Key investment events: The company announced the signing of a “virtual reality+radio and television” operation cooperation agreement with Jishi Media. Comment: An agreement was reached with Jishi Media, and the “VR+ Radio and Television” model went to another city. 1) The company relied on the cable television fiber-optic access gateway independently developed by Jishi Media and equipped with a “10 gigabit broadcast data chip” to create a VR broadcast control cloud platform for radio and television in Jilin Province; 2) the broadcast control cloud platform includes but is not limited to VR channel content in the fields of culture, tourism, education, games, etc.; the format revolves around high-definition VR video, panoramic video, naked eye 3D, etc.; 3) The company's VR progress has continued. Since the March announcement, it has signed cooperation framework agreements with four national key laboratories and institutions, and signed technology development and service contracts with it in April, The cooperation between Weishi News and Hubei Radio and Television promotes the implementation of VR+ radio and television in Shenzhen and Hubei, and continues to prove that radio and television is the best choice for VR “online 2C” at this stage. Jishi Media has obvious advantages and is an important partner in implementing the company's “VR+ Radio and Television” strategy. 1) Jishi Media's cable television network covers 7.065 million users, with a coverage rate of 77.8%. The number of cable TV residents on the entire network is 5.319 million, the entry rate is 72.6%, and the digitization rate is 97.7%; 2) The agreement signed with Jishi Media will help accelerate the construction of VR content and broadcasting channels. Currently, it has reached cooperation with radio and television networks in Shenzhen, Hubei and Jilin regions, and is expected to promote the whole country in the future. The market space is huge. Profit forecast: We expect the company's EPS for 16/17/18 to be 0.03/0.04/0.04 yuan (not considering the company's VR business contribution), and the current stock price corresponding to PE for the same period is 683/636/611 times, respectively. Although the company's current valuation is relatively high, it continues to be optimistic about the company's “virtual reality+radio and television” channel layout, which is expected to occupy the VR living room entrance, calmly enjoy the VR explosion dividends, and maintain the “increased holding” rating. Risk warning. 1) The pace of development of the VR industry falls short of expectations; 2) The implementation of strategic agreements falls short of expectations.