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Asia’s Tech Titans and E-Commerce Giants: Driving Innovation and Market Resilience in 2025

General Report July 18, 2025
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  • As of mid-July 2025, the technology and e-commerce sectors in Asia are significantly transforming global market landscapes. Leading entities such as Taiwan Semiconductor Manufacturing Company (TSMC) and Coupang have not only solidified their billion-dollar valuations but have also demonstrated an unwavering capacity to innovate. TSMC has outperformed expectations with a remarkable 38% year-over-year revenue growth, bolstered by rising demand for advanced semiconductors, particularly in the AI application realm. Its aggressive investments, including a $100 billion expansion in Arizona, underline its pivotal role in addressing global supply chain challenges.

  • On the e-commerce front, Coupang has reported steady growth with its revenue hitting $7.9 billion in Q1 2025, marking an 11% increase from the previous year. The company's adeptness in logistics and its expansion into AI cloud services reflect its strategic diversification efforts, aimed at broadening its market influence. Additionally, Samsung has sustained its leadership in the global smartphone market with an 8% increase in shipments during Q2 2025, leveraging its versatile device portfolio to meet varying consumer demands across multiple regions.

  • Simultaneously, KUN, an emerging player in the fintech scene, successfully secured over USD 50 million in Series A funding, facilitating its ambition to become a cornerstone in the stablecoin market. China’s economy showcased resilience with a notable 7.2% growth in exports in H1 2025, attributed to its robust industrial apparatus and strategic labor policies. This resilience is further amplified by ongoing government initiatives to boost service trading, with significant year-on-year growth noted. Moreover, omnichannel strategies led by companies like Walmart and Shopify highlight the shift in consumer behavior, emphasizing convenience and seamless shopping experiences as key drivers for the future.

Tech Titans in Asia: TSMC’s Production Power and Coupang’s Billion-Dollar Fortunes

  • TSMC’s manufacturing milestones and global chip leadership

  • As of mid-July 2025, Taiwan Semiconductor Manufacturing Company (TSMC) remains a pivotal force in the semiconductor industry, upholding its status as the leading chip manufacturer globally. TSMC's strategy centers on technological leadership and substantial investments in capacity expansion. With its revenue guidance for Q2 2025 set between $28.4 to $29.2 billion, reflecting a remarkable 38% year-over-year growth, TSMC exemplifies the massive demand for advanced semiconductors, particularly for AI applications. TSMC's state-of-the-art 3nm and 5nm process technologies have positioned the company at the forefront of AI chip production, capturing a significant 73% of its wafer revenue from these advanced processes, which are essential for AI accelerators and high-performance computing. The company's recent expansion of its facilities in Arizona, which involves investing $100 billion to build three new fabs and an R&D center, demonstrates TSMC's commitment to bolstering its global manufacturing footprint while addressing geopolitical supply chain risks. Additionally, TSMC is expected to witness its AI-related revenues double by 2025, bolstered by the increasing demand for data centers and AI-driven technologies. Despite facing some margin compression due to expansion costs, TSMC aims to maintain a gross margin target above 53%, supported by its robust cash reserves estimated at $81 billion. This cautious yet ambitious approach positions TSMC not only as a semiconductor leader but also as a cornerstone of technological innovation in the context of the AI revolution.

  • Coupang’s valuation trajectory and revenue growth drivers

  • Coupang, South Korea's e-commerce powerhouse, is reshaping the landscape of online retail through a logistics-centric approach that leverages extensive infrastructure. As of Q1 2025, Coupang reported a revenue of $7.9 billion, marking an 11% increase year-over-year. This growth is propelled by its core retail offerings and expanding high-margin segments such as Coupang Eats, which capitalizes on food delivery, and the recent regional expansion into Taiwan. One of Coupang's key competitive advantages is its logistics mooring, characterized by over 100 fulfillment centers that enable rapid delivery from dawn to the next day—an operational feat that places it ahead of competitors like Amazon. The integration of diverse services, including food delivery and streaming platforms, further enhances customer retention and engagement, as seen with its Rocket WOW membership program, which fosters a devoted customer base of 23 million active users. Moreover, Coupang's investment strategies, including a robust $1 billion share repurchase program, indicate confidence in its earnings potential, despite its high valuation levels—evident from a trailing P/E ratio of 44 and an aggressive forward P/E of 285. While profitability remains a concern, especially in new markets like Taiwan and luxury segments through acquisitions like Farfetch, initial signs of margin improvement, evidenced by a 90 basis point rise in adjusted EBITDA margins to 4.8%, suggest a positive trajectory. Strategically positioned for growth, Coupang exemplifies the evolution of e-commerce in the Asia-Pacific region and presents a complex yet compelling case for investors focused on disruptive retail models.

Global Smartphone Market Trends: Q2 2025 Shipment Dynamics

  • Samsung’s continued market lead and year-over-year growth

  • In the second quarter of 2025, Samsung retained its position as the leader in the global smartphone market, according to the latest figures released by Counterpoint Research. Shipments from Samsung increased by 8% compared to the same quarter in the previous year, primarily driven by a robust performance of its A-series lineup. This growth was bolstered by sustained demand from key markets such as North America and Europe, which have shown continued interest in both older flagship models and newer offerings. The company’s strategy to maintain a balanced portfolio of devices ensures that it could hold onto its market lead amidst a progressively competitive landscape.

  • Apple and Motorola’s gains in key regions

  • Apple demonstrated an encouraging performance in Q2 2025, achieving a 4% growth in its smartphone shipments year over year. The iPhone 15 and iPhone 16 models have continued to capture consumer interest, particularly in established markets like North America, Japan, and India, contributing to the overall steady growth of the brand. Meanwhile, Motorola emerged as a notable player during this quarter, experiencing a significant increase of 16% in shipments, which marks the strongest growth among major brands. This surge is largely attributed to strong sales in the Indian market and a strategic focus on enhancing its mid-range 5G offerings, gaining traction particularly in North America’s prepaid segment. Despite both Apple and Motorola showing growth, Xiaomi remained stagnant with flat shipment numbers, reflecting diverse market dynamics.

Rise of Stablecoin Finance: KUN Secures Series A Funding

  • Details of KUN’s oversubscribed funding round

  • In July 2025, KUN, a prominent stablecoin-based payment and embedded finance platform, successfully completed an oversubscribed Series A funding round, raising over USD 50 million. This funding marks a critical milestone for KUN as it continues to enhance its position in a rapidly evolving market. Notably, existing investors BAI Capital and GSR Ventures significantly increased their stakes, while new strategic investors, including a publicly listed conglomerate and Eternium Global, joined the funding round. This strong financial backing underscores the investor confidence in KUN's innovative approach and market potential. The company has experienced remarkable growth, reporting a 200% month-over-month increase in transactions over the past year, which highlights its traction among enterprise and institutional clients.

  • Strategic investors and implications for embedded finance

  • The involvement of strategic investors like Eternium Global heralds significant opportunities for KUN, particularly in driving its vision of building a global infrastructure for stablecoin payments. Eternium, which has interests across various sectors such as logistics and healthcare, plans to collaborate with KUN to develop a Web3-powered payment ecosystem. This partnership aims to leverage stablecoin technology to enhance transaction efficiency and compliance in international markets, particularly in sectors poised for explosive growth.

  • The CEO of Eternium acknowledged the partnership's potential to unlock synergies, stating, 'We will bring stablecoin-based payment solutions that are more efficient, transparent, and compliant to our existing global business network.' Such collaborations indicate a strategic shift towards more integrated and compliant financial solutions that utilize blockchain technology to streamline operations and enhance security across different industries. This reflects a broader trend in the fintech landscape, where embedded finance is becoming crucial for companies looking to innovate and remain competitive. KUN's focus on compliance, particularly with global regulatory standards, places it in a strong position to capitalize on these evolving market dynamics.

China’s Economic Resilience: Export Growth and Services Opening

  • 7.2 percent export growth in H1 2025 and sector breakdown

  • In mid-July 2025, China reported a remarkable 7.2 percent growth in exports for the first half of the year, achieving a total of 13 trillion yuan (approximately $1.79 trillion) in exports. This performance marks a significant milestone, as it is the first time the export figures for this period crossed the 13 trillion yuan threshold. Factors contributing to this growth include China's robust industrial system, which has adapted to meet global market demands through continuous innovation and a structured response to external challenges, such as geopolitical tensions and trade disputes.

  • High-tech products were the main drivers of this growth, with exports in this sector increasing by 9.2 percent year-on-year. Noteworthy segments within high-tech exports included a surge of over 20 percent in high-end machinery and marine equipment. This sustained performance in high-tech exports showcases China’s advancing capabilities and resilience in responding to changing global economic landscapes, reinforcing the nation's profile as a manufacturing powerhouse.

  • Such resilience has been nurtured through government policies that support export enterprises, with local authorities playing crucial roles in facilitating international market access and providing necessary financial assistance. This approach highlights a commitment to stabilize trade, ensure employment, and maintain macroeconomic stability despite external pressures.

  • China’s push to deepen services trade as a growth driver

  • Amid the evolving global economic environment, China is increasingly focusing on deepening its services trade, positioning this sector as a vital driver of future economic growth. For the first five months of 2025, trade in services surged 7.7 percent year-on-year, reaching 3.25 trillion yuan ($453 billion). This growth is indicative of a broader strategic shift towards innovation-driven growth, with particular emphasis on high-value services such as digital trade, finance, healthcare, and tourism.

  • Market observers are optimistic that this pivot will not only enhance China's domestic competitiveness but also contribute positively to global economic resilience. The Chinese government's favorable policies, such as visa-free travel for foreign visitors, have spurred inbound tourism and service-related economic activities. For instance, Club Med reported over a 15 percent increase in revenue from its operations in China compared to the same period in the previous year, demonstrating the optimism and growth potential in this sector.

  • Professionals in the services domain, like Li Jun from the Chinese Academy of International Trade and Economic Cooperation, underscore that the structural upgrades within China's service sector are not only responding to domestic needs but also fostering cross-border cooperation. Companies are adapting their business models to align with the country's green and innovation-oriented goals, indicating an evolving landscape where service trade could become a cornerstone of China's economic performance.

Coupang’s Strategic Diversification: AI Cloud Expansion and Global Markets

  • Aggressive global hiring for AI cloud services

  • Amidst its significant pivot towards the AI cloud sector, Coupang has adopted an aggressive global hiring strategy aimed at attracting top-tier talent. Recent reports indicate the company is offering astonishing compensation packages—up to $324, 000 annually—targeting professionals with expertise in AI, big data, and cloud infrastructure. This move not only highlights Coupang's ambition to evolve into a technology-driven platform akin to Amazon Web Services (AWS) but also reflects the competitive landscape for AI specialists in major tech hubs such as Mountain View, California and India. As of July 2025, Coupang's heightened focus on recruitment appears to be positively influencing its operational capabilities, enhancing its data center performance and customer service infrastructure for the newly branded Coupang Intelligent Cloud (CIC).

  • New cloud offerings and competition with Amazon’s model

  • Coupang recently announced the rebranding of its AI cloud services to Coupang Intelligent Cloud (CIC), which aims to expand its service offerings to external clients in addition to its existing internal teams. This strategic decision follows a model similar to Amazon’s trajectory, wherein the company transitioned from e-commerce to become a leader in cloud computing through its AWS platform. Coupang’s CIC facilitates high-performance computing, providing tailored solutions for clients requiring extensive GPU infrastructure to support complex AI operations. Positioned against established giants like AWS, Coupang’s competitive edge will depend on maintaining its infrastructure's efficiency while fulfilling the distinct needs of its customers. By enhancing its service offerings, Coupang aims to broaden its revenue streams beyond its traditionally retail-focused business model.

  • Analyst upgrades and institutional share adjustments

  • In July 2025, Coupang received favorable ratings from several analysts, reflecting a growing confidence in its expansion strategy. Wall Street Zen upgraded Coupang’s stock from a 'hold' to a 'buy', suggesting a bullish outlook among market experts. Additionally, other firms like Barclays have increased their price targets for the company's shares, indicating a shift in investor perception. The consensus around Coupang's transformation and its potential for profitability in the AI cloud market has stimulated interest from institutional investors, with many adjusting their holdings accordingly. As Coupang undertakes this strategic diversification, analysts and investors alike will be closely monitoring its operational outcomes and financial performance in the upcoming quarters.

  • Regional expansion in Taiwan and U.S. pilot programs

  • Coupang's international strategy has seen notable advancements in the Taiwanese market, where it continues to build its logistical infrastructure and expand its delivery network. Since entering Taiwan in 2021, Coupang has invested nearly 500 billion won (approximately $367 million) in establishing robust logistics capabilities, which has positively impacted revenue growth in the region. Revenue from its Developing Offerings segment, which includes Coupang Eats and Coupang Play, experienced a staggering 78 percent increase on a year-over-year basis in early 2025, driven by rising demand. Moreover, Coupang has resumed operations in the U.S. with pilot programs targeting local customers, focusing on refining its service offerings based on feedback. This expansion not only diversifies Coupang's market presence but also aids in mitigating risks associated with domestic market saturation.

  • Bullish and cautious investment theses on Coupang

  • While analysts have generally adopted a positive view of Coupang's future, caution remains regarding its long-term sustainability and the competitive pressures it faces. On one hand, Coupang's diversification into AI cloud services positions it for growth within a lucrative segment of the technology industry, reminiscent of how Amazon harnessed its retail backbone to bolster AWS revenues. However, challenges persist, particularly from aggressive competitors in the Chinese e-commerce landscape, which threaten Coupang's domestic market share. Investors are evaluating these dynamics, weighing the potential for high returns against the inherent risks associated with expanding into new markets. Thus, the investment sentiment toward Coupang is a mix of optimism for its innovative pivot and wariness of the hurdles that may impede its progress.

Investment Cautions and Corporate Outlooks: Palantir Risks and Publicis Growth

  • Key Customer Concentration and AI Narrative Risks for Palantir

  • As of mid-July 2025, Palantir Technologies, a company known for its AI-driven software solutions, is facing significant investment cautions primarily due to its heavy reliance on a limited number of key customers. As per recent reports, approximately 55% of Palantir's revenue is generated from government contracts, predominantly with the U.S. Department of Defense and other governmental agencies. This concentration raises red flags for investors. Any shifts in government spending priorities or delays in contract renewals can have substantial impacts on Palantir's financial health. In 2024, the average revenue derived from the top 20 clients accounted for around $1.3 billion, which signifies that losing even a single significant customer could materially affect overall performance. While Palantir is making strides to diversify by expanding its commercial business, gaining traction in this segment has been gradual. In the first quarter of 2025, commercial revenue grew by an impressive 71% year-over-year, suggesting a positive trend. However, until these new revenue streams are fully realized, the existing customer concentration remains a pressing concern for investors interested in long-term stability. Furthermore, there is a palpable disconnect between Palantir's vibrant AI narrative and its underlying financial fundamentals. Despite a user base growth of 43% to 711 customers and a commercial remaining deal value increase of 47%, group revenue only saw a 29% uptick in the previous year. The company’s stock has surged by 410% during this timeframe, indicating that investors may be speculating on anticipated future performance rather than current realities. The substantial price-to-sales ratio of 112 suggests that the market has priced in a lofty expectation of success that may not be supported by immediate growth figures. With such a high valuation, Palantir’s stock is particularly vulnerable if the anticipated growth in AI adoption does not materialize as expected, necessitating careful monitoring by potential investors.

  • Publicis's Elevated Growth Forecast Amidst AI Threat Management

  • Contrastingly, Publicis, a leading global advertising and marketing firm, has displayed a robust outlook, having recently raised its organic growth forecast following better-than-expected second-quarter results. Publicis now anticipates organic growth to approach 5% in 2025, a notable increase from a previously conservative estimate of 4% to 5%. The second quarter revealed a remarkable 5.9% organic revenue growth, with total revenue rising by 10% across various markets, indicating a healthy organizational performance despite challenges within the industry. Key drivers of this growth include substantial new business wins, with Publicis securing contracts worth a total of US$5.2 billion in the first half of the year from notable clients such as Coca-Cola and LEGO. The company's diversified portfolio and innovative approach to client relationships have helped it navigate the competitive landscape, particularly as discussions around the implications of AI-driven advertising methodologies evolve. CEO Arthur Sadoun has emphasized the necessity for transparency and measurement across different advertising platforms, rather than relying on single-source solutions provided by tech giants like Meta. This adds to the shifting dynamics within the marketing industry, fueled by growing consumer concerns about privacy and data usage. Publicis's strategic investments into proprietary data platforms over the past decade, amounting to approximately US$12 billion, have positioned the firm favorably against competitors. By leveraging data effectively, they can foster trust with clients and maintain a competitive edge in a sector increasingly jeered towards data-driven decision-making. In light of Meta's rise as a major player in digital advertising, Publicis's emphasis on providing independent performance metrics and its broad skill set in integrated marketing solutions suggest that the firm is positioning itself to meet and manage the evolving threats posed by AI-powered advertising services.

E-Commerce and Retail Transformation: Omnichannel Strategies and Market Growth

  • Shopify’s stock surge and underlying macro drivers

  • As of mid-July 2025, Shopify has experienced a remarkable stock increase of over 60% since April 2025, significantly outperforming broader equity markets. This surge is attributed to various macroeconomic factors, including easing geopolitical tensions in the Middle East and a favorable economic environment that has buoyed financial markets. The company reported a robust first-quarter performance with a gross merchandise value (GMV) growth of 23.8% year-over-year, totaling $74.8 billion. This growth has been fueled by an expanding merchant base and improved same-store sales among current merchants. The company's top line grew by 26.8% to $23.6 billion, highlighting eight consecutive quarters of revenue growth exceeding 25%. Shopify's strategic focus on small- and medium-sized business support and the introduction of AI technologies aimed at enhancing user experience are critical drivers of its ongoing success.

  • Walmart’s omnichannel integration as a growth catalyst

  • Walmart's omnichannel strategy has been a crucial catalyst behind its e-commerce surge, with the company reporting a 22% increase in global e-commerce sales in the first quarter of fiscal 2026. This impressive growth stems from combining its extensive brick-and-mortar presence with advanced digital capabilities. In the United States, e-commerce sales have seen a notable rise of 21%, driven by strong in-store pickup and delivery options along with increasing marketplace sales. Additionally, Walmart has successfully integrated various digital services, such as Walmart GoLocal and Walmart Fulfillment Services, which enhance its operational efficiency and customer engagement. These strategies have led to substantial gains in online grocery shopping, positioning Walmart as a dominant player in the omnichannel retail landscape, capable of meeting the evolving preferences of consumers seeking convenience and fast delivery.

  • Global e-commerce sales projections through 2026

  • The global e-commerce market is projected to grow significantly, with sales expected to reach approximately $8 trillion by 2026, up from an estimated $6 trillion in 2023. This growth reflects increasing consumer reliance on online shopping platforms and the integration of advanced technologies that facilitate seamless transactions. Notably, mobile commerce continues to gain traction, making up over 50% of online transactions. Businesses are adapting by enhancing their mobile platforms, ensuring responsive designs that cater to the growing number of consumers shopping via smartphones. Cybersecurity measures also remain a priority, as nearly 43% of small businesses report experiencing cyberattacks. This focus on robust digital frameworks will be essential for sustaining growth in the highly competitive e-commerce sector.

  • Regional convenience store market outlook

  • The Asia Pacific convenience store market, valued at approximately $250.76 billion in 2024, is projected to grow to $269.39 billion in 2025, with expectations to reach $531.72 billion by 2034. This growth, driven by rising middle-class incomes and urbanization, signifies an increasing demand for convenient shopping solutions. Retail investments and the expansion of franchise models are enhancing convenience store infrastructures across key players in the region. Furthermore, integrating e-commerce into the retail convenience sector is essential for expanding market reach and operational efficiency. As consumer behavior shifts towards convenience, convenience stores are likely to continue adapting their product offerings to include more ready-to-eat meals and fast-service options, catering to the time-sensitive needs of urban consumers.

Wrap Up

  • The Asian technology and e-commerce landscape is on the brink of a transformative era marked by diversification and innovative expansion strategies. TSMC's advancements in semiconductor technology and KUN's rise in fintech stand as exemplars of the evolving valuation landscape of cutting-edge platforms, while Samsung's maintained dominance in the smartphone sector reflects the stability of established hardware markets. China's remarkable export rebound, combined with its ongoing strategic enhancement of service sectors, reveals a sustained economic resilience, ready to navigate global challenges.

  • Coupang’s strategic pivot into AI cloud services signals a significant evolution beyond traditional retail, inviting investor scrutiny on valuation risks particularly in rapidly growing companies like Palantir, whose reliance on key government contracts raises concerns about long-term stability. In contrast, stalwarts like Publicis and Walmart continue to enhance their growth trajectories through improved service offerings and omnichannel models, positioning themselves to meet the changing consumer demands effectively.

  • As stakeholders look forward, critical factors will shape the path ahead: the pacing of commercialization in AI cloud offerings, implications of regulatory changes coupled with geopolitical dynamics on supply chains, and emerging consumer adoption trends that will define the next wave of digital transformation. The promising outlook suggests that, as these technologies mature, the landscape will further evolve, fostering new business models and opportunities across the competitive spectrum.

Glossary

  • TSMC (Taiwan Semiconductor Manufacturing Company): As of July 2025, TSMC is the world's leading semiconductor manufacturer, known for its advanced process technologies, particularly in AI applications. The company reported a significant 38% year-over-year revenue growth, indicating high demand for its chips. TSMC is heavily investing in capacity expansion, including a $100 billion project in Arizona to mitigate supply chain risks.
  • Coupang: Coupang is a prominent e-commerce platform in South Korea, achieving $7.9 billion in revenue for Q1 2025, an 11% increase year-over-year. The company is diversifying into AI cloud services and has implemented a robust logistics infrastructure, enabling rapid delivery, akin to Amazon's model.
  • AI Cloud: AI Cloud refers to cloud computing services that leverage artificial intelligence to enhance processing, storage, and operational capabilities. Coupang's rebranding of its cloud services to 'Coupang Intelligent Cloud' reflects its strategy to compete with leaders like AWS by offering high-performance solutions tailored for AI applications.
  • Stablecoin: A stablecoin is a type of cryptocurrency designed to maintain a stable value by pegging it to a reserve of assets, typically fiat currencies. KUN, a fintech platform, aims to revolutionize payments with stablecoins, recently raising over $50 million in funding to enhance its market presence.
  • Export Growth: Export growth refers to the increase in the value or quantity of goods and services sold to other countries. In mid-July 2025, China reported a notable 7.2% growth in exports for H1 2025, showcasing its robust manufacturing capabilities and strategic responses to global market demands.
  • Omnichannel Strategy: An omnichannel strategy integrates multiple sales channels to provide customers with a seamless shopping experience. Walmart's approach combines physical stores and digital platforms, contributing to a significant rise in global e-commerce sales by 22% in the first quarter of fiscal 2026.
  • Coupang Eats: Coupang Eats is a food delivery service under Coupang that has contributed to its revenue growth. The service capitalizes on the growing demand for convenience, enhancing customer retention through diverse offerings.
  • Palantir Technologies: Palantir Technologies specializes in AI-driven software solutions but faces investor concerns due to its reliance on a limited number of government contracts, particularly with the U.S. Department of Defense. By mid-July 2025, 55% of its revenue comes from these key clients, raising questions about long-term stability.
  • Publicis: Publicis is a global advertising firm that recently raised its growth forecast amid evolving AI-driven marketing methodologies. In July 2025, it achieved a 5.9% organic revenue growth, reflecting strong performance despite industry competition.
  • Shopify: Shopify is a leading e-commerce platform that has seen over a 60% stock increase since April 2025. It reported a 23.8% year-over-year growth in gross merchandise value, emphasizing its support for small- and medium-sized businesses and leveraging AI to enhance user experience.
  • China Economy: As of H1 2025, China is experiencing economic resilience with a reported 7.2% export growth and a shift towards service trade, which has surged 7.7% year-on-year, highlighting strategic government initiatives to foster innovation and adapt to global changes.
  • Walmart GoLocal: Walmart GoLocal is a service that enhances Walmart's logistics and delivery capabilities, crucial for its omnichannel strategy. This approach has contributed to significant increases in its e-commerce sales, enabling efficient delivery options for consumers.
  • Series A Funding: Series A Funding represents the first significant round of venture capital investments into a startup. KUN's successful Series A round raised over $50 million in July 2025, indicating strong investor confidence in its stablecoin-based financial solutions.
  • Market Valuation: Market valuation refers to the total value of a company's outstanding shares, often influenced by its projected revenue growth and operational performance. Companies like Coupang and Palantir are closely monitored by investors regarding their market valuations amid evolving industry dynamics.

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