ZX INC (09890) and Kingnet Network (002517.SZ) subsidiary plan to jointly invest in JiYi Company to promote the development of AI big model technology in the gaming industry.

ZX INC(09890) announced that on February 26, 2025, its indirect wholly-owned subsidiary Future Far-reaching Limited (Future Far-reaching) signed a cooperation memorandum with Hangzhou Kaixing Network Technology Co., Ltd. (Hangzhou Kaixing), a subsidiary of Kingnet Network Co., Ltd. (002517.SZ) (Kingnet Network), to jointly invest in a company provisionally named Ji Yi Company (subject to registration) and promote the development of AI large model technology in the gaming industry. According to the cooperation terms, Future Far-reaching will make a monetary investment totaling RMB 10 million, and will hold 10% equity in the target company after the investment. The target company's main business is to develop commercial applications of "Xingyi" AI large models and artificial intelligence engines in the gaming, film and television, and other entertainment sectors. The announcement stated that by signing this cooperation memorandum and conducting strategic cooperation with strategic partners, the company believes that the diversified application of artificial intelligence will enhance the group's game distribution and operation efficiency. With the technical support of the "Xingyi" AI large model, the group can optimize the distribution and operation processes of its game products, reducing operating costs. The application of AI technology can help the group achieve precise marketing, optimize the integration and testing efficiency of new games with developers, and accelerate the speed of new game launches. Additionally, the use of AI to assist in game development and content generation helps reduce development costs, enhance game creativity and player experience, and maximize the brand value of the group. This strategic cooperation marks a transition from resource integration to capability coupling in the collaboration between the company and Kingnet Network. The two parties not only continue their mature cooperation model in game development, IP operation, and global distribution, but also achieve deep collaboration at the technological level through joint investment in an AI company, fully leveraging each other's strengths, complementing each other's advantages, realizing resource sharing, mutual benefits, and enhancing the overall competitiveness and long-term development potential of both parties.