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三六零:2023年度环境、社会及管治(ESG)报告(英文版) 下载公告
公告日期:2024-04-20

20232023 Environmental, Social and Governance Report

360 Security Technology Inc.

REPORT PREFACEAbout the ReportThis is the second Environmental, Social and Governance (ESG) Report released by ??? SecurityTechnology Inc. This Report has been prepared in accordance with the principles of impartiality,standardized reporting, transparency, and completeness, and provides details on ??? Security’sESG actions and performance in ????.

Reporting PeriodThis report covers the ?scal year ???? (January ?, ???? to December ??, ????). To estab-lish benchmarks and ensure comprehensiveness, certain information may pertain todates or periods outside the speci?ed reporting period.Reporting ScopeThis Report presents the performance of ??? Security Technology Inc. and all its sub-sidiaries. Unless otherwise speci?ed, the reporting scope of this Report aligns with??? Security’s consolidated ?nancial statements.Reporting GuidelinesThis Report has been prepared in accordance with key reporting standards and guide-lines, including Rules Governing the Listing of Stocks on Shanghai Stock Exchange,Guidelines No. ? of the Shanghai Stock Exchange for Self-Regulation of Listed Compa-nies ? Standardized Operation, Guidelines for the Preparation of Chinese CorporateSocial Responsibility Reports (CASS-ESG ?.?) issued by Research Center for CorporateSocial Responsibility of Chinese Academy of Social Sciences, GRI Standard ????, andthe United Nations Sustainable Development Goals (SDGs).Data SourcesThis Report has been prepared based on information from o?cial sources of ??? Securi-ty. We have implemented appropriate procedures to ensure that the Report does notcontain any false or misleading representations and that information presented hereinis accurate and complete.Report Release MethodThis Report is available for download in electronic format from the website of theShanghai Stock Exchange (SSE) (http://www.sse.com.cn).

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Message from the Chairman

In 2023, China’s focus on technological innovationcontinued to drive high-quality development in the industrialsector, fueling growth in the digital economy and fostering“new quality productive forces”. The rise of large AI modelshas sparked a new wave of innovation in the global AIindustry. Large AI models have become a key battleground inthe global technology race, with the potential to transformthe economic landscape. The deep integration of AI intomanufacturing, especially the deployment of advanced AImodels in key industries, is an inevitable trend promising totransform China’s modern industrial system and propel it upthe global value chain.As digitization unlocks new opportunities, it also opensmore doors for cyber criminals. AI is also a double-edgedsword. While it enhances production e?ciency, it alsointroduces new vulnerabilities that cyber attackers canexploit, resulting in an evolving threat landscape thatconstantly pushes the boundaries of network and informa-tion security systems. The rapid rise of security threats in thedigital age necessitates that the cybersecurity industrycontinuously adapt, innovate, and elevate its capabilities.At 360 Security, we are committed to leveraging ourexpertise in digital security and AI to support small and microenterprises. By closely aligning with the SDGs and integratingESG principles into our daily operations, we aim to maximizeour positive social and environmental impact and createsustainable value for all stakeholders. We aim to catalyzesustainable development throughout the industry by foster-ing collaboration with a diverse array of partners.

“Prioritizing breakthroughs in critical technologicalareas”

At 360 Security, we leverage our technological exper-tise to serve our country, prioritizing investment inresearch and development to drive positive change. In2023, our R&D spending amounted to 1.560 billion yuan,accounting for 34.64% of our revenue, marking a 1.21percentage-point increase from the previous year. Ourfocus is on addressing AI security concerns and advancinghomegrown general-purpose large model technology,ensuring we have control over the technology. Our home-grown cognitive large model, 360 Smart Brain, boastshundreds of billions of parameters and tackles a widerange of application scenarios. Its robust capabilitiessolidify its place among the leading large models in China.By integrating our security and AI capabilities, we’vedeveloped homegrown solutions that safeguard nationalnetwork security. We’ve identi?ed 54 national-leveladvanced persistent threats (APTs), overcoming a majorhurdle in national-level cyber attack detection. Theseachievements position us as a leader in national cyberdefense. We launched the 360 Security Large Model, thecountry’s ?rst security-focused large model, cementingour position as the industry leader.

“Implementing a Blue Ocean Strategy to empowerindustry digitalization”

We empower businesses with our AI and securitysolutions, helping them capture “blue oceans”. During thereporting period, we launched an enterprise-grade AIlarge model solution, facilitating customized deploymentof large models across diverse scenarios. We’veembarked on a mission to develop large models speci?-cally tailored to the needs of the Chinese market. Byleveraging the power of large models, we’ve enhancedour entire product and service portfolio. This includesintroducing innovative AI-powered o?erings like the 360 AIBrowser and 360AI Search. In the security domain, wehave embraced the “Security as a Service” concept andlaunched the 360 Security Cloud. Our cloud-based,service-oriented approach integrates national-level threatidenti?cation with large models. This powerful combina-tion allows us to deliver comprehensive security solutionstailored to the needs of cities, governments, and business-es. We are dedicated to transforming security into animportant element of digital infrastructure, promotinginclusive access to digital security, and driving thedevelopment of the cybersecurity industry. These e?ortsare crucial for shaping a secure environment that empow-ers the development of “new quality productive forces”.

“Supporting micro, small and medium-sizedenterprises (MSMEs) and fostering digital commonprosperity”

In the digital transformation journey, we recognizethe signi?cant challenges faced by small andmedium-sized enterprises (SMEs). Limited ?nancialresources, manpower shortages, and lack of access toadvanced technologies are major hurdles to their digitali-zation e?orts. To help them address these challenges, welaunched a subsidy program through the 360 SecurityCloud for Enterprises and set aside 10 billion yuan for thisprogram. The program provides annual subsidies rangingfrom 10,000 to 20,000 yuan for each SME, as well ascomplimentary access to Security as a Service (SECaaS)solutions, including asset security, network security, anddata security. By supporting MSMEs in their digitaljourney, our aim is to bridge the digital divide and contrib-ute to digital common prosperity.AI is a powerful catalyst for the development of newquality productive forces. Digital security is the foundationfor their sustainable development. Looking ahead, we’lldeepen our focus on AI and security. Committed tosustainable development, we will continue to leverage theinnovative power of Chinese technology companies toaccelerate the development of new quality productiveforces and propel China’s modernization journey. Aspioneers in AI and security, we champion sustainablevalue creation and embrace the “Technology for Good”movement. By fostering new quality productive forces, wecontribute to the continuous evolution of both AI andsecurity, driving technological innovation and industrytransformation.

“Focusing on AI and security while acceleratingthe development of new quality productive forces”

360集团创始人:周鸿祎

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Our Contribution to the SDGs

“Prioritizing breakthroughs in critical technologicalareas”At 360 Security, we leverage our technological exper-tise to serve our country, prioritizing investment inresearch and development to drive positive change. In2023, our R&D spending amounted to 1.560 billion yuan,accounting for 34.64% of our revenue, marking a 1.21percentage-point increase from the previous year. Ourfocus is on addressing AI security concerns and advancinghomegrown general-purpose large model technology,ensuring we have control over the technology. Our home-grown cognitive large model, 360 Smart Brain, boastshundreds of billions of parameters and tackles a widerange of application scenarios. Its robust capabilitiessolidify its place among the leading large models in China.By integrating our security and AI capabilities, we’vedeveloped homegrown solutions that safeguard nationalnetwork security. We’ve identi?ed 54 national-leveladvanced persistent threats (APTs), overcoming a majorhurdle in national-level cyber attack detection. Theseachievements position us as a leader in national cyberdefense. We launched the 360 Security Large Model, thecountry’s ?rst security-focused large model, cementingour position as the industry leader.“Implementing a Blue Ocean Strategy to empowerindustry digitalization”

We empower businesses with our AI and securitysolutions, helping them capture “blue oceans”. During thereporting period, we launched an enterprise-grade AIlarge model solution, facilitating customized deploymentof large models across diverse scenarios. We’veembarked on a mission to develop large models speci?-cally tailored to the needs of the Chinese market. Byleveraging the power of large models, we’ve enhancedour entire product and service portfolio. This includesintroducing innovative AI-powered o?erings like the 360 AIBrowser and 360AI Search. In the security domain, wehave embraced the “Security as a Service” concept andlaunched the 360 Security Cloud. Our cloud-based,service-oriented approach integrates national-level threatidenti?cation with large models. This powerful combina-tion allows us to deliver comprehensive security solutionstailored to the needs of cities, governments, and business-es. We are dedicated to transforming security into animportant element of digital infrastructure, promotinginclusive access to digital security, and driving thedevelopment of the cybersecurity industry. These e?ortsare crucial for shaping a secure environment that empow-ers the development of “new quality productive forces”.

The SDGs cover the three dimensions of sustainable development: economic, social, andenvironmental sustainability. Recognizing the importance of these goals, ??? Security hasadopted a systematic approach to sustainable development, actively addressing sustainabilitychallenges and pursuing opportunities in an orderly manner.

No Poverty

Zero Hunger

Good Healthand Well-beingQualityEducation

GenderEqualityClean Waterand SanitationA?ordableand CleanEnergyDecentWork andEconomicGrowthReducedInequalitySustainableCities andCommunities

ResponsibleConsumptionandProduction

ClimateAction

Life BelowWater

Life on Land

Peace, Justiceand StrongInstitutions

Partnershipsto AchieveGoals

IndustryInnovationandInfrastructure

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Solidifying Digital Security

Sustainable Innovation:

Spearheading Digitaland AI Transformations

Sustainable Empowerment:

Growth Hand in Handwith Partners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Good HealthandWell-being

Good HealthandWell-being

No Poverty

ClimateAction

Female managersHigh-quality developmentof the CompanyFair competitionStandardizing corporategovernance

Hosted over 300 investor receptionsduring the reporting periodReported zero signi?cantde?ciencies in internal controlduring the reporting periodAll employees have signed theIntegrity Commitment Letter

Contributing to a thrivingindustry ecosystemUser privacy protection

Technological innovationUser experience

Occupational healthWork environment forfemalesTalent training anddevelopmentEqual employmentSupply chain management

Supporting ruralrevitalizationSocial welfareEnergy conservation andemissions reductionGreen operations

Obtained ISO 27001 informationsecurity management system、ISO27701 privacy informationmanagement systemReported zero major informationleakage incidents during thereporting periodAchieved 100% employee securitytrainingOur R&D team consisted of 3,332individuals, comprising 55.6% ofour total workforceR&D spending totaled 3.104 billionyuan, representing 34.28% ofrevenue.Response rate to customercomplaints reached 100%Customer satisfaction rate>96%Women represented 20.1% of ourmanagement teamPersons with disabilities represent-ed 1.5% of our workforceAchieved 100% employment contractsigning rateEnsured 100% employee socialinsurance coverageEmployee satisfaction rate > 95%Achieved 100% employee trainingOver 90% of our suppliers receivedthe excellent rating

Donated 6.49 million charitablecausesGreenhouse gas emission intensity

0.85tCO2e/million yuan of revenue

Reported zero environmentalpollution accidentsOur data center reported a PUE of 1.3

GenderEquality

Decent Workand EconomicGrowth

GenderEquality

Decent Workand EconomicGrowth

ReducedInequality

ReducedInequality

Peace, Justiceand StrongInstitutions

Partnershipsto AchieveGoals

Partnershipsto AchieveGoals

IndustryInnovationandInfrastructure

ResponsibleConsumptionandProduction

IndustryInnovationandInfrastructure

ResponsibleConsumptionandProduction

QualityEducation

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

CONTENTS

About 360 Security

Sustainable Governance:

Strengthening Accountability

Sustainable Innovation:

Spearheading Digital and AI TransformationsR&D and innovationCustomer services

Sustainable Development:

Jointly Pursuing a Better Future for AllGreen operationSocial welfare

Feature: “All in AI” Fuels the Development ofNew Quality Productive Forces

Corporate pro?leCorporate cultureBusiness segmentsMilestonesRewards and honorsESG Management

????????????

Sustainable Empowerment:

Growth Hand in Hand with PartnersThe talent poolWin-win cooperationIndustry development

??????

Sustainable Business Practices:

Driving Growth in Digital Security

Security management systemsSecurity governance measuresSecurity emergency managementUser privacy protectionSecurity awareness programs

??????????

AppendixPerformance TableReport Index

??????

Standardized governanceInternal controlRisk controlCompliance managementIntegrityFair competitionParty building

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????

Chapter One

About 360 Security

Corporate pro?leCorporate cultureBusiness segments

MilestonesRewards and honorsESG Management

0102

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

0304

Corporate pro?leFounded in 2005, 360 Security is committed to empowering users with free cybersecurity solutions. Over thepast 20 years, the Company has established itself as a global leader in AI-powered digital security solutions.Supporting China’s digitalization strategy has long been a core mission of 360 Security. In 2023, wepositioned AI and security as the twin pillars of our business strategy. Considering “security as a service” thebedrock of a thriving digital economy, we strive to empower industrial digitalization with AI large models. Ourstrategy can be broken down into three prongs: i) championing disruptive innovation in key technologicalsectors; ii) empowering industry digitalization with the Blue Ocean Strategy, and iii) supporting MSMEs. Throughthese e?orts, we contribute to fostering China’s competitive edge in the digital landscape.

To help SMEs address challenges in digital transformation, we’ve launched asubsidy program through the 360 Security Cloud for Enterprises and set aside 10billion yuan for this program. The program provides annual subsidies rangingfrom 10,000 to 20,000 yuan for each SME, as well as complimentary access toSECaaS solutions, including asset security, network security, and data security.

Pioneering the “AI + security” paradigm, we developed 360 Security Smart Brain, theindustry’s ?rst security-focused large model. This AI innovation empowers our 360 Security AIAgent system, which seamlessly connects, con?gures, and manages various security tools,delivering a signi?cant boost in security performance of both individual products and theentire system.

360 security model

360 security cloud for enterprises

In line with our commitment to developing homegrown digital security solutions, we launched 360 SecurityCloud, a new-generation digital security product. This cloud platform consolidates two decades of cybersecurityexpertise, data, intelligence, and knowledge to o?er a one-stop Managed Security Services (MSS) solution forusers, delivering state-grade protection to cities, governments, and businesses (including SMEs).

Digital security

Corporate culture

User ?rst, mission-driven,innovation, open collaboration,and integrity

MissionMake the worldsafer and better

VisionProvide innovativesolutions for asafer world

Core values

360 Security primarily operates in four sectors. We integrate the large model capabilities of 360 SmartBrain into all aspects of our business operations, embodying a commitment to ‘ALL IN AI’.

Business segments

Digitalsecurity

AI

IoT &Smart Life

Internetservices

Over 1.6 million customersDownloads surpassing 22 million

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

0506

Our homegrown AGI large model, 360 Smart Brain, boasts hundreds of billions of parameters and tackles awide range of application scenarios. Its robust capabilities solidify its place among the leading large models inChina.

Safety, Technology for Good, trustworthi-ness, and controllability are the core valuesthat guide our development of enter-prise-grade vertical AI large models forbusinesses embarking on AI-powered digitaltransformation. 360 Smart Brain has contribut-ed to the development of new quality produc-tive forces.

To empower individual users, we upgrad-ed our ?agship products, 360 Browser and 360Search, to AI-powered versions – 360 AIBrowser and 360 AI Search. Moving forward,we plan to integrate 360 Smart Brain’s largemodel capabilities across our entire productportfolio. This will rede?ne the paradigm ofhuman-machine collaboration.

Guided by the vision of Smart Security, we leverage our extensive technological expertise to create intelligenthardware products and cloud services powered by AI large models . Our smart security hardware business includessmart cameras, doorbell cameras, dashboard cameras, and more, o?ering families and SMEs comprehensivesecurity solutions.

Our Internet business leverages high-performingtra?c channels to drive online revenue through Internetadvertising and services, and value-added businesseslike e-commerce and online games. By e?cientlyconnecting businesses with consumers, we e?ectivelymonetize web tra?c.

Our Internet business generates revenue throughtwo primary channels. First, we display advertisingwithin our computer software products like 360 Search,360 Browser, and 360 Safeguard. Second, we o?erpremium features and services that complement thecore functionalities of software products for paid mem-berships.

With the continued maturation of disruptive AIapplications like 360 AI Browser and 360 AI Search, weexpect to see growth in both market share and tra?c forour PC products in 2024.

over 20 million users

turst our security hardware and solutionsmore than120 countriesand regions

AI

IoT & Smart Life

Internet services

Public servicesTransportationCultural tourism

AI contentgeneration

Smart o?ce

Smartmanagement20 core industries

Over 100 scenarios

PC security products

Browser and portal for PCsCapturing a marketshare exceeding85%

MAU 410 million

Securing the top position in thesecurity marketMAU470 million

0708

Milestones

2005Incorporation of360 Group

2009201120152013

2016

2017

Released the world’s ?rst WannaCryransomware detection tool andself-rescue guide

20192020

2021

Launched the digital security capability frameworkBrain of Cloud Security (later upgraded to Brain of DigitalSecurity)Adopted a systematic approach to digital transformationNamed a Growth Stage Vendor by ForresterSpearheaded the development of an international standardfor automotive cybersecurity

Built urban digital security centers in more than 20 large andmedium-sized cities, including the four municipalities directlyunder the Central Government and some provincial capitals,and launched an enterprise security cloud to support MSMEson their journey to digital prosperity

2018

2023

Strategically positioned AI and security as the twin pillars of our business strategy—more speci?cally AI as an engine for digital advancements anddigital security as the foundation for a thriving digital landscape—with the goal of empowering MSMEsLaunched our homegrown 360 Security Large Model 4.0, which boasts 100 billion parameters and has passed national standard testing.Launched the industry’s ?rst security large model—360 Security Large ModelLaunched 360 Security Cloud, a strategic digital security solution o?ering state-grade protection to cities, governments, and businesses (includingSMEs)

2022

Pioneered the free antivirus model,reshaping the landscape of the globalantivirus market

Renamed 360 Government and Enterprise Security GroupBuilt a next-generation security capability frameworkThe 8th Information Security Conference (ISC 2020) madehistory as the world’s ?rst cloud-based summit to connect over10,000 attendees and earned the name “Everlasting ISC”Made the World Internet Conference’s Top Internet Achieve-ments List for the third time

Eliminated a high-risk RDP vulnerabilityPublished 360 Digital Security Strategy 3.0Some of our researchers were recognized by Microsoft asMSRC Most Valuable Security ResearchersMade the World Internet Conference’s Top Internet Achieve-ments List again

Achieved a successful A-share listing360 Security Brain Deployment StrategyAchieved world-?rst defense against “Double Kill” APTzero-dayFirst in the world to identify high-risk security vulnerabilities inthe EOS blockchain technology

Qihoo 360 went public at the New YorkStock Exchange (NYSE)

Launched the Internet SecurityConference (ISC), a gathering for thesecurity industry

Established 360 Enterprise SecurityGroup

Completed the privatization of 360GroupCompleted a state-grade enhancedsecurity projet

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Featured in 2023 Knowledge Graphs about Large Modeland AIGC Industries published by CAICT under the Ministryof Industry and Information TechnologyFeatured in the World Arti?cial Intelligence Conference’s2023 Most Innovative AGI Applications: Case StudiesRanked among China’s Top 50 Most Innovative Organiza-tions in AGI360 Smart Brain’s AI large model solution for the tax indus-try was ranked among Beijing’s Top 10 Industry-Speci?cAGI Applications

Rewards and honors

0910

Achieved an AAA technology credit rating, placing usamong the ?rst group of smart technology companiesZhou Hongyi won the 2022 Flag Bearer AwardMade the 2022 List of Cornerstones of China’s Smart Manu-facturingZhou Hongyi’s proposal to the National Committee of theChinese People’s Political Consultative Conference in 2022was named ‘Proposal of the Year’ by the committee360 Security Cloud is featured as a best practice in IDCPeerScape: China Digital Government Data SecurityPractices

Obtained certi?cation for ISO/IEC 27001 and ISO/IEC 27701Ranked among the 2023 China Top 100 IT Innovation Enter-prises

Ranked No. 1 among Beijing-based “Little Giant” compa-nies by the number of invention patentsDesignated as the governing member of ZhongguancunChaoyang Park’s Data Chain Industry Party BuildingAllianceMade the 2023 World IoT Ranking List Top 500

Ranked among Top 3 in the 2023 Digital Human CompaniesRanking ListSurpassed GPT-4 in the C-Eval Rankings by TsinghuaUniversity and Shanghai Stock ExchangeRecognized as the Most In?uential Brand of 2022.Designated as the National Digital Literacy and SkillsTraining BaseWon the top honor at the 2022 China Industry-Universi-ty-Research Institute Collaboration Innovation and Promo-tion AwardsFeatured as a best practice in the China Software TestingCenter’s 2022 Cyber and Data Security Case StudiesZhou Hongyi won the Outstanding Contribution Award atthe Third Science and Technology Awards sponsored by theChina Society for the Promotion of Science and TechnologyCommercializationDesignated by the Ministry of Industry and InformationTechnology as the Center for Promoting Innovative Securi-ty-Focused 5G Applications (Henan Center)

Ranked among Beijing’s Top 100 Private EnterprisesRanked among Beijing’s Top 100 Small and Medium-SizedPrivate EnterprisesRanked No.2 among Beijing’s Top 100 Private Enterprisesfor Scienti?c and Technological InnovationWon the 2023 Golden Tripod Award in Financial TechnologySolutions

Four Employees recognized as Chaoyang District’s 2023Phoenix Plan High-Level TalentsRanked No.7 on the 2023 List of Top 500 Private Enterprisesfor Invention PatentsRanked among the 2023 Top 500 Private Enterprises by R&Dinvestment (the sole digital security company on the list fortwo consecutive years)Named as a Famous Brand of 2023 in Software andInformation Technology ServicesMade the 2023 List of China’s Top 100 Internet Companiesfor Comprehensive Strength (for the 11th consecutive year)Claimed First Place in the 2023 Quanzhou CybersecurityCompetition (Group Category)

360 Security Cloud’s SECaaS Solution was recognized byXinhuanet as a Leading Digital Innovation for EmpoweringIndustrial ProgressNamed the Innovation Leader of the Year (2022-2023) byChina Business HeraldNamed the Innovative Enterprise of the Year (2023) by TheEconomic ObserverZhou Hongyi was ranked among the Top 25 Most In?uentialBusiness Leaders of 2023Ranked No.3 among Chaoyang District’s Top 20Fastest-Growing High-Tech Companies in 2023Zhou Hongyi was re-elected as Vice President of the SecondCouncil of China Federation of Internet Societies360 Security Cloud was named a Leading 2023 Innovationfor Driving Digital TransformationOne of the ?rst companies to achieve Level-1 nationalcerti?cation for data security servicesRanked among China’s Top 50 Fastest-Growing High-TechCompanies in 2023Ranked among Snowball’s 2023 Top 100 Most In?uentialPublic CompaniesZhou Hongyi won the Leader of Year Award at the 2024Jinge AwardsWon the Most In?uential Company of the Year Award at the2023 Jinxi Awards

Won the Golden Hat Award (Solution of the Year)Won the Most In?uential Enterprise of the Year Award at the2022-2023 Golden Wisdom Awards, which recognizesexcellence in China’s cybersecurity and IT industriesWon the Solution of the Year Award at the 2022-2023Golden Wisdom AwardsRanked among Beijing’s Top 100 EnterprisesRanked 7th among Beijing’s Top 100 Digital Economy Enter-prisesRanked among Beijing’s Top 100 “Little Giant” EnterprisesRecognized for expertise in digital chain solutions for SMEsSelected as a Tier-1 IT service provider for the ChineseNational Vulnerability Database (CNNVD)Received a 4-star rating from the Ministry of Industry andInformation Technology as an IT service provider forCAPPVD

Digital Security

We are committed to serving the nation through technological innovation and addressing invisible criticalnational security attacks. Our focus lies on developing robust digital security infrastructure. We prioritize“security for all” and empower SMEs during their digital transformation journeys.

Jan. 2023

Sept. 2023

Oct. 2023

Nov. 2023

Dec. 2023

Feb. 2023

March 2023

June 2023

July 2023

Aug. 2023

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Recognized as Chaoyang District’s Best Scienti?c andTechnological Innovation Team

April 2023

360 Smart Brain’s application Tuchacha (map search) wasselected as a generative AI best practice exampleSelected for the Beijing AGI Innovation PartnershipProgram (one of the ?rst organizations to be selected forthe program)

May 2023

Ranked among China’s Top 10 Most Innovative Enterprisesin Arti?cial Intelligence for 2023360 Smart Brain became the ?rst to pass the China Acade-my of Information and Communications Technology(CAICT)’s trustworthy AIGC testSelected by AIIA to develop China’s Large Model Applica-tion Standard—Large-scale Pre-training Model Technologyand Application Evaluation Methodology Part IV: ModelApplication

June 2023

Featured in 2023 Knowledge Graphs about Large Modeland AIGC Industries published by CAICT under the Ministryof Industry and Information TechnologyFeatured in the World Arti?cial Intelligence Conference’s2023 Most Innovative AGI Applications: Case StudiesRanked among China’s Top 50 Most Innovative Organiza-tions in AGI360 Smart Brain’s AI large model solution for the tax indus-try was ranked among Beijing’s Top 10 Industry-Speci?cAGI Applications

360 Smart Brain’s AI large model solution for businessincubation was ranked among Beijing’s Top 10 Indus-try-Speci?c AGI ApplicationsSelected by the China Electronics Standardization Institute(CESI), an organization a?liated to the Ministry of Industryand Information Technology, to lead the Large Model TaskForce under the National Arti?cial Intelligence Standard-ization TeamFeatured in 2023 Most Innovative AGI Applications: CaseStudiesFeatured in Potential of China’s AIGC Market 2023Featured in Research Report of AI Business InvestmentValue in China 2023

360 Smart Brain was named “New Light Product” at the2023 Light of Internet Expo360 Smart Brain won the Innovation Project Award at the2023 World IoT AwardsNamed “China’s AI Large Model Pioneer for 2023”Featured in 2023Q3 AIGC Industry InsightsFeatured in How Digital Technology Empowers the RealEconomy: Case Studies (2023)Won the AI Breakthrough Award by The Time WeeklyZhou Hongyi was named “Person of the Year” atWISE2023 Kings of Business ConferenceWon the Security-Focused AI Innovation of the Year Awardat WIT2024

Nov. 2023

Selected as the deputy leader unit of AIIA’s Security Gover-nance CommitteeFeatured in AIIA’s 2023 AI4SE “Silver Bullet”Applications:

Case Studies360 Smart Brain’s Large Model for Finance was featured inhuanqiu.com’s 2023 Global Trends: Case Studies (“Scien-ti?c and Technological Innovation” part)

Dec. 2023

360 Smart Brain’s Large Model for the Tax Industry and 360Security Large Model were featured in 2023 KnowledgeGraphs about Industry-Speci?c AI Applications in ChinaMade the 2023 List of AI Large Models with the MostCommercial PotentialRanked among Top 50 Leading AI EnterprisesRanked among Top10 Best AI Products of the Year 2023360 Smart Brain’s Large Model for Finance was featured inBeijing’s White Paper on Innovative AI Large Model Appli-cations360 Smart Brain was ranked among the 2023 List of Top 50Cutting-Edge AI Large Models published at the Communi-cations Industry Conference 2023.Featured in White Paper on Industry-Speci?c Large ModelApplications in ChinaSuccessfully passed the compliance test for large modelstandards conducted by China Electronics StandardizationInstitute under the Ministry of Industry and InformationTechnology

July 2023

Selected as the deputy leader unit of the Large Model TaskForce of CAICT’s Key Laboratory of Arti?cial IntelligenceZhou Hongyi was selected for the 2023 Beijing ScholarsProgramAwarded the highest rating (4A+) in CAICT’s AI trustworthi-ness evaluationBecame one of the ?rst members of AIIA’s AI4SE (AI forSoftware Engineering) teamLeading AI Enterprise Award (Application InnovationCategory)

Sept. 2023

Won the “5G+AI” Security Large Model for Smart CityAward (5G Cybersecurity Situational Awareness andMonitoring Category)Oct. 2023

1112

AIOur general-purpose large model, 360 Smart Brain, has 100 billion parameters. It aims to address globalsecurity challenges in large models. We’re committed to providing secure, enterprise-grade AI largemodel solutions and customizing safe and controllable vertical large models tailored to the speci?cneeds of governments, cities, and enterprises.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

1314

Public Welfare and Social ResponsibilityWe believe in the impact of every act of goodwill, anyhow, no good deed is too small.

Zhou Hongyi won the 2022 “Glory Star” Figure of theYear Award.

Zhou Hongyi was recognized as China’s Most SociallyResponsible Entrepreneur of the Year 2023 by the All-ChinaFederation of Industry and CommerceMade the List of Top 10 Corporate Givers of the Yearpublished at the 2023 Public Welfare Ceremony held byifeng.com’s Action League

Became Love & Hope’s brand promotion partner in 2023Selected as an exemplary model for CSR practices in theInternet sector by China’s Cyberspace AdministrationWon the Outstanding Party Award by the Beijing InternetAssociation Party CommitteeRecognized for excellence in Party building by the BeijingInternet Association Party Committee

Ranked among Beijing’s Top 100 Private Companies withthe Best CSR ReputationsRanked among China’s Top 500 Most PhilanthropicCompanies in the Services SectorRanked among China’s Top 500 Most PhilanthropicHigh-Tech CompaniesWon the 2023 CPSE Golden Tripod AwardWon the 2023 G-Mark Good Design Award

At 360 Security, 360 Security, we uphold the highest standards of legal and regulatory compliance and priori-tize social responsibility and sustainable development. We actively engage with stakeholders, including regula-tors, investors, users, employees, and partners, through various channels to understand and address their ESGconcerns.

March 2023Nov. 2023

Dec. 2023July 2023

Sept. 2023

Oct. 2023

Government andregulatory bodies

Compliance with laws andregulationsCompliant operationFair competitionFinancial stabilityTransparencyRisk control

Quality products and servicesUser experienceData security and privacyRecruitmentEmployee rights protectionEmployee training and developmentWork-life balanceFair cooperationMutual bene?tsSustainable supply chainSupplier empowerment

Environment protectionSocial welfare programsCorporate social responsibility

Clients and users

Employees

Suppliers and partners

Communities and media

Shareholders/investors

Policies and guidelinesOversight and inspectionVisitsDisclosure of informationAnnual general meetings ofstakeholdersCorporate announcementsInvestor communicationUser feedback channelsSocial media engagementCustomer satisfaction surveys

Employee training and communicationEmployee wellness programsEmployee feedback channelsEmployee satisfaction surveysSupplier managementSupplier meetingsIndustry eventsTechnical cooperation

Strategic partnershipsMedia engagementCommunity engagement

ConcernsCommunication and feedbackStakeholders

ESG Managemen

Stakeholder identi?cation and communication

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

1516

We identify our sustainability challenges and priorities through a comprehensive analysis processwhich takes into account national policies, industry trends, development strategies, our businessperformance, as well as input from both internal and external stakeholders.After assessing identi?ed material ESG issues, we create a materiality matrix based on their signi?-cance to both the Company and our stakeholders.

Note: Green = Environmental Issues, Red = Social Issues, Blue = Governance Issues.Horizontal Axis: Signi?cance to the Company; Vertical Axis: Signi?cance to Stakeholders

High-priority issuesLow-priority issues

20、Low-carbon practices

21、Energy management

22、Pollution control

Medium-priority issues

Low-priority issuesMedium-priority issuesHigh-priority issues

Signi?cance to the Company

Materiality matrix

Material issue identi?cation and materiality matrix

Signi?cance to Stakeholders

1、Data security and privacy

2、Safety and emergency management

3、Corporate governance

4、Disclosure of information

5、Compliant operation

6、Technological innovation

7、Intellectual property protection

8、Talent training and development

9、Customer services

10、User experience

11、Investor relations

12、Internal control and risk management

13、Business ethics

14、Employee right protection

15、Employee compensation and bene?ts

16、Occupational health and safety

17、Supplier management

18、Industry cooperation and development

19、Social welfare

Chapter Two

Feature: “All in AI” Fuelsthe Development of NewQuality Productive Forces

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

The rapid advancement of AI technology has positioned AI large models at the forefront of theglobal technological race. These powerful models are unlocking a wealth of niche opportunities,acting as a new engine for economic growth with immense potential across a wide range of applica-tions. China hasn’t missed a beat in this race. Recognizing the immense potential of AI, China hasplaced signi?cant focus on the advancement of the technology in recent years. By elevating AI to anational priority and implementing a series of supportive initiatives, China has cultivated a fertileground for the AI large model industry to ?ourish.Driven by the rapid advancement of AI technology worldwide and the need to address AI securitychallenges, 360 Security has entered the ?eld of AI large models. Leveraging our extensive experiencein AI and the unique advantages of our search engine, browser, and other products, we’ve dedicatedsigni?cant resources to core technology R&D in the past year. This has resulted in the development of360 Smart Brain, a cognitive large model boasting hundreds of billions of parameters. Designed forbroad applicability, 360 Smart Brain boasts comprehensive capabilities that position it among theleading large models in China.

To support our growing training and inference needs, we’re continuously scaling up our comput-ing center and optimizing the performance and stability of our GPU cluster. This has enabled us toachieve world-class training performance for our 100-billion parameter model, with computing powerthat seamlessly handles even the most demanding workloads.

The 360 Smart Brain team has developed a comprehensive suite of training methods speci?callydesigned for vertical large models. These methods, encompassing everything from pre-training toreinforcement learning, have signi?cantly enhanced the model’s capabilities in various areas. Addi-tionally, the integration of cutting-edge RAG technology has led to substantial improvements.

360 Smart Brain has seen continuous improvement in its core functionalities

During the reporting period, 360 Security was selected by the CESI tolead the Large Model Task Force under the National Arti?cial IntelligenceStandardization Team. This positions 360 Security at the forefront ofshaping large model standards in China. In December, during the plena-ry meeting of the Arti?cial Intelligence Subcommittee of the ChinaNational Information Technology Standardization Network (NITS),China’s ?rst o?cial compliance test results for large model standardswere announced. 360 Smart Brain emerged as one of the ?rst fourdomestic large models to successfully pass the test.

360 Smart Brain, a key player regarding China’s national AI strategy

With a focus on large model security, 360 Security has helped companies like Google and Meta?x over 200 vulnerabilities in AI frameworks, safeguarding over 4 billion devices worldwide. Wehave developed a comprehensive suite of large model security solutions. This includes securityconstraints within the Agent framework, enabling co-pilot mode and essentially reining in largemodels. Additionally, 360 Security has launched the AISE large model security risk evaluationsystem, laying a strong foundation for the sustainable development of large models in China.

360 Security contributes to overcoming the world’s most complex problemsthrough its focus on AI security

1920

Multi-round

dialogue

Long textunderstanding

Parameteranalysis

Codegeneration

Multi-modelrecognition

Improvements

By applying the aforementioned training methods, we ensure reliable performance for real-worldapplications. This commitment to reliability is a key factor behind our customers’ high satisfaction.Byapplying the aforementioned training methods, we ensure reliable performance for real-world appli-cations. This commitment to reliability is a key factor behind our customers’ high satisfaction.

360 Smart Brain is gaining recognition for its multifaceted capabilities

Indusry-speci?c models

TexSecurityHealthcare

Insuranceknowledge

Governmenta?airs

Exceed 95% accuracy

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

During the reporting period, 360 Security launched the GPT Industry Alliance, a consortiumdesigned to unite leaders, align strategies, and combine resources and expertise across the industryto promote research, development, and application of AI technologies. Through the “AI for BusinessGrowth” initiative, we facilitated collaboration across the value chain with over 1,000 applicationpartners, empowered more than 100 partners within the industry, and incubated over 10 unicorns inthe AI industry, accelerating their growth and contributing to the broader vision of Digital China.

KMSPHERE, our enterprise-grade knowledge management system, tackles challenges relating tohigh complexity of knowledge and the vast amount of storage required to store information by usingdata collected real-time from internal and external sources. It features a plug-in architecture for multi-modal data processing and retrieval, powered by a homegrown vector database. With an ability tosearch over 10 billion of vector datasets, KMSPHERE supports over 100 data formats and boastsimpressive recall and accuracy rates, both exceeding 90%.

The R&D team at 360 Smart Brain has developed an AI Agent framework incorporating ?oworchestration, API plug-ins, knowledge bases, and prompt management. This framework serves as acomprehensive development platform for building vertical scenario Agent products. Additionally, 360Smart Brain has established a business collaboration platform based on this Agent framework. Thecollaboration platform integrates large models with the Company’s existing digital systems. Thisallows for targeted optimization within the business work?ow, enhancing overall automation and AIcapabilities without disrupting existing digital processes.

During the reporting period, 360 Security launched the GPT Industry Alliance, a consortiumdesigned to unite leaders, align strategies, and combine resources and expertise across the industryto promote research, development, and application of AI technologies. Through the “AI for BusinessGrowth” initiative, we facilitated collaboration across the value chain with over 1,000 applicationpartners, empowered more than 100 partners within the industry, and incubated over 10 unicorns inthe AI industry, accelerating their growth and contributing to the broader vision of Digital China.

KMSPHERE

Safety, technology for good, trustworthiness, and controllability are the core values that guide our develop-ment of enterprise-grade vertical AI large models for businesses embarking on AI-powered digital transforma-tion. By empowering organizations across 20 core industries, including public services, ?nance, tax, healthcare,manufacturing, and cultural tourism, with enterprise-grade AI solutions, 360 Smart Brain has contributed to thedevelopment of new quality productive forces.

Within the public services sector, we have collaborated with the government of a city to develop apublic services-focused large model and continuously improve its applications. This e?ort hasincreased the accuracy of responses to knowledge-based questions in public services from 74.49% to

94.44%.

Enterprise-grade knowledge management system

AI Agents framework

2122

Enterprise-grade knowledge management system

Public services sector

In the ?nancial sector, we have built customized AI-powered solutions for banks, including AI meetingassistants, AI tools for compliance documentation, and AI-powered customer service chatbots. Thesesolutions have led to a 20% increase in ?rst contact resolution rates and a 15% jump in customer satis-faction rates.

Financial sector

In the ?eld of taxation, 360 Security has built a large model that achieves an accuracy of 75% onthe Certi?ed Tax Agent Quali?cation Examination, outperforming GPT4.0.Taxation sector

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Search engines have become an indispensable tool in our daily lives. Users of traditional searchengines face three pain points:

360 AI Search(https://www.sou.com/)

Users often have toclick throughcountless links beforethey ?nd the relevantinformation they arelooking for.Traditional searchengines are sensitiveto the speci?ckeywords used in asearch query. Minorvariations in wordingcan lead to signi?cant-ly di?erent results.

The quality ofinformation can varywildly, making it hardto tell what’s reliable.Users often have tosort through a sea ofinformation to ?ndthe most accuratesources.

Drawing on 20 years of security expertise, 360 Security has amassed a vast collection of securi-ty-related big data, including data on o?ensive and defensive techniques, vulnerabilities, and viruses.These extensive datasets are used to generate high-quality training materials for our AI models builton 360 Smart Brain. By combining big data, strong computing power, and cutting-edge algorithms,we’ve developed 360 Security Large Model, the country’s ?rst security-focused large model. This pow-erful model enhances our entire product suite, enabling features like e?cient security consultations,analysis of security threats, incident processing, and pinpointing the source of attack threats.A recent report by CCID Consulting, China Security Large Model Technology and ApplicationResearch Report (2023), evaluated security large model providers across technology, capability, andapplication. With exceptional strengths in data processing and computing power, 360 Security LargeModel secured the top spot for comprehensive capabilities.

Our 360 Security AI Agent, built on 360 Security Large Model, connects, con?gures, and managesvarious security tools. It has achieved a remarkable feat by autonomously identifying APT attackswithin just one minute, with analysis reports generated – all without human intervention. This AI Agentsystem has signi?cantly boosted the security performance of individual products and the entire systemas a whole.

The rise of large language models is fundamentally changing how people search. Users are nolonger satis?ed with simply ?nding information – they want results that are useful. Subscriptionservices, for example, have become a new revenue stream for them. Fueled by this growing demand foruseful information, the search industry is rapidly integrating AI.

AI is rapidly transforming every industry. Companies with access to large models are well-posi-tioned to leverage this technology to unlock new possibilities and elevate the user experience. Wehave upgraded our widely used Internet portals, 360 Search and 360 Browser, to 360 AI Search and 360AI Browser – powered by the advanced capabilities of 360 Smart Brain.

360 security model

360 security AI Agent

2324

Traditional SearchEngines: Theseengines help users?nd fact-basedinformation orlocations on theweb;

Opinion Engines:

These engines curateand present contentthat they believeusers can trust;

AI-powered AnswerEngines: Theseengines synthesizefact-based responsesto user queries fromthird-party sources.

360 Security is dedicated to providing government and businesses with e?ective solutions and bestpractices to combat challenges and threats in today’s dynamic digital security landscape shaped by theevolving political climate and international relations.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

360AI Browser(ai.se.360.cn)

AI large models are revolutionizing industries by creating new forms of value, adapting to newneeds, and reshaping new growth engines. They’re a key driver in accelerating the development ofnew quality productive forces. At 360 Security, we’re committed to continuous innovation. We’ll keepre?ning our large models, and empowering 360 Smart Brain with even greater capabilities. Throughthe integration of generative AI across all applications and operations, we aim to deliver morevalue-added services to our users, fostering both the diversi?cation and commercialization of AI tech-nology to boost high-quality development of China’s digital economy.

In the past, browsers primarily focused on delivering news and fact-based information. However,browsing habits are evolving. Today, users are consuming more in-depth content like articles andvideos, leading to longer browsing sessions. This shift creates a demand for improved browsinge?ciency. They want browsers that can automatically extract key points and highlights from lengthyarticles and videos.To address this pain point of users, we launched the 360 AI Browser, which is powered by ourlarge model 360 Smart Brain. This browser empowers users to boost productivity and learninge?ciency. It can condense lengthy content – videos, articles, books, and long web pages – into easilydigestible summaries and mind maps. It also provides multi-language translation. Users can navi-gate to speci?c sections by clicking on content of interest in the progress bar. An AI assistant is alsoavailable to answer questions, rede?ning browsing experience for users.

360 AI Browser could generate mind maps and highlights for long videos

360 AI Browser could generate mind maps and highlights for long articles

360 AI Search represents the next generation of answer engines. Building upon traditional webretrieval capabilities, it integrates advanced technologies such as intent recognition, informationextraction, summarization, organization, and text generation of large language models to mimichuman thought and language patterns. This enables the engine to produce high-quality, logicallycoherent answers. User testing demonstrates that answer engines signi?cantly boost their informationacquisition e?ciency.

2526

Comparison of search results of a traditional search engine (left) and 360 AI Search (right)

Chapter Three

Standardized governanceInternal controlRisk controlCompliance management

IntegrityFair competitionParty building

TODAY’S HEADLINES

BREAKING NEWS

HEADLINES

HEADLINES

BREAKING NEWSLASTES NEWS AND VIDEOS

READ MORE

TODAY’S HEADLINES

2728

Sustainable Governance:

Strengthening Accountability

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

2930

At 360 Security, we recognize the critical role of a strong gover-nance system in achieving sustainable corporate development. Weare committed to continuous improvement in this area, focusing onoptimizing our governance structure, strengthening internal controland risk management practices, and upholding the highest ethicalstandards. Through these e?orts, we strive to create sustainablevalue for all stakeholders.

360 Security is committed to operating with the highest standards of corporate governance. Weadhere to all relevant laws, regulations, and standards, including Company Law of the People’s Republicof China, Securities Law of the People’s Republic of China, Guidelines for Corporate Governance of ListedCompanies, and Rules Governing the Listing of Stocks on Shanghai Stock Exchange. Our governanceframework is built upon a clear structure, comprising annual general meetings, the Board of Directors,the Board of Supervisors, and the management team. The Board of Directors has three specialized com-mittees: the audit committee, the nomination and remuneration committee, and the strategy committee.Each committee has clearly de?ned roles and responsibilities, fostering collaboration and ensuringe?ective checks and balances. We prioritize continuous improvement in our governance practices,emphasizing standardized operations to safeguard the long-term interests of both the Company and itsshareholders.

We have established a comprehensive set of procedural guidelines, including those for annual gen-eral meetings, Board of Directors’ meetings, independent directors, and the Board of Supervisors. Theseprocedures comply with all relevant requirements of the Articles of Association of the Company andgovern the convening and holding of meetings and voting processes within our various governancebodies. Our specialized committees are structured and operate in accordance with relevant regulationsto ensure that all major decisions and actions undertaken by the Company are lawful, compliant, accu-rate, and e?ective, thereby contributing to the Company’s long-term stability.

Compliance training: We o?er training for directors, supervisors, and senior executives to keep them up-to-date on key compliancetopics, ensuring they are well-equipped to ful?ll their duties in accordance with relevant laws and regulations.Board diversity: As of the end of 2023, our Board of Directors comprises six members, including three independent directors and onefemale director, all with a master’s degree or higher. Their expertise spans security technology, ?nance, law, accounting, and other relevant?elds.

Policy revision: During the reporting period, we revised the Operational Framework for Independent Directors of 360 Security TechnologyInc. This revision aligns with the latest regulatory guidelines, including the Guidelines for the Reform of the Independent Director System ofListed Companies and Measures for the Management of Independent Directors of Listed Companies and re?ects the latest standards forindependent director appointment, meeting participation, and annual performance reporting.

Demystifying tech talk: We understand that our ?eld can involve technical terms and jargons like ‘AIGC,’ ‘APT,’ and ‘IoT.’ That’s why weprioritize clear and easy-to-understand language in all our external communications. We also o?er explanations of these terms, ensuring everyinvestor grasps the full meaning behind our message.

Standardized insider information management: We take insider information managementseriously. Through rigorous registration and management procedures for those accessing insiderinformation, we prioritize the con?dentiality of insider information while upholding fairness andtransparency in information disclosure. This commitment protects the rights of our investors andensures a level playing ?eld for all.

Global transparency: We have published ESG reports for two consecutive years, highlighting our commitment to sustainable development andshowcasing our achievements in ESG areas to investors worldwide. This transparent approach aims to provide global investors with comprehen-sive insights into 360 Security.Standardized governance

We diligently ful?ll our information disclosure obligations in accordance with relevant laws and regu-lations. Our information disclosure framework, including the Information Disclosure Policy and the Policyon Suspension and Exemption of Information Disclosure, ensures that all shareholders and investorshave equal and timely access to accurate and complete information concerning the Company. This is partof our e?orts to safeguard investor rights.

We prioritize strong investor relations. Our Investor Relations Policy guides our active engagementwith investors and potential investors. Through regular performance brie?ngs, strategy discussions,reverse roadshows, and interactive platforms, we actively engage with investors and potential investorsto help them foster a deep understanding of the Company and build a long-term, stable relationship withinvestors. In addition to routine updates on our development strategies and performance, we proactivelyspread our ESG initiatives, providing valuable insights that empower investors to make informed deci-sions.

Hosted over300 investorreceptions throughout the year

Investor Hotline: Responded toover95% of calls receivedduring working hours

Securities Department’s

Public Email: Reviewed

all incoming emails.

Governance structure

Annual general meetings, the Board of Directors,and the Board of Supervisors

Disclosure of information

Investor relations

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Segregation of dutiesAuthorization controlsAccounting controlsBudgetary controlsOperational analysis andperformance appraisalInformation security controls

3132

Interviewing stakeholdersReviewing past litigations, customer complaints, andadministrative penaltiesRisks and disputes relating to product compliance andcontractual performanceAnalyzing laws, regulations, and government policiesimpacting our core business activities and developingcorporate bylaws to ensure compliance with all relevantlegal and regulatory requirementsRisks associated with other operational activities, etc

Prioritizing identi?ed risks based on their potentialimpact and likelihood of occurrence, etc

We continuously re?ne our risk management framework, which includes risk tracing, risk identi?-cation, and formulation of corresponding risk management measures based on the assessment of theseverity, likelihood, and frequency of potential risks. By proactively identifying, assessing, andmitigating potential risks, we are able to adapt to evolving internal and external environments, andfostering long-term, sustainable growth.

Risk control

Identifying sources of risk

Process monitoring and auditingRoutine inspections and follow-up checksPolicy development and implementationRisk awareness training and managementComplaint mechanism, etc.

Risk monitoring measures

Enhancing systems and addressing vulnerabilitiesOptimizing management processes and enhancingbusiness oversightEstablishing clear individual accountability andimproving reward and punishment mechanismEstablishing risk limits, formulating risk guidelines,standardizing business practices, etc.

Risk handling

Preventing and mitigating risks through variousmeasures, etc.Outcomes of risk handling e?orts

Risk assessment

Risk control process

Internal control targets

Internal control measures

To ensure compliance with all applicable laws,regulations, and rulesTo ensure the safety of company assetsTo ensure that disclosed information is true, accu-rate, complete, and accessible to all investorsTo enhance operational e?ciency and e?ectivenessTo support the implementation of our developmentstrategies

Internal control

We have established a robust internal control framework aligned with the Basic Standards forEnterprise Internal Control and related guidelines. This framework includes internal control androutine oversight mechanisms such as the Internal Audit Policy. We regularly evaluate the e?ective-ness of internal control and promptly address any de?ciencies. The Internal Audit Department oper-ates independently under the guidance of the Board of Directors and reports to the Board of Directors’Audit Committee.During the reporting period, we evaluated the e?ectiveness of internal control and identi?ed nosigni?cant de?ciencies in ?nancial or non-?nancial reporting.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

We are dedicated to fostering a culture of compliance. We achieve this by continuously strengthen-ing our compliance management system and o?ering regular training, learning, and awarenessprograms. This commitment to compliance is a cornerstone of good corporate governance and contrib-utes signi?cantly to our long-term sustainability.

In 2023, we conducted over 10 online training sessions (approximately 40 minutes per session) oncompliance, covering critical areas like personal information handling, Internet advertising regula-tions, and how to navigate legal risks in contracts. Additionally, we tailored training sessions for eachbusiness division, ensuring a deep understanding of industry-speci?c compliance expectations andcode of conduct.

Legal Compliance

Training

Compliance Training for

CentralizedSupply Chains

Marketing Compliance

for the Technical

Middle O?ce

O?cial Seal Management

and Contract Review

Guidelines

IntegrityAt 360 Security, we are committed to fostering a culture of integrity. We have formulated a series ofpolicies, including Malpractice Prevention Policy, Gift Acceptance Policy, Supplier Blacklisting Policy,and Key Personnel Management Policy, to prevent fraudulent activities and cultivate a business envi-ronment built on honesty and mutual bene?ts. No instances of fraud or commercial bribery werereported during the reporting period.

Malpractice prevention

Reporting channels

3334

Compliance management

We promote ethical conduct throughout our supply chain by entering intoBusiness Integrity Agreements with our partners. These agreements establish ashared code of business integrity, helping to prevent commercial bribery.

By signing the Integrity Pledge, employees are committed to acting withintegrity, avoiding con?icts of interest, and upholding highest ethicalstandards.

Our Whistleblower Protection and Reward Policy encouragesemployees and business partners to report suspected wrongdoing.This policy ensures strict con?dentiality of the identity of report-ers and provides special protection for named whistleblowers.A dedicated team manages these reports, and eligiblewhistleblowers may receive appropriate rewards.

Email: jubaoxin@360.cnTelephone: 010-58781520

Online: Use the “360 Ethics Committee” WeChataccountMail: Ethics Committee, Building of 360 Securi-ty, No. 6 Jiuxianqiao Road, Chaoyang District,Beijing184In-person: Visit the designated report-ing location

All employees signed the Intergrity Pledge

Case: Compliance training

Compliancesystem

Business Seal Management Policy

Contractual Dispute and RiskManagement MeasuresLegal Review Guidelines for BusinessRegistrations and Their Modi?cationsand CancellationsGuidelines for DraftingProduct-Speci?c Privacy PoliciesProcedure for the Loan of Certi?cates

O?cial Seal Management Policy

Contract Archiving andAccessibility PolicyTraining Policy of the Legal andCompliance Department, etc.

Procedure for the Loanof the O?cial SealContract Management Measures

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

3536

We promote ethical conduct through engaging o?ine and online campaigns. These campaignsutilize a diverse mix of content, including posters, graphics, emails, videos, and interactive activities,to reach all employees and encourage their active participation. They have been e?ective in ensuringemployees keep integrity top of mind.

Fair competitionAt 360 Security, we are committed to upholding the highest ethical standards and promoting faircompetition. We strictly adhere to the Anti-Monopoly Law and Anti-Unfair Competition Law of thePeople’s Republic of China, as well as other relevant regulations. We have developed a robust anti-mo-nopoly framework, which includes a compliance manual, training program, appraisal mechanism, andrelevant processes. This framework ensures all employees are equipped with the knowledge to act infull compliance with anti-monopoly regulations in every aspect of their work, thereby contributing to anopen, fair, and just market environment.

We keep our employees informed about the latest anti-monop-oly regulations and urge them to uphold the Company’s commit-ment to fair competition through a comprehensive communicationstrategy utilizing our internal website, announcements, and emails.

Employees are required to complete mandatory videotraining modules on our internal website. Additionally, weconduct targeted internal sessions for key departmentsand personnel. These sessions delve deeper into relevantregulations and equip participants with the practical skillsnecessary to navigate anti-monopoly compliance risks intheir daily work.

Given the frequent updates to anti-unfair competition laws and increased regulatory scrutiny inrecent years, we’ve compiled a 34,000-word report titled “Observations on Anti-Unfair CompetitionCases”. This report analyzes various forms of unfair competition, including counterfeiting, deceptivemarketing, marketing or selling cheating programs, unauthorized commercial use of resources ownedby others, and unlawful comparative advertising/smear campaign, through real-world cases in theindustry. By studying these cases, we equip employees with the skills and knowledge they need toidentify and prevent unfair practices.

In 2023, we conducted 18 in-person malpractice prevention training sessions for new employeesand those in critical positions, also external partners. These training programs have signi?cantly raisedawareness of integrity among both our employees and business partners.Over 630 employees Over120 individuals from suppliers

40 Suppliers

Over 120 individualsfrom suppliers

Case: Malpractice prevention training

Case: Ethical conduct promotion

Building a Culture of Fair Competition

Case: Observations on Anti-Unfair Competition Cases

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

3738

Party building

Guided by the principles of Xi Jinping Thought on Socialism with Chinese Characteristics for a NewEra, the Company has conducted training programs aligned with the spirit of the 20th National Con-gress of the Communist Party of China (CPC). These programs emphasize the importance of learningtheories of the CPC and putting them in to practice, carrying forward the spirit of the Party, and achiev-ing new milestones in Party building. Through these initiatives, we are steadfastly advancing towardshigh-quality development.

In 2023, we formulated the Work Plan of 360 Security’s Party Committee for Surveys andResearch and conducted more than 20 surveys across our business lines. Through thesesurveys, we gathered valuable insights to guide problem solving and solution development.

In 2023, we strengthened Party leadership by inviting Party Committee members toattend major business and management meetings, where over 100 important proposalswere discussed. We also assigned Party Committee members to oversee party branches ofour business lines.We released Key Objectives of Party Building for the Party Committee of 360 Security,conducted four quarterly Party building meetings, and distributed task lists to ensurerelevant personnel have a good understanding of their Party building responsibilities.

Our Party Committee has conducted training programs on Xi Jinping Thought on Social-ism with Chinese Characteristics for a New Era. In 2023, we organized 12 study sessionsfocused on this subject and facilitated reading classes to delve deeper into its principles.

Won the title of Outstanding Party Organization

Designated as the governing member of ZhongguancunChaoyang Park’s Data Chain Industry Party Building Alliance

Party building meetings and lecturesHeld a expansive meeting of the Party Committee

In 2023, we implemented a comprehensive improvementinitiative to address identi?ed weak links in Party building.Grassroots Party organizations actively participated in thisinitiative, completing all recti?cation tasks.We also organized special Party branch activitiesand collaborated with Party organizations from othercompanies and institutions to conduct joint Party build-ing activities and launch a collaborative Party buildingprogram called “Party Branches Hand in Hand”.

The Company established a Party branch in 2011. In 2013, the Party organization’s oversight wastransferred to the Beijing Internet Association Party Committee. In January 2014, it was upgraded to aParty committee.Party Committee establishment

Party building activities

Strengthening political consciousness

Fostering a strong and uni?ed leadership structure through Party building

Solidifying the foundation for stronger support

Party basicinformationMembers of theParty Committee

Party members

We utilize our WeChat account, intranet, and other platforms to o?er open access learningmaterials relating to Party building.

The Party Committee has 9 members, including one Party Secretary.The Company has 1,194 Party members, with an average age of 31.7 years old. These Party membersare spread across 23 business lines including digital security, smart products, urban industries,Internet, smart life, and commercialization.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

3940

Our Party Committee integrates Party buildinginitiatives with our corporate strategy. Building onthe success of supporting MSMEs, we remaincommitted to our mission by leveraging our corestrengths to launch the 360 Security Cloud forEnterprises. This comprehensive digital securityand management platform provides one-stopservices for MSMEs, simplifying security compliance,reducing operational costs, and improving o?cee?ciency. By empowering MSMBs in their digitaltransformation journey, we help them mitigatesecurity risks and overcome digital challenges andstrengthen the brand image of our Party Committee.

The Ninth Party Branch organized communityoutreach Party building activities

The Ninth Party Branch celebrated the PLA DayQuiz Contest centering around Party building

360 Security partnered with the Bank of Beijing

to host a Party Day event

360 Security partnered with the O?ce of CyberspaceAdministration of Beijing to host a Party Day event.

Won Outstanding Party Building

Program Award

We have built a talent pool of 44 management professionals and 12 individuals withexpertise in Party a?airs, identi?ed through both internal recommendations and self-recom-mendations.

In 2023, we conducted a special training program on the spirit of the 20th National Con-gress of the CPC for middle and senior managers. Over 50 managers participated in the train-ing.

We have mobilized resources to support the establishment of exhibition areas showcasingParty building achievements, grassroots Party building initiatives, and a Party educationresource library.Outstanding Party building programs

Prioritizing talent development

4142

Chapter Four

Sustainable BusinessPractices: Driving Growthin Digital Security

Security management systemsSecurity governance measuresSecurity emergency managementUser privacy protectionSecurity awareness programs

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

4344

Security governance framework

Security governance principlesThe Company strictly adheres to relevant security and privacy laws and regulations, including theCybersecurity Law, the Data Security Law, and the Personal Information Protection Law of the People’sRepublic of China. We have put in place a comprehensive information security management system,which includes security thresholds and standardized practices for infrastructure security, data security,privacy protection, product security, and secure third-party collaboration.

During the reporting period, we revised our Supply Chain Security Management Policy, Data SecurityManagement Manual, Information Security Management Guide, and other relevant corporate policies.

Our commitment to data security compliance and riskmanagement practices safeguard the sustainable growth ofour business. Through responsible data development andutilization practices, we ensure our data is leveraged e?ec-tively while adhering to established data use standards andensuring data security across all scenarios. We also facili-tate lawful and controlled data sharing and implementpractices that promote both data security and businessdevelopment.

We have established a comprehensive data security governance framework with clearly de?nedroles and responsibilities. This framework consists of four key elements: a dedicated data security com-mittee, a specialized data security team, a data security audit function, and an operational teamresponsible for execution. Working collaboratively, these teams ensure comprehensive data securitymanagement and compliance throughout the organization. This framework provides overarching guid-ance for our data security compliance e?orts.

Security management systems

Corporate policies relating to data compliance

Personal Information Protection PolicySupply Chain Security Management PolicyData Security Management PolicyData Security Emergency Management PolicyCyber Incident Response Plan

Data Security Committee

Data audit agencyPrivacyDepartment

Legal Center

Data security management principlesPrinciple of Clear Roles and ResponsibilitiesPrinciple of CompliancePrinciple of Quality AssurancePrinciple of Data Minimization

Principle of Non-Transferable ResponsibilityPrinciple of Least PrivilegeData Protection PrincipleAuditability Principle

ISO 27001 information securitymanagement system

ISO 27701 privacy informationmanagement system

Security is at the core of everything we do at 360 Security. Our com-mitment to product security, data security, and user privacy has beenunwavering throughout our journey of technological innovation. Weimplement rigorous security standards and continuously improve oursecurity management system. By leveraging cutting-edge technologies,we strive to foster a secure and trustworthy digital ecosystem.

Employee Information Security ManualInformation Security RiskManagement StandardData Security Management ManualGuidelines for Compliance with PersonalInformation Laws and RegulationsInformation Security Management Guide

Ecological and StrategicCooperation Cente

Information

Security

Internal Audit andSupervision Center

Marketing andCommunications CenterData platforms

Execution Department (Business Department)

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

4546

We are actively building a robust defense system speci?cally designed to address real-world threatsand integrate it into our everyday operations. To achieve this, we continuously strengthen our internalsecurity capabilities and bolster our risk warning, detection, analysis, research, and response functions.By prioritizing resource integration and capability development, we e?ectively meet the evolving needsof our business lines.

Security governance measures

Defense system

Risk controlWe have formulated the Information Security Risk Management Standard to provide a standardizedapproach for all departments to identify, assess, and mitigate potential security risks. This standardclearly de?nes roles and responsibilities of related personnel and aims to control security risks associat-ed with information generated during business operations, management, and internal controls,ultimately contributing to the safe, sustainable, and stable operation of our business.We have established a four-tier information security governance structure. This structure comprisesan information security management committee, an information security department, information secu-rity specialists within each department, and a security audit team.

Security operation practices

E?ciency of security operations

Actions and Processes

Prepare for risk assessment

Identify assetIdentify threat

Con?rm existing security measures

Calculate risk

Select appropriate security measures

and assess residual risks

Take risk management actions

Identify vulnerability

Current security measures

be maintainedIs the risk within

acceptablelevels?

Are residual riskwithin acceptablelevels?

YesNo

No

Our security products and platforms aredesigned to provide comprehensiveprotection across all critical user scenarios,including networks, devices, applications,user authentication, and sensitive data.This multi-layered approach empowers usto detect security events with greateraccuracy and signi?cantly reduce the riskof missing potential threats that mightevade single-scenario defenses.

We are committed to enhancing andstandardizing the processing of securitydata across all dimensions, enablingsecurity analysts to make timely andinformed decisions.

We are developing a security analysisplatform that focuses on threat datagathering. This platform will empower oursecurity teams to analyze operational datawith greater e?ciency.

We leverage advanced analytics totransform vast amounts of raw data intoactionable security insights, prioritizehigh-risk incidents, and minimize falsepositives. These practices ultimately reducethe overall burden on our securitymanagement system.

We implement standardized procedures forsecurity incident handling. Theseprocedures, bolstered by closed-loopassessments, ensure a consistent baselineof security across all our operations.

We have developed emergency plans fordiverse threat scenarios. These plans,based on expert experience, aim tominimize operational disruptions duringemergencies and mitigate potential lossesfrom security incidents.

We leverage the SecurityBrain SOC platform tocontinuously gathersecurity data. We havedeveloped a securityoperation indicator (SOI)evaluation system toenhance our securitycapabilities andoperational e?ciency.

We simulate real-worldintrusion attempts toevaluate the e?ectivenessof our security measures.

We conduct regularo?ensive and defensivesecurity exercises. Theseexercises allow oursecurity teams to gathercritical data to strengthenour overall securityposture.

We are at the forefront ofdeploying large models in securityoperations. By leveraging theanalysis, judgment, and reasoningcapabilities of 360 Security LargeModel, we have automated asigni?cant portion of our securityanalysis and task processing,thereby remarkably enhancing thee?ciency of our daily securityoperations.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

4748

Information security platform

Threat Response: We havecombined our operationalprocessing platform, informationsecurity platform, automatedresponse technology andstandardized procedures toensure e?ective closed-loopresponse to security incidents.

Our information security platform plays a vital role in ensuring security. It is embedded throughoutthe entire application development lifecycle. We integrate security management and control into everystage, from research and development to testing, release, and operation, through four major platforms:

compilation and release, security incident handling and operations, automated scanning, and threatdetection platforms. We manage vulnerabilities in accordance with industry standards and regulatoryrequirements. To ensure timely remediation, we maintain frequent connections with CVE databases forreal-time vulnerability updates, classify vulnerabilities, de?ne resolution timelines, and promote e?cientremediation through batch vulnerability patching. Additionally, we have established a vulnerabilitydisclosure process, transparently disclosing high-risk vulnerabilities through our o?cial channels, suchas the WeChat account and company website. To further enhance our vulnerability management e?cien-cy, we’ve developed a suite of in-house automated security scanning tools. These tools integrate seam-lessly into our dynamic management system, minimizing delays and enhancing the e?ciency of vulnera-bility management.

360 Wentian leverages cutting-edge technologies like big data, deep learning, and correlationanalysis and integrates proprietary, security, and derived data to provide a comprehensive, accurate,and real-time analysis of potential business risks.The platform leverage data to empower businesses and developers, helping them enhance appli-cation experiences. It also o?ers in-depth, real-time analysis of industries and applications, generat-ing reports on industry ecology, industry performance, and application performance, thereby maxi-mizing the value of the data it collects.

Threat Visibility: We leveragecomprehensive security detectionproducts to collect and centrallymanage data from varioussources, including security alertsand original logs. This systemallows for traceability of originallogs and large-data analysis ofsecurity alerts.

Threat Detection: Our securitymodel, built on expert experience,incorporates multi-dimensionalsecurity operation analysiscapabilities, including securitymonitoring, analysis, traceability,evidence collection, defenseassessment, and operationsmanagement. This enables oursecurity teams to make informedjudgments about security alerts.

The 360SRC Emergency Response Center is our external platform for collecting security vulnerabili-ties and threat intelligence related to our products. This center is dedicated to safeguarding both ourproducts and operations, while maintaining collaboration and knowledge exchange with securityresearchers, known as “white hats”. We actively contribute to a vibrant white hat community by recog-nizing contributions through reward programs and an honor roll. Our commitment extends beyondrecognition, with online thank-you events, o?ine salons, and annual White Hat Awards ceremonies cele-brating their achievements. These initiatives are instrumental in building a robust digital security ecosys-tem, safeguarding businesses and products for hundreds of millions of users.

Case: 360SRC’s incentive programs for white hats

Case: 360 Wentian, China’s ?rst mobile security threat detection platform

Functions of our defense system

ProcessPlatform

DevelopCode

Securitytest

Release

Monitorandanalyze

HandlefeedbackCompilationand releaseplatform

Source codescanningplatform

Automatedscanningplatform

Security incidenthandling platform

SRC platform

SecuritymonitoringplatformVulnerability detection/remediation

Security developmentSecurity operations

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

4950

Security emergency management

We have formulated a series of policies and standards, including Data Security Emergency Manage-ment Policy, to strengthen our security incident response mechanism and minimize the impact of poten-tial security incidents. These policies outline clear procedures for managing security emergencies,including incident classi?cation, reporting, handling, and assessment, as well as emergency drills.

Upon con?rmation of a data security incident, the security emergency response support team imme-diately noti?es the data security committee. This committee, in collaboration with the a?ected depart-ments, assesses the incident’s severity and classi?es it accordingly. They then initiate the reportingprocess and activate the emergency response procedure. Following the incident resolution, a compre-hensive report is compiled within ?ve work days and submitted to the data security emergency responseleadership team for review. The report focuses on lessons learned and preventive measures to strength-en our defenses against future incidents.

Structure of the emergency response mechanism

Security incident response

We have established a data security emergency response task force to e?ectively manage data secu-rity incidents. This task force comprising four teams: a leadership team, an execution team, a supportteam, and a team of external experts.

Upon discovery of a databreach, the data securityemergency response task forceis immediately noti?ed. Thetask force promptly coordinatestechnical personnel toinvestigate the issue andprevent further data leakage.

This includes inspecting systemlogs, databases, and applica-tions to identify the source of theleakage. A?ected systems areisolated from external networksto prevent further compromise,and evidence is preserved. Lawenforcement will be involvedwhen necessary.

The task force then works withtechnical personnel to analyzesystem logs, determine the rootcause of the leakage, andcompile a detailed incidentsummary.

Data Security EmergencyResponse Leadership Team

Data Security

Emergency

ResponseExecution TeamTechnical Support

Assist in emergency

response

Data SecurityEmergencyResponse Plan

Data Security

EmergencyResponse Support

TeamData Security

EmergencyResponse External

Expert Panel

DiscoveryReportingContainment

ThreatRemoval

Review andsummarizationRecovery

Data leakage

Upon discovery of large-scaledata tampering with our coredatabases, the data securityemergency response task forceis immediately noti?ed. Thetask force works with databaseadministrators and operationpersonnel to verify the extent ofthe tampering. Simultaneously,they activate the emergencyresponse procedure, whichinvolves suspending relevantservices and notifying relevantpersonnel.

After data is restored usingbackups and services arerestarted, the task force theninvestigates the cause of thetampering. If an external attackis suspected, the task forceanalyzes logs and other data toidentify the source. Lawenforcement will be involvedwhen necessary.

Following the incident, athorough review is conductedto analyze the speci?c causes ofthe tampering. Based on theanalysis results, enhancedsecurity measures are adoptedfor our core databases.

Data tampering

In the event of a data lossincident, the data securityemergency response task forceis immediately noti?ed. Thetask force promptly works withrelevant departments toinvestigate the issue and assessthe scope of the data loss, andevaluate its potential impact onthe business.

The task force then works withtechnical personnel to resolvethe issue and restore data andservices using the lateste?ective backups.

Following the incidentresolution, the task forceanalyzes the speci?c causes ofthe data loss and identify areasfor improvement.Data loss

Process of data security emergency response

Data security incident handlingType of incidentEmergency response procedureContainmentReview

Engaged when theincident is serious

and the internalexecution team hastrouble handling it

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

5152

We conduct regular training sessions for our emergency response teams. These sessions incorporatea variety of engaging methods, including case studies, scenario simulations, discussions, emergencydrills, and strategy analysis. By using diverse training methods, we ensure that our emergency responseteams are familiar with reporting and response procedures. Key takeaways from exercises and drills arecompiled into an emergency response toolkit.

Information security training programs are an important part of our e?ort to build a strong securityculture. We’ve invested in a comprehensive cybersecurity training mechanism, providing basic securitytraining for all employees and specialized technical training for security personnel. Through thesee?orts, we aim to cultivate a workforce with a heightened awareness of information security andenhanced security skills. In 2023, we achieved a 100% completion rate for the online security awarenessassessment.

We conduct regular red team vs. blue team exercises, simulating real-world attacks to help ourresponse teams hone o?ensive and defensive skills and familiarize with emergency response proce-dures. These exercises reveal system vulnerabilities and allow us to enhance our security emergencyresponse readiness and improve monitoring and defensive capabilities.

Emergency response training and exercises

User privacy protection

Security awareness programs

We conduct information security training and assessment for all employees.New hires arerequired to complete mandatory security awareness training and exams before assuming theirroles.

We are committed to protecting the privacy of our users. We have implemented a robust personalinformation protection system with clearly de?ned procedures outlined in o?cial documents like thePersonal Information Protection Policy and 360 Security User Privacy Protection White Paper. These docu-ments provide clear guidelines for the collection, storage, use, processing, transmission, provision,disclosure and deletion of personal information. We are pleased to report that we experienced no majorinformation leakage incidents throughout the reporting period.We have implemented an app lifecycle managementsystem with de?ned procedures, approval work?ow,and technical control measures. Its functions includecompliance review, record-keeping, data traceabili-ty, and information management throughout theentire app lifecycle.

We believe that everyone plays a role in information security. We requireemployees to adhere to the guidelines outlined in our Employee Informa-tion Security Manual, which is designed to safeguard the Company’sinformation assets and mitigate the risk of information leakage. Employeeshandling personal information are required to sign a Personal InformationCon?dentiality Agreement. Any violations of the terms of this agreementwill be subject to appropriate disciplinary action.

Case: Online learning and assessmentCase: Red team vs. blue team exercises

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Case: O?ine security training

We also o?er tailored security awareness training quarterly to address speci?c needs of each busi-ness line based on their security incidents and system vulnerabilities.

5354

We’ve launched a series of online and o?ine cybersecurity awareness campaigns, includingsecurity reminders concerning the use of ChatGPT, informative sessions on data security, Cyberse-curity Week events, and open discussions about data security.

Case: Cybersecurity awareness campaigns

5556

Chapter Five

R&D and innovationCustomer services

Sustainable Innovation:

Spearheading Digital andAI Transformations

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

360 Security remains at the forefront of innovation through continuousinvestment in R&D. This commitment translates to a portfolio of secureproducts and services that empower our clients and users. Upholding acustomer-?rst approach, we’ve established a comprehensive servicesystem to empower a secure and thriving digital future for all.

5758

We foster a culture of innovation by actively cultivating a R&D talent pool and building a professional,innovation-oriented R&D team. We now have 16 research groups, 8 research institutions, and 4 nationalengineering laboratories. As of the end of the reporting period, our R&D team consisted of 3,332 talentedindividuals, comprising 55.6% of our total workforce, and 34.1% of our R&D personnel held master’sdegrees or higher. They contribute to our strong foundation for independent research and innovation.

To maintain our technological leadership, we stay attuned to industry trends, identify product andbusiness innovation opportunities, and drive e?cient R&D cycles for continuous product updates. Wecontinued to ramp up our R&D e?orts and investments in the reporting period. In 2023, our R&D spendingtotaled 3.104 billion yuan, representing 34.28% of revenue.

We foster a culture of innovation by recognizing and inspiring our R&D teams through innovationcompetitions. These competitions encourage them to integrate creative thinking into their daily work,igniting their passion for innovation.

To celebrate Programmers’ Day, we launched the Smart Brain Cup Innovation Competition. Over1,500 employees participated, submitting more than 60 innovative projects and 20 testing projects. Thisprogram enhanced business innovation, product incubation, and advancements in our Smart Brain tech-nology. By recognizing outstanding projects, the competition fueled our employees’ passion for innova-tion.

Case: Smart Brain Cup Innovation Competition

R&D and innovation

Management of R&D and innovation

R&D and innovation measures

R&D talents

R&D investment

Encouraging R&D and innovation

R&D team in the past three years

R&D expenses in the past three years

Number of employees in our R&D teamAs a percentage of our workforce (%)

3,3322023

55.6%

3,6022022

55.6%

4,0812021

55.2%

R&D expenses (100 million yuan)As a percentage of our revenue (%)

31.04

2023

34.28

33.14

2022

34.81

31.29

2021

28.74

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

5960

There are primarily four ethical considerations for AI: transparency and explainability, fairness,privacy protection, and data security. Ethical oversight of AI technology has become imperative withinthe industry. The Guiding Opinions on Strengthening the Governance of Science and Technology Ethicsissued in March 2022 mandates companies to establish science and technology ethics committeestailored to their speci?c circumstances, especially those engaged in AI and other sensitive areas ofscience and technology ethics.

We actively engage in industry-university partnerships. These partnerships promote developmentof talent with a focus on innovation and practical skills and deliver win-win outcomes for universitiesand the Company.

We have established a patent review committee to strengthen our technological edge and ensurecomprehensive protection for our R&D and innovation results. We leverage a lifecycle approach fore?cient patent management. This approach includes online application for evaluation and standardizedapplication and evaluation processes. Through a strategic pre-evaluation process considering technical,commercial, and legal factors, we identify innovations with strong IP potential and implement a hierar-chical protection system. This approach e?ectively strengthens and enriches our IP portfolio.

We have established a special team dedicated to managing and safeguarding our IP assets. Utilizingour robust infringement monitoring systems, they proactively identify and address violations of ourpatents and trademarks, ensuring the protection of our key technologies and core brands.

We’ve implemented a robust IP risk management system. This system integrates IP considerationsthroughout the product lifecycle, from project approval to market launch to discontinuation, andensures all of our R&D and operational activities respect intellectual property rights.

We’ve also established a comprehensive system for handling copyright, patent, and trademarkinfringement complaints. To ensure e?cient complaint processing, we’ve established clear guidelinesfor handling complaints regarding di?erent product lines and intellectual property rights. We have arigorous review process in place to verify the legitimacy and relevance of IP rights before we use them.This helps us ensure that we are respecting the rights of IP holders. We take swift actions to addresspotential intellectual property infringement notices. This includes notifying o?enders, taking down ordisabling access to infringing content, or blocking o?enders. We keep rights holders informedthroughout the process, providing timely updates on the outcome of each case.

We prioritize IP protection and strictly comply with relevant laws, including Patent Law, TrademarkLaw, Copyright Law, and Anti-Unfair Competition Law of the People’s Republic of China. To safeguardand manage the Company’s intellectual property (IP) assets, we have established internal IP and patentquality management systems and implemented a comprehensive IP management framework coveringpatents, trademarks, copyrights, and trade secrets. In 2023, we revised our Patent Quality Review Policy,Open Source Software Legal Compliance Guidelines, and other relevant policies.

We partnered with Tsinghua University to o?er students practical experience in 20 critical cyberse-curity areas, including IoT vulnerability identi?cation, security frameworks for virtual-physical integra-tion, data security innovation platforms, and security challenges in AI models. In 2023, 23 computerscience students from Tsinghua University successfully completed required hands-on training at thecenter.

Case: 360 Security partnered with Tsinghua University to establish a Student Hands-on Learning Center

We are committed to enhancing awareness and understanding ofAI ethics. We adhere to relevant laws, regulations, and nationalcybersecurity standards, ful?lling our data security protectionobligations. This includes establishing data security managementresponsibilities, implementing data security protection measures,conducting data security risk assessments, and formulatingnetwork security incident contingency plans to promptly addresssecurity incidents. Additionally, we conduct regular securityeducation and training sessions. We handle data acquisition,storage, management, analysis, application, and disposal in amanner consistent with ethical principles and social responsibili-ties.

IP protection

Scienti?c ethics

Industry-university collaboration

Protecting our own IP assets

Respecting others’ IP rights

透明可解释标准

隐私保护

数据安全

公平性

评价

Over 6,700patents

Over 6,000trademarks

Over2,000

copyrights

As of the end of 2023

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

6162

We are committed to delivering industry-leading user services. This commitment is backed by a com-prehensive customer service system and continuous improvement initiatives. During the reportingperiod, we revised and updated the User Service Management Standard White Paper and User ServiceWhite Paper.

Behind this commitment lies a dedicated team of over 500 customer service professionals. Span-ning software, hardware, and game services, they e?ciently handle and respond to user feedbackacross various business sectors. Through regular training and assessments, we ensure our teamremains e?cient in handling and responding to user feedback, continuously improving service quality.

Case: User service training in 2023

Customer services

Customer services system

Professional team

Training system

Assessment systemTools

New employee

induction

Quarterly skills

training

On-demand targeted

skills development

Job-speci?c knowledgebase (updated daily)

User Experience/UserService White Paper

Job-speci?c

manuals

Indicators

Pick-up rate and response timeCustomer service satisfaction

Quality inspection pass rate and ?rstcontact resolution rate

Entry examination

New employeetraining, certi?cation,and assessment

Hotline/onlinecustomerservice system

Product defectmanagementsystemQuarterly assessmentsof pro?ciencyof job-speci?cstandards

VOC platform

Number oftraining sessionsNumber of participants

Smart Life

1,789

Wargaming

360 Games

Internet

We provide multiple, convenient channels for customer services, including a robust user feedbackmechanism. Feedback options are prominently displayed on our website and product interfaces, encour-aging user input and ensuring swift, responsive support.

Customer service hotlineOnline serviceEmail supportCustomer

service

Productfeedback

Complainthandling

Socialmedia

CommunityForum

Face toface

After-sales

Multiple customer

service channels

E-commerce pre-purchaseand post-purchase supportAfter-sales support

Feedback on WeiboFeedback on ZhihuVideo feedback

User chat group on WeChatUser chat group on QQUser experience feedback sessionsUser interviews

360 user community

In-app feedbackFeedback fromuninstall surveys

Regulatory reporting channelsMinistry of Industry andInformation TechnologyComplaint PlatformBlack Cat Complaint Platform

Feedback channels

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

6364

We take a meticulous approach to verifying user-reported issues. We also have established clearescalation processes for di?erent types of complaints. This ensures complaints reach the right teamspromptly, leading to fast and e?ective resolutions for our customers.

We’ve implemented a comprehensive customer complaint handling process to ensure promptresolutions and safeguard user rights.

12315

Product TeamCustomer Service/OperationsManagers/VPs

Understanding customercomplaints and needsProviding andoptimizing solutions

Reaching clear conclusionsand conductingreviews as needed

360 Securityrelated inquires

Non-360 Securityrelated inquiriesReaching agreementswith users

Unable to reachagreements; usersmaking a complaintagainstthe service sta?;users requiring anescalationEscalating the case toCustomer ServiceOperations Manager

Severe problems: problems

causing massive propertylosses, injuries, a largenumber of complaints, etc.

Is it resolved?

Escalating the case toManagers/VPsClosing the loop

NoYes

Customer complaint handling process

Customer response mechanism

Scope of customerservices

Channels

Timeframe and otherrequirements

Technical support for softwareproducts:

handling customer feedback oncomputers, mobile software, searchengines, 360kuai, and other productsof 360 Security

Customer service for hardwareproducts:

Providing after-sales support for 360Security’s smart hardware products.

Hotline: 400-669-3600Online Customer Service: For inquiries, please contact us at400-669-3600 and enter the extension number 0. Users will receivean SMS noti?cation directing them to our online customer serviceportal at http://urlqh.cn/mXDLSWe have launched a specialized online customer service for seniorusers at the same portal.Email: kefu@360.cnHotline: 400-682-2360Online Customer Service: Visit https://mall.360.cn and click on the“Online Customer Service” button located on the right side of the

page.Email: yingjiankefu@360.cn

Mobile Game/Web Game Hotline: For inquiries and support relatedto our mobile and web games, please call 400-669-3600 and enterthe extension number 4.World of Tanks/World of Warships Hotline: 0536-3565177/5277Mobile Game/Web Game Online Customer Service:

https://gm.game.360.ccWorld of Tanks/World of Warships Online Customer Service: Visithttps: //kf.wf.360.cn and click on the “Online Customer Service”button located on the right side of the pageMobile Game/Web Game Email: m-kefu@360.cnWorld of Tanks/World of Warships Email: pcgame_kefu@360.cnHotline: 400-036-0360Online Customer Service:

Visit https://e.360.cn/ and click on the inquiry button located on theright side of the page.Email: sskf@360.cn

Game Customer Service:

Providing support andgathering feedback on gameproducts from users logged inwith 360 Security accounts.

Advertising Sales CustomerService:

Responsible for handlingfeedback related to 360Dianjing, marketing, promo-tions and advertising

Hotline:

Ensuring 80% of calls areanswered in 30 seconds.Online Customer Service:

Instant processing.Email Response:

Within 1 working day.Complaint Handling:

Complaints are processed inaccordance with the timelimits speci?ed by thecomplaint platform.Customer ServiceSatisfaction:

Maintaining a satisfactionrate of over 95%.

Timely response

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

6566

We actively leverage user feedback to identify areas for product and service improvement. Byprioritizing these insights, we deliver better experiences and enhance user satisfaction.

In 2022, we rolled out the Enhanced User Experience Plan. This initiative allows us to gather exten-sive user feedback to gain deeper insights into consumer needs and experiences. These insights areinstrumental in implementing targeted optimizations, ultimately leading to a continuously improveduser experience and enhanced consumer satisfaction.

Optimization of user services

Our customer service team is committed to providing solutions to users within 24 hours afterreceiving a reported issue, ensuring prompt and e?ective resolution.

User experience enhancement plan

Customer complaint handling measures

Rating of reported issues

P0P1P2

Requirements

P0 issues receive immediate attention from senior management and are guaranteed resolutionwithin 24 hours.P1 issues are closely monitored by general managers and are guaranteed resolution.P2 issues are monitored by corresponding product managers, with a resolution rate exceeding85%.

We have conducted a detailed analysis of user interactions and experiences across 18 keytouch points related to installation, activation, main interface, wallpaper customization, screensaver settings, and personalized preferences. By focusing on user goals, behaviors, satisfactionlevels, emotional responses, pain points, and improvement opportunities, the Company identi-?ed 24 speci?c areas for optimizing the user experience.

To improve user satisfaction and reduce returns, we conducted a one-month evaluation of theP8max against leading competitors. Twelve users participated in surveys and in-depth interviews,providing valuable insights into user needs and areas for improvement. This user feedback directlycontributed to increased adoption of our cloud recording and AI features, leading to a reducedreturn rate.

Case: 360 Wallpaper

Case: 360 Smart Camera

Installation

Activation

Main interface

Wallpaper customization

Screen saver settings

Personalized preferences

De?neevaluationcriteria for

userexperience

Recruit userexperience

testers

Testertraining

Conduct user

testing,compiling userexperiencereports, andinterviewinguser testers

Analyze testingresults andimplementactionablerecommenda-tions forproductimprovements

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

6768

We’ve cultivated a vibrant social media presence through product accounts on platforms likeWeibo, WeChat, and Bilibili. These accounts, including 360 Bulletin, 360 Fan Group, and 360Customer Service, act as a hub for user engagement, promoting our Company and products. Theseaccounts e?ectively bridging the gap between the Company and its users.

We hosted eight product exchange meetings in 2023, fostering in-depth discussions betweentarget users and product managers on key products. A total of 190 users and employees participated,generating over 200 actionable insights.

We celebrated User Thanksgiving Day in 2023 with a dynamic online and o?ine experience. Theonline event, garnering over 200 million views, featured a collaborative song creation project, weavinguser stories with ours into a music video. Simultaneously, an o?ine gathering with 82 participants wasbroadcast across ?ve channels, engaging over 10 million viewers and generating 17,000 live interac-tions.

We actively engage with users through a variety of online and o?ine events, including productexchange meetings and User Public Betas. These events facilitate open communication and valuablefeedback, strengthening the connection between users and the Company.

Over 2 million interactionsReached 250 million indivials

Responsible marketingClient engagement

Case: Product exchange meetings

Case: User Thanksgiving Day

6970

Chapter Six

The talent poolWin-win cooperationIndustry development

Sustainable Empowerment:

Growth Hand in Handwith Partners

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

7172

The Company is committed to creating a diversi?ed workplace, respecting the di?erences of allemployees and treating every employee or job seeker equally. By the end of the reporting period, theCompany had 5,990 employees, including 8 foreign employees.

The Company strictly abides by the Labor Law,Labor Contract Law, Social Insurance Law of thePeople’s Republic of China and other laws, regulationsand normative documents, constantly improves thehuman resource management system and attachesimportance to the protection of employees’ rights andinterests. Through diversi?ed and equal employmentpolicies, comfortable working environment and clearcareer development channels, the Company builds adiversi?ed talent team and creates a healthy, warm,equal and inclusive workplace.

The Company adheres to the principles of fair competition, talent selection based on needs andmerit, and provides equal employment opportunities for workers in the recruitment process. At thesame time, it carries out campus recruitment and social recruitment, broadens the recruitment chan-nels such as the Internet, internal recommendation and headhunting, standardizes the recruitmentprocess, and enriches the talent team.

The Company resolutely opposes employment discrimination, treats employees fairly and equita-bly, and prohibits child labor, forced labor, restriction of employees’ freedom, etc., and does not treatemployees di?erently because of their ethnicity, age, gender, marital status and religious beliefs.

The Company signs labor contracts with employees according to law, and pays for ?ve insurancesand housing provident fund for its employees.

The talent pool

The proportion of female managers is 20.1%The proportion of ethnic minority employees is 5.2%

Employment and employee composition

Rights and interests and protection

Legal employment

Diverse composition

Employee hiring

By genderBy type ofemployment

By academicquali?cation

By profession

Male :

Female :

4,1251,865

41 and above31 to 40 years old30 years old and below

3,3451,943

R&D personnelSalesmenManager

3,3322,100

PhD and professorMasterBachelorJunior college and below

1,1094,012

Number of full-time employees:5,990umber of part-time employees :0

100% employees were coveredby labor contracts

100% employees were coveredby social security programs

Attendancemanagement

The Companyimplements thestandard workinghour system, andsets a ?exiblehalf-hour clock-intime.

Adhering to the “people-oriented” philosophy, 360 Securityrecruits various talents and realizes the common growth of em-ployees and the Company. The Company attaches great impor-tance to supply chain management, ensures that the procure-ment process is “fair, just and open”, and promotes the devel-opment of the industry together with its partners.

The proportion of disabled employees is 1.5%

Overtime andcompensatedleave

Employees whowork overtime onapproved rest dayscan take compen-satory time o?,with 4 hourscounted as 0.5 dayand 8 hours as 1day.

Leavemanagement

According tonational regulations,employees areentitled to statutoryholidays, annualleave, sick leave,marriage leave,funeral leave,maternity leave,breastfeeding leaveand parental leave.

By age

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

7374

The Company attaches great importance to the democratic management of employees, strength-ens democratic communication, actively responds to employees’ demands. Through employeecongresses, sta? exchanges, setting up suggestion boxes, employee satisfaction surveys and otherforms, the Company seeks an e?ective path for the harmonious development of the Company and itsemployees, builds a harmonious corporate culture, and promotes the sustainable development of theCompany.

Following the remuneration principle of being “fair internally and competitive externally”, andthrough a scienti?c position evaluation system, the Company reasonably determines the value gradeof each position and combines it with the career development system to determine the salary structureand level range of each position system. Within the salary range of each position, the salary of employ-ees is determined according to factors such as performance, contribution, ability and quality. TheCompany conducts annual salary review, and adjusts employees’ personal salary according to theCompany’s performance, operating conditions, personal annual performance evaluation results,social life indexes, market trends and other factors.

In order to attract and retain outstanding talents and improve the welfare and security level ofemployees, the Company provides supplementary bene?ts for employees in addition to the basicwelfare and security, and promotes the occupational health management of employees in variousways.

The Company has established a scienti?c and e?ective performance appraisalsystem and implemented the OKR performance management mechanism. By guidingemployees to participate in the whole process of performance management, it helpsmanagers at all levels to objectively and fairly evaluate employees’ contribution to theCompany, and conduct timely and e?ective performance communication and feedback.The employee performance result is one of the reference bases for promotion andappointment.

If an employee disagrees with the performance results or related issues,he/she should ?rst fully communicate with his/her immediate supervisor. If thedisagreement cannot be resolved after communication, a complaint can be ?led inthe system within two weeks after the communication is completed. After theemployee submits the complaint, the person in charge of the complaint node of thedepartment to which he/she belongs shall handle the complaint within two weeks.

Performance feedback and appeal

Commercial insurance:

We provide all employees,including regular employees,labor dispatch employees,interns, and their spouses,parents, and children withcommercial insuranceprograms, such as lifeinsurance (accident insurance,?xed life insurance), majordisease insurance, outpatient,emergency and hospitaliza-tion supplemental medicalcare, and maternity supple-mental insurance for femaleemployees.

Health checkups:

On-the-job employees have afree health examination oncea year and their families canalso enjoy preferential healthcheckup programs

High-end medical care:

We o?er high-qualityhigh-end medical insurancebene?ts for senior managers,key talents and their spousesand children.

Health management:

A health management o?cehas been set up to provideemployees with regularpublicity on healthknowledge, helping themenhance health awareness.

Remuneration system

Welfare system

Performance management system

Democratic communication

Total annualincome

Basic salary

Variable salarycorresponding

to eachincentive plan

Other bene?tsand allowancesLong-termincentives

The Company carried out one semi-annual and one annual employee satisfactionsurveys in 2023 to collect the opinions and suggestions of the employees on variousaspects of work. It continuously improved the employee services and listened to thevoices of front-line employees. Both of the surveys recorded a satisfaction of over 95%.

Employee satisfaction survey

The Company has improved the content of the collective labor contract fortwo consecutive years. Through sample surveys and person-to-person communi-cations and interviews, the Company has collected dozens of opinions andsuggestions. Through multiple rounds of communications with people fromAll-China Federation of Trade Unions, the Company re?ned the content of thecollective labor contract, and ?nally completed the review and ?ling in order tosafeguard the legitimate rights and interests of employees.

Collective labor contract

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

7576

Professional competence training is based on the professional compe-tence model of the Company, and a systematic professional talent trainingsystem is built to improve the job competence of employees. To build astrong capability growth engine for the organization, the Companyconstantly improves its professional capabilities while gradually building atechnical culture and enhancing external technical in?uence, which plays asupportive role in technical development to meet the Company's businessdevelopment needs.The Company has set up two promotion channels for employees: a management channel M anda specialty channel S, so that ?exible career development paths are available for employees accord-ing to the characteristics, nature and level of jobs. In order to encourage employees to excel in thechannel to which they belong, we have set up a mechanism for in-depth development and formulateda promotion program, while encouraging employees to develop across channels.

The Company attaches great importance to the development and cultivation of talents, constantlyimproves the internal training mechanism, and provides employees with di?erent types, forms andlevels of training according to the requirements of professional development to help employees growand promote enterprise development.

Leadership training aims at helping the implementation of corporate strategy, supporting theperformance and building the core competence of leadership. According to its talent strategy andorganizational development needs, the Company systematically cultivates the leadership andbusiness wisdom of managers at all levels, promotes the learning, development planning andimplementation of core talents and senior executives, and builds the talent supply chain ofoutstanding cadres.

The Company has developed two sets of assessment mechanisms and cases, namely “Morn-ing Star” and “Polaris”, formed four sets of reproducible training programs and coursecontents, and trained nine internal part-time assessment o?cers, supplemented by customizedworkshops, to provide assistance for the promotion of cadres.

TechnologyProductDesignMarketing

Supply

chain

FunctionSafety

Leadership

Professionalism

Career development

Training system

Development and training

Technology—Tech Talk

A total of 39 sessions wereorganized and shared, with3,696 participants and anaverage satisfaction of 9.37points

Sales—government-enterprise sales training

A total of 43 training sessions were organized,covering 702 sales people, with an averagesatisfaction of 9.4 points.

HR-HR creation campA total of 11 trainingsessions were organized,with 305 participants andan average satisfactionof 9.56 points.

Instructor—IOTinstructor empowermentEmpowerment trainingfor IOT internal lecturers,with 9 participants and

9.8 points of satisfaction.

Standard—Establishmentof sequence trainingmechanismA learning map was createdfor product design and webserver development, and 28expert resources were calledto create and develop 12professional courses.

Improvement ofcadre capabilitiesCustomized workshops /projectsManagement certi?cationManagement improvement“Venus”certi?cation

“Venus”

certi?cation“Polaris”certi?cation

“Polaris”certi?cation

7,982 participantsSatisfaction rating of 9.52 points125 training sessions

7 ?rst-level sequences

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

7778

In order to enhance the sense of belonging, perception and speed of integration of newemployees, the Group upgraded the training program for recruiting new employees from societyin October, 2023—“Safe Planet Defense War”. The Company provided a login manual for newemployees, arranged clear integration tasks and paths, and added links such as face-to-facemeeting with senior executives and overall introduction of the Group’s business.

“Planet Gas Station” centers on the actual needs of employees, and systematically designs ageneral ability course system, which include 16 contents in the four directions of “heart, thought,matter and presentation”. In order to solve the contradiction between work and study, the systemtakes 2-3 hours of excellent single-point courses as the main form, which is convenient for employeesto learn.

Learning ability

Heart

PresentationMatter

Thought

Logical power

Action abilityCommunication ability

Self-awarenessE?cient learningCareer developmentIndividual ability

Structural thinkingJudgmental thinkingCreative thinkingProblem solution

O?ce skillsPlan executionE?ective reviewProject managemen

Writing skillsPresentation skillsCommunication impactStory presentation

Generalabilitysystem

110 participantsSatisfaction rating of 9.85 points3 sessions

219 participantsSatisfaction rating of 9.53 points6 sessions

General abilityGeneral ability training focuses on the growth and ability improvement of all employ-ees in the Company. Based on the needs of strategic and organizational development, acomprehensive general ability improvement system is established. Through trainingprograms such as general ability improvement courses and tailor-made workshops,personal e?ectiveness, team e?ectiveness and organizational e?ectiveness are continu-ously improved, and su?cient skill reserves are provided for business departments.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

In 2023, the Company upgraded the values badge recognition project, with 38% of personnelincentivized, up 6% from 2022. At the same time, by upgrading the issuance rules, opening the mobilephone applet and adjusting the incentive cycle, we provided incentive tools for BPs and managers,and the e?ective utilization rate of badges increased from 36% to 94%, which contributed to theimprovement of the internal atmosphere.

In addition, the Company shapes the power of role models. Fifteen rounds of role model publicityreceived more than 7,000 clicks, with more than 15 excellent teams and 200 excellent individualsselected, thus empowering management.

The Company provides long-term and systematic psychological care for employees, includingdaily consultation by professional consultants, crisis intervention, health lectures, etc., to convey orga-nizational care, help employees balance work and life, ensure their psychological health, and achievethe goal of happy work and happy life.

Focusing on cultural building and warm-hearted care, the Company makes continuous e?orts increating an atmosphere and advocating behavioral transformation. Through the iterative upgrading oforganizational cultural concepts and colorful employee activities, it constantly enhances organiza-tional cohesion, stimulates employees’ vitality and creativity, enhances corporate cultural strength,and creates a happy workplace.In 2023, the Company further promoted the construction of the “sta? home”. In the process ofemployee service, it understood the pressure of employees in life and work, cared for special groups,especially enhanced the psychological care for female employees, and truly realized “timelyresponse and assistance to the needs of employees”.

7980

Case: EAP employee care program

In order to strengthen teamcommunication, enhanceemployees’ feelings, andpromote organizationalcoordination, the Companyprovides a uni?ed standardteam building fee for eachteam, with which the teamscan plan and organizeactivities that are conduciveto team integration.

The Company regularlyorganizes a variety ofemployee activities tobalance their work and life.

Every year, the Companyawards specially custom-ized commemorative giftsto colleagues who meet theseniority standards.Currently, the SeniorityAward is divided into?ve-year award andten-year award, which is arecognition of andencouragement for thehard work of veteranemployees who haveperformed their duties for along time

Team building fee

Employee activities

Seniority award

Culture and care

Case: Values badge

Caring gift

Employees who are newlymarried, have a child, arehospitalized, or theirimmediate family membershave passed away canapply for and receive theCompany’s caring giftmoney.

Holiday care

Every year, the Companyprepares special surprisesfor employees for DragonBoat Festival, Mid-AutumnFestival and SpringFestival.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

8182

The Company carefully organizes and carries out various holiday activities, such as Double NewYear’s Day, Lantern Festival, Mid-Autumn Festival, Winter Solstice, Children’s Day, Goddess Day andProgrammer’s Day, and guides employees to care for each other, enhance their sense of belonging andraise the organizational warmth in the form of rewards and gifts.The Company provides employees with 24-hour administrative service guarantee, includingbasketball court, gym, yoga room, bathroom, laundry room and other facilities. The building isequipped with a barber shop and massage room, so employees can enjoy convenient serviceswithout leaving the building.The Company pays attention to employees’ food, clothing, housing and transportation toimprove their o?ce and life experience, and provides services for home renting, driving training,car purchase, dentistry, medical care, etc., to create a warm workplace for employees.

Case: Creating a comfortable working environment

For pregnant and breastfeeding women, the Company has created a female-friendly workplaceand set up a mother and baby room to provide a temporary milk collection area for working mothers.Independent and exclusive, the area is equipped with sofas, tables, separate curtains, paper towels,garbage cans, hand washing stations and hand sanitizers. In addition, the cafeteria opens a separatedining area for pregnant mothers, which is convenient for pregnant female employees.

Case: Caring for special people

Case: Colorful activities

Double New Year’sDay activities

Lantern Festival activitiesWinter Solstice activities

Mid-Autumn Festival activities

Children’s Day activities on June 1.

Programmer’s Day

Goddess Day activities

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

8384

The Company has formulated internal management systems such as Business Process of Central-ized Procurement Department of 360 Group, Management Speci?cation of Centralized ProcurementDepartment of 360 Group and Management Measures for Procurement Operation of CentralizedProcurement Center of 360 Group, so as to standardize the implementation process of the Company’sprocurement business, clarify key business process nodes and implement supplier management.

Relying on the supplier-shared platform of centralized procurement, the Company has realizedstandardized, e?cient and comprehensive management of suppliers and project tendering andprocurement.

The Company’s business scope of centralized procurement includes products and services neededfor daily operation and project delivery, which are divided into 10 ?rst-class categories and 38second-class categories.

3,200 suppliersin reserve

840 cooperativesuppliers

460 suppliersreviewed in 2023

Over 90% of suppliersrated as excellent orgood in 2023

Centralized procurement platform system

Scope of centralized procurement

Supplier-shared platformWin-win cooperation

Clean and open procurement

ITSoftware and maintenanceIntegration and morePR, publicity, marketingMaterial commoditySpecial servicesHR outsourcingBusiness tripAdministration/EngineeringFundamentals/Engineering

First-classcategories

Second-classcategories

In order to establish a sound the supplier management system, the Company has formulated theSupplier Management Measures to standardize the processes of supplier development, access, main-tenance, project participation, performance evaluation, rewards and penalties. It has set up and main-tained a supplier resource database to improve the quality and e?ciency of procurement.Through annual conferences, the Company conveys its business philosophy and joins hands withpartners to share opportunities and develop together.

Supplier management

Inspection and access

Supplier registration iscompleted through supplierinformation entry, supplieraccess review and supplierreserve evaluation.On-site inspection of keysuppliers in conductedaccording to the SupplierInspection Form to fullyunderstand the comprehensivestrength of suppliers.Suppliers are required to signthe Letter of Commitment forHonest Cooperation and Letterof Con?dentiality Commitment,and strictly abide by theCompany’s anti-fraudmanagement regulations.

The procurement andwhole-process managementis completed through the SRMsystem.Supplier changes need to bereviewed and approved on theSRM platform.

A comprehensive assessmentof suppliers’ price, quality,service, response andquali?cation is conducted on aquarterly basis, and theannual level of suppliers iscomprehensively evaluatedonce every year.The Company initiatescorrective actions orinterviews with supplierswhose performanceevaluation results areunsatisfactory, and tracks theirrecti?cation.

Any violation of discipline canbe reported to the Companythrough the reportingchannel.Non-compliant suppliers willbe penalized by freezing andblacklisting.

Management changeExamination and evaluationSupervision and elimination

Hardware and maintenance, IDC and sources, voice andtelephoneSoftware, maintenance, and cloud services (SAAS)Project outsourcingEvents, online communication, media, digitalmarketing, photography, design/H5, entertainmentmarketingDirectly purchased materials, customized materials,cards, and printsFinancial services, data resources, testing/certi?cation,professional servicesITO category, BPO category, KPO category, HROcategory, human resources service, ?exibleemployment categoryHotel, ticketing, taxi hailing, business travel platformWorkplace services, maintenance & repair, furniture,equipment, facilities and consumablesConsulting services, materials & equipment,construction engineering

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

8586

Industry development

To improve the reliability of the supply chain and to identify and control the potential threats andrisks in the supply chain, the Company has formulated the 360 Group Supply Chain Security Manage-ment System according to the requirements of GB∕T 36637-2018 Guidelines for Security Risk Manage-ment of Information Security Technology ICT Supply Chain and GBT 22239-2019 Information SecurityTechnology—Baseline for Classi?ed Protection of Cybersecurity, to guide the Company’s supply chainsecurity management in its entire lifecycle, and to facilitate the sustainable development of the Com-pany’s various business segments.

The full-lifecycle management of supply chain is based on product design, R&D, procurement,production, warehousing, delivery, operation and maintenance, etc., to ensure the integrity, availabili-ty, con?dentiality and controllability of supply chain.

Adhering to the concept of common development, the Company actively promotes the develop-ment of the industry while pursuing its own rapid and steady development, and contributes to thehigh-quality development of the industry together with its partners by participating in the formulationof standards, strengthening industry exchanges and promoting technical cooperation.

The Company actively participates in industry exchange activities, strengthens interaction withdomestic and foreign enterprises and scienti?c research institutes, and is widely recognized by theindustry in its pursuit of win-win development.

The Company incorporates supply chain risk management training into the security training plan andimplements it regularly.The Company establishes and improves the emergency plan for security incidents in the supply chainto ensure that the security emergency work is carried out quickly, e?ciently and orderly.

Supply chain security management

Supply chain risk assessment

Supply chain security

Strengthening industry exchanges

The Company actively promotes the standardization level of the industry, continues to contributeits long-accumulated expertise to bring into full play its professional value. In 2023, it led or participat-ed in the formulation of 53 standards, including 14 national standards, 21 industry standards and 18group standards.

In addition, the Company actively led or participated in the preparation of a number of whitepapers, security reports and research reports.

Participation in the formulation of standards

The 360 Tianshu Think Tank, in conjunction with the NationalEngineering Research Center of Big Data Collaborative Security Tech-nology and Tianjin Smart City Digital Security Research Institute,released China’s ?rst Smart City Digital Security Report (2022). For the?rst time, the report builds a digital security capability frameworkfrom a new perspective of the security subject of smart cities, and asthe ?rst “white paper” in the ?eld of smart city digital security, itprovides an overall guide to the construction of China’s smart citydigital security capability.

Case: The ?rst domestic Smart City Digital Security Report (2022)

Name of industry associationPosition

Member unitCouncil MemberMember unitVice ChairmanMember unitMember unitIndependent member

National Technical Committee 485 on Communication ofStandardization Administration of ChinaChina Communications Standards AssociationTelecommunication Terminal Industry Forum AssociationInternet Society of ChinaBeijing Software and Information Services Industry AssociationChinese Institute of Electronics3GPP

Risk identi?cationRiskRiskcommunicationand documentation

Risk supervisionand inspection

Risk disposal

Risk evaluation

Risk analysis

In 2023, the Company held digital security ecology conferences in nearly 30 cities across thecountry with the theme of “New Technology, New Services, and New Ecology”. Thousands of seniormanagers from partners gathered together to communicate on topics such as interpretation of digi-tal security industry development opportunities, technology empowerment, experience sharing, andbenchmarking, and open a new chapter of network security under the digital economy, which willstrengthen the foundation and vitality for the high-quality development of urban industries.

Digital security ecology conference

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

8788

The Research Report on Global Advanced Persistent Threats in 2023released by 360 Digital Security Group, based on the empowerment of 360Security Cloud and relying on the digital security capability of 360 “seen”threats, fully reveals active organizations, deeply deduces the future devel-opment direction, and is committed to providing e?ective reference andguidance for governments, institutions and enterprise to deal withadvanced threats.

Case: Release of the 2023 Global Advanced Persistent Threat Research Report

360 Group was invited to participate in the compilation of China’s LargeModel Application Standard—Large-scale Pre-training Model Technologyand Application Evaluation Methodology Part IV: Model Application. Tucha-cha, an application of the 360 Smart Brain, was rated as an excellent case ofgenerative arti?cial intelligence technology and application.

Case: Large Model Application Standard of China

The Company attaches importance to the sharing of achievements, actively promotes technicalcooperation, helps the transformation and upgrading in multiple industries and ?elds, and promotesindustry development and ecological co-construction.

Sharing of development achievements

In 2023, the Company clouded the national security capability and o?cially released the“360 Security Cloud”, which promoted the transformation of the security industry with theconcept of “Security as a Service” and escorted the construction of a network power and digitalChina.

Promoting industry transformation

In 2023, the Company took the lead in proposing a new paradigm of digital security, “secu-rity Agent + security tools”, and independently developed the industry’s ?rst deliverable securitymodel application—360 Smart Brain. Through the methodology of small incision and big depth,it helps enterprises to truly realize automatic, secure and e?cient operation and greatly improvetheir capability of security protection.

Inventing a new security paradigm

New services

New ecologyNew technique

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

8990

In 2023, the Company held three anti-fraud training camps,inviting police experts from all over the country to form a team oflecturers with industry experts from the 360 Cyber Crime ResearchCenter, and cumulatively trained more than a hundred front-linepolice o?cers across the country, creating a precedent in the indus-try for the police and enterprises to train together. The Company hascooperated with more than 1,300 provincial/municipal/dis-trict/county-level public security organs nationwide, supported theMinistry of Public Security and local public security departments/bu-reaus in more than 10 major battles and special operations, andassisted them in cracking down on more than 1,000 wire fraud cases.

Assisting the police in anti-fraud

In 2023, the Company’s business was fully laid out. In the ?elds of ?nance, government, energy, med-ical care, education, manufacturing, scienti?c research, etc., it expanded industry-level benchmarkcustomers, helped enterprises build a solid foundation for digital security, and facilitated their digitaltransformation.

Global TOP50 banks have built a security operation platform based on 360 Security Cloud. Bysubscribing to the 360 digital security hosting operation services, they have achieved internal protectionagainst data leakage and external protection against cyberattacks.

Hosting on the cloud to protect the digital security of the ?nancial system

By subscribing to the 360 digital security hosting operation services, national “double-?rst-class”universities have realized 7×24 hours all-weather all-round threat monitoring to ensure the smoothoperation of the education system and protect the information security of teachers and students.

The Company help enterprises to deal with 170,000+ alarms, identify 1,000+ digital assets, discoverand handle nearly 300 high-risk ports, dig up and reinforce more than 30 security vulnerabilities toensure information security.

Promoting the construction of smart campus to lay a solid foundation for digital security

Oil giants leverage the 360 Security Cloud in energy transformation

With its 7×24-hour remote hosting operation service, the Company helps scienti?c research institu-tions to establish a digital security system, discover and prevent network threats by analyzing, monitor-ing and identifying potential attacks, vulnerabilities and malicious behaviors in the network.

Whole-process protection of scienti?c research institutions

The Company helps a city’s tertiary hospitals to monitor risks and handle security incidents, realizecontinuous monitoring of and active response to security risks and threats, and easily respond to securitynoti?cations and Internet attacks.

Digital security services help hospitals “solve problems”

The Company helps an international manufacturing enterprise to realize all-weather and all-roundthreat monitoring, ?nd and deal with security risks promptly, achieve the overall safe operation andensure the smooth operation of business systems.

Promoting digital transformation and building safe infrastructure for manufacturing

Creating an industry benchmark

In 2023, the Company assisted in the construction of new digitalinfrastructure in more than 10 cities, and formed a digital securityservice system for the government and all kinds of large, medium,small, and micro enterprises through the “one cloud, one brain and?ve platforms” model.

ISC 2023, the world’s ?rst AI digital security summit, wassuccessfully held. In the application of AI technology in multiplescenarios and links, such as digital hosts, digital guests anddigital customer service, the Company created a precedent forholding “AI+” conferences.

The Digital Town New50 Forum received more than 10million clicks, and the number of online participants exceededone million. It brought together 1,000+ guests from home andabroad and 100+ eco-enterprises, with 100+ activities held, 20+achievements commercialized, and 30,000+ o?ine partici-pants.The conference was included in the Guinness Book ofWorld Records for its “most authoritative topic”, withwhole-network exposure exceeding one billion times. It not onlyachieved pro?tability, but the commercialization model wasveri?ed as well.

Building and protecting the digital infrastructure of cities

ISC digital transformation

Chapter Seven

Green operationSocial welfare

Sustainable Development:

Jointly Pursuing aBetter Future for All

About 360 Security

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

The Company earnestly ful?lls its social responsibility,adheres to green operation and promotes environmental pro-tection in the pursuit of dual-carbon goals. With the idea that“no good deed is too small”, it spreads the 360 public welfareculture of “being always ready to do public welfare”, throughwhich it has established a good corporate image.

9394

Beijing Electronic City Building connects di?erent systems through the building intelligent controlsystem and uses calculator control technology to remotely control various devices, sensors and actua-tors to manage the daily activity data of the building, including:

In 2023, the lighting system in thepublic area of Beijing Tower wasupgraded with high-e?ciencyand energy-saving lamps.Compared with the old models,an average of 11.47 kW/h ofelectric power was cut, with260,800 kWh of electricity savedin the whole year.Note: For 360’s operating sites in di?erent regions, the calculation of greenhouse gas emissions isbased on the applicable rules in the region where the operating site is located.

Green operation

Upholding the principle of energy conservation and environmental protection, the Company hasimplemented a series of emission reduction strategies to reduce greenhouse gas emission andimprove energy utilization by optimizing energy structure and carrying out environmental protectionpublicity.In the past three years, the Company has not been penalized by relevant departments for anymajor pollution accidents or ecological damage.

The Company implements a number of energy-saving measures in its o?ce buildings to optimizeenergy and environmental management and reduce resource consumption.

The Company’s greenhouse gases are mainly generated by energy consumption during o?ceoperation, and the greenhouse gas emissions during the reporting period are as follows:

BMS building intelligent control system

Lighting system upgradeUse of renewable energy

Solar PV panels are usedon the roof of the Beijingo?ce building to integratedistributed photovoltaicpower generation into theo?ce power supplysystem, providing part ofthe building’s electricity.

Remote control of independent fresh air supply systemto ensure the air quality in the o?ce.Intelligent air conditioning management system torealize real-time monitoring and reasonable setting ofair conditioning temperature according to season, andscienti?c management of running time.ABB intelligent lighting control system that adjusts thelighting status in real time, presets the turn-on andturn-o? time of lights, and improves energy e?ciency.

Addressing climate change

Indicators and objectives

Solar photovoltaic panels are installed on the roof of Beijing ElectronicCity Building to reduce the consumption of fossil energy.For Scope 2, the Company has strengthened energy management, built agreen data center, and realized e?cient green operation, thus reducinggreenhouse gas emissions.By increasing environmental publicity, education and sta? training, theCompany raises employees’ awareness of environmental protection,advocates green o?ce and low-carbon life, and comprehensivelypromotes greenhouse gas emission reduction.

Importantmeasures

Energy saving and emission reduction

Greenhouse gas emissionsGreenhouse gas emissions (Scope 1)Greenhouse gas emissions (Scope 2)Total greenhouse gas emissionsGreenhouse gas emission intensity

In 2023

454.15

7,252.927,707.07

0.85

UnittCO2etCO2etCO2etCO2e/million yuan of revenue

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

9596

The Company standardizes the management of water resources, vigorously implements waterconservation measures, and extensively carries out water conservation publicity and education. TheCompany and its subsidiaries keep monthly statistics on water consumption, aiming to reduce theconsumption of water resources and the impact on the water ecosystem.

The company strictly abides by the Law of the People’s Republic of China on Environmental Protec-tion, the Law of the People’s Republic of China on Energy Conservation and other laws and regula-tions, promotes energy management, rationally utilizes energy and reduces energy consumption.

The kitchen fumes are treated by UV photo-oxidation equipment and electrostatic ?lters. In order to realize theaccurate management and control of the kitchen fumes, we reserve an online monitoring interface for the fumeexhaust ?ue, so as to e?ectively monitor and control the fume exhaust in real time in the future.Waste gas

Solidwaste

The Company has formulated the Measures for the Management of Solid Wastes (Hazardous Wastes) to ensure thatall kinds of solid wastes meet the national disposal standards. The rate of harmless treatment reaches 100%, andthere are no incidents of environmental pollution or damage.According to the Regulations of Beijing Municipality on the Management of Domestic Waste, the Company carries outgarbage classi?cation in its operation sites in Beijing. It uses four types of garbage bins with clear signs to ensurethat garbage classi?cation reaches the standard while strengthening the employees’ awareness of garbage sorting.

Waste water

Employees are welcome to use theirown water cups when using the waterdispenserWater-saving bubbler faucets areadoptedWater-saving signs are posted

Saving water

Turning o? the lights, o?ceequipment, and air conditioning whenthe o?ce or meeting room is not in use40% of the Company’s vehicles inBeijing are new-energy vehicles, whichare provided with charging stations inthe parking area

Saving energy

Management of energy and resources

Water resources management

Standardized treatment of three wastes

Advocating green o?ce

Practice of green operations

Comprehensive energy consumption: 1,845.72 tons of standard coal

Comprehensive energy consumption intensity: 0.20 tons of standard coal/million yuan of revenue

Total annual water consumption: 80,852 tonsWater consumption intensity: 8.93 tons/million yuan of revenue

Kitchen wastewater is pre-treated through a sedimentation tank to remove large particles of pollutants andsuspended matters, then introduced into an oil-water isolation device to separate the oil in the wastewater,and then discharged to the outdoor grease separation tank, which is cleaned up once a month.The domestic sewage of the building is discharged to the municipal sewage treatment plant for secondaryutilization.

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

9798

In terms of data center construction, 360 is committed to building an energy-saving and e?cientlow-carbon data center. It has taken measures such as waste heat recycling, dynamic energy regula-tion, e?cient cold source room, and sustainable LID site design to reduce the energy consumption ofdata room operation. In addition, the 360 data center has been reconstructed according to the interna-tional standard Uptime/Tier-IV and national standard GB50174/ Class A computer room constructionrequirements.

Energy-saving equipment is widely used in 360 DIGITECH. By means of cascade utiliza-tion of natural cold sources, recovery of waste heat from computer rooms for reuse, anddynamic adjustment of control strategies, energy e?ciency is improved and carbon emissionsare reduced. At present, the PUE index of data centers in Beijing and Zhengzhou is lower than

1.5, reaching the national average. In terms of environmental protection, the 360 DIGITECH

Data Center has adopted low-impact technical measures such as “sponge city” construc-tion, roof greening, rainwater recycling facilities, and permeable pavement to control runo?pollution, alleviate waterlogging, rationally utilize rainwater resources, and improve waterenvironment, so that the annual total runo? control rate in the site reaches 70%, and theannual runo? pollution control rate reaches 50%. In terms of data usage, the 360 DIGITECHData Center adopts dynamic scaling technology for the business servers, so as to redistributethe computing resources at the daily level, allowing more resources to be used at the peak ofbusiness and less resources to be used at the valley of business, thus avoiding resource waste.

The Company has established internal systems such as Emergency Plan for Production Accidents,Crisis Handling Mechanism for Abnormal Visitors, and Warehouse Safety Management System,de?ned the types of incidents, three-level response measures, emergency plans, security drills, mea-sures to deal with extreme weather, reporting procedures and disclosure requirements, and set up aleading group for production safety and emergency management and to co-ordinate the handling ofvarious emergency incidents.

Case: Low-carbon reconstruction project of 360 DIGITECH Data Center

In 2023, the Company held several emer-gency drills, including “519” and “119” ?redrills, and organized ?ood control drills, waterleakage drills and unplanned power outagedrills in response to extreme weather. Throughthe drills, problems were found and recti?ed in atimely manner, the safety awareness of allemployees was enhanced and the ability to dealwith emergencies was improved.

Case: Emergency drill

Saving consumablesPaperless o?ce is promoted“Green recycling stations” are set up forwaste paperPurchase and use of o?ce supplies arerationalizedThe Management Measures for Low-valueConsumables is formulated, and theservice life of o?ce equipment isprolonged through enhanced dailymaintenance

Indoor greening

Green plants are introduced into theo?ce area to improve employees’work-life balance, productivity,creativity and sense of well-beingAs of December, 2023, there were3,119 indoor plants of more than 20types in Beijing Electronic CityBuilding

Leadership group of emergency organization system

Emergency o?ce

Green data center

Enhancing emergency capabilities

Emergency o?ceSupport teamRescue teamMedical team

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

99100

After the rainstorm in Beijing in August 2023, the 360 Group took the lead in responding tothe call of the Beijing Federation of Industry and Commerce and took part in the disaster reliefwork in Fangshan and Mentougou. After the earthquake in Gansu in December, the 360 PublicWelfare Foundation quickly joined local relief agencies and charitable organizations to raiserelevant relief materials for the disaster-stricken area.

The Company is committed to “solving social problems with the power of science and technolo-gy”. Taking the 360 Public Welfare Platform, the 360 Public Welfare Foundation and the 360 PublicWelfare Communication as the media, the Company drives public welfare undertakings and practicescorporate social responsibility.

In active response to the call of national rural revitalization, the 360 Public Welfare Foundationmakes donations to Xinjiang, Hubei, Inner Mongolia and other places to improve basic education andhealthcare facilities. In addition, the Company carries out disaster relief, provides special care for thepolice, and undertakes corporate social responsibility to pass on the power of love.

Social welfare

Case: Assisting in disaster relief

Promoting public welfare—360 Public Welfare Foundation

260,000

Donation project forthe developmentof collective economy in Hulijintu Village,

Shibatai Town, Zhuozi CountyRural revitalizationDonation project for “GuangcaiTongxin Beijing Flood Control and

Disaster Relief”

Emergency donations fordisaster relief2 million

While helping with public welfare projects, the Company continuously improves the operation andmaintenance of 360 Public Welfare Platform to create a reliable, authoritative and transparent publicwelfare image.In the reporting period, social responsibility report, project progress and other sectionswere added to the display page of 360 Public Welfare Platform, and eight public welfare foundationswere introduced into the platform throughout the year, expanding the project scope to new areas suchas disaster response and relief, improvement of the environment in which young people grow, govern-ment-related support services, caring for veterans, and environmental protection plans.

36 foundationson the platform

Digital charity—360 Public Welfare Platform

40,000

Donation project in support ofeducation and ruralrevitalization in HorqinLeft Wing Rear BannerRural revitalization

2 million

Donation project for ChinesePolice Heroes FoundationProvide special care forpolice heroes

34 online projectsOver 730,000 yuan17,000 donators

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

101102

June 11, 2023 is the seventh organ donation day in China. As an online strategic partner of ChinaOrgan Transplantation Development Foundation, 360 broadcasted the donation day with the theme of“Walking in Starlight”, and o?cially upgraded the “360 Great Security Public Welfare O?ce” fromthe original “Voluntary Organ Donation Registration Platform” to a sustainable public welfareecological platform, matching the needs of donors and bene?ciaries and boosting the development ofdigital charity.

In 2023, 360 Public Welfare actively responded to the “I have atree in Tibet” public welfare activity, jointly promoted it with ChinaCharity Federation, using the power of digital communication to mobi-lize the whole society to participate in the greening project of Southand North Mountains in Lhasa. The exposure of the activity amountedto nearly one hundred million times.

In an e?ort to elevate the philanthropic consciousness and participation among its workforce, theCompany has consistently cultivated a robust charitable brand and instilled a culture of benevolence bylaunching the engaging “Good Deeds Earn Drumsticks” series of public welfare activities. In the projectof “Don’t let hearing impairment become an obstacle to life”, the organization championed an internaldrive to collect children’s picture books, which saw over 500 sta? members actively contribute. Thisconcerted e?ort amassed a generous donation of more than 360 volumes, all destined for the “Cogni-tive Learning Center for Hearing-impaired Children”. This tangible demonstration of goodwill stands asa testament to the Company’s commitment to the philosophy of “making charity a part of everyday life,where small acts of love accumulate to build a tower of compassion”.

Case: Theme activities on “6.11” China Organ Donation Day

Case: Environmental protection public welfare activity titled “I have a tree in Tibet”

On June 1, 2023, 360 Public Welfare and IHEARU Charity Fund jointly set up the “Cognitive Learn-ing Center for Hearing-impaired Children” in Xi’an to provide cognitive education for hearing-im-paired children in the rehabilitation stage and help them to better understand the world.The project was launched in June 2023, calling on the public to pay attention to hearing-impairedchildren, with a cumulative exposure of 336 million times, and a cumulative reading of 32.24 milliontimes in Weibo, which enhanced the spread of 360 Public Welfare brand and was followed up by otherpublic welfare platforms one after another.

Case: Public welfare activity titled “Don’t let hearing impairment become an obstacle to life”

Public welfare culture of 360

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Appendix 1: Performance Table

103104

Comprehensive energy consumptionComprehensive energy consumption intensityOutsourced electricityOutsourced heatPetrolDieselNatural gasGreenhouse gas emissions (Scope 1)Greenhouse gas emissions (Scope 2)Total greenhouse gas emissionsGreenhouse gas emission intensityTotal water consumptionWater consumption intensityTotal amount of harmless wasteTotal amount of hazardous wastePUE index of data centers in Beijing and Zhengzhou

Ton of standard coalTon of standard coal/million yuan of revenueMegawatt hourGJTonTonStandard cubic metertCO2etCO2etCO2etCO2e /million yuan of revenueTonTon/million yuan of revenueTonTon/

1,845.72

0.20

12,623.97

520.52

6.69

0.43

200,000

454.15

7,252.927,707.07

0.85

80,852

8.93

0.053

1.3

Environmental performance

Governance performance

CASS-ESG5.0

R&D personnelR&D expensesRatio of R&D expenses to operating incomeCustomer complaint response rateCustomer complaint resolution rateCustomer satisfactionTotal number of employeesLabor contract signing rateSocial security coverage rateEmployee satisfactionProportion of female managersProportion of ethnic minority employeesProportion of employees with disabilitiesEmployee turnover rateEmployee training coverage rateTotal investment in employee trainingTotal hours of employee trainingTraining hours for senior management

number%Hundred million yuan%%%%Number%%%%%%%%Ten thousand yuanhourHour

3,332

55.6

31.04

32.48

>97>965,990

>95

20.1

5.2

1.5

7.6

120.87

42,341

Social performance

Average training hours for new employeesTraining hours for R&D personnelNumber of cooperative suppliersAnnual supplier excellence rateDonation amountShareholders meetingNumber of proposals reviewed by the shareholders meetingBoard of Directors meetingNumber of proposals reviewed by the board of directors meetingBoard of supervisors meetingNumber of proposls reviewed by the board of supervisors meetingNumber of motions unapproved at the three meetingsAudit CommitteeNumber of proposls reviewed by the audit committeeNomination and Remuneration CommitteeNumber of proposls reviewed by the nomination and remuneration committeeStrategy CommitteeNumber of directorsIn which: number of independent directorsIn which: Number of female directorsNumber of supervisorsIn which: number of employee representative supervisorsNumber of periodic reports disclosedNumber of interim announcements disclosedNumber of investor receptionsNumber of performance brie?ng sessionsNumber of responses to E-interactionNumber of audited projects in the whole year

HourHourNumber%Ten thousand yuan

TimeNumberTimeNumberTimeNumberNumberTimeNumberTimeNumberTimeNumberNumberNumberNumberNumberNumberNumberTimeTimeTimeNumber

>300

34,099

>90

648.72

1. The Beijing Electronic City Building is the sole focus of our statistical analysis on purchased heat, diesel, gasoline, and natural gas consumption.

2. The scope of our statistical analysis on purchased electricity consumption includes Beijing Electronic City Building, Chengdu Tianfu Software Park,

Chengdu Arti?cial Intelligence Center, as well as our o?ces in Guangzhou, Nanjing, Shenzhen, Suzhou, Wuhan, Xi’an, Shenyang, and Shanghai.

3. The scope of our statistical analysis on water consumption includes Beijing Electronic City Building, Chengdu Tianfu Software Park, Chengdu Arti?cial

Intelligence Center, as well as our o?ces in Guangzhou, Nanjing, Shenzhen, Suzhou, Wuhan, Xi’an, Shenyang, and Shanghai.

4. The scope of our statistical analysis on the customer complaint response rate, customer complaint resolution rate, and customer satisfaction includes

Smart Life, Wargaming Division, 360 Games, and the Internet Division.

5. PUE is short for power usage e?ectiveness, that is, power utilization e?ciency. PUE is an indicator to evaluate the energy e?ciency of data centers, which

is the ratio of all energy consumed by a data center to the energy consumed by IT load.

Proportion of R&D personnel to the total numberof employees in the Company

Notes:

Feature: “All in AI” Fuelsthe Development of New QualityProductive Forces

Sustainable Governance:

Strengthening Accountability

Sustainable Business Practices:

Driving Growth in DigitalSecurity

Sustainable Innovation:

Spearheading Digital and AITransformations

Sustainable Empowerment:

Growth Hand in Hand withPartners

Sustainable Development:

Jointly Pursuing aBetter Future for All

Appendix 2: Report Index

About the ReportMessage from the ChairmanOur Contribution to the SDGs

Contents

P1.1 P1.2 P1.3P2.1P2.2 P3.1

2-2 2-32-6 2-22/Corporate pro?le

Business segments

Corporate cultureMilestones

Rewards and honors

ESG Management

P4.1P4.3P4.2//G3.5 G3.6V1.1 V1.2 V1.3 V1.4

2-12-1 2-6///2-14 2-16 2-17 2-22 2-29 3-1 3-2 3-3

2-6 203-2

Introduction

Sustainable Governance: Strengthening Accountability

About 360 Security

Standardized governance

Internal control

Risk controlCompliance management

IntegrityFair competitionParty building

G1.1 G1.2 G1.10

G1.3G1.3G1.3 G1.4G1.6 G1.7 G1.8

G1.5

/

2-9 2-10 2-11 2-12 2-13 2-15 2-27

2-272-272-23 2-27205-1 205-2 205-3

206-1

/

105106

CASS- ESG 5.0GRI

Sustainable Business Practices: Driving Growth in Digital SecuritySecurity management systemsSecurity governance measuresSecurity emergency managementUser privacy protectionSecurity awareness programs

S3.4 V1.1S3.4 V1.3

S3.7S4.6S3.5

2-6 203-22-6 203-22-6 203-2

418-1404-2

Sustainable Innovation: Spearheading Digital and AI TransformationsR&D and innovation

Customer services

The talent poolWin-win cooperationIndustry development

V2.1 V2.2 V2.3 V2.4 V2.8

S4.5 S4.7 S4.8

2-6 2-272-25 416-1

Green operation

Social welfare

E1.2 E2.2 E2.3 E2.9 E2.10 E2.11 E2.14E2.15 E3.1 E3.3 E3.5 S3.6 E3.8 E5.5 E5.6 E5.7

V3.4 V3.5 V3.6

302-1 303-5 305-1 305-2305-4 306-3203-1 203-2

Sustainable Empowerment: Growth Hand in Hand with Partners

S1.1 S1.2 S1.3 S1.4 S1.5 S1.6 S1.7 S1.8S1.9 S1.10 S1.11 S2.1 S2.2 S2.4 S3.1

V2.6 S5.1 S5.2 S5.3V2.5 V2.7 V2.8

414-12-28

2-7 2-8 2-19 2-20 2-30 401-1401-2 404-1 401-3 403-3 403-6

403-8 404-1 404-2 405-1

Appendix

Performance TableReport Index

A2A4

\\Feature: “All in AI” Fuels the Development ofNew Quality Productive Forces

Sustainable Development:Jointly Pursuing a Better Future for All


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