On November 19, 2024, Kingsoft Cloud Holdings Limited announced the renewal and amendment of its continuing connected transactions with Kingsoft Corporation and Xiaomi. These new framework agreements, the 2024 Kingsoft Framework Agreement and the 2024 Xiaomi Framework Agreement, will commence on January 1, 2025, for a term of three years.
The agreements cover the provision of cloud services by Kingsoft Cloud to both Kingsoft Corporation and Xiaomi, as well as the acceptance of various services and financing by Kingsoft Cloud from these partners. The provision of cloud services to Kingsoft Group has shown significant growth in historical transaction amounts, with utilization rates of existing annual caps at approximately 93.29% and 88.96% for 2022 and 2023, respectively.
These renewed agreements are crucial for Kingsoft Cloud, as they solidify its role as the sole strategic cloud platform for the Xiaomi and Kingsoft ecosystem. This deep integration provides a foundational demand base and stable, long-term business opportunities, supporting Kingsoft Cloud's sustained growth and profitability.
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