Standing by. Welcome to the iQIYI Second Quarter 2022 earnings conference call. All participants are in listen-only mode. There will be a presentation followed by a question-and-answer session. If you wish to ask a question, you will need to press the star key followed by the number one on your telephone keypad. I would now like to turn the conference over to Ms. Chang You, Investor Relations Director. Ms. Chang You, please proceed. Thank you, operator. Hello, everyone, and thank you for joining iQIYI Second Quarter 2022 Earnings Conference Call. The company's results were released today and available on the company's investor relations website at ir.iqiyi.com. On the call today are Mr. Yu Gong, our Founder, Director, and CEO, Mr. Jun Wang, our CFO, Mr. Xiaohui Wang, our CCO, Chief Content Officer, Mr. Wenfeng Liu, our CTO, Chief Technology Officer, and Ms. Xiang Jun Wang, our CMO, Chief Marketing Officer, Mr. Youqiao Duan, Senior Vice President of our membership business, and Mr. Xianghua Yang, our Senior Vice President of movies and overseas business. Mr. Gong will give a brief overview of the company's business operations and highlights, followed by Jun, who will go through the financials. After the prepared remarks, Xiaohui, Wenfeng, Xiang Jun, Youqiao, and Xianghua will join Mr. Gong and Jun in the Q&A session. Please note that the discussions today will contain forward-looking statements made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations. Potential risks and uncertainties include, but are not limited to, those outlined in our public filings with the SEC. iQIYI does not undertake any obligation to update any forward-looking statement except as required under applicable law. With that, I'll now turn the call over to Mr. Gong. Please go ahead. Hello, everyone. I'm very pleased to take this opportunity to report on our progress in the second quarter, but more importantly, share our views on the future. In the second quarter, the company made great strides once again. As we all know, the weak macroeconomic and COVID resurgence in Q2 had a great impact on business of most of media companies. Despite an extremely challenging environment, we still made achievements in the following three aspects. One, our membership business continues to grow year-over-year. Two, we generated non-GAAP operating profit for two consecutive quarters and achieved sequential growth in Q2. Three, our cash flow improved significantly, and we achieved a positive operating cash flow for the very first time. These were the results of strong execution of the strategy that centers around cost optimization and efficiency improvement. Such strong results also fully demonstrated the resilience of our business. For two consecutive quarters, we reached our operational targets while drastically improved our financial healthiness, enabling us to face the ever-changing market environment with ease. Our solid performance in the second quarter demonstrated that iQIYI has completed its self-transformation and successfully sailed out of the storm. It also gives us the confidence to upgrade our strategy starting from the so-called third quarter this year, a strategy which will fuel our business growth and improve our financial healthiness at the same time. We would like to call it the calm growth, 冷静增长, which has the following features. One, to pursue growth, but not at the expense of significant cash burn. We will stay cautious about the growth of opportunities with long investment cycle and high cash investment. Rather, we would actively invest more resources in iQIYI's core business and projects with higher degree of certainty and higher ROI. Two, pursue growth for both profit and revenue, but profit should grow faster than revenue. Capitalizing revenue growth opportunities will not result in higher operating expenses. We will maintain the current lean organizational structure, embrace challenges with passion and improve operational efficiency. Three, the value we've provided to users and the customers will grow ever faster than the profit. We will produce and stream more and better premium content. We will create greater value for our users and the customers, and all financial returns should follow. The calm growth strategy can better motivate us and align the interests of our users, customers, and the stakeholders. We hope that the calm growth strategy can help us further improve the health mix of our business, and drive our profit and revenue growth in the future. Now, let's go through the performance of each business segment in the second quarter of this year. We're starting with membership services. Membership business is the most important business segment for us. We are determined to roll out strategies and allocate resources to support and guarantee the continuous business growth. The second quarter membership revenue were RMB 4.3 billion, up 7% year-over-year. The average daily number of total subscribing members for the second quarter was 98.3 million, and monthly ARM was RMB 14.53, up 8% year-over-year. ARM has maintained a healthy annual growth rate at or above 8% for six consecutive quarters. The positive outcome was contributed to our newly launched membership package targeting TV devices, consistent and diversified premium content offerings, and the execution of our refined operating strategy that increased the value presentation by our members. First, we actively drove acquisition of new members on TV devices. Targeting the growing demand on TV users, we launched a Platinum Membership plan in May, emphasizing benefits on TV side. As driving member experience and the value on TV, the monthly active members on TV devices increased by around 15% annually in the second quarter. Secondly, we continued to refine our operating strategy based on viewing and paying leverages to increase member retention, revenue member growth, and win back churn users. Another driver during the quarter was premium content as we continued to launch diversified high-quality content that caters to the varied demands of different user cohorts. For example, Ordinary Greatness tells stories about the daily life of policemen in heartwarming and humorous ways. The drama harvested positive public reaction as well as revenue performance. It topped the Douban list for domestic dramas in the first half of 2022, with a score of 8.6. We are generating the highest membership revenue on our platform during its broadcasting. With top exclusive content, we adopted an early access view model for members. We launched our original multi-season exclusive variety show, The Rap of China 2022, in late June. Members were given the privilege of early access, and the show successfully attracted over 1.3 million members on the first day of launch. In addition, we are devoted to selecting membership benefits in addition to exclusive video viewing experience. For example, we launched marketing campaigns such as Member Benefits Day and Super Brand Day, to provide members with various benefits and deals across a wide variety of brands. In the second quarter, our member benefits were accessed over 16 million times. Looking ahead, we will continue to launch high-quality premium content, optimize sales channel mix, and subsequent efforts to effectively leverage various content promotion channels, such as our partner Douyin, to expand the reach of our premium content. Meanwhile, we will continue to improve our original initiatives to increase member value, user variety, and brand awareness. Last but not least, continue to improve the experience and the monetization capabilities on large screen. Moving on to content. We insist on providing user with high-quality streaming content that caters to the differentiated viewer demands. As improving operating efficiency and optimizing content quality become industry-wide keywords, we took the initiatives to adjust our content pipeline so that half premium content makes up the majority of new releases. During the second quarter, we maintained our leadership position across key operating metrics. On user traffic front, according to QuestMobile, mobile MAU was number one in the industry. Meanwhile, our content-related measures, according to Enlightent data, we maintained the highest market share for the drama category in terms of effective video views, despite the number of new releases were not the highest in the market. Our market share for animation, including children animation, also ranked first in the industry. Meanwhile, thanks to our long-term commitment to premium content, our high-quality content library continued to show positive long-tail effects as the viewship market share of our library content also ranked number one in the industry. I'm pleased to see strong user engagement while focused on supply of high-quality content while improving content-related cost ratios for key content categories. The ROI performance for drama, variety show, animation, and children's content channel all improved both annually and sequentially. During the second quarter, we continued to launch premium original content across key genres. Our acclaimed original dramas included Ordinary Greatness, My Sassy Princess, Zhu Qing Hao, and The Fat Guru. The box office for our original movie, Man on the Edge, were over RMB 160 million. It was one of the main contributor to the massive movie box office in the second quarter. For children's content, the sequel to our original animation, Dream Plan, Doraemi Season Two, Yu Yu Yan Gong Zhu Er Er Mei, made a solid revenue contribution to our membership business. For original content, one of our key strategy focuses on taking a multi-season approach for our key franchise IP to drive long-term value. Building on the success from previous seasons, we saw strong user attraction for these returning titles. During the second quarter, four of our popular original variety shows released their latest season, including The Rap of China 2022, The Detectives' Adventures Season 2, 萌探探探案, and Detective Extraordinary. Our original music show, The Rap of China 2022, maintained a high popularity from previous seasons, and a good number of songs from the show topped the chart on various music platforms. The second season of The Detectives' Adventures also ranked number one on multiple third-party data platforms. Meanwhile, vertical content short-form model continues to meet differentiated user demands. The Lord of Losers, Push Union, The First Drummer, and Light On Theater introduced an innovative interactive viewing feature that provides an immersive experience and drove increased audience participation. A score started at 7.1 and went up to 7.6 given its interactive features. The Speed On Theater returned in June with five new titles, satisfying the viewer preference of young generation audience during summer vacation. Over the years, we have definitely seen solid improvement in the quality of our premium content offerings. For example, IP popularity index is an influential measure that indicates the popularity of our content. Any titles with over 10,000 popularity index score are clear blockbusters. Such measure is highly recognized by the industry and the users. Among our content offering, there have only been four titles that broke the 10,000 popularity index score, and two of them were launched this year, namely drama A Lifelong Journey tailored to a relatively more mature audience group. The other one is originally launched original drama, Love Between Fairy and Devil, originally from Sweet On Delta, catering to young generations. This drama is the first original drama that broke such landmark score, demonstrating the exceptional quality of our original content is highly recognized by our users. We are now even more confident with our original content production abilities and our future pipelines, especially for the original drama category. We look forward to bring diverse selection of high-quality titles to our users. For the second quarter of 2022, and especially for the summer season, our content pipeline for dramas is focused on capturing young generation audience while maintaining premium content for mainstream audience. This includes The Heart of Genius, 天才基本法, Twenty Your Life On season two, 二十不惑, Sweet On Delta 2022, and et cetera. A new season of Miss The Delta will return in the first quarter. For variety shows, we will prioritize established IPs while continuing to innovate new genres. For the second half of the year, a greater number of variety shows were launched compared to first half of the year, including our original Super Catch show Season 2, Minian Yidu Xingda Saipa, Mr. Housework Season 2, Fujia Wu Nanren, and Folk, Minyao. For animation and children's content, we will continue to execute multi-phase and diversified IP monetization strategies. Not only many of our popular titles will release their new seasons. During our summer season, we also launched the animation version of Love Between Fairy and Devil, which was adapted from the same novel as the blockbuster drama. The high popularity of the drama has also brought stronger revenue performance of the animation. Apart from that, we have seen clear pick-up in the overall consumer demand during the summer season. We hope such a momentum will continue, and consumer demand will return to the pre-pandemic level soon. Moving on to advertising. The macro softness and pandemic resurgence in popular cities, including Shanghai and Beijing, put pressure on the overall ad business, partially on brand ads. All the players in the market face a similar challenge. However, we actively engaged in pushing forward our ad sales programs. Besides, after these cities began to resume its normal course of business operations starting mid-June and managed to grow our ad revenue of our original variety shows by 53% sequentially despite such challenging environment. Performance ad revenue increased by 12% annually during the quarter. This was mainly benefited from accurate identification of user group and customized ad solution for key accounts. Technical innovation is among our core values. Technical innovation makes it possible to bring wonderful viewing experiences to our users. For example, the cooperation between our company creative team and the product and the R&D leads to the production of brand new open interactive episodes for dramas the users love. Such innovative and creative stories can ensure massive user engagement. The average time spent for the interactive episodes increased 20% as compared to conventional episodes. Moving on to new business and the products, both the overseas and iQIYI Lite demand maintained some momentum, continue to increase our long-term value, grow, and enrich our ecosystem. The overseas membership revenue recorded significant annual growth, benefiting from a large increase in paid subscribers. During the quarter, we launched a few titles, including Impulse 7 and the Seven Sins Season 3. These hit titles appeared on Twitter's top search list and attracted a large number of viewers and advertisers, especially in Thailand and Malaysia. For the second half of the year, we will work to expand the paying user base and monetization capabilities to ensure stable growth and market position in key markets. iQIYI saw rapid annual growth in both membership and revenue and ad revenue. Average DAU for the second quarter was over 5 million, and the user engagement rate increased both annually and sequentially. iQIYI focuses on no scarcity to differentiate it from the user base of our main apps. The overlap between iQIYI and our main app remains at a very low level in the second quarter, with the DAU overlap less than 4% in June. With a distinctive user group, consumption behavior, and revenue models, iQIYI serves as a great complement to the main app, and is expected to reach greater monetization potential in the future. As you know, we announced the company licensing cooperation with Douyin in July, in which we will license select content to Douyin that enables distribution and re-creation of IP's existing content. It demonstrates both platforms are working collectively to create win-win for both platforms and users. Setting rules for the industry. More importantly, the cooperation showcases the value, the combination of our IP, our content portfolio, as well as the strength and longevity of our premium long-form video content. The arrangement will unlock new opportunities that will help us penetrate into large user bases, enrich the underlying video ecosystem, broaden monetization opportunities, and increase the value of our IPs. We will roll out cooperation from both products and the content side, starting in Q3. Overall, results in the second quarter were certainly engaging, encouraging, in the face of special challenges from the macro environment. We significantly improved our financial results over two successive quarters while maintaining our industry-leading position. This was a result of our strong professionalism and team cohesion and execution, as well as our strategy focusing on cost optimization and efficiency improvement. In the future, under our upgraded calm growth strategy, we aim to generate sustainable growth of non-GAAP operating profit. We are committed in providing more premium content to our users, satisfying growing spiritual and cultural demands, driving content value, and creating long-term value for all stakeholders. Now move to Thanks to Mr. Gong, and hello, everyone. This is Jun. To start the financial section, I would like to highlight four key items that we have delivered. First is the profit growth. Second is the operating cash flow breakeven. Third is the $500 million fund raising. Fourth is the optimistic growth outlook based on our current growth strategy, as Mr. Gong just mentioned. Now, with these four items in mind, I would like to move into the details. In the second quarter, we booked RMB 6.7 billion revenues and RMB 344 million non-GAAP operating profit, and at the same time, achieved quarterly operating cash flow breakeven. As Mr. Gong mentioned, this is remarkable result as we fight against the gravity of macro downturns throughout the quarter. For the revenue line, the membership service revenue was CNY 4.3 billion, up 7% year-over-year, mainly driven by ARM or average revenue per membership. The solid performance of membership revenues was partially offset by the weaker non-membership services revenues due to challenging macro environment. Now move to the costs and expenses. In the second quarter, cost of revenues was CNY 5.2 billion, representing a cost saving of CNY 1.6 billion, down 24% annually and 12% sequentially. The content costs, a significant component of cost of revenues, decreased 24% year-over-year when we delayed several top shows to the first quarter. The net result is that our gross profit margin reached 21% in the second quarter and consistently expanded in the past quarters, namely from 7% to 12% to 18%, then to the 21% in the latest quarter, reflecting ongoing gain in ROI of our content businesses. Meanwhile, we kept our spending discipline and stabilized the total operating expenses in the second quarter. As a result, the expanded gross margin and disciplined expenses control combined contributed to our non-GAAP profit expansion. For the second quarter, non-GAAP operating profit was RMB 644 million, 5% quarter-over-quarter. At the end of the second quarter, the company had cash equivalent, restricted cash and short-term investment of RMB 4.9 billion, compared with RMB 5.2 billion in the previous quarter. We managed our operating cash flow well, achieving operating cash flow breakeven for the first time in the second quarter. Today, we also enter into an agreement with PAG, the leading investment firm in Asia-Pacific, to raise $500 million through a convertible bond issuance. We would like to thank our new investors first, and we are confident of our future performances on the current growth strategy, aiming to achieve both revenue and profit growth and business healthiness at the same time, and we will continue to create value to all the stakeholders. In summary, again, to recap four deliverables that we have presented to the investors. The first is the profit growth. The second is operating cash flow breakeven. The third is the fundraising, and the fourth one is the overall optimistic growth outlook based on the current growth strategy. For the detailed financial information, please refer to our press release on ir.iqiyi.com. Now we will open the floor for Q&A. Thank you. If you wish to ask a question, please press star one on your telephone and wait for your name to be announced. Please ask your question in Chinese first and then translate your question into English. We ask that you please limit yourself to one question at a time, after which you may then rejoin the queue. Today's first question comes from Alicia Yap with Citigroup. Please go ahead. Thanks, management. Good evening. My question is related to the membership business. Can management elaborate a little bit more the trend that we are seeing for the second quarter in terms of the membership performance? And how is membership subscription and the revenue trending in the third quarter? And also, can management share your thoughts on how you view the membership business longer term, and what are your future strategy? Thank you. 二季度，这个会员的收入增长是符合我们预期的，尤其多个季度那个案值在提高。但是会员数，就是这个平均每个季度这个会员数，低于我们预期，有几方面的原因。第一呢，它本身二季度就是一个淡季，特别是今年。第二是，这个疫情导致二季度疫情非常严重啊，导致院线电影这个上线非常少。第二个窗口期，院线电影第二个窗口期是线上，导致我们线上电影也少。第三，那个别就不多，但是还是有，因为审核的原因，我们的这个内容延迟上线。那三季度的情况大为好转。第一个是暑期是一个非常好的季节，然后第二是特别是八月份以来，我们的这个好的剧上线了，包括天才基本法、苍兰诀等等，现在包括现在热播的，所以我们对三季度的会员，无论是金额还是会员数的增长，都是保持乐观的态度。 OK. Let me answer the question in two parts. First, I would like to explain the trend of membership business in Q2 to Q3. First of all, for Q2, overall the revenue performance met our expectations. The ARM for our membership continued growth in the past quarters. However, there are some relative fluctuations in the absolute subscriber numbers, which is below our expectations. There are a few reasons that contributed to that outcome. First, typically Q2 is the low season for the year. Second, Q2, because of the pandemic resurgence, there were a limited number of theatrical movies that were released online, which triggered a lower number of movies that we can broadcast on the platform. Third, to some extent, there are some relative content delays of our offerings on the platform, which were also due to the resurgence of COVID in China. Entering into Q3, we're seeing a significant improvement in the membership business, also because Q3 is traditionally the summer peak season. Starting from August, we've seen a lot of the major titles released online, including The Heart of Genius, the very blockbuster Love Between Fairy and Devil. Currently overall, we are optimistic about the Q3 revenue performance for the subscription business as well as the absolute subscriber base for Q3. 好。对于会员业务未来的这个增长是这样的，就是从2020年一季度开始，疫情开始，到现在属于一个快三年的时间，两年半的时间，属于一个非正常的有规律的阶段。每年有一次大的疫情，2020年初的比较大，今年年初的，今年上半年的也很大，去年2021年稍好一些。那这种疫情短期内对会员业务是积极的作用。但是这种积极的，就这个积极的是指会员数增加，大概也就持续两个月、三个月的时间，然后带来的负面作用更大。所以这个两年半的时间，会员业务属于一种非正常的、稳定的，非正常，非稳定，非持续健康发展的一种状态。原因很多，其中也包括内容供给不稳定、不足，也包括这个审核因为疫情的影响，还是影响整个审核的效率，然后也包括这个消费，消费者的消费意愿下降。因为宏观经济有些人的这个经营，这个经济的状况还受到了负面影响，时间长了还是受影响，消费意愿自然而又下降等等。还有一些这些从两年半的时间看，这种负面影响因素更大一些。但是从现在看，这个COVID这个Omicron这个负面影响越来越小，然后经济明显地开始这个，叫恢复吧。消费，消费者的消费意愿从暑期来看也明显地增强，提高。所以我们中长期对会员业务非常看好。杨宣帮你这回答。 OK. 那后面还有几句。 Sure, in the past two and a half, almost three years, our membership business experienced abnormal performance because of the COVID situation in China. For short term speaking, there were some positive impact. For example, we have seen subscriber increase because of the COVID, but that situation probably will last a short period of time, from two to three months. Overall speaking, I think the COVID situation is more on the negative side of our membership business, that triggered the abnormal, and even pretty volatile and unhealthy development of the business. From the operational side, for the content offering, we have seen that has also negatively impacted our content offerings. In the last two or three years, the approval process of our content business also has some impact as well. The consumer spending motivations were also impacted due to the COVID situation in China, and negatively impacted by the macro environment. Overall speaking, I would rephrase or I will summarize the past two or three years as more on the negative side rather than the positive side for our membership business. Currently, because of the whole pandemic situation, it's gradually improving. We've seen the negative impact is gradually decreasing over the recent period, especially since summer, we've seen a pickup, a significant pickup in the consumption of the consumer spending, and the sentiment is positive on that side. Overall speaking, mid to long term of our membership business, we are still very optimistic of our membership business. Okay. Earlier I touched on the negative impact because of the pandemic situation in the past couple of years, starting in Q3, especially the second half of Q3 and into the future, we are seeing a gradual decrease of the negative impact because of COVID, and that we're seeing a pickup in the overall business for our membership business. There are two points. First, we anticipate the updates will continue to grow in the future. Secondly, for our ARM that continues to grow in the past six quarters, and we anticipate this positive trend will continue into the future as well. Thank you. Thank you. Our next question today comes from Thomas Chong at Jefferies. Please go ahead. [Foreign language] Thanks, management, for taking my questions. Just now in the prepared remarks we have talk about calm growth. Why is that our profit growth will be faster than the revenue growth? Thank you. For the compound strategy, let me explain a little how we arrived to this strategy. Towards the end of last year, we rolled out a strategy that will increase our efficiency and optimize cost. We rolled out the different measures and plans to execute this strategy. After the past two quarters, we successfully kind of figured out what's the minimum that we can do to achieve this result. And we also figure out the pattern that will guide us or enable us to achieve better efficiency and improvement in the future. For example, we now can know after we have increasing investment in some of the content that will generate high ROI, then that will positively lead to the higher margin growth for the profit. Because we think a lot of the investment that we can gain from the past experiences, we know the content with higher ROI that we can invest in that will produce the same result or even better result from the user front. That's why we think, overall speaking going forward, the profit will grow faster than revenue. We also think, given a reasonable amount of increasing investment, that will expedite the process even further. Looking back through the first half of this year, we actually controlled some of our investment in content, and that we also see some fluctuations in the user growth that negatively impacted due to such reason. Going forward, we know if we increase the investment, for these two areas, we will gain higher returns, in the future. Which means, we will gain higher efficiency, for any of the investment we put in going forward. Thank you. Thank you. Thank you. Thank you. Our next question today comes from Xueqing Zhang with CICC. Please go ahead. I will translate myself. Thank you, management, for taking my question, and congratulations on another strong quarter. Today, we have announced the $500 million private placement of convertible notes with PAG. Could management share more details about this? In terms of financing activities, what's your plan for the future? Thank you. All right. Thanks, Xueqing. This is Jun. For the sake of saving time, probably I will just respond in English. As you just mentioned, this afternoon actually the company has announced entering into the agreement with PAG of $500 million convertible issuance. As you know, PAG is a leading investment firm in Asia Pacific with approximately, I think $50 billion AUM and with accumulated investment over $70 billion. They are very active, very seasoned investors with unique know-how in the digital media space with strong historical track record. This is the general background. I think this financing illustrates PAG's recognition of the company's improved fundamentals. We do have improved competitiveness. We have margin expansion. We have improved financial healthiness. With all being said, I think most importantly, both sides have conviction that iQIYI's media business has great future, I think, growth potential, and this is one of the most important thing. Another consensus I would say that between two parties is, iQIYI's value has been heavily underestimated. One of the catalyst for value recovery probably is to find a way to solve the current debt overhang as market pick up. This $500 million financing is a joint cooperation, I think the first step on company's liability management, although it's not enough to solve all the problems. We're all clear that $500 million is only a stepstone, and we still have a journey to go to solve all the problems. During this process, we do need collaboration and efforts from all the partners, including the company, including our employees, including the company stakeholders and note holders as well. It's still with the completion, I would say, with the signing of this $500 million financing, we are still not in a position to sit back in a relaxed mode. We are still going to work hard on that. Of course, we are very confident that if we can solve these technical issues with all collaborations from all parties, if we can recover the company's value, all the value unlock can help the investors. Whoever help the company can help these investors to gain, I would say, a satisfying reward and returns going forward. This is all that I will share regarding our private placement as well as the future, some of the future thinkings. Thank you. Thank you. Our next question today comes from Lincoln Kong with Goldman Sachs. Please go ahead. The question is about the cooperation with Douyin. Since we have signed agreement on the copyright video contents. How should we think about the future potential collaboration formats, and how would this help us in terms of user acquisition, copyright, distribution, and other potential commercial efforts to our financials? Okay. Let me explain or elaborate a little bit more on the Douyin collaboration. We went through the negotiation process in the past month, and both parties were very sincere, and we wanted to create a win-win situation for this ecosystem as well as for the video space. I probably won't go too much into the details of the process, but there are a few aspects I wanted to share with you guys. First, within this collaboration, iQIYI is authorized to authorize Douyin to use some of the content that have the licensed right to distribute using for creation of short-term videos. Within that framework, we have a specific arrangement for èr chuàng, which means the recreation for short-term videos. The premise is that we won't hurt the long form video viewing experience for this collaboration. Which also means that we can use this collaboration for many of our very high quality premium content to reach a broader audience, which also means, you know, utilize those short form videos to iQIYI platform for the long form video. This is one aspect. Another aspect is we're getting the financial returns for this collaboration. The results you will see starting from the third quarter of this year. It has positive impact for revenue as well as profit and as well as cash flow because of this collaboration. Thirdly, we also will collaborate in other operational front, for example, you know, product, technology and daily operations of the platform. Because we just signed this agreement in Q3 in July, we are getting things worked out, and we will roll out products and also content, you know, starting from, I would say this, toward the end of Q3. You will anticipate more products and content related to this cooperation with Douyin starting from that period. 如果再补充，就是从中长期看这个合作协议带来的价值，两方面。第一个方面是对行业的这个价值，就是爱奇艺、抖音都是这个长短视频各自的这个行业的头部玩家，那双方的这次合作，事实上建立了两个行业这个合作的规则，这规则的目标是实现双方的共赢。然后这个以后两个行业在相关性的这个方面能够良性地长期发展，对整个的生态系统，包括媒体平台、用户，还有这个合作伙伴，都产生了特别稳定的积极作用。然后第二点呢，就是为创作者提供了特别好的版权解决方案，推动这个影视内容、知识产权的这个合法化、规范化，抑制短视频对影视内容这种长视频的侵权的行为，让这个影视内容的创作者、制作公司可以更专心地去创作，少一些这种因为版权官司带来的这种精力的消耗和烦恼。然后对爱奇艺来讲呢，就是说我们的这种优质内容、长期价值更被行业和用户认可，以后这种长期价值更有这个货币化的空间，这是一点。然后第二点呢，就是爱奇艺的这个潜在用户可以更有方式获得爱奇艺的内容的这些信息，从而转移到爱奇艺平台来做观看和消费。大概吧，谢谢。 Okay, let me share some of the mid- to long-term views of this collaboration. First, I will share from the industry perspective. First of all, because iQIYI and Douyin are both the leading players in the market, one is for short form and one is for long form. Under this collaboration, very importantly, we're setting rules for this industry and creating a win-win collaboration for both platforms. Basically this demonstrate the very positive and sustainable development of this video business in the long term, which is very beneficial for both platforms and also for the users as well as for this ecosystem. Second, for creators and the industries, we're creating a very, I would say advanced or better IP solutions which will push the IP production as well as the legal enforcement of our premium long form content. It will to some extent decrease, I would say, that copyright infringement situation in some of the short form videos. Very importantly, for the creators' perspective, I will say they have more time now to be concentrated and more dedicated to bring more creative talent, and leash their creative talent to bring more positive and high-quality content to our users. This will also be very beneficial for the IP license holders as well. Above were the positive impact for the video industry, and I will share on some of the views for iQIYI specific. First of all, I will say this collaboration demonstrated the very premium content of iQIYI are recognized by the industry as well as our users. Also, it demonstrates the monetization potentials of our high quality premium content in the future. Second, through this collaboration, it will help iQIYI high premium content to reach a broader group of users in creating bigger impact of our content. That will also draw increasing number of users as well as members to the platform. Thank you. Thank you. Ladies and gentlemen, this concludes our question and answer session. I'd like to turn the conference back over to Yu Gong for closing remarks. Thanks everyone for joining the call. Please contact us if you have any further questions. See you next quarter. Thank you. Bye bye. Thank you, everyone. Thank you. This concludes today's conference call. We thank you all for attending today's presentation. You may now disconnect your lines and have a wonderful day.