The Zhitong Finance App learned that Huatai Securities released a research report saying that domestic high-quality large-scale model capabilities continue to advance, which is expected to promote rapid application development. Investments focus on three logic lines: 1) video/corpus material library logic, large models need high-quality training materials, and the material value is expected to expand; 2) the application connects to Kimi and other high-quality large models, and their ability to understand and process long texts is expected to fully empower application scenarios in the fields of online reading, education, marketing, e-commerce, etc.; 3) Companies that cooperate with other high-quality domestic models are expected to greatly enhance their main business through high-quality models.

Huatai Securities's views are as follows:

Kimi's traffic is increasing, which is expected to speed up the implementation of the C-side application of large domestic models

Since its launch in October 2023, Kimi's ability to handle long texts has made it stand out from many models. According to Similarweb data, as of March 22, the number of daily active users of Kimi's web version peaked at 346,000, and the weekly active data cycle increased by 45%. According to Sensor Tower data, Kimi chat quickly climbed to 5th place in the Iphone free list and 1st in the productivity list on the 21st. According to Qimai data, the number of downloads in a single day exceeded 110,000 on March 22, an increase of 140% over the previous month. Kimi's traffic continues to increase, which is expected to accelerate the implementation of the C-side application of large domestic models.

Commercialization+multimodality is Kimi's iterative direction, highlighting the advantages of long text

Since launching in October 2023, Kimi has gone through three iterations. As reported by Titanium Media on March 18, Kimi is expected to launch a commercialization model in the first half of '24. Co-founder Zhou Xinyu also said that it is expected that multi-modal models and products will be launched in 2024. Kimi takes the lead in long text, and the length has been extended to 2 million words. It can achieve contextual memory, accurate information, complex task processing, reduction of information fragmentation, and multiple rounds of continuity of conversation. Its strategic focus is on a C-side model based on a closed source, which accelerates model iteration and enables B-side companies to connect to its API cooperation.

Step Star Relay released the Step series general-purpose model, and the domestic big model can be expected in the future

Since its establishment in April 23, Step Star has been deeply involved in self-developed supermodels. Currently, it has completed the development of the Step-100 billion parameter language model and the Step-1V 100 billion multi-modal large model. On March 23, 2024, the company officially released the preview version of the Step-2 trillion parameter MoE language model at the 2024 Global Developer Pioneer Conference. Its Step series general model has reached the industry's leading level of performance in image understanding, multi-round instruction following, mathematical ability, logical reasoning, and text creation. Currently, the company has launched the “Jump Question” tool and the “Bubble Duck” AI open world platform based on its Step series general model.

Domestic high-quality large model capabilities continue to improve, which is expected to drive the rapid development of domestic AI applications

Domestic AI's high-quality large models have excellent capabilities. Possible future application scenarios cover content creation, intelligent search, education, reading, video, marketing, e-commerce, and intelligent assistants. The media companies related to the industry chain are sorted out as follows:

1) The value of the material library is prominent. The video corpus includes Huace Film and Television (300133.SZ), Jiecheng (300182.SZ), Zhongguang Tianze (603721.SH), Optical Media (300251.SZ), etc.; the text corpus includes Chinese Online (300364.SZ), China Science and Technology (601858.SH), CITIC Publishing (300788.SZ), Guomai Culture (301052.SZ), Zhongyuan Media (000719.SZ), etc.

2) Kimi empowers application logic, such as Palm Reading Technology (603533.SH), Century Tianhong (300654.SZ), Supercommunication (603322.SH), etc. 3) Cooperation logic with other domestic high-quality large models, such as Jebsen Co., Ltd., Chinese Online, etc.

Risk warning: The development of the capabilities of large domestic models falls short of expectations, the development of application scenarios falls short of expectations, etc.