WIMI, Sensetime AI + AR Enabling New Ways Of Advertising Games, Visual AI Leading The World

May 06 19:57 2020

Nowadays, with the arrival of the information age, advertising has become a part of people’s life everywhere, whether it is on major social platforms, such as weibo, WeChat, or on the lamp sign at home, the rail of the subway, you can see a variety of advertisements. And the importance of advertising to social life is self-evident, whether commercial or public welfare, advertising needs to “broadcast.”

Although the size of the global advertising market generally keeps the trend of continuous growth, the market shares occupied by different media are obviously divided, among which the Internet media occupies the fastest growing market share. In 2017, Internet media has become the media with the largest share of global advertising market, and from 2017 to 2020 (forecast), Internet media will always be the media with the largest share of global advertising market.

In 2017 and 2020 (forecast), the proportion of advertising spending in different media in the global advertising market.



With the rapid development of China’s Internet industry, the Internet penetration rate continues to increase, the size of the Internet advertising market is also growing rapidly. In 2018, the size of China’s Internet advertising market is about 65.4 billion us dollars, and it is estimated that the size of China’s Internet advertising market will reach 94.6 billion us dollars in 2020, and 134.3 billion us dollars in 2023, with a good development trend and a broad market space.

In 2016, the application market scale of holographic AR in the entertainment industry in China is 600 million yuan, and the compound annual growth rate is expected to be 83.5% in 2016-2020, and 92.8% in 2020-2025, reaching 180 billion yuan in 2025. This increase is attributed to the increasing popularity of entertainment radio programmes, particularly live radio programmes, including ceremonies, concerts, evenings and sports events, where AR has great potential. The growth has also been helped by enhanced live streaming capabilities from smartphones and other portable digital devices. With its leading original technical strength, WIMI Hologram Cloud (NASDAQ:WIMI) further enforces “AI + AR” to the advertising and entertainment industry, bringing new impetus to the advertising practitioners and partners, and jointly promoting the innovation and development of Chinese holoar advertising and entertainment and application. At the sensetime AI summit, sensetime launched a number of AI related products in smart city, education, healthcare, AR and smart retail. In the AR field, SenseAR has improved AR solutions from three aspects: SenseAR special effects engine, SenseAR developer platform 2.0, and ecological cooperation with Unity. SenseAR’s original SenseAR special effects engine can recognize and locate people’s faces, gestures, limbs and other parts in pictures and videos, providing augmented reality special effects solutions for short videos, live broadcast, image beautification, social networking and other applications in the entertainment Internet industry.

The core of WIMI’s business is holographic AR technology, which is used in software engineering, content production, cloud and big data to provide customers with AR based holographic services and products. The products mainly include (I) holographic AR advertising services and (II) holographic AR entertainment products. In 20119q1, about 80.3% of revenue came from holographic AR advertising services and 19.7% from holographic AR entertainment products.

Holographic AR adware enables users to insert real or animated 3D (” 3D “) objects into video clips and seamlessly integrate them with scene clips, mainly for embedding holographic AR ads into films and programmes hosted by China’s leading online streaming platforms. In 20119q1, the holographic enhanced version of the WIMI software generated about 2.3 billion views, and 2018Q1 generated about 1.2 billion views, up 91.7% year on year. Holographic AR ads made with the company’s software generated about 6.6 billion views in the whole of 2018, and 4.9 billion views in 2017, up 34.7 percent year on year.

Using WIMI’s proprietary image and video recognition technology, WIMI’s software enables users to analyse underlying video clips at the pixel level to identify advertising space that can be enhanced by 3D objects. Advertisers and their agents buy these AD Spaces through an application programming interface or API integrated with WIMI’s system, specify their target audience and budget, and typically provide 3D models embedded in the video. When the AD space is detected and a 3D object is generated, the 3D object is automatically embedded into the underlying streaming video according to the batch processing determined by the software.


Source: prospectus, China merchants securities

Compared with traditional digital ads, the holographic AR generated ads have the following main advantages:

Engage and interact. Holographic enhanced ads tend to create more engaging, memorable experiences, which may stimulate impulse buying. Holographic augmented reality advertising encourages interaction between consumers and brands, creating a more interactive relationship than other forms of advertising.

Natural, not destructive. Compared to traditional banner and video ads that flash and rotate on the screen, holographic AR ads naturally mix with scenes from movies or TV shows, which helps overcome AD blindness and create a natural, uninterrupted viewing experience.

Cost effectiveness and flexibility. WIMI’s technology can identify and repeatable AD Spaces for multiple brands. 3D objects embedded in video can achieve basically the same level of realism as traditional tangible advertising, while being more cost-effective because of the savings associated with commercial advertising shooting.

WIMI’s holographic AR entertainment products include payment middleware software, game distribution platform and holographic MR software.

Payment middleware is a software solution that connects mobile applications to the payment channel, giving mobile application users easy access to a variety of online payment options. Working with more than 55 application developers, WIMI’s payment middleware has been embedded in more than 1,100 market mobile applications for over 300 customers in 2018, most of which have AR capabilities.

WIMI’s advanced payment middleware simplifies the often time-consuming process of mobile payments. Mobile payment middleware enables application developers to build an in-app payment infrastructure that enables small amounts of money to be paid or received through an efficient and secure system without any interface redirection. This mobile payment middleware enables application developers to store users’ payment credentials in a trusted and secure environment, and reduces the burden of users repeatedly entering and validating payment information for each transaction.

WIMI’s payment middleware can be fully integrated with all types of mobile applications, especially those using AR technology, such as live streaming, games, selfies, photo editing and video sharing. Currently, WIMI’s payment middleware supports all major online payment channels in China and is compatible with mainstream mobile operating systems. WIMI generates revenue through mobile payment middleware, which is split with application developers by an agreed percentage.

About WIMI, sensetime

WIMI focuses on computer vision holographic cloud services. According to introducing, WIMI cover from the holographic AI computer vision synthesis, holographic visual presentation, holographic interactive software development, holographic AR online and offline advertising, holographic ARSDK pay, 5 g holographic communication software development, holographic development of face recognition, holographic AR technology such as holographic AI development in face of multiple links, holographic cloud is a comprehensive technology solutions provider. Its business application scene is mainly concentrated in the home entertainment, light field cinema, performing arts system, commercial release system and advertising display system and other five professional fields. WMI has set up holographic AI cloud mobile software developers, service providers, operators in a body, has become one of the leading integration platforms in the field of holographic AI.

Sensetime’s mission is to “uphold originality and let AI lead human progress”. The company has established the world’s top, self-developed deep learning platform and supercomputing center, and developed a series of AI technologies, including: face recognition, image recognition, text recognition, medical image recognition, video analysis, unmanned driving and remote sensing. As a result, sensetime has become the largest provider of AI algorithms in China.

Sensetime has the largest market share in a number of vertical sectors, covering smart cities, smartphones, interactive entertainment and advertising, automotive, finance, retail, education, real estate and other industries. At present, sensetime technology has established cooperation with more than 700 world-renowned companies and institutions at home and abroad, including MIT, qualcomm, nvidia, Honda, alibaba, suning, China mobile, unionpay, wanda, huawei, xiaomi, OPPO, vivo, weibo, i&t, etc.

Advertising, therefore, also as the advertisers marketing demands grows, more personalized, supported by technology, high efficiency of advertising demand is becoming more and more prominent, to carry more show content, and at present, the power of the new technology innovation has become China’s advertising market is strong drive, including WIMI provide AR + AI algorithm based on video content, to implement scenario with the advertising, triggering consumers to purchase demands effectively already, also provides users with high-quality interactive experience at the same time, to meet the different needs of the consumers under different scenarios.

China values 5G because it will lead to many new applications for consumption, as well as industrial applications in the future. While 1G to 4G is mainly for consumer applications, 5G will be expanded to industrial applications and penetrate into telemedicine, distance education, smart city, autonomous driving, agriculture and other aspects. In the long run, the return of industrial applications is likely to be greater than that of consumption-oriented applications, but at the beginning of 5G, consumer applications are likely to dominate. “5G+ industrial ecology” from the four perspectives of smart production, smart city, smart people’s livelihood and digital life, through the means of professional communication equipment + high-tech cutting-edge equipment + interactive equipment + multimedia, bring people the shock experience of changing life of 5G, and feel the core capabilities of 5G and the development trend of industrial digitalization.

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