Deliberate submission of prospectus: revenue of 940 million in the first half of 2019


[abstract] The prospectus shows that the income of neglect increased from 67.8 million yuan in 2016 to 313 million yuan in 2017, and then to 1.427 billion yuan in 2018. The compound annual growth rate from 2016 to 2018 is 358.8%.
Report of Lei Jianping on Aug. 25
AI companies ignore technology to submit prospectus to HKEx today. Once they are successful in listing, Ignorance will become the first real AI companies listed in Hong Kong and the world.
At present, Alibaba, Ant Golden Clothes, Lenovo and Innovation Workshop are all technology shareholders who are ignorant.
In an open letter to investors, Ignorance Director and Chief Executive Officer Inge said that Ignorance means going with technologists to witness and promote the great AI technological revolution. Ignorance firmly believes that AI will make the world a better place.
Inge said that he was open-minded and adhered to three principles: 1. Stars and seas, never give up; 2. Focusing on core competitiveness – in-depth learning; 3. Steady commercialization.
Ignorance will fully disclose the core principles to be followed in the development and use of AI technology, including six aspects: legitimacy, human supervision, technical reliability and security, fairness and diversity, accountability traceability, data privacy protection.
Inge says AI will benefit everyone. This technological revolution is irresistible and popular.
Revenue in the first half of the year was 940 million
According to reports, Open-sightedness is an artificial intelligence (AI) company, founded in 2011 by the three founders of Inch, Tang Wenbin and Yang Mu. They graduated from Yao Ban, Tsinghua University, founded by the Turing Award winner, Chinese computer scientist and theorist Yao Shizhi.
Blind Brain++ learning framework is considered to be one of the few companies in the world with self-developed deep learning framework. Blind Brain++ can be compared with Google’s TensorFlow and Facebook’s PyTorch.
In COCO, the most authoritative international competition in computer vision, Ignorance has won several world championships in the past two years. In 2017 and 2019, neglect was listed in the “50 Smart Companies” list published by the Massachusetts Science and Technology Review.
The business scope of neglect is much wider than that of face recognition. Supported by self-developed in-depth learning framework, the company commercializes computer vision technology, which is widely used in three vertical areas of Internet of Things: personal device brain, urban brain and supply chain brain.
Solutions to AI enabling neglect include:
Personal Internet of Things. Ignorance provides personal Internet of Things solutions to improve the user experience of personal devices with AI-enabled cameras. Ignorant personal Internet of Things solutions include algorithms and software.
Wide-sighted device unlocking solutions use face recognition technology to enable users to easily unlock their personal devices or authorize online payment; Wide-sighted computing photography and video processing solutions enable consumers to use personal smart devices to take photographs and videos comparable to professional cameras.
The number of overlooked Face ID solution customers increased from 127 in 2016 to 1044 in 2018, with a compound annual growth rate of 186.7%. These customers increased by 54.3% from 714 in the six months ended 30 June 2018 to 1102 in the six months ended 30 June 2019.
Ignorance in 2018 for 98 local cities of China government agencies and corporate customers to provide urban Internet of Things solutions, while 2016 for 31 cities, a compound annual growth rate of 77.8%.
City Internet of Things. Ignorance provides urban Internet of Things solutions, digitizes urban space, and makes cities and communities safer and more efficient. Wide-sighted urban Internet of Things solutions include algorithms, software and artificial intelligence enabled sensors.
Intelligent urban management solutions that are open-minded enable government agencies to enhance public safety, optimize traffic management and improve urban resource planning. Wisdom Community Management Solutions to help businesses improve property safety while improving the experience of households and visitors.
Supply Chain Internet of Things. Ignorance provides solutions for the supply chain Internet of Things, with artificial intelligence enabling robots and sensors to make the supply chain more efficient. Wide-sighted supply chain IOT solutions include algorithms, software and AI enabled robots.
Ignorant intelligent logistics solutions help logistics companies and manufacturers effectively deploy and manage large robotic networks to support complex warehousing tasks. Wisdom Retail Solutions of Ignorance enable offline retailers to improve service quality and optimize sales plans by analyzing customer behavior.
According to the prospectus, the income of neglect increased from 67.8 million yuan in 2016 to 313 million yuan in 2017, and then to 1.427 billion yuan in 2018. The compound annual growth rate from 2016 to 2018 was 358.8%.
In 2016, 2017 and 2018, neglect lost 342.8 billion yuan, 759 million yuan and 3.351 billion yuan respectively. Income from neglect increased by 210.3% from 305 million yuan in the six months ended 30 June 2018 to 949 million yuan in the same period in 2019.
As of 2018 and 30 June 2019, neglect had lost 729 million yuan and 5.2 billion yuan respectively. The loss increased from 759 million yuan in 2017 to 3.352 billion yuan in 2018, and from 729 million yuan in the six months ended 30 June 2018 to 5.2 billion yuan in the same period in 2019, mainly due to the neglect of the fair value changes of preferred shares and sustained R&D investment.
This situation has also occurred in the listing process of millet and American Corps. It is “the change of fair value of financial liabilities, which are recorded in profits and losses according to fair value”, but only the profit and loss of financial statements brought by financial standards.
The main reason is that convertible and redeemable preferred shares are often used in financing of New Economy Company. The rapid growth of company valuation has brought about the income or loss resulting from the change of fair value of contract. It is the adjustment of non-cash subjects and no cash outflow. It is not the real business situation.

Despite the impact of projects that management considers to be incapable of reflecting business performance, adjusted net profit in 2018 was 32.2 million yuan, while adjusted net losses in 2016 and 2017 were 92 million yuan and 1.42 yuan, respectively. As of the six months ending June 30, 2018 and 2019, the adjusted net loss and adjusted net profit of neglect were 137 million yuan and 32.7 million yuan respectively.
Alibaba and Ant Golden Clothes are important shareholders
Ignorance Director and CEO Inge was named one of the “Global Youth Leaders” by the World Economic Forum in 2019. He was selected as one of the “Technological Innovators under 35” in the Massachusetts Science and Technology Review in 2018 and ranked first in Forbes Asia’s “30 Leaders under 30” list of technological entrepreneurs in 2016.
Dr. Sun Jianjian, the chief scientist who ignored him, is a former chief researcher of Microsoft Asia Research Institute/Microsoft Research Institute. He was named one of the “technological innovators under 35 years old” by the Massachusetts Science and Technology Review in 2010.
Tang Wenbin, Director and Technical Director of Ignorance, is the gold medal winner of the National Information Olympics Competition and has been the general coach of the National Information Olympics Competition Training Team for seven years.
Yang Mu, the director of Ignorance, is the gold medal winner of the International Informatics Olympic Competition.
On June 30, 2019, about 95.3% of R&D personnel have bachelor’s degree or above, of which about 37.7% have master’s degree or above.
Outsighted R&D personnel include computer scientists, researchers and other technical personnel, all over Beijing, Chengdu, Nanjing, Shanghai and Seattle.
As of June 30, 2019, 1,432 R&D personnel had been neglected. In 2016, 2017, 2018 and the six months ending June 30, 2019, the R&D expenditures for neglect were 78.2 million yuan, 205 million yuan, 613 million yuan and 468 million yuan, respectively.
Ignorance team originated from Lenovo system at the earliest. Lenovo Venture Capital invested very early. Innovation Workshop also invested in Ignorance in the early stage. This is a favorite project of CEO Li Kaifu of Innovation Workshop. Ignorance and Foxconn lay out more on hardware and sensors.
In May of this year, it also announced the completion of the second stage of D round equity financing, with a total amount of 750 million US dollars. Investors include BOCGI, ADIA’s wholly-owned subsidiaries, Macquarie Group and Bank Wage Management (Global) Limited. 。
Prior to the IPO, Inge held 8.21%, Tang Wenbin 5.9% and Yang Mu 2.72%. AI Mind owns 5.57% and Machine Intelligence 6.19%.
Alibaba indirectly holds 14.33% of its foreign shares through Taobao China. Ant Golden Clothing holds 15.1% of the issued foreign shares indirectly through its wholly-owned subsidiaries.
Ali, which has a large share of shares, is a close strategic partner and cooperates closely in business scenarios. By using a cloud-based Face ID solution, Ant Jinfu’s third-party credit scoring service provider, Sesame Credit, provides authentication solutions for its corporate customers.
Alibaba Chairman Ma Yun, at the opening ceremony of CeBIT 2105 in Germany, showed German Chancellor Angela Merkel the technology of Smileto Pay’s “face-sweeping” of ant golden clothes, which is to ignore the cooperation in research and development.
Ignorance CEO Inge once said that Ignorance and Ant Golden Clothes have a very good cooperation, and cooperation for many years. Ignorance in the field of Internet finance has a wide range of customers, but also hope to cooperate with ants golden clothes deeper, so ants golden clothes investment is a natural process.
As of the last feasible date, Lenovo has indirectly held 1.2% of the outstanding shares through two wholly owned subsidiaries. Ignorance and Lenovo have established partnerships to cooperate in the fields of smart personal equipment, smart city management and smart logistics.
Cade is one of the largest diversified real estate groups in Asia. Headquarters and listing place are Singapore. Kaide is a major customer of neglect. It manages about 20 large commercial complexes, office buildings and industrial parks in China using neglected smart buildings and community solutions.
The open-minded solution enabled Kaide to provide tenants with visitor management, access and ladder dispatching services based on smart face recognition technology. Kate’s integrated access control system serves a large number of staff every day.
Following is an open letter from Ignoring Co-founder, Chairman and CEO Inge:
Respected investors:
Thank you for your attention to neglect and for reading our documents and this letter in your busy schedule. Investment neglect means that we, the “technological believers”, will work together to witness and promote this great revolution in artificial intelligence science and technology. We firmly believe that AI will make the world a better place.
Here, I want to talk about my thoughts on how to build a sustainable, responsible and valuable AI ecosystem.
Brain for Creating Intelligent World
Ignorance was founded in 2011. The mission of the company is “to benefit mankind with artificial intelligence”. Our initial intention is to explore the fundamental problems of human beings: using machines and technology to decipher human wisdom and to solve the mysteries of human cognitive, learning and decision-making processes. In the process of learning AI, I and my business partners are fortunate to have access to in-depth learning technology. This is a revolutionary breakthrough in machine learning technology, which can imitate the human brain to parse a large number of data.
We immediately realized that in-depth learning would bring tremendous changes to the whole world. So I decided to start from scratch and devote myself wholeheartedly to the research and development of this cutting-edge AI technology and try to apply it to the commercial field. All solutions to neglect are designed to make the world a better place – cities run smoother, supply chains are more intelligent, and everyday life is more convenient.
In the past eight years, we have developed many practical AI applications, including face recognition technology. We also firmly believe that the Internet of Things is the main scenario of AI application.

If artificial intelligence is compared to “brain”, the Internet of Things is “body”. The combination of the two can make the world more intelligent. Our vision is to build an artificial intelligence infrastructure that connects and empowers tens of billions of devices on the Internet of Things. These devices, including consumer electronics, sensors and robots, are widely used in all walks of life, covering personal, public and corporate scenarios. It can be said that our mission has already gone beyond scientific and technological innovation itself. We are constantly challenging ourselves to create the greatest value for our customers and society with AI solutions.
Get involved in infinite games
Limited games are usually time-bound, with winners and losers and clear rules; but infinite games will continue and rules and participants will change. AI innovation is an infinite game: it began decades ago and will eventually surpass this era. At present, we should explore the high integration of AI technology, products, business models and ecosystems from multiple dimensions.
This is a long-term process, and we must establish a clear strategy and a clear vision that will lead us to our next destination like Polaris. We adhere to the following three principles:
1. Star sea, never give up
Artificial intelligence seems to be a hot field today, but in the early years of the establishment of ignorance in 2011, it is absolutely “cold winter”. At that time, few people were optimistic about its prospects. With the ideal of benefiting mankind, we have devoted all our efforts to the basic research of AI technology from the first day of our entrepreneurship, focusing on some seemingly impossible breakthroughs at that time.
At the same time, we also decided to commercialize our technology as soon as possible, so as to ensure a substantial growth of the company’s business, so that customers, employees and shareholders can benefit from it. In the development of the company, we should not only adhere to the long-term ambition, but also take into account the achievement of immediate business goals. Therefore, we want to go with investors who have the same long-term vision and business strategy.
2. Focusing on Core Competence-Deep Learning
Deep learning is not only the core competitiveness of ignorance, but also the key to support the revolution of artificial intelligence. We are one of the few companies in the world with self-developed deep learning frameworks. Blind Brain++ makes it possible to train large-scale algorithms. It’s not difficult to generate a specific algorithm, but it’s not easy to create an engine that can generate many algorithms almost automatically.
We hope to be the “brain” creator of all walks of life, providing core technology for upstream and downstream enterprises of the Internet of Things. To be open-minded, it is more important to strengthen core technological advantages than to expand business scale.
3. Steady commercialization and deep cultivation of each vertical market are the best promoters of technological innovation. We know that providing perfect AI technology for any industry requires a lot of investment.
Therefore, the initial focus of open-mindedness is in the very wide range, there are a lot of pain points, and the entry point is very clear in the vertical field, namely, the field of personal electronic equipment. Then we moved into two scenarios: city and supply chain.
We strive to enter a vertical field at a time and succeed in it. If we can’t succeed in one vertical area, we can’t expand to ten vertical areas. Ignorance has always believed that only the success of commercial applications can provide sufficient backup power for technological innovation. Therefore, we are currently focusing on the personal Internet of Things, the city Internet of Things and the supply chain Internet of Things and other vertical areas to do a good job, do a deep, thorough, and then expand to other directions.
We insist on providing customers with a full stack of integrated solutions, including algorithms, software and hardware products, so as to create real value for end users.
Tissue Gene of Absence
To shape a great company is to shape a great organization. Open-mindedness welcomes all kinds of talents: highly innovative engineers, passionate sales and managers with outstanding abilities. We only hire the most outstanding people and create conditions for them to learn from each other. Regardless of the position, the absent-minded employees have the following qualities, which also constitute our organization’s “gene”:
Thinker Breaking the Border: We are pioneers in the field of artificial intelligence, often encountering unprecedented problems.
So we hope to recruit people who are passionate and dare to think. We respect crazy ideas and favor people who make the impossible possible.
Careful actors: We require all employees, even if not engineers, to solve problems like engineers. Systematically analyzing and solving problems is an important part of neglecting corporate culture.
Deep-growing learners: We need to learn fast, but more deeply. Only when we have a deep understanding of technology can we establish an indestructible barrier to competition; only when we have a deep understanding of the industry can we create positive value for our customers. Deep learners are willing to leave their comfort zone. Engineers should learn to think like sales, and sales should also have engineer-like thinking.
Guide Science and Technology to Good
The moral challenge and discussion of AI itself caused by AI are global topics, not limited to China or neglect. We recognize the importance of taking the initiative to mitigate risks, but also recognize our limitations. Normalizing the proper application of AI technology is inseparable from the exchange and cooperation with colleagues around the world. The successful development of neglect depends on our upholding the right path and winning the full trust of customers and other partners. As pioneers in the field of artificial intelligence, we have a responsibility to ensure that science and technology are good for the world.
In this document, we will fully disclose the core principles to be followed in the development and use of AI technology, including six aspects. Specific guidelines are elaborated in the document.
Human supervision
Technical reliability and safety
Fairness and diversity
Responsibility traceability
Data privacy protection
We recently set up an AI Ethics Committee, which consists of members from outside the company and reports to the board of directors. They are responsible for discussing the ethics of AI faced by industries and companies and reporting to the board of directors. We have also formulated a set of “Artificial Intelligence Ethical Code of Conduct” to guide employees’behavior.

In addition, in the contract, we clearly stipulate that neglected technology should not be abused or used to manufacture weapons. In view of the uncertainties facing the development of AI industry, we are committed to building a benign industrial ecology rather than bringing about subversion, improving people’s lifestyle, and fully respecting the dignity and privacy of all people. These practical policies are being strictly implemented, and they are by no means empty talk. To be sure, challenges still exist and the road ahead is long, but ignorance will never be afraid to move forward.
It is for this reason that we hope to show the whole world our neglect and show you a transparent and responsible enterprise. We look forward to exchanging views with global opinion leaders to jointly promote the development of AI and bring common progress and prosperity to the world. Ignorance hopes to attract talents from all over the world and make great achievements in the international market. To be an excellent engineer for a better world tomorrow is our greatest ideal.
Artificial intelligence will benefit everyone. This technological revolution is irresistible and popular. Thank you for your consideration of investment neglect. Your trust, we will surely live up to our trust.
Ink and Qi
Ignorance of Co-founder, Chairman and CEO