CHR Cheer Holding Inc

Cheer Holding, Inc. (NASDAQ: CHR) (“Cheer Holding” or the “Company”), a leading provider of advanced mobile internet infrastructure and platform services, today announced the comprehensive upgrade of CHEERS Telepathy to the more powerful Ver. 2.5. This upgrade represents not only a technical innovation but also a significant advancement in application capabilities, integrating an innovative set of AI application tools. The optimized technical architecture further enhances its application capacity, providing content creators with intelligent, efficient, and convenient creative solutions.

Technical Innovation: A Full-Process Intelligent Creation Tool Set

With the launch of Ver. 2.5, CHEERS Telepathy introduces a comprehensive application tool set that includes core functionalities such as text generation, text-to-image, image processing, and video generation, effectively reconstructing the content creation process. Notably, the content generated by CHEERS Telepathy boasts a high degree of originality, significantly reducing the risk of copyright disputes and addressing common pain points for content creators.

The visual module is one of the most popular features of CHEERS Telepathy, with over 80% of daily active users utilizing it for their creative work. Leveraging the Polaris Intelligent Cloud Plus large model and the optimized Diffusion Transformer video generation architecture, the video generation technology has been completely upgraded for enhanced performance. Users can now generate a 10-second, 30 fps, 1080P high-definition video simply by inputting a text or an image on an 8G GPU server. This innovative capability positions CHEERS Telepathy among the few applications in the industry that allows control over the first and last frames of videos generated from images.

Image Processing: Enhanced Speed and Quality

Thanks to its robust distributed computing power, the upgraded CHEERS Telepathy achieves a 30% increase in image generation speed compared to the previous version, supporting high-concurrency output of 3K resolution images. By training its high-precision AI model using a 4K resolution dataset, CHEERS Telepathy now offers creators superior detail representation and color accuracy.

Additionally, the new version features a Pro mode for text-to-image generation, which includes a library of 75 artistic styles, spanning traditional oil painting, modern illustration, and futuristic science fiction. This functionality significantly enhances the flexibility and diversity of AI-generated creations.

User Experience: 95% Satisfaction Among C-End Users

Through extensive user analysis and surveys, CHEERS Telepathy has implemented a new iterative optimization of product interaction in Ver. 2.5. Upholding the principle of simplicity, this iteration better aligns with users' needs, particularly in everyday creative scenarios. Users have praised the efficiency and functionality of the utility tool module of CHEERS Telepathy.

E-Commerce Zone: Empowering B-End to Enter the Professional Market

To meet the operational demands of the e-commerce sector, Ver. 2.5 introduces the E-Commerce Zone module, specifically designed for e-commerce practitioners. This module supports high-quality AI features such as virtual clothing try-ons, background changes for models, dress form image generation, and product view creation. Its exceptional functionality significantly reduces the time required for shooting and post-production, allowing high-quality finished products to be generated in just seconds. This advancement drastically shortens the production time for e-commerce materials, greatly enhancing efficiency. Currently, the E-Commerce Zone of CHEERS Telepathy provides stable services to institutions in the e-commerce industry, becoming a crucial tool for cost savings and efficiency, marking a key step in CHEERS Telepathy's expansion into the B-end market.

As CHEERS Telepathy continues to iterate and upgrade its multimodal products, it will develop more tools for specialized scenarios, broaden the application fields of AI tools, provide customized solutions for various industries, and accelerate the popularization and application of intelligent creation technology.

About Cheer Holding, Inc.

As a preeminent provider of next-generation mobile internet infrastructure and platform services in China, Cheer Holding is dedicated to building a digital ecosystem that integrates “platforms, applications, technology, and industry” into a cohesive digital eco-system, thereby creating a new, open business environment for web3.0 that leverages AI technology. The Company is developing a 5G+VR+AR+AI shared universe space that builds on cutting-edge technologies including blockchain, cloud computing, extended reality, and digital twin.

Cheer Holding’s portfolio includes a wide range of products and services, such as CHEERS Telepathy, CHEERS Video, CHEERS e-Mall, CHEERS Open Data, CheerReal, CheerCar, CheerChat, Polaris Intelligent Cloud, AI-animated short drama series, short video matrix, variety show series, Livestreaming, and more. These offerings provide diverse application scenarios that seamlessly blend “online/offline” and “virtual/reality” elements.

With “CHEERS+” at the core of Cheer Holding’s digital ecosystem, the Company is committed to utilizing innovative product applications and technologies to drive its long-term sustainable and scalable growth.

For more information, please visit http://ir.gsmg.co/.

Safe Harbor Statement

Certain statements made in this release are “forward looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words “estimates,” “projected,” “expects,” “anticipates,” “forecasts,” “plans,” “intends,” “believes,” “seeks,” “may,” “will,” “should,” “future,” “propose” and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company’s control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic; the occurrence of any event, change or other circumstances that could affect the Company’s ability to continue successful development and launch of its metaverse experience centers; the possibility that the Company may not succeed in developing its new lines of businesses due to, among other things, changes in the business environment and technological developments, competition, changes in regulation, or other economic and policy factors; disruptions or other business interruptions that may affect the operations of our products and services, the possibility that the Company’s new lines of business may be adversely affected by other economic, business, and/or competitive factors; other factors, risks and uncertainties set forth in documents filed by the Company with the Securities and Exchange Commission from time to time, including the Company’s latest Annual Report on Form 20-F filed with the SEC on March 14, 2024, as amended. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.

For investor and media inquiries, please contact:

Wealth Financial Services LLCConnie Kang, PartnerEmail: ckang@wealthfsllc.comTel: +86 1381 185 7742 (CN)