Ladies and gentlemen, welcome to Horizon Robotics 2025 annual results conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. I would now like to turn the call over to your host, Miss Xuan Jiang, VP and Board Secretary and Head of Investor Relations of Horizon Robotics. Thank you, Xuan. You may begin. Thank you. Ladies and gentlemen, welcome to the investor conference call, an audio webcast hosted by Horizon Robotics. On today's call, we also have Dr. Kai Yu, Founder, CEO, and the Chairman of the Board of Horizon Robotics, and Mr. Lei Wang, CFO and Head of Capital Market of the company. We will begin with Dr. Yu sharing our latest strategic and business developments. This will be followed by Lei's review of the company's financial performance in 2025. We will then proceed to the Q&A session. Before we start, we want to remind you that this call may include forward-looking statements, which are undermined by a number of risks and uncertainties, and may not be realized in the future for various reasons. Information about general market conditions come from a variety of sources outside of Horizon Robotics. This presentation also contains some unaudited non-IFRS financial measures that should be considered in addition to the company's financials prepared. I will now turn the call over to our CEO, Dr. Yu. [Foreign language]. Good evening, dear investor friends. I am Kai Yu, Founder and CEO of Horizon Robotics. I'm very glad to meet everyone online again and report to you on our business performance for the full year of 2025. First, I would like to share with you the latest trends in the entire intelligent assisted driving industry. In 2025, the penetration rate of intelligent assisted driving in China's passenger car market reached a new high of 68%. Among these, advanced intelligent assisted driving models represented by highway NOA and urban NOA already accounted for 43% of all intelligent assisted vehicles. Compared with 2024, the penetration rate of various NOA intelligent assisted driving functions doubled within just one year. To put it more intuitively, this means that for every 3 passenger cars sold in the market last year, 2 featured intelligent assisted driving, and 1 was equipped with NOA intelligent assisted driving system. During the continued rise of the intelligent driving industry, Chinese domestic brands and Horizon Robotics have played a core leading role. Last year, among the intelligent vehicles sold by Chinese and domestic brands, advanced intelligent assisted driving models accounted for as high as 62% of sales, far higher than the 13% level of joint venture brands. Everyone knows that the mainstream market for cars priced under 200,000 CNY forms the foundation of China's auto market, accounting for 65% of total vehicle sales in China. It is within this price range that Chinese domestic brands have experienced an explosive growth in mid- to high-level intelligent assisted driving systems, with a sales share of NOA level models rising from 5% at the beginning of 2025 to over 50% by the end of the year. In this largest sales segment, where the proportion of intelligent assisted driving is deeply increasing, Horizon is undoubtedly the driving engine. Based on the new generation Journey 6 series SOC, mid- to high-level intelligent assisted driving solutions, we have captured 44% of the market, ranking first in market share in the first year of mass production, which has also filled us with confidence to further break into higher price ranges in the future. [Foreign language]. Looking further, in the price range around CNY 150,000, Horizon has promoted the mass production of multiple models equipped with urban NOA functions. This shows that the Chinese auto market has not only achieved democratization of intelligent assisted driving with the joint efforts by us and car makers, has begun to stride into the new stage of democratization of advanced intelligent assisted driving. From Horizon's perspective, this leap is of great significance. On one hand, the equipped models have penetrated into the mass market, bringing an exponential expansion of the potential market size for urban NOA, with a market space of tens of millions of vehicles in China alone. Meanwhile, by replacing basic ADAS SoC that costs only $20-$30 per vehicle with our high value added intelligent assisted driving software system, we have gradually increased the per vehicle value to the scale of hundreds of US dollars. This market is also cascading down, and the per vehicle value is rising. This exciting trend is unfolding fully under our promotion. The urban NOA intelligent assisted driving experience that was once limited to luxury cars is now becoming a standard right for mass users. [Foreign language]. Against this. Go ahead. Against this background, we are pleased to report to our investor friends that Horizon achieved the following major milestones during the reporting period. [Foreign language]. First, in 2025, with a market share of 47.7%, we secured the absolute lead as the number one Chinese domestic brand ADAS solution provider, continuing to lead the industry. At the same time, in the rapidly booming domestic brand advanced intelligent assistant driving market, with a market share of 14.4%, we are almost tied for second place with Huawei, which has a market share of 15.2%, and together with NVIDIA, form the first tier of the market, with a combined market share of the three companies reaching 89%, showing significant concentration at the top and forming a one strong player and the two powerful players market pattern. In the largest space and the fastest growing intelligent assisted driving segment under the mainstream price range of CNY 200,000, which I have mentioned, briefly introduced, Horizon has already captured 44% of the Chinese domestic brand NOA market, firmly holding the industry's top position. [Foreign language]. Second, in 2025, our automotive grade SoC solution annual shipments exceeded 4 million thousand units with a year-on-year growth of about 39%, and the biggest highlight was the optimization of the structure. Benefiting from the promotion of democratization of intelligent assisted driving by downstream automakers, our SoC shipments supporting NOA functions have already reached 45% of the total, nearly 5 times the shipments during the same period in 2024, which can be described as explosive growth. These products upward structural change while optimizing our SoC product portfolio has also driven our ASP to increase by more than 75% compared with 2024. Once again, achieving high quality growth with both volume and price rising. I want to emphasize that this is rarely seen in the market. From another perspective, during the reporting period, more than 95% of the SoC we shipped that support the NOA function were jointly delivered through ecosystem partners, which fully highlights our position as the top leader of the industry ecosystem and proves the success of our open ecosystem strategy. [Foreign language]. Our all-scenario urban assisted driving solution, Horizon SuperDrive, or HSD, officially entered mass production in November last year, first launched in the mainstream market around CNY 150,000, becoming China's first mass-produced intelligent assisted driving large model based on one-stage and end-to-end technology. Within just over a month's time, it quickly surpassed 22,000 units in shipments, successfully bring high-level intelligent assisted driving experiences to mass users. [Foreign language]. In addition, we have observed a trend indicator. Horizon's HSD has already become an important factor influencing end consumers' car-buying decisions. Everyone knows that the traditional sales structure of the automotive industry often takes the shape of a pyramid with mid- and low-tier configurations responsible for volume and top-tier models selling less. For the models in 2025 that first are launched with our HSD, the top-tier models with HSD as a core configuration accounted for as much as 83% of sales, breaking this pattern. [Foreign language]. What's even more exciting is that not only are users willing to pay for it, but the usage stickiness is also very high. During this Chinese New Year, the ratio of intelligent assisted driving mileage among intelligent driving users of this model reached 41%, meaning HSD, the driving mileage is nearly equal to that of human drivers. That is a strategically significant number. In the past, people ask me under what conditions Horizon might consider charging fees for HSD through a subscription model. In my view, once the proportion of intelligent assisted driving mileage surpasses the critical point of 50%, mileage dominated by machines exceeds that of humans, and users' reliance on intelligent assisted driving will become reversible. This high product stickiness provides conditions for us to launch a SaaS subscription charging model in the future. Currently, the company's revenue is mainly driven by sales of new cars equipped with our products. In the future, we expect to leverage the large size of HSD equipped vehicles to collect service subscription fees through the full lifecycle. [Foreign language]. Fourth, regarding our global strategy, I think it can be summarized in three sentences help Chinese domestic brands go global, help joint venture brands stay, and help overseas brands, step into the intelligent era. Regarding going global, by 2025, we have already cumulatively secured mass nominations from 11 automakers and over 40 overseas models, with a cumulative lifecycle export nominations reaching 2 million units. Well-known and top 5 Chinese automakers going global have our technology equipped on their mainstream overseas models. It can be said that in the current process of Chinese automobiles going global, Horizon has already become one of the core forces enabling their overseas expansion. [Foreign language]. Secondly, regarding space, how can joint venture brands develop better in the fiercely competitive domestic market? Currently, we have cumulatively obtained nominations from nine joint venture brands for more than 35 nomination models in the domestic market. As everyone knows, we have a deep cooperation with Volkswagen Group and software company CARIAD and have established a joint venture. It is not surprising that we have secured many Volkswagen models. It is worth emphasizing that among the joint venture brand models we mentioned just now, above 35% nominations, the proportion of models outside the Volkswagen Group has already exceeded 60%, reflecting Horizon's strong trust among many joint venture brands. [Foreign language]. Finally, it is about making overseas models more intelligent. In the first half of 2025, we disclosed to everyone that we had obtained the nominations from two international automakers in markets outside China, and in the second half, we achieved another success and obtained a nomination from a third international automaker. The overseas and vehicle models that we have obtained have reached a total lifecycle shipment of 10 million units. This not only means that our technological capabilities have been recognized by the most demanding customers, it also signifies that we have taken a very critical step in helping overseas traditional automakers with their intelligent transformation. [Foreign language]. Thanks to the positive business progress mentioned earlier, we achieved a revenue of CNY 3.76 billion during the reporting period, a year-on-year increase of 57.7% with a comprehensive gross margin of 64.5%, of which automotive business revenue accounted for nearly 95%, continuing the high gross margin level at 67.2%. [Foreign language]. On the profit side, during the reporting period, our adjusted operating loss was CNY 2.37 billion, mainly because we further increased our R&D investment in 2025. [Foreign language]. Here, I'd like to specifically explain the strategic considerations behind this. We firmly believe that HSD is not only Horizon's core strategic product for winning urban NOA, but also the technological base for future L4 and L5 level autonomous driving. Its underlying AI foundation model will further empower industries such as the robots. For this reason, we proactively and firmly increase the related R&D investment, especially for cloud service related training expenses. We are not afraid of high R&D investment. On the contrary, we believe that through continuous R&D investment, we can keep improving Horizon's AI foundation models and build a deep moat and ultimately bring L4 L5 level autonomous driving technology into thousands of households. [Foreign language]. Next, I'd like to specifically introduce Horizon's revenue situation in automotive solutions and IP licensing and services. [Foreign language]. As mentioned earlier, driven strongly by increases in both volume and price, our automotive products and solutions revenue reached CNY 1.62 billion, which is 2.4 times that of the same period in 2024. The revenue of this business segment has risen to 43% of the company's total revenue, a significant increase compared to 28% in 2024, showing the optimization of revenue structure. After Horizon's advanced intelligent assisted driving solution entered the large-scale mass production cycle. Among all shipments, a proportion of SoC solutions supporting NOA functions was 45%, but they contributed more than 80% of the revenue. Looking ahead, our future order pipeline is also very strong. During the reporting period, we added over 110 nominated models, fully covering the mainstream Chinese domestic brands and joint venture automakers. Among them, our cutting-edge HSD solution has been nominated for more than 20 models. Also, I want to say that this is only the data snapshot at the end of last year. This year, we will see an explosion in the number of nominations for HSD solutions. Urban NOA is becoming the core competitiveness of the next-generation mainstream model, and we are at the center of this technological transformation. [Foreign language]. Regarding IP licensing and services, with world-class algorithm capabilities, outstanding ecosystem influence in China's automotive-grade SoC field, a flexible ARM plus Android business model, and highly praised HSD mass production performance, Horizon's algorithms and software have already become the trusted foundation model in the intelligent assisted driving field, empowering many automakers and ecosystem partners to license and adopt them. During the reporting period, we recognized a revenue of CNY 1.94 billion from licensing and service business, a year-on-year increase of 17.4%. In addition to our well-known joint venture with Volkswagen, CARIZON, Japan's largest auto parts group, has also started licensing cooperation on algorithms and software, and will become one of our top five customers in 2025. [Foreign language]. Looking ahead to 2026, I have many things to share with everyone. [Foreign language]. Looking first at the automotive layout, last year, I still remember our outlook for revenue growth over the next few years was around 50%. Standing at today's point, because we see a strong product cycle ahead, a full pipeline for nominations, and the leading next-generation hardware and software technologies, we are confident of continuing the growth momentum of volume and price increases this year, and driving the average growth rate over the next three years to 60%, which is steeper than our previous expectations on growth curve. [Foreign language]. In terms of SoC solution shipments, the industry's first end-to-end urban NOA solution based on a single Journey 6M SoC has been officially delivered and installed in vehicles. This system, through extremely deep coordination between software and hardware, greatly reduces system complexity and overall cost. This year, we will work with many ecosystem partners to jointly promote the urban NOA function from the 150,000 a year mainstream market further down into the 100,000 a year nationwide car market, bringing additional incremental value to the Journey 6M SoC solution. As for the hardware and software combination of Journey 6, the 6P and HSD, this year, we will release HSD 2.0, which will become the industry's technical benchmark, achieve absolutely leading experience, and realize the 10 times growth in MPI takeover mileage. More importantly, we will turn leading technical capabilities into leading market share. [Foreign language]. This year, we will launch China's first full vehicle AI Agentic SoC for cockpit driving fusion. That is Agentic Car SoC and a full vehicle AI Agentic OS, or namely Agentic Car OS at the right time. Agentic SoC will provide abundant Arm CPU, Horizon BPU, and GPU computing power, as well as a rich multimedia function. It is an industry's only in-vehicle Agentic SoC, and that can efficiently run Open Cloud and HSD urban intelligent assisted driving at the same time with all-in-one function. Agentic OS will help cars become super intelligent and the caring travel assistant. We can see that Arm CPU plus Open Cloud is becoming the new AI PC standard, and Horizon's Agentic Car SoC and Agentic Car OS are becoming the new standard for intelligent assisted cars. [Foreign language]. At present, in the domain controller SoC field for the cockpit in the Chinese market, Qualcomm firmly holds a monopoly position with over 70% market share. We have no intention to engage in close fight with it in the mature cockpit market. In fact, many Chinese companies in the past try to directly shake Qualcomm's market position, but none succeeded based on the results. On the contrary, Horizon's consistent strategy has never been about simple homogeneous competition, but about elevating the dimension of problem solving for customers through underlying technological innovation and system-level optimization. Therefore, we are fully betting on the cockpit driving fusion Agentic solution. By breaking the underlying SoC architecture of intelligent assisted driving and the cockpit, and connecting the upper-level software ecosystem, we create a blue ocean market and provide end customers with an ultimate intelligent experience. [Foreign language]. Here is a vivid example. Today is Thursday. After everyone listens to our earnings call, you get into the car and say to the car system: I want to go watch a new movie. The automotive system will sequentially recommend a movie list, lock in your desired film, decide on the suitable cinema location, automatically complete analysis of the number of the people, seat selection, ticket booking, and a driving route planning. Proactively avoid the congested roads, adjust the driving mode to after-work relaxation mode, safely and promptly take you to the cinema. Complete automatic parking and payment, and might even order your favorite popcorn. This revolutionary cockpit driving experience connects a simple after-work I want to watch a movie with a complete and coherent set of scenario-based facilities, including efficient commuting, extended needs, and relaxing entertainment. [Foreign language]. Beyond upgrading to provide customer value, the cockpit driving fusion agentic solution is also highly cost competitive. In the process of evolving from two separated domain controllers to one central computing architecture, we will significantly reduce system-level software and hardware costs for our automaker customers, including wiring harnesses, cooling, PCB boards, domain controller shells, and other peripheral hardware, especially and greatly saving on memory chips whose costs have soared this year, while simultaneously improving the product strength and price competitiveness of vehicle models. For more value highlights and more fun applications, please follow our product launch event in April. [Foreign language]. Looking back over the past few years, every year, we have launched major new products from Journey 5 to Journey 6 to the HSD solution for urban intelligent assisted driving, and now to this year's cockpit driving fusion agentic solution, continuously enhancing our product competitiveness. This continuous upgrading process practices Horizon's strategic thinking of competing where there's no competition, enabling us to remain in a leading position that is difficult to replace in what seems to be an intensively competitive intelligent assisted EV market. [Foreign language]. Looking ahead to 2027 product plan. Based on the newly released next generation computing architecture, Riemann architecture, we are continuously promoting the R&D of the Journey 7 series SoC, whose performance indicators will align with Tesla's next generation SoC. The progress is smooth, and we expect to officially release them next year. [Foreign language]. Finally, I would like to report to everyone on Horizon's progress in the L4 frontier, namely the Robotaxi related business that everyone cares about. We plan to cooperate with ecosystem partners in the second half of this year, leveraging the foundation model behind Horizon's HSD solution to assist the ecosystem partners in conducting pilot Robotaxi operations in pilot cities in China. I hope that through this collaboration, we can accumulate L4 level experience on real open city roads. Although this year will only be pilot operations, it will prepare ourselves for the next stage of technical evolution and the commercialization of the foundation model, ultimately making us the mass production technology provider behind the various L4 passenger cars and the Robotaxi operators. [Foreign language]. Thank you. Now I would like to invite our CFO, Lei Wang, to briefly summarize the more detailed numbers for the first half of this year. The floor is yours. Thank you, Dr. Yu. I will now present our key financial results for the year ended December 31st, 2025. To be mindful of the length of this call, I will focus on the main items in my discussion today. Again, I encourage participants to refer to our earnings release, which was posted on our investor relations website for additional details. Our total revenue for 2025 amounted to RMB 3.8 billion, representing an increase of 57.7% compared to the same period last year. This growth was primarily driven by our automotive solutions, which achieved a robust growth of 53.9%. Our revenue from automotive solutions is comprised of revenue from product solutions, plus licensing and services. Revenue generated from product solutions surged by 144% to RMB 1.6 billion. This exceptional growth stemmed from 38% higher delivery volumes and 35% higher dollar content per vehicle due to a higher mix of advanced SoCs that supports novel features. Revenue generated from licensing and service increased by 17.4% year-over-year to CNY 1.9 billion. Beyond our partnership with CARIZON, we have successfully expanded our client base. As Dr. Yu just introduced, a couple of major industry players, including Japan's largest OEM and auto parts group, have commenced licensing our algorithms and software in the reporting period. Our overall gross margin was 64.5% in the full year, keeping a very strong position compared with the other automotive solution providers. Moving on to expenses. Our R&D expenses reached CNY 5.2 billion, representing a 63.3% increase year-over-year. We have strategically increased our R&D investment to support development on Horizon SuperDrive. Primarily on cloud-related services, we have also found the sweet spot for cost for mass production of the Journey series SoCs. We firmly believe that Horizon has built a solid foundation for automotive intelligence through high-performance SoCs and end-to-end foundation models. Our strong commitment to R&D will continue to deepen our moat on technology, laying the groundwork empowering the industries beyond automotive in the future. Administrative expenses increased by 13.9% year-over-year to RMB 726 million. Selling and marketing expenses increased by 54.2% to RMB 660.32 million. Both SG&A expenses grew at slower rates than our revenue growth, reflecting the enhanced efficiency of our daily operations. This resulted in our operating loss of RMB 3.3 billion. We define adjusted operating loss as operating loss for the period adjusted by adding back the share-based compensation, which are non-cash in nature, a small portion of the capital raising expenses, which mainly related to our top-up placement happened last year. Our adjusted operating loss was RMB 2.4 billion as compared to RMB 1.5 billion in 2024. Last but not least, move further to the bottom line. Accounting for equity method investment losses and losses from fair value changes of preferred shares, we reported a net loss of RMB 10.5 billion, versus a net profit of RMB 2.0 billion for the same period last year. Please note this was primarily driven by an increase in the fair value of certain convertible bonds, reflecting our rising market value. I would call this a good problem to have. Now this concludes management presentation. I will now turn the call over to the operator to facilitate the Q&A sessions. Key management. Now we will start the Q&A session. If you want to raise a question, please press star followed by one. If you want to cancel the question, please press star followed by two. Please feel free to raise any questions. To participate in our written Q&A, just type your question into the ask a question text area, then click the Submit button. For the benefit of all participants on today's call, please limit yourself to two to three questions, and if you have additional questions, you can re-enter the queue. If you are a Mandarin speaker, please ask your question in Chinese first, then follow with English translation. Our first question today comes from Yu Quindo from HSBC. Please proceed with your question. [Foreign language]. Yu Quindo here, got two questions. First is on strong revenue growth. Company booked 60% year-on-year revenue growth. Could you help us to break down the driver behind it and how this momentum could sustain and remain high to support 60% CAGR in coming years? It would be great to break into chips and software pricing and volume. The second question is on our crown jewel, HSD. What's the shipment target for 2026? Thank you. [Foreign language]. Thank you, Miss Quindo. This is a big question. I'd like to answer it from the following aspects. [Foreign language]. Okay, go ahead. Thank you. Firstly, the company's auto related revenue will grow more steeply with revenue growth of auto segment in 2025 from being 54%. In 2026, as we just introduced, we are confident it will further accelerate to around 60% in growth. The reason behind this I think can be shared again from the perspective of shipping volume and ASP. Let me start with the sales volume. 2025 is the first year of democratization of intelligent assisted driving, but the pace of advancement varies slightly. Most car companies only caught up with the trend of intelligent upgrades in the second half or even the fourth quarter, starting to equip a small number of models with Highway NOA and above intelligent assisted driving functions. In this environment, last year we shipped 4 million units of intelligent assisted driving SoC, nearly half of which were advanced Journey 6M and Journey 6P models. In 2025, we also secured over 100 new car projects, most of which are middle to high end models. That will start mass production in 2026, forming a strong pipeline for the coming years. This year, based on last year's four million units, our sales will further grow rapidly with a growth rate of around 35%. More importantly is the structure. In last year, 45% of our shipping volume was AD SoC, and 55% was ADAS SoC. For this year, the proportion of AD SoC in shipments will further increase to over 65%. We also mentioned that overall SoC shipments will grow strongly, with a proportion of AD increasing, which means that if we look only at AD-related product shipments, the growth rate will be remarkable. Okay. [Foreign language]. The unit price of AD products is far higher than ADAS products. The high growth rate of AD SoC will likewise bring us positive effects on pricing. If we take our SoC related revenue from last year and divide it by last year's 24 million units of shipments, everyone can actually calculate that although our ASP grew by more than 75% over the past year, it has only reached a level of less than $60, which is still at a relatively low absolute amount. At this ASP level, there is still 50% room for improvement compared with the current average selling price of our highway NOA products, and ten times room for improvement compared with the current ASP of our urban NOA products. The increase in product unit price will contribute more to our revenue growth in the next few years than the shipment volume. [Foreign language]. On sales, we will witness dozens of% growth in 2026. ASP will have several higher dozens% growth, and our SoC-related revenue this year will definitely exceed double growth. In the automotive industry, it is actually very rare for core business revenue to exceed double growth every year. [Foreign language]. Regarding IP licensing related business, we expect to remain stable this year. [Foreign language]. As for HSD's performance, this year, as of December thirty-first last year, we had already secured 20 HSD production nominations, which include China's highest volume automakers. We are currently actively negotiating HSD with these top-tier Chinese automakers, and we can see very good progress. The number of HSD solution nominations is expected to reach a new high. This year we estimate HSD shipments will reach about 400,000 units. [Foreign language]. [Foreign language]. Thank you. Our next question is from Jeff Chung from Citigroup. Please proceed with your question. [Foreign language]. Thank you for management giving me the opportunity. I have two questions. The number one question, c ould you share the outlook on the gross margin performance over the next several years? Do you expect it to remain at healthy levels such as above 60% plus? My second question is about the memory price hike. We recognize that automakers are increasingly focused on cost and the price competitiveness and we have seen a significant DRAM price inflation this year. So could you walk us through the key levers Horizon is using to maintain its gross profit margin profile amid these headwinds? Thank you. [Foreign language]. Thank you Jeff for your question regarding the gross margin. Well, based on the average revenue growth rate of 60% in the next few years, we are confident in maintaining a high gross margin level above 60%. In our view, there are mainly two peers, NVIDIA and Huawei, both can be referred to as the essence of the technology field that belong to the world's top tier players. Therefore, the domain or the track we are in is naturally not a low margin competitive field. From Horizon's mainstream business model perspective, it is SoC plus software licensing, where SoC has a gross margin of 40%-50% and the software licensing is close to 100%. The entire business model is high margin model. In the first year of HSD mass production, in order to achieve the fast system installation and implementation and to reduce unnecessary multi-party collaboration and communication, our first few cars were indeed delivered with domain controller, but this period will not be long, and this year we will hand over domain controller hardware to Tier 1 partners. We will continue to focus on SoC plus software. Regarding this year's memory price impact, it is true that the impact is very profound. As one of the largest intelligent and assisted driving solution shipment companies in the industry, we have already locked in memory supply prices by the end of 2025. This year's memory price fluctuation will not further affect our gross margin. I also want to highlight our basic business model, that is SoC plus the software. Actually, we don't focus on other hardware, so the fluctuation in the memory will not affect our business model. [Foreign language]. Just as we introduced earlier, Horizon has always liked to respond to the industry competition by elevating the dimensions and innovation. When our peers are competing over SOC, we are providing software with a very robust algorithm and computing power. For example, our HSD. When the overall industry profit is under pressure, we are doing cockpit driving fusion through all-in-one solution. Thanks to underlying technological innovation and system-level cost efficiency and optimization, we are able to upgrade in dimension to solve problems for our customers. [Foreign language]. It is true that there's a pressure in terms of memory and price. This year we will launch a full vehicle intelligent solution with a cockpit and driving fusion. We have reduced the two sets of memory system into one system for memory, and which is expected to save our car manufacturers about thousands of the cost for the memory cost. If we also include the wiring harness cooling and PCB, it will help our customers to further reduce their costs. Actually we can see that our fusion system can continue to improve our market competitiveness. Our competitiveness is not because of the price war, it is because of our innovation. We believe that the gross margin and also our profit can continue to rise. Regarding the outlook for the overall growth margin and taking into account various factors mentioned earlier, we are very confident that we can maintain high growth and margin over 60% in the future. [Foreign language]. Thank you. Our next question comes from Tim Hsiao from Morgan Stanley. Your line is now open. Please go ahead. [Foreign language]. The first question is about the integrated solution, because over the past three months, we do notice that the automaker have accelerated integrating their smart driving and smart cockpit function to further achieve AI agentic functionality. Horizon Robotics apparently had a head start in launching the Agentic Car SoC product. Just want to know that if management can share a bit more about the company strategy regarding this product, how to truly differentiate Horizon from global peers like Qualcomm or NVIDIA, to further gain market share. My second question is about Horizon SuperDrive, because this is one of the key driver into 2026. From the perspective of commercialization and the tech progress, how fast could the HSD empower automakers in China to smoothly upgrade their AD capability, from current level two plus to level four or robotaxi-like function? What are the key milestones or indicators investors should focus on? That's my second question. Thank you. [Foreign language]. We thank you, Tim, for your questions. Judging from the future trends, we believe that cockpit driving fusion or integration is an inevitable and natural result of technological evolution, capable of providing a more seamless experience. Under the wave of rapid development of AI agents, as we know that a lot of people are playing with Claude right now, and we also hope to rely on greater computing power and the richer hardware types to turn cars into AI agents as a car mobile phone. In this process, we can indeed enter the cockpit field with higher dimensional integration. Horizon will enjoy higher gross margin and ASP, and car manufacturers will get more cost-effective products and brand new selling points. Consumers will gain an in-vehicle AI assistant with hundreds of teraflops of computing power in which in-vehicle and external cameras and in-vehicle devices and high quality display and interaction as well as AI assistants. For more diverse approaches and also the fun applications and the customer situations, please take a look at our April press conference. [Foreign language]. I believe that. In addition, I just mentioned the industry cost pressure, so we believe that the cockpit driving fusion will become an emerging trend this year. [Foreign language]. As for the competitors in the industry, for the cockpit-driving fusion, actually there are very few of them. Horizon and NVIDIA are shifting into the cockpit domain from the driving domain. Qualcomm has been trying to move from the cockpit into intelligent driving. For example, the competitors are different. With Qualcomm, rivalry lies in software. We can see that Qualcomm's market share in AV in China is very low. Some cars equipped with Qualcomm intelligent driving SoC actually have not launched any influential intelligent driving system. This is not just about the hardware issues, it is also about the entire software ecosystem issue. The competition with NVIDIA is more interesting. In fact, NVIDIA has been trying this thing for quite a while, and a cockpit driving fusion project for an overseas and luxury car brand has never reached the mass production. To a large extent, the reason is that this is because NVIDIA does not have a very good solution, or at least currently they don't have a good third-party solution provider for cockpit driving fusion. Relying solely on NVIDIA to create a complete set of solutions is not really their business model. On the other hand, Horizon can use its own integrated hardware and software solution to connect everything from SOC to intelligent driving software to the agentic OS. This is the area where Qualcomm and NVIDIA fall short. From intelligent driving transitioning to the cockpit, we generally feel it is a greater dimensional competition for us compared to the transition from the cockpit to intelligent driving. In terms of the intelligent assisted driving system, we don't see much competition compared with Android, because for Android, it is too accessible. However, for the intelligent assisted driving system, it is still very niche. Regarding the second question, previously we disclosed on one occasion that this year's MPI target is to increase tenfold, roughly from tens of kilometers last year to hundreds of kilometers this year and to thousands of kilometers in 2027. In certain regions, MPI can reach the level of over 10,000 kilometers per takeover. Combined with remote human intervention for getting out of the difficulties, it would mean the capability to operate L4 robotaxis in those regions have been achieved. As far as I know, Tesla's current FSD in the United States has already achieved a comprehensive MPI of over 1,000 kilometers and has begun testing robotaxis in some areas, which means FSD's MPI in certain regions may have reached over 10,000 kilometers with almost zero basic takeover. Horizon's HSD will follow a similar path within 2-3 years as a technology provider supporting ecosystem partners to achieve commercial operation of robotaxis in certain regions in China. To advance from L2, plus plus to robot taxi, besides observing MPI, we also care about the proportion of intelligence and driving mileage. During the Chinese New Year, 41% proportion of intelligent driving mileage made us feel that consumers truly like using HSD's intelligent assisted driving solutions. If this proportion of intelligent driving mileage can surpass the 50%, it would mean that machine driving mileage can exceed human driving. We judge that the users will be willing to use HSD via subscription, and then Horizon will usher in a restructuring of its business model. [Foreign language]. Thank you. As we are reaching the end of our conference call now, I'd like to turn the call back over to the company for closing remarks. Thank you. Due to the time constraints, we will now conclude today's call. Thank you again for joining us today. If you have other further questions, please feel free to contact our IR team. Thank you and bye. Thank you. Bye-bye. That concludes today's call. You may disconnect your line.