Theme Highlight:

We recently heard from Juan Lin, Head of Investor Relations at Baidu, during an investor call organized by The Benchmark Company. Lin provided an overview of Baidu’s experience with new regulations as well as multiple exciting initiatives including AI cloud services and autonomous driving.

We believe Baidu’s diversified business model and commitment to an open internet make it resilient and geared for long-term growth. Baidu’s promising initiatives across various businesses, all connected through an AI-enabled cloud ecosystem, exemplify the depth of opportunity in the China internet sector.

Report Highlights:

• Further clarity on China’s internet regulations
• Recent volatility in China internet names has created an attractive entry point for long-term investors
• A close look at Baidu’s AI cloud services, fleet of robo-taxis, and experience with new regulations
• Four new company additions to KWEB

China Internet Sector Earnings Report Contents:

• Subsector Analysis
• Theme Highlight: Baidu on AI, Autonomous Driving, and An Open Internet Marketplace
• KWEB Top 10 Holdings Earnings Update