Meitu: The idea that large models will replace all applications is a market misconception

With the rapid development of AI large models, the market is worried that traditional applications will be “swallowed up.” Wu Xinhong, CEO of Meitu (01357), said that the belief that large models will replace all applications is a market misunderstanding. No large-model vendor can meet all needs and scenarios. In particular, some industry vertical scenarios require significant effort and resources. Meitu is currently digging deeper into these vertical scenarios, many of which are beyond what large models can do (“力所不能及”). It is believed that the future will be an “innovation marathon,” with models and applications occupying different ecological niches.

He added that Meitu’s advantages over large models lie in efficiency and its understanding of vertical scenarios. At present, AI Agents have already been embedded into most of the company’s products, helping address many of users’ long-tail needs, thereby driving paid conversions and increasing average revenue per user (ARPU). For example, the Agent feature of Meitu Design Studio has become the main driver of growth in paid amounts since last December.

CFO Yan Jinliang said that, in response to the rapid development of AI, starting this year, in addition to the company’s twice-yearly results briefings, the company will update operational KPIs for its core business on a quarterly basis to enhance information transparency.