequent consumption time, followed by breakfast, which aligns with the consumer's needs for 'enjoyment' and 'fullness' of baked products. A more diverse range of baked product scenarios can meet consumers' needs for consumption across multiple scenarios and times. Subsequently, Ms. Zhang Xiaojing analyzed the future trends of the tea beverage industry. She stated,   Similar to the baking market, new tea beverages are also showing a trend of category expansion.   The retro trend is sweeping through, like the collaboration between Black & White Milk and Leluo Tea. They inject the soul of classic Hong Kong-style milk tea—plain milk—to new beverages, recreating the classics and leading a nostalgic trend. In line with the trend of 'coffee drinks becoming tea drinks,' tea brands have also created series of products such as coconut, cheese, and thick milk, breaking down barriers between different dimensions and opening up a 'multiverse,' greatly increasing sales. In terms of raw material upgrading, 'dairy products + Tea base ” Dual-wheel drive for upgraded tea drinks.   On one hand, new tea brands actively cater to the trend of healthy consumption, widely using fresh milk to replace traditional milk powder and creamers in milk tea. On this basis, they develop tea formulas for high-end dairy products such as light cream and cheese, customizing rich and creamy tastes through different brewing methods and ratios. On the other hand, the upgrade in tea base is reflected in differentiated competition in the tea base market. From tea powder to black and green tea, and then to high-quality original leaf tea from the same region, they even incorporate refined tea-making methods such as extraction to fully satisfy consumers' enjoyment of drinking tea. In addition, the offerings are also constantly evolving. Frost & Sullivan has tallied the number of new products launched by leading tea brands each year over the past three years. 2020 New launches in aggregate annually 575 model 2021 Year-on-year surge 60% reached 930 amount, as of 2022 The number of new releases in the first three quarters of the year reached a new high.   "The surge in new product numbers is behind even more intense competition," Ms. Zhang Xiaojing further explained. Although tea infusions are a supporting role, they bring richer layers, flavors, and tastes to tea drinks, making them a battleground for brand competition.   In addition to Chinese ingredients such as sweet potato and taro puree, there are also new ingredients like 'horse hoof popcorn'. + The interesting features of new technologies have brought new vitality to the tea beverage market. It is worth noting that since 2022 Since the beginning of the year, Xicha has led the new tea beverage market to bid farewell 30 The era of yuan prices. Brands continue to enrich their offerings. 20 For product categories below the RMB 100 level, while average order value has declined, consumption frequency has increased. At the same time, direct-operated brands such as Xicha have started franchising in some areas under certain conditions, aiming to capture the lower-tier market and accelerate penetration. Ms. Zhang Xiaojing stated that tea is addictive, with consumption habits having been largely formed and a high repurchase rate achieved. Consumers have a high loyalty to brands and pay more attention to products with better cost performance. At the consumer end, Frost & Sullivan has observed three trends: 1 The frequency of tea consumption has increased, and consumption habits have been formed. 9 Consumers make at least one purchase per week; 2 The tea beverage brand has a high loyalty rate, with consumers preferring new products over old ones; 3 ) The mainstream consumption of tea falls on 20 Within the original price range, cost-effectiveness has become a battleground for businesses. Ms. Zhang Xiaojing believes that in the future, the export and differentiation of tea culture will be the core competitiveness that resonates with the younger consumer group. For tea brands, in addition to producing good products, they also need to tell compelling stories. For example, tea IP address Joint efforts have expanded to popular historical dramas, from 'Dream of the Red Chamber' to 'Empresses in the Palace'. IP address The fit between culture and product enables IP address Customized drinks have become a hit; the freshly made handmade tea brand —— Grandma's Handmade, which conveys an ancient culture, craftsmanship, and the taste of home. Through genuine ingredients and handcrafted production, even with higher pricing, consumers are willing to pay; there is also the popular winter pastime of roasting tea around the stove, which has brought new Chinese-style teahouses onto hot search lists through leisure scenarios. + Tea culture + The sense of atmosphere helps to explore the infinite possibilities of new tea beverages.

According to the latest news from CCTV.com, 2022 In [year], China's international market share in the shipbuilding industry continued to rank first globally. In terms of tonnage delivered, new orders placed, and orders in hand, they accounted for 47.3% , 55.2% and 49.8% Among the global new ship orders, there are more than 49% All orders for dual-fuel green ships are built in China. The civil shipbuilding industry has welcomed 20 In the once-in-a-decade major cycle, how should we view the duration of this shipbuilding cycle? What stage is currently being experienced within this major shipbuilding cycle? Does this super-cycle have an impact on the primary market? Will private shipyards trigger a large-scale listing wave? Will the industry structure change as a result? What opportunities will this cycle bring to private shipyards? With the recent improvement in the oil shipping sector's prosperity, will it affect the order volume for oil tankers? Frost & Sullivan Frost & Sullivan Frost & Sullivan Greater China Executive Director Xiang Weili was interviewed by Securities Daily   Interview, to jointly discuss the aforementioned topics. Securities Daily Q Securities Daily Reporter: After a round of adjustments, the civil shipbuilding industry has welcomed 20 In the context of a once-in-a-decade major cycle, how should we view the duration of this shipbuilding cycle? What stage is currently underway within the major shipbuilding cycle? To power Executive Director, Greater China, Frost & Sullivan   From the demand side, affected by multiple factors such as high shipping market rates, increased environmental standards, and the driving of replacement demand by aging vessels, the demand for new shipbuilding has entered an upward cycle. On the supply side, driven by multiple market cycles such as financial crises and pandemics, the global shipbuilding industry's capacity has undergone several deep adjustments and is currently still in a tight state.   Therefore, the misalignment between demand and supply is driving the civil shipbuilding industry into a new cyclical upward phase. Historically, the cycle of the shipbuilding industry typically lasts about twenty years. With the continuous improvement in the strength of shipbuilding enterprises and technological progress, we expect that the supply-demand gap in the civil shipbuilding industry will continue to widen, driving the industry to maintain a state of both volume and price increases. Q Securities Daily Reporter: From the perspective of the secondary market, individual stocks in the shipbuilding industry have shown price appreciation since last year. Is the industry still in its early stages of a major cycle at this stage? To power Executive Director, Greater China, Frost & Sullivan   In recent years, with the in-depth adjustment of the shipbuilding industry and the stable development of the economy and society, the shipbuilding sector has entered a new stage of steady growth. In addition, the pandemic has further consolidated China's position as a global factory, stimulating a significant increase in China's exports and ship demand, providing market conditions for shipbuilding enterprises to expand their orders. Therefore, the performance of individual stocks in the shipbuilding industry is not due to short-term fluctuations but rather the result of several years of upward cycles brought about by the improvement in the fundamentals of the shipbuilding industry. With the rapid development of the industry and the continuous validation of the competitiveness of Chinese shipyards, we believe that the prosperity of China's shipbuilding industry has a relatively long sustainability. Q Securities Daily Reporter: Has this super-long cycle had an impact on the primary market? Will private shipyards trigger a large-scale listing wave? Will the industry pattern change as a result? What opportunities will this cycle bring to private shipyards? To power Executive Director, Greater China, Frost & Sullivan   In the short term, the soaring prices of international energy such as oil and natural gas due to regional conflicts have changed the global supply chain. At the same time, the pandemic has had a severe impact on global shipping logistics, leading to shortages of container equipment, significant delays in ship schedules, and continuous increases in freight rates.   phenomenon.    Currently, ship prices have been rising continuously, and the upward trend in the shipbuilding industry is evident. The profit per single order in the domestic shipbuilding industry has significantly increased, leading to a shortage of available berths. With the clearance of overcapacity in the industry, the concentration of the shipbuilding industry has significantly increased, and the competitive landscape has been markedly optimized. Currently, the global shipbuilding industry is dominated by enterprises from China, Japan, and South Korea. Some leading Chinese companies have absorbed overseas technology during the downturn in the shipbuilding industry and have mastered the design capabilities of the most core power systems for shipbuilding. Against the backdrop of international energy transformation, Chinese shipbuilding enterprises have launched new power systems with independent intellectual property rights for future new energy directions. Considering environmental protection, the short-term capacity fulfillment will depend on the improvement of the utilization rate of shipyards' capacity. The concentration of China's shipbuilding industry is relatively high, and the industry pattern is relatively stable. In the short term, private shipyards can take advantage of the industry trend by securing more orders. Since the delivery cycle of the shipbuilding industry is generally 2 - 4 Around 2024 Delivery started around [a certain year], with a certain lag in profitability. Q Securities Daily Reporter: The oil transportation sector has seen an uptick in prosperity recently. Will this affect the order volume of oil tankers? To power Executive Director, Greater China, Frost & Sullivan   The demand for oil tankers continues to rise due to the following factors:   1 ) OECD National inventory replenishment needs.   currently OECD Oil inventories are at their lowest point in nearly a decade. With the easing of the pandemic, economic activities and travel demand have recovered in various countries. Coupled with the decline in crude oil prices, countries will start replenishing their inventories, leading to an increase in oil transportation demand.   2 ) The transportation distance is extended.   Driven by geopolitical catalysis, the crude oil trade pattern is adjusting. Under Russia's oil embargo, Europe will shift to importing from the Middle East and the United States. Meanwhile, under the Sino-US trade agreement, China's proportion of imported US oil is expected to increase, which will extend the global average oil shipping distance and boost the demand for crude oil turnover.   3 ) Ship aging.   At present, the average age of oil tankers is 12 Around [X] years. The age requirement for oil tankers is more stringent compared to other types of ships, usually 15 Oil tankers over 10 years old will withdraw from the mainstream oil transportation market. As the proportion of older ships increases, the demand for ship replacement continues to rise. Impact on oil tanker orders:   At present, the number of oil tanker orders in hand is at a relatively low level, and the capacity utilization rate of in-hand orders is 7.9% , at a historically low value. Considering 2021 The year-ahead shipping industry is highly prosperous, with shipyards receiving a large number of shipping orders, and the queue for orders is already long 2025 Therefore, even if oil shipping orders are declining now, delivery will still take some time.   In the near term, capacity supply growth is limited, with tight supply of oil tanker capacity. Q Securities Daily Reporter: What are the uncertain factors affecting the performance of the shipbuilding cycle? To power Executive Director, Greater China, Frost & Sullivan   Uncertain factors affecting the performance of the shipbuilding cycle include: the COVID-19 pandemic, port congestion, lockdowns, or similar 'Cheung Cheung Kai' incidents causing logistics disruptions, sharp fluctuations in raw material prices, natural disasters, as well as sanctions, embargoes, and so on. In addition, recent exchange rate fluctuations caused by the Federal Reserve's interest rate hikes will also have an impact on the shipbuilding industry. Although export ships are basically settled in US dollars, the depreciation of the local currency against the US dollar is beneficial to shipbuilding enterprises. However, Japanese shipyards currently hold more than half of their orders from domestic enterprises. Therefore, exchange rate fluctuations pose higher demands on shipbuilding enterprises' exchange rate risk management capabilities and cost control abilities.   * This interview was published in 'Securities Daily', with reporters Jiao Yue and Shi Lu. The original title was    "The    The global shipbuilding industry has entered a new upward cycle Domestic shipping companies IPO listing Be cautious    >>    (Click 'Read the Original Article' at the end of the text to read the full report).

  As of 1 month 30 days, a total of 1,209 Public disclosure of listed companies 2022 Annual performance forecast 664 Domestic performance is expected to be positive, proportionally 55% Specifically, 442 The company's performance is expected to increase. 105 The number of households has increased slightly, 22 Family prosperity, 95 The company turned losses into profits.   The company's performance is anticipated to be positive, with its main operations distributed in industries such as electronics, power equipment, and pharmaceutical biotechnology. In addition, strategic emerging industries have performed well. 198 The home industry comes from strategic emerging industries, mainly focusing on new-generation information technology, new materials, and biotechnology. How do you view the strong performance of several leading lithium battery companies last year? Why are the companies with positive forecasts mainly concentrated in industries such as electronics, power equipment, and pharmaceuticals/biotechnology? How do you view the good performance of strategic emerging enterprises, especially those in the new generation information technology industry? What is your forecast for the prosperity of these industries this year? Frost & Sullivan Frost & Sullivan Cui Nan, Executive Director of Frost & Sullivan Greater China Region (hereinafter referred to as 'Frost & Sullivan'), was interviewed by Securities Daily   Interview, to jointly discuss the aforementioned topics. Securities Daily Q Securities Daily Reporter: How do you view the strong performance of several lithium battery industry leaders last year? A group of leading lithium companies represented by Tianqi Lithium Industry, Shengxin Lithium Energy, and Tianhua Superclean   Remarkable achievements have been made in the past year    It is mainly influenced by both industry benefits and the company's own management capabilities.   From an industry perspective,   2022 In 2021, thanks to the continuous rapid development of new energy vehicles in China and other countries around the world, lithium batteries, as one of the key raw materials for new energy vehicles, saw significant growth in sales volume and price, driving the revenue growth of leading enterprises. According to the China Association of Automobile Manufacturers 2022 The production and sales of new energy vehicles in [year] showed that 2022 Throughout the year, China's new energy vehicle production and sales reached 705.8 10,000 units and 688.7 10,000 units, a year-on-year increase 96.9% and 93.4% , market share has reached 25.6% , 2022 The rapid growth in the production and sales of new energy vehicles in recent years has driven an increase in demand for upstream lithium batteries.   From the perspective of raw material prices,   Although raw material prices continued to surge in the first half of last year, with some raw materials surging by more than 10 Multiple times, but currently the prices of raw materials have shown a downward trend. The decline in raw material prices has brought greater growth potential to leading enterprises.   In addition, the company's own management capabilities have also had a positive impact on its strong performance.   Taking Tianqi Lithium Industry as an example, the company is actively deploying in the industrial ecosystem. The joint venture companies purchased by Tianqi Lithium Industry previously SQM2022 The annual performance has increased significantly year-on-year, so the company's related investment income has also risen significantly, and it holds shares in SES Yu 2022 year 2 The company is listed on the New York Stock Exchange, and its investment income has also had a positive impact on the company's impressive performance. Q Securities Daily Reporter: Why are the companies receiving positive forecasts mainly concentrated in industries such as electronics, power equipment, and pharmaceuticals and biotechnology? What is the expected prosperity level of these industries this year?   Looking at the number of sectors to which the company belongs, in descending order according to the performance forecast, 2022 The electronics sector is expected to see the largest number of companies making positive forecasts for the year, followed by power equipment and pharmaceutical biotechnology. In the electronics sector,   Despite the continuous inventory reduction of consumer electronics companies due to weak sales of smartphone terminals, they are also benefiting from the support of demand in downstream segments such as smart cars and photovoltaics. Coupled with the trend of domestic substitution, semiconductor equipment and components, IGBT As the segmented fields maintain a high momentum of development, overall, the semiconductor and automotive electronics sectors have become key drivers for the electronics sector.   In the power equipment sector,   China's development goal of 'dual carbon' provides an important impetus for the construction of new power systems, and the goal of new energy transformation has also catalyzed the development of energy storage in China. According to data from the National Energy Administration, as of 2022 year 12 At the end of the month, the cumulative installed power generation capacity nationwide was approximately 25.6 1000 million kilowatts, a year-on-year increase 7.8% Among them, the installed capacity of wind power is about 3.7 1000 million kilowatts, a year-on-year increase 11.2% , with the installed capacity of solar power generation about 3.9 1000 million kilowatts, a year-on-year increase 28.1% At the same time, 2022 New photovoltaic installations in the year 8741 10,000 kilowatts, a year-on-year increase 60.3% In the future, with the development goals of new energy, the electronic device industry will continue to see positive development.   In the pharmaceutical biotech sector,   2022 Affected by the pandemic in 2020, the industry as a whole maintained a strong growth momentum. The main highlights include pharmaceutical R&D outsourcing, diagnostic reagent services, chain pharmacies, medical equipment, and routine vaccines. It is expected that this year, as China adjusts its epidemic prevention and control policies, these industries with strong momentum will continue to maintain steady growth. Q Securities Daily Reporter: How do you view the good performance of strategic emerging enterprises, especially the new generation information technology industry? The State Council is in 2010 In the 'Decision of the State Council on Accelerating the Cultivation and Development of Strategic Emerging Industries' of [year], strategic emerging industries were defined for the first time as industries that are based on major technological breakthroughs and significant development needs, play a significant leading role in the overall economic and social development and have great growth potential. The plan is to 2030 Before the Spring Festival, China had reached world-advanced levels in seven major fields: energy conservation and environmental protection, new-generation information technology, biology, high-end equipment manufacturing, new energy, new materials, and new energy vehicles. 2022 In [year], our country continued to encourage and promote the development of the new generation information technology industry, promoted the introduction of relevant policies to support the development of software and information technology services, formulated and issued the '14th Five-Year Plan' for the Development of Software and Information Technology Services, and the 'Three-Year Action Plan for Cloud Computing Development ( 2017 — 2019 In the past year, a series of policy documents such as 'Guiding Opinions on Accelerating the Application and Industrial Development of Blockchain Technology' were issued. At the same time, efforts have been made to actively layout the development of fields such as big data, cloud computing, artificial intelligence, blockchain, and industrial Internet, and to integrate these technologies into key industries. Taking manufacturing as an example, China has emphasized the need to accelerate the deep integration of new-generation information technology with manufacturing, and promote the clustered development of advanced manufacturing industries.   Therefore, we believe that the outstanding performance of strategic emerging enterprises, especially in the new generation information technology industry, is a reflection of our country's national development goals and an important foundation for promoting future development.   * This interview was published in 'Securities Daily', with reporter Xing Meng, and the original title was   "Over 1,000 Listed Companies 2022 Full scan of annual performance forecasts: 234 The upper limit of net profit growth at home exceeds 100% Lithium battery stocks outshine the rest   (Click on the article title to read the full report). Recommended Reading   1 Frost & Sullivan: The Chinese gaming market has moved from an era of extensive volume buying to one of building a high-quality game moat, and game developers still have a long way to go in terms of localization.   2 Frost & Sullivan: China has become the world's largest consumer and importer of cherries, but per capita consumption is still relatively low   3 Frost & Sullivan: Policy guidance for the use of underutilized land to construct photovoltaic projects is conducive to improving the economic efficiency of such projects   4 ,   Frost & Sullivan executive: In the future, with the full and smooth implementation of the registration-based system reform, it is expected that A Equity will continue to lead global capital markets   5 Frost & Sullivan executive: With the implementation of the 'New Ten Measures', 2023 The macroeconomic development in 2023 will witness relatively rapid growth

1 In mid-month, the Game Working Committee of the Chinese Audio-Visual Games Industry Association (hereinafter referred to as 'Game Working Committee') announced 2022 China's Game Industry Data Summary for 8 Among market indicators, only the client game market has seen growth. Both the market scale and user scale, two important indicators, have shown a 2014 The first decline since the beginning of the year. 2022 In [year], the gaming industry has been focusing on going global. Why is the actual revenue from overseas markets for self-developed games also declining year-on-year? From an industry perspective, what changes and trends are there in China's game exports at present? What challenges still face it? Frost & Sullivan Frost & Sullivan Yang Lizhu, consulting director of Frost & Sullivan's Greater China region (hereinafter referred to as 'Frost & Sullivan'), was interviewed by Cailian Finance's 'Sci-tech Innovation Board Daily'.   Interview, jointly discussing the development of the Chinese gaming market. Cailian Finance & Economics News Agency Q 2022 In [year], the gaming industry has been emphasizing going global. Why is the actual revenue from overseas markets for self-developed games also declining year-on-year? The overseas expansion of the gaming industry is indeed a major development trend in China's gaming industry at present. The actual sales revenue from overseas markets for self-developed games has declined year-on-year. The main reasons can be attributed to three points: First, the decline in consumer spending due to the global macroeconomic environment; second, intensified competition in overseas game markets leading to higher purchase costs; third, some Chinese game manufacturers lack experience in overseas expansion and have poor localization efforts, making it difficult to attract local players.     First, the decline in player spending due to the macro environment. The overseas expansion of Chinese games inevitably faces the impact of the overall economic environment of overseas markets. In the post-pandemic era, not only in China but also globally, macroeconomics are facing downward trends, especially in Europe and America, which are currently facing 40 The highest inflation level in years. Over the past three years, in order to cope with the impact of the pandemic, both the Federal Reserve and the European Central Bank have adopted QE (QQE) policies, which have pumped a large amount of liquidity into the market, driving up inflation. Coupled with the recent persistent global energy price increases due to the Russia-Ukraine conflict, this has further elevated global inflation levels. Against the backdrop of high inflation, consumer spending in the gaming industry has declined to a certain extent, ultimately reflected in a reduction in the overall revenue level of the gaming industry.     Second, competition in the overseas game market has intensified, driving up purchase costs. The overseas game market is transforming from a blue ocean market into a red ocean market. As Chinese games concentrate on going global, game companies are not only facing competition from local enterprises in overseas markets but also from other Chinese game companies. Buying volume is a unique marketing and promotional method in the Chinese gaming industry, referring to the precise targeting of game advertisements to target users through pop-up ads on social platforms, video platforms, and other media. On one hand, Chinese gaming companies are concentrating on going global for gold mining. In the same overseas market, if there is a competitor that focuses on buying volume, it can easily lead to a sharp increase in bidding costs in the short term. On the other hand, as Apple Store, Google Store, and others have modified their user privacy policies, allowing users to limit ad tracking and information collection to protect their privacy, it greatly restricts the accuracy of 'buying volume' for gaming companies that mainly rely on buying volume to achieve user payments. This ultimately leads to higher costs of 'buying volume', reduced ad accuracy, poor advertising effectiveness, and ultimately limits revenue from overseas markets.   Thirdly, some game developers lack experience in going global, and their localization efforts are not strong. Coupled with unfamiliarity with marketing channels, they find it difficult to adapt to overseas markets. During the process of games going global, they will inevitably encounter differences in policies, cultural customs, and other aspects, which pose high requirements for game companies' localization operational strategies. Some game manufacturers lack experience in going global and find it difficult to effectively improve localization in areas such as game content, distribution, and operations. As a result, their market share is taken by local game companies, leading to a decline in revenue. At present, the overseas expansion footprint of Chinese games has covered regions including Europe and America, Japan and South Korea, Southeast Asia, the Middle East, etc. Taking the Japanese market as an example, Yahoo is the main traffic channel in Japan. However, the promotion price of Yahoo is relatively high and difficult to compete with. At the same time, due to high living pressure and work pace, the profile of mobile game players in Japan tends to be middle-aged, with an average player age of 40 The industry is facing high demands for game quality, and user retention obtained through sheer volume purchases is poor. It is difficult for games to make a profit solely by relying on volume sales. Q Looking at the industry, what changes and trends are there in China's game exports going forward? What challenges are still faced? 1 Changes in Chinese Games Going Global: The 'volume sales' myth has been shattered, and game developers are turning towards the development of high-quality products. China Mobile's overseas game development has gone through three major stages: overseas exploration, rapid development, and model maturity. 2009 - 2011 The year is in the overseas exploration phase. With the development of the overseas game market, some game companies have established branches overseas, but the games launched are mainly web-based. 2012 year -2017 The year is a stage of rapid development, with mobile games beginning to expand into overseas markets. 2018 - 2022 The year is at the stage of model maturity, with China's game approval process suspended, and game companies are flocking overseas in search of growth opportunities. In the past few years, Chinese game companies have rapidly occupied overseas markets by 'buying impressions'. However, with rising costs of impression buying, decreased accuracy due to privacy policy changes, and fierce competition from Chinese peers, the myth of achieving profitability through impression buying in overseas markets is gradually collapsing. It is undeniable that impression buying can indeed help games quickly increase exposure and acquire users in a short period, but current game companies are beginning to realize that the effect of impression buying on overseas game distribution and operations is quite limited. On one hand, the rapid growth in the cost of acquiring user base has had a significant impact on the profitability of game companies. On the other hand, the emergence of high-quality games such as Genshin Impact reflects players' recognition of high-quality gaming. Currently, most leading game companies have also realized the market demand for high-quality games and have increased their R&D investment. It is expected that there will be more original content in the future. IP address And the launch of high-quality games.   2 The trend of Chinese games going global mainly includes two points: first, the quality of games will further improve; second, emerging markets in Southeast Asia, the Middle East, and Latin America are on the rise.   Firstly, the quality of games released overseas will be further improved, shifting from solely relying on marketing traffic to a focus on robust product quality. On the one hand, from the supply side, more and more Chinese game developers are entering overseas markets. Similar marketing strategies are difficult to provide a core competitive advantage for game companies. Only by focusing on the game product itself and creating high-quality products can a company establish a moat of quality and reputation in the fierce global competition, thereby occupying more market share. On the other hand, from the demand side, as the number of overseas game products increases, players' expectations for game quality are also constantly rising. In addition, whether overseas games can provide localized content will become one of the core competitiveness factors for successful game exports.   Second, emerging markets in Southeast Asia, the Middle East, and Latin America are on the rise. Currently, the main regions for Chinese games going global are concentrated in developed economies with high per capita income and mature industrial chains, such as the United States, Japan, and South Korea. These regions have rapidly growing mobile game market sizes and generally adopt an open attitude towards overseas game products, with lower entry barriers. Therefore, they have become the primary target markets for Chinese game companies going global. However, in recent years, with the economic development of Southeast Asia, the Middle East, and Latin America, as well as the increasing penetration of mobile internet, the growth potential of these regions' mobile game markets cannot be underestimated, and they are expected to become emerging markets for Chinese games going global.   3 Challenges for Chinese games going global: Localized game development and operation will remain the main challenges for Chinese game developers for a long time. For most small and medium-sized game developers in China, localized game development and operation will remain a significant challenge. Localization involves not only the development of game content but also subsequent distribution and operation, which are interlinked. For large game developers such as Tencent and NetEase, they already have relatively mature overseas teams and operational experience with related game products. However, for most small game developers, they have never touched the overseas market, do not understand the needs of overseas players, are unaware of relevant overseas policies, and lack experience in the distribution and operation of overseas games. This will be the main challenge faced by most small game developers.   Overall, China's game overseas market is currently facing an important turning point. It is moving from the era of extensive volume purchasing to one of building a high-quality game moat. Localization will remain a significant challenge for Chinese game developers for a long time to come. Although the overseas game market has great potential, Chinese game developers still need to be fully prepared.   * This interview was published in the Sci-tech Innovation Board Daily of Cailian Finance & Economics News Group, with reporter Zhang Yangyang. The original title was 'The Game You're Playing Is “Changing”'. | focus    》(Click "Read the Original Article" at the end of the text to view the full report). 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