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… of concept.
The team is preparing a new product for release by year-end. It will serve a different scenario but be built on the same foundational principles.
“What we’re really building is a system of automation and productivity that can be applied across industries and use cases,” Guo said. Wherever efficiency can be improved, the system can intervene and reshape workflows.
Guo follows Lexi’s own recommendations, using it to acquire users and guide market strategy. When the system detects higher willingness to pay in a specific region, the team tailors its product for that market.
Today, over 60% of new users come through Lexi’s own campaigns.
For instance, in North America, Lexi found that local service providers, such as gyms, beauty salons, were 40% more willing to pay than e-commerce clients. These businesses rely heavily on local foot traffic, which Lexi can precisely target through Meta.
In response, the team optimized features for local services, including geofencing, localized copy generation, and Google Maps integration.
Asked whether he trusts Lexi’s strategies, Guo didn’t give a straightforward yes or no. “It’s not about trust. It’s about understanding why the AI suggests a particular strategy,” he said.
In 2025, <a href="/company/openai">OpenAI</a> released GPT-5. Hallucinations persist, largely because large models understand the world through language, not numbers. Like humans, they can let intuition override evidence.
In commercial settings, whether AI can objectively incorporate feedback, or whether it will mirror human biases, remains an open question.
There are many ways to build in the large model era. Sandwich Lab chose a different path: don’t let AI make one-off guesses. Instead, build continuous feedback loops and evaluate outcomes using revenue.
That approach has led to many unexpected users. Early Lexi adopters include a team-building drum studio in the UAE, an Australian firm serving people with disabilities, and a business in Africa selling dreadlock extensions.
These discoveries represent deeply meaningful moments for the team. “Before Lexi expanded into these markets, I wouldn’t have known those customer profiles existed,” Guo said. “Even with Palestine at war, we have a customer there selling Yiwu goods on Facebook. He drives them to the border daily. He emailed us saying Lexi helped him sustain his income during the hardest times.”
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3423678607855240">article</a> was written by Deng Yongyi for 36Kr.

Sandwich Lab’s Lexi takes on ad agencies with automated campaign builder

Artificial Intelligence

Deep Tech

China

<blockquote>China Recap is a weekly roundup tracking Chinese companies expanding abroad, covering market entries, funding rounds, product launches, and global partnerships.</blockquote>
China’s corporate globalization strategy is evolving fast. Industry giants are rewriting the global playbook, while a new generation of companies charts fresh paths overseas.
China Recap tracks both—focusing on strategic expansion, brand building, and localized operations—to help readers make sense of shifting trends and understand how Chinese firms are reshaping their global approach.
This edition shows fandom evolving into a multi-pronged strategy spanning IP protection, live events, new launches, and beyond.
<h3>Pop Mart steps up anti-counterfeit drive</h3>
<a href="/company/pop-mart">Pop Mart</a> said 7.91 million counterfeit products have been seized since it filed customs recordals in 27 countries and regions. European customs have been especially active, with the Netherlands intercepting more than 260,000 items. The company also issued multilingual guides to help identify fakes of its popular IPs. —<a href="https://36kr.com/newsflashes/3453154766919048">36Kr</a>
<h3>Xiaohongshu debuts offline market in Shanghai</h3>
<a href="/company/xiaohongshu">Xiaohongshu</a> launched “RedMarket” in Shanghai, a four-day fair featuring over 100 stalls of lifestyle goods, regional cuisine, and cultural heritage crafts. Paired with a new “Market” tab on its app, the event underscores its bid to rebrand as an interest-focused community bridging offline and online commerce. —<a href="https://daoinsights.com/news/rednote-brings-its-marketplace-offline-with-the-first-redmarket/">Dao Insights</a>
<h3>Mini Labubu hype cools after rapid sellout</h3>
Prices for Pop Mart’s mini Labubu figurines have dropped 10–30% just a week after selling out online on August 28. Early resale listings topped RMB 2,500 (USD 350), but rising supply and mixed product feedback have cooled demand. More than 56,000 units have reportedly traded hands on resale platforms. —<a href="https://www.jiemian.com/article/13302188.html">Jiemian News</a>
<h3>Love and Deepspace wins at Gamescom</h3>
Love and Deepspace, a 3D romance game by Infold Games, won "Best Mobile Game" at the latest Gamescom, becoming the first female-oriented title to earn the honor. Since launching in January, it has reportedly topped iOS charts in over 30 countries and drawn 70 million players with its blend of sci-fi themes, cinematic immersion, and character intimacy. —<a href="https://technode.com/2025/09/03/love-and-deepspace-wins-best-mobile-game-at-gamescom-as-female-oriented-titles-emerge-on-the-global-stage/">TechNode</a>
whereRelatedArticle
<h3>Top Toy opens first Japan store</h3>
Top Toy opened its first store in Japan on August 30 at Tokyo’s Sunshine City, recording over JPY 11 million (USD 74,460) in sales on day one. The move follows an investment led by Temasek, valuing the company at HKD 10 billion (USD 1.3 billion). —<a href="https://36kr.com/p/3447955822646660">36Kr</a>
<h3>Mihoyo debuts new Honkai title</h3>
Mihoyo unveiled its latest game, Honkai: Nexus Anima, on August 29 with a debut trailer and gameplay demo. The title blends pet collection and auto-battling in a casual strategy format. Led by Honkai: Star Rail producer David Jiang, it also features town exploration, mount riding, and avatar customization. Closed beta signups are now open. —<a href="https://36kr.com/p/3446738477438342">36Kr</a>
<h3>Mini Labubu toys drive resale frenzy</h3>
Pop Mart’s mini Labubu collectible, priced at RMB 1,106 (USD 154.8) per set, was reselling for up to RMB 2,500 prior to its official launch on August 28. Each set includes 14 standard figures and one hidden model. The release is part of "The Monsters" series, which drove a 668% year-on-year surge in revenue for the first half of 2025. —<a href="https://en.jiemian.com/article/13272646.html">Jiemian News</a>
That wraps up this edition of China Recap. If your company is expanding internationally, we’d love to hear about your latest milestones. <a href="mailto:changweiqian@global.36kr.com">Get in touch</a> to share your story.

China Recap | How fandoms shape markets

In China’s stock market, a common belief holds that when a company’s share price surpasses Kweichow Moutai’s, a decline often follows.
The latest contender is Cambricon. After its stock rose tenfold in just over a year, the company briefly reached the top on August 27 when its intraday price hit RMB 1,465 (USD 205.1), overtaking Moutai.
However, the lead lasted only a day before Cambricon’s shares turned downward, and this drop has raised questions: will Cambricon follow the same path as earlier challengers?
Over the past eight years, no company has managed to remain above Moutai’s stock price. Historically, 14 companies have done so, most around 2015, a year that marked both the peak of China’s last bull market and the end of the mobile internet bubble.
To examine the pattern, 36Kr reviewed the performance of those 14 companies, as well as Cambricon, after they surpassed Moutai.
<h3>Losing ground within weeks</h3>
The review found that aside from China State Shipbuilding Corporation and Yanghe Distillery, none of the companies held their gains for more than a year after overtaking Moutai.
Half began to decline within a month of reaching the top. Among them, G-bits, China Literature, Changchun High-Tech, Hepalink, and DingLi Communications were still down a year later.
Many of these companies were tied to the mobile internet boom. These included Baofeng in online video, AnShuo in internet finance, and G-bits in gaming, each reflecting a surge of investor interest that proved short-lived.
Baofeng illustrates the risks. In 2015, its stock climbed to RMB 327 (USD 45.8), briefly overtaking Moutai at the height of the bull market. After crossing that milestone on May 14, prices rose further until the ChiNext bubble burst in June, triggering China’s 2015 stock market crash. Baofeng’s shares fell sharply and never recovered.
From 2016 onward, the company struggled to adapt, spent heavily on expansion, and recorded losses. Scandals followed, including the imprisonment of its founder. By the time Baofeng was delisted for financial and management failures, its shares had dropped to RMB 0.28 (USD 0.04), erasing nearly all of its peak market value.
Another example is Qtone Education. Its stock remained elevated longer, supported by favorable policies, acquisitions, and its positioning in online education.
By 2016, Qtone was China’s most valuable education stock, with a price-to-earnings (P/E) ratio of more than 1,600. For comparison, New Oriental had a market cap of about USD 3.8 billion at the time, with a P/E ratio of around 19. But Qtone’s growth relied heavily on acquisitions, as shown in its 2016 annual report, which detailed nine consolidations that year.
The turning point came in early 2017, when Qtone reported its first quarterly loss. Its stock soon fell to a fraction of its peak value.
<h3>Cambricon’s valuation towers over past rivals</h3>
The trend is consistent: companies that overtook Moutai were usually propelled by speculative themes, without fundamentals strong enough to support their valuations. When sentiment shifted, their stock prices fell.
Nearly a decade later, Cambricon’s rise is taking place during an investment boom in artificial intelligence that resembles the earlier mobile internet wave. Positioned as a domestic chip company, it has become a market focus, lifted by interest in AI and geopolitical factors.
But uncertainty is building: could this cycle fade as quickly as the last?
Valuations are stretched. When the 14 earlier companies surpassed Moutai, their average P/E ratio was 232. Cambricon’s is about 514. Historically, its rolling P/E ratio has been 26 times the industry average, and at its peak nearly 58 times higher.
On August 28, Cambricon issued a risk warning, noting that its price had diverged significantly from fundamentals. By September 4, its shares had fallen 14.45% to RMB 1,202 (USD 168.3), while Moutai slipped 0.53% to RMB 1,472.7 (USD 206.2).
Cambricon’s trajectory since overtaking Moutai has been similar to earlier cases: it rose briefly to RMB 1,587 (USD 222.2) before declining.
The broader market context, however, is less volatile than in 2015. That year, the Shanghai Composite Index climbed 57% between January and June. This year, it has risen 21%, from about 3,150 points at the start of the year to around 3,800.
Still, today’s risks may be more pressing. The 2015 downturn was triggered by domestic leverage unwinding. In 2025, the challenges are largely external: geopolitical tensions, concerns about global recession, and slower-than-expected recovery at home. For Cambricon, these pressures could be more direct than for most companies.
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3453596443661704">article</a> was written by Song Wanxin for 36Kr.

Cambricon briefly tops Kweichow Moutai, reviving a stock market superstition

Investment

… help Daikin to promote its inverter technology and address social issues at the same time.
Daikin declined Nikkei Asia's request for an interview to discuss the details of such regulatory efforts.
Some, meanwhile, believe part of the answer may be embracing Chinese peers in the vast African market.
Yo-ren, a Shanghai-based Japanese digital marketing company, aims to combine the strengths of Japan and China. Osamu Kaneda, Yo-ren's chairman and CEO, suggests Japanese companies should seek to tap their Chinese counterparts' expertise in supply chain efficiency.
Kaneda is a member of the Japan-Africa Co-Creation for Industry initiative, or JACCI, which helps Japanese companies match with African startups, and hopes to create bridges between Japan and China as well.
JICA president Akihiko Tanaka expressed a similar thought when he spoke with Nikkei Asia at TICAD. "There are no conflicts or issues with our Chinese counterparts in Africa," he said. Tanaka, an international politics scholar by profession, stressed that for African countries, it is "beneficial" if Japan provides some kinds of support while China "take the others."
This article first appeared on <a href="https://asia.nikkei.com/business/companies/yamaha-motor-kubota-others-aim-to-shake-chinese-rivals-africa-footholds">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing partnership with <a href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/">Nikkei</a>.

Yamaha Motor, Kubota, others aim to shake Chinese rivals' Africa footholds

Japan

Africa

… itself as a dominant brand, maintaining a 70–80% share of the global consumer drone market. Looking ahead, it plans to deepen its presence in Southeast Asia and the Middle East, leveraging local partnerships and compliance-driven technical adjustments to secure international growth.
<h3>Xgimi</h3>
Xgimi’s overseas journey began in 2016, when it tested international demand through crowdfunding platforms such as Indiegogo and Kickstarter. In 2019, it launched products certified by Google and running Android TV, marking its official entry into mainstream global markets.
In 2021, the company built a dedicated international team and leaned into Amazon, moving into a direct-to-consumer phase that strengthened its overseas presence.
In 2024, Xgimi recorded RMB 1.205 billion (USD 168.7 million) in international revenue, accounting for more than 35% of its total, and its products had entered major offline channels across Europe, North America, and Australia. In 2025, Xgimi has continued expanding retail coverage by adding more offline outlets.
So far this year, the company reported cumulative sales of more than five million units, with products available in 45 countries and regions. It has established overseas entities in the US, Japan, Germany, and Singapore, building a global operating network. Its projectors are sold online via platforms such as Amazon and Japan’s Rakuten, and through offline retailers including Best Buy, Sam’s Club, and Walmart, ensuring wide availability across channels.
Xgimi also plans to issue H-shares and list on the Main Board of the Hong Kong Stock Exchange, a move aimed at reinforcing its overseas strategy and bringing more innovative projectors to global consumers.
<h2>Conclusion</h2>
As globalization deepens and Chinese companies ramp up their international expansion, more homegrown brands are stepping onto the world stage. Many are moving beyond a narrow manufacturing-and-export model to embrace a brand-oriented approach, aiming to secure a place in global markets and build lasting trust with consumers. Expanding abroad is not only a commercial competition but also a test of cultural understanding and market fit.
Looking ahead, more Chinese brands are poised to reach global consumers with technology, products, and ideas, while also sharing culture and values across borders. The path overseas may be uneven, but each step draws China and the world closer together.
This <a href="https://mp.weixin.qq.com/s/bQb62bCoGmJowZJLadzqJA">article</a> was adapted based on a feature originally written by Mall China (<a href="http://mallchina.org">mallchina.org</a>). KrASIA is authorized to translate, adapt, and publish its contents.

Chinese brands vie for the spotlight abroad with tech, tea, and toys

Retail

Consumer Economy

… homework. Every time she entered a new market, she immersed herself in its culture and viewing preferences. She found that Thai audiences loved romantic comedies with soft, youthful tones.
She was right. Thai actor Patrick Nattawat Finkler, who cameoed in the film, drew a fan-driven surge in attendance. The movie went on to perform across three fronts: box office, Netflix release, and online buzz, all of which boosted its market value.
Recently, her company also expanded into Slovenia, Croatia, Bosnia, and other emerging territories. A curated batch of 30 films is now rolling out across five countries.
But film sales are also a people business.
“Reliable” was how a South Korean friend once described Ding. Early in her career, she helped him solve multiple work problems. Later, he became her first client in the online feature film segment.
He first met Ding when she was hustling at IM Global’s flashy booth near Santa Monica Beach, trying to sell a film she herself didn’t believe in. But she pitched it tirelessly, from every angle. They ran into each other again at the airport in Los Angeles. “She looked exhausted,” he recalled. Still, she suggested grabbing a drink. That conversation sparked a lasting friendship. He sent her kimchi by the gallon. During the pandemic, he mailed her face masks from Korea.
Ding treasures these little moments of human connection.
She still remembers how, in her first month on the job, her boss Leslie would revise every email she wrote. In their three years working together, Leslie never once asked her to handle errands or expenses.
Now a leader herself, Ding tries to do the same, shielding her staff when needed and pushing them to grow.
She encourages her team to attend Cannes and Berlin in person, hoping they learn by doing. When The Wandering Earth held a special screening at the United Nations, her staffer Grace was suddenly asked to take charge. Panicked, she called Ding late at night: “I can’t do it. I’ll mess this up.” The next day, Ding sent a bilingual friend with event experience to support her.
Ding hardly rests, but often reminds her team to take care of themselves. She recommends morning stretching and herbal teas. Her colleagues worry she works too much, but are also thankful that her workaholic-like intensity has saved them countless times in crunch moments.
One staffer, Fifi, said Ding is “someone who knows how to seize opportunities.” But Ding doesn’t see it that way. To her, it’s all about preparation. She never stopped honing her skills or deepening her understanding of the industry. That diligence, she said, is what turned seeming luck into inevitability.
The following transcript has been edited and consolidated for brevity and clarity.
<h3>36Kr: What are some practical skills needed for international film distribution?</h3>
Ding Xiaoyin (DX): Beyond domain expertise, the most important trait is initiative. Don’t be afraid of rejection. If someone doesn’t respond to my email, I’ll call their office, timed to their work hours, of course. I learned that during grad school in the US, where no one solves problems for you. You have to learn to speak up and communicate without overthinking.
Attention to detail is also crucial. For example, always consider time zones when sending emails. Aim to have them land during the recipient’s morning work hours, not as they are winding down. Small things like that can influence how your email is received. These details matter in overseas distribution.
<h3>36Kr: Are you concerned about bias against Chinese films in international markets?</h3>
DX: Not really. We focus on underdeveloped territories, such as places like Serbia, Bosnia, Mongolia, Norway, and Finland. We build relationships with local distributors and send them curated selections that respect cultural and linguistic differences. Our goal is to showcase the range and quality of Chinese cinema.
There might be differences in taste, but that’s not the same as discrimination. More than anything, we want to challenge outdated perceptions. Right now, revenue isn’t the priority. Changing mindsets is. We’ve found that once distributors really understand Chinese films, they start to appreciate them. Even if they are not interested today, we still encourage them to watch. You never know. The aim is to plant seeds for long-term collaboration.
<h3>36Kr: After <a href="https://kr-asia.com/ne-zha-2-claims-the-crown-as-chinas-lunar-new-year-box-office-breaks-records">Ne Zha 2</a> became a hit, there was criticism of its overseas rollout. What’s your take?</h3>
DX: There are misunderstandings about how film distribution works. A release strategy depends on many factors: genre, market expectations, production timelines, and when the overseas team gets involved. People assume that strong domestic box office should translate directly into overseas success, but it doesn’t work that way. Every film is different.
Unlike Hollywood, Chinese films can rarely launch globally in sync. International release requires long lead times to coordinate logistics, marketing, and scheduling. The public often only sees the final result—the delays, limited screenings, or lack of buzz. While those criticisms are understandable, I hope people give us more time. We’re still improving.
<h3>36Kr: Given your film background, do you ever want to direct something yourself?</h3>
DX: I’ve always had that thought. My undergrad major was niche, but that gave me unique stories to tell. I’d love to make a grounded campus drama, something like Our Shining Days, but for translation students. During the pandemic, I saw a classmate who studied Vietnamese help translate PPE (personal protective equipment) manuals. That really moved me. Even supposedly unpopular majors can shine in critical moments.
<h3>36Kr: What advice would you give to current students in small majors?</h3>
DX: Don’t feel like your major limits your future. Every discipline has value, and every experience can become an asset. Try new things while you’re still in school. Don’t fear failure. The world moves fast and can feel isolating, but if you keep going, you’ll find your place.
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3422312113016449">article</a> was written by Tian Mi for 36Kr.

From rejection letters to red carpets: How Ding Xiaoyin brought Chinese cinema to the world

Entertainment

Creative

… flight tests of the AE200 later this year and aims to complete certification by 2026. Its new headquarters, part of the CDHT Future Science and Technology City Development Group, is set to open later this year. Once operational, the facility will support small-batch production with an annual output capacity of 40–50 units.
Initial commercial uses will include tourism, urban transit, and emergency medical services. Fei gave examples such as a 153-kilometer trip from Hongqiao Airport to Mount Mogan cut to 42 minutes by air, or a journey from Shanghai Pudong International Airport to Lujiazui reduced from 40 minutes by car to ten minutes by air. For medical emergencies, the AE200 could carry patients from Chongming Island to Ruijin Hospital in downtown Shanghai.
Most of the AE200’s systems are now localized through co-development initiatives. For those still reliant on imports, such as avionics, Aerofugia has formed partnerships to close the gap. One example is its joint venture with Wolong to develop propulsion systems for electric aircraft.
Still, international expansion remains a challenge. While the Civil Aviation Administration of China certifies aircraft domestically, other markets require separate approvals from regulators such as the Federal Aviation Administration (FAA) or the European Union Aviation Safety Agency (EASA). Without recognition agreements, Chinese eVTOL projects must go through these processes independently.
<h3>Only a few will endure</h3>
According to Fei, the global eVTOL sector is nearing the end of its R&amp;D phase. He expects flight certifications to begin this or next year, followed by commercial trials, with large-scale operations likely after 2030.
Tu Qiang, Aerofugia’s chief product officer, highlighted China’s advantages in supply chain stability and cost efficiency. “Once our local aviation suppliers catch up in performance, we’ll outpace the West not just in aircraft, but also in support infrastructure like charging networks,” he said.
Still, Tu cautioned that survival in the sector is uncertain. The Vertical Flight Society tracks more than 1,000 eVTOL projects worldwide, many of which have gone inactive. R&amp;D remains costly, with Joby Aviation reportedly spending hundreds of millions of USD annually.
Tu predicted that no more than ten Chinese eVTOL companies will survive consolidation. “You need capital and talent,” he said. “There just aren’t enough experienced aviation professionals to go around. Most companies are either hiring from a few aerospace schools or training fresh graduates themselves.”
As for newcomers, Guo offered this advice: “Be bold, and results-oriented. But never lose sight of why you started. You need to operate with long-term discipline.”
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3427751538708105">article</a> was written by Liu Jingqiong and A Zhi for 36Kr.

Aerofugia plays the long game by focusing on passenger eVTOL aircraft

Transportation

Mobility

eVTOL Aircraft

… to feature, get in touch with us at: <a href="mailto:hello@kr-asia.com">hello@kr-asia.com</a>.
<style>.addcaption{font-size:14px!important;line-height:20px!important;color:inherit;padding-top:8px;border-top:1px solid #e8e8e8}</style>

Deals in brief: RushOwl and Zuzu raise funding, Airwallex acquires OpenPay, nine new China investments, and more

Venture Capital

Private Equity

Merger &amp; Acquisition

Singapore

Indonesia

Southeast Asia

… therefore design frameworks that connect asset digitization, securitization, and tokenization.
As of July, global RWA market capitalization has exceeded USD 25 billion, excluding stablecoins, according to RWA.xyz. Boston Consulting Group and ADDX project that tokenization of global illiquid assets could reach <a href="https://web-assets.bcg.com/1e/a2/5b5f2b7e42dfad2cb3113a291222/on-chain-asset-tokenization.pdf">USD 16 trillion by 2030</a>.
The challenge will be striking a balance between rapid growth and systemic safety.
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3439401520762242">article</a> was written by Wang Hanyu for 36Kr.

RWA tokenization enters new phase with AI servers as latest asset class

Blockchain

Cryptocurrencies