Today $ZHIPU is pulling pretty hard; it’s up 6.1% intraday, and market sentiment on the tape has clearly picked up. I just saw the latest messaging the company provided to analysts and investors: the year-end ARR guidance has been raised by 25%, from $2.4 billion to $3.0 billion. This raise isn’t small, which suggests management feels fairly confident about the pace at which revenue will be confirmed going forward.
The key change is that the company has already signed revenue-sharing agreements with several leading domestic and international cloud service providers. Revenue under these agreements has been recognized starting in October. These deals are mainly for providing hosted APIs for the GLM series open-source models to overseas cloud platforms. In other words, beyond the existing business, this overseas cloud hosted-API line is now starting to contribute real revenue—and it’s not a one-off; it runs on a revenue-share model.
The company’s overall ARR is now $1.8 billion. Under the new guidance, the year-end target is to reach $3.0 billion, which implies clear growth expectations in the last few months. Coupled with today’s stock price jump of 6.1%, the market likely is pricing in this ARR upgrade and the overseas cloud collaboration rollout. Next, the focus is on whether revenue recognition after October actually delivers, and whether these cloud vendors’ cooperation can keep expanding.
The key change is that the company has already signed revenue-sharing agreements with several leading domestic and international cloud service providers. Revenue under these agreements has been recognized starting in October. These deals are mainly for providing hosted APIs for the GLM series open-source models to overseas cloud platforms. In other words, beyond the existing business, this overseas cloud hosted-API line is now starting to contribute real revenue—and it’s not a one-off; it runs on a revenue-share model.
The company’s overall ARR is now $1.8 billion. Under the new guidance, the year-end target is to reach $3.0 billion, which implies clear growth expectations in the last few months. Coupled with today’s stock price jump of 6.1%, the market likely is pricing in this ARR upgrade and the overseas cloud collaboration rollout. Next, the focus is on whether revenue recognition after October actually delivers, and whether these cloud vendors’ cooperation can keep expanding.