Kingsoft Cloud (03896) announced that on March 3, 2026, Xunlei, Wuhan Kingsoft Cloud (a subsidiary of the company), and Xinghan Zhilian entered into an equity transfer agreement. According to the agreement, Xunlei will (1) transfer its 20% equity stake in the target company, Shenzhen Wangxin Technology Co., Ltd., to Wuhan Kingsoft Cloud for RMB 50 million (tax inclusive); and (2) transfer its 30% equity stake in the target company to Xinghan Zhilian for RMB 75 million (tax inclusive).

As the artificial intelligence industry increasingly shifts its focus from the training phase to the inference phase, low-latency inference is expected to become a primary driver of computational power demand growth. The target company, a leader in the edge computing sector, deploys distributed nodes at the network edge, enabling local data processing to meet the low-latency and stable computational power requirements of AI applications, indicating significant growth potential.

The Group has been prudently seeking investment targets with growth potential to optimize capital utilization and diversify its investment portfolio. Considering the target company's future business growth prospects, this acquisition represents an attractive strategic minority equity investment opportunity. The transaction is expected to be a suitable way for the Group to participate in the potential growth of the target company without significantly increasing operational risk.