CITIC Securities: How to view the impact of Google Genie's world model on game content.

CITIC Securities pointed out that the recent release of Google's Project Genie world model has sparked discussions in the US stock market about the risks of AI disrupting game content creation. However, from aspects such as content generation time, internal consistency, adherence to objective physical laws, and repeatable experiences, Project Genie is still in the early stages, and has not yet formed a substantial impact on the business models and competitive landscape of game engines and game developers, bringing potential benefits to the game advertising industry. The significant fluctuations in the stock prices of related companies are more due to concerns about AI narrative aspects, while the extreme trading style in the US stock market since the beginning of the year is also an important background. The fundamental outlook of relevant key companies is still in the process of improvement. It is recommended to continue monitoring the performance and progress of related companies, as the short-term price corrections also provide significant opportunities for increasing positions.