Listing will increase quick financing for Cheetah Mobile

Leung Tech Liang Chen reported May 26

Che Sheng Mobile CEO Fu Sheng said the listing is only the beginning. Listing will increase the rapid financing channels for Cheetah Mobile, bring tremendous value to the company's brand and will provide sustained returns to key core employees. The pre-IPO board of directors has approved a 10% option to repay employees.

Recalling the roadshow experience, Fu Sheng said that in the global one-on-one to deal with more than 100 investors, and due to the rapid growth in the number of users, the report of the continuous adjustment of data, the cost of printing only prospectus has exceeded Hundreds of thousands of dollars.

In addition, in the two weeks of the road show, Cheetah Mobile also suffered a 30% negative impact. Fu Sheng said that it actively said to investors that top executives of the company do not intent to sell stocks and use their business model to appease investors. In the end, it gets 7 times over-subscribed, mostly long-term investors.

"Standing on the shoulders of giants, so that we do not need to fight with the giant, in the giants did not pay attention to the development of their own world." Fu Sheng said, "In time, cheetahs and giants may be on the same platform, the same volume Athletics, this is what I repeat and investors say. "

Fu Sheng made the above remarks at a time when Cheetah Mobile was listed on the NYSE in the United States. Fu Sheng returned to China for the first time to face all employees.

Cheetah Mobile now has internationalization as its next major engine of growth. Fu Sheng said the plan was born a year ago in San Francisco, a small hotel, the top executives together to share a bottle of wine worth 10 dollars, and now Cheetah Mobile's market value of about 2 billion US dollars. With the development of mobile Internet, Cheetah will have the opportunity to provide its users worldwide with the simpler, faster and safer mobile Internet applications and services they provide.

After the listing is completed, Fu Sheng said the company's mobile strategy in the future will expand new opportunities for life. Currently, its Photo grid product, an assistive software capable of merging multiple images into a single image, acquired the Photo Grid development team by Cheetah Mobile in July 2013 and has 25 million active users worldwide every month Out of 150 million new pictures.

Cheetah mobile development for the next step, Fu Sheng specific explanation:

1, will continue to access mass users. It plans to have more than 300 million monthly active users worldwide by the end of this year and more than 500 million in 2015.

2, accelerate the global deployment. After the listing, Cheetah Mobile has begun negotiations with Samsung and Yahoo, the future will be with the United States and South Korea to establish a strategic partnership; in Taipei, China set up more than 30 R & D team; bought a 20% stake in Japan Jinshan, and will further increase Hold, in the hope of opening the Japanese market.

3, enhance profitability.

4, the pursuit of strategic investment and acquisition opportunities. Cheetah mobile hand lot of cash, it has started investing in Silicon Valley and other places for its layout in the global mobile Internet market.

Cheetah products into three rocket structure

However, for now, Cheetah Mobile's main product matrix still presents a three-stage rocket architecture. Fu Sheng said it will acquire mass users through a single point of killer application and analyze user behavior through commercialized platform products and sell the results to partners. This is Fu Sheng to investors to explain Cheetah mobile business model.

As Cheetah Mobile is currently the most important product cheetah cleanup master, its current global user has more than 237 million. Fu Sheng said the clean-up master can become a killer application, with the common needs of the global people, long life cycle and highly trusted user characteristics. Currently, Cheetah Mobile has invested in its human resources from the initial 20 engineers responsible for the construction of the development to more than 200 teams.

In fact, investors are concerned with the problem of clearing the masters' barriers to competition. Fu Sheng said he told investors that time and awareness are the real barriers to the Internet and that rivals will not be able to surpass them if they are able to bubble ahead and compete with their competitors for a single point of product and user experience.

In addition, Cheetah Mobile is uncovering CM Security, the second killer application antivirus, which was launched in January of this year and currently targets only overseas markets. With the promotion of cleaning master, quickly squeezed into the application store security products list, daily active users have more than 20 million. Fu Sheng believes that its impact on the mobile Internet will pose a threat to traditional security companies such as Kaspersky and Symantec.

The second stage rocket includes products such as cell phone assistants, navigation stations and browsers, which will complete the conversion of a large number of users from a high degree of retention to a high degree of flow. At present, Cheetah Mobile has become the largest external traffic supplier of Baidu and Sogou, the top three external traffic providers during Taobao double 11, as well as guiding traffic for dozens of domestic Internet enterprises, and Cheetah Mobile also undertakes hundreds of PC and mobile game distribution.

In response, Fu Sheng said that helping others to create value, can make their own ecological chain unique opportunities. He also stressed that cooperation with the giant is not the giants want to defeat 360 by them, but the establishment of cooperation between the two sides bring a win-win situation.

Although Cheetah is not involved in the search business yet, its share of revenue with its partners is twice as much as the search revenue of Qihoo 360. Fu Sheng said that its traffic to Baidu and Sogou enough to image the current market search pattern.

The third level is in the mobile terminal and the PC side through the flow of guidance, game distribution and advertising, etc. to achieve the process of monetization.

Qihoo 360 has blocked the cheetah market

At the same time, Fu Sheng disclosed for the first time the odd tiger 360 block cheetah listing process.

Fu Sheng said Qihoo 360 had seen the investors in front of and after the Cheetah mobile face, against investors and market and user data reverse roadshow. Its CFO practitioners in the United States more than 10 years of experience have not encountered a similar scenario.

The so-called "reverse road show", that is, an enterprise in the face of investors, do not elaborate on their own advantages, but rather to state the disadvantages of competitors.

The day before Cheetah pricing, Qihoo 360 also announced a partnership with the Cheetah partner GO Launcher, and Qihoo 360 will jointly develop the GO Launcher overseas market. Investors have asked if Fu Sheng will be affected. Fu Sheng said, "If you put the cheetah on top a year ago will be outdone, but only a year after the drizzle."

Fu Sheng revealed that the current GO desktop daily cheetah mobile users added less than 20000, while Cheetah Mobile daily addition of more than 2 million users overseas, which means that the total number of GO desktop channel cheetahs account for less than 1%.

Fu Sheng said Qihoo 360 is also in more than two times both countries and regions put advertising prices in an attempt to seize the Cheetah mobile market.