Zhongjin: Focus on the impact of open source AI video generation models and commercialization trends

CCB released a research report stating that recently, multiple AI video models, such as Step-Video-T2V, PixVerse (released V4 version), and Alibaba (09988) (Wanxiang 2.1 model), have made new progress in their releases. Currently, the upgrade of base models/vertical models and increased investment by leading manufacturers are expected to drive the application layer of the media industry to flourish, explore more creative content production outputs, and diverse commercialization paths. Continued attention should be given to Kuaishou (01024) (Keling AI video model technology leading globally, focusing on the integration of AI technology and ecology, and commercialization progress). CCB's main points are as follows: Open source: Multiple video models announced open source, which may accelerate the secondary development of small and medium-sized manufacturers, and promote technological progress. Recently announced open-source AI video generation models include Alibaba's Wanxiang 2.1 model (February 25), Kunlun TechSkyReels-V1 (February 18), and Step-Video-T2V's graphic video model to be open-sourced in March. Specifically, the Wanxiang 2.11.3B version can now be deployed on consumer-grade graphics cards, helping individual creators to quickly generate videos without relying on cloud computing power, reducing local video generation time to minutes. In terms of cost, for commercial users, the Professional Edition and Quick Edition API calls cost 0.7 and 0.24 yuan/second, respectively, similar to the previous mainstream video big model access costs. This will promote the continuous advancement of video big model technology and accelerate the secondary research and development of small and medium-sized manufacturers. Performance: Version iteration advances, improving the refinement of creation and freedom of operation, exploring creative functions to expand audience coverage. Kuaishou Keling launched the "multi-image reference" mode at the end of January. PixVerse released version 4.0 on February 24, significantly upgrading the underlying model, adding synchronized sound effects generation and stable transformation drawing function (Restyle). Pika updated to version 2.2 on February 27, innovatively upgrading keyframe dynamic control and full-scenario creative adaptability. CCB believes that the current changes in AI video technology mainly focus on several aspects: 1) Iterative upgrades of core functions, such as continuous expansion in generation duration, resolution, basic text generation, stability, consistency, etc., which is beneficial for professional content creators to improve production efficiency and native content quality; 2) Innovative creative functions, such as the introduction of "creative effects/templates" to support C-end users in generating content with one-click to break boundaries. Enhancing deep cooperation with the content industry, focusing on the integration of AI video ecology and commercialization space. All video generation models are strengthening cooperation with the industry. Overseas companies like Runway have gradually integrated into the Hollywood film and television production ecosystem. Domestically, Step-Video-T2V and H&R Century Union Corporation jointly established the "Linyue" AI Joint Laboratory, signed the country's first strategic cooperation for the entire digital video industry chain with TVZone Media and Changsha Malan Mountain Investment Company, etc. Commercially, Keling has already achieved commercial flow (the company stated that Keling AI's commercial flow exceeded tens of millions of yuan in a single month in November 24), and multiple AI video companies have opened membership fees, API services, and other commercialization models. It is recommended to continue to pay attention to the application value and commercial potential of AI video technology in the existing e-commerce and entertainment ecology. Risk factors Unexpected technological development, changes in video copyright policies, and slower-than-expected progress in commercialization.