HK Stock Market Move | KINGSOFT CLOUD(03896) rose over 7% in the morning session. The company announced an upgrade to its intelligent computing service system, expected to benefit from the increased demand from Xiaomi and Kingsoft ecosystems.

KINGSOFT CLOUD (03896) rose over 7% in the morning session, with a 5.92% increase as of the time of writing, reaching HK$5.19, with a trading volume of HK$2.15 billion. On the news front, at the recent KINGSOFT CLOUD annual Tech Talk, KINGSOFT CLOUD Senior Vice President Liu Tao announced the comprehensive upgrade of KINGSOFT CLOUD's intelligent computing service system to support the implementation of large-scale model applications. It is reported that KINGSOFT CLOUD has built the intelligent computing cloud 1.0 capability system around basic cloud, intelligent computing network, and intelligent computing platform, and is evolving towards the platformization and Serverless evolution of the intelligent computing cloud 2.0. It is worth noting that on November 19, 2024, KINGSOFT CLOUD announced that it had signed a new framework agreement with Xiaomi. GF SEC expressed optimism about the future demand for computing power as Xiaomi integrates AI deeply into its ecosystem. EB SECURITIES pointed out that as the only strategic cloud platform within the Xiaomi & Kingsoft ecosystem, KINGSOFT CLOUD's revenue elasticity from the ecosystem can be expected, profitability is expected to continue to improve, and the company's adjusted operating profit margin is expected to turn positive in 2025.