Related Party Transactions

12 Months Ended

Dec. 31, 2022

23.

RELATED PARTY TRANSACTIONS

The table below sets forth the major related parties and their relationships with the Group:



Name of related parties		Relationship with the Group
Baidu and its subsidiaries (“Baidu Group”) Others		Controlling shareholder of the Company Equity investees that the Group or Baidu has significant influence over

The Group had the following related party transactions with the major related parties:


	For the year ended December 31,
	2020		2021		2022		2022
	RMB		RMB		RMB		US$
Membership services
Membership services revenue earned from memberships sold to Baidu Group		19,799		—		54,401		7,887
Membership services revenue earned from memberships sold by Others		5,772		3,766		1,978		287
Online advertising revenues
Advertising services provided to Baidu Group		113,934		122,919		55,664		8,071
Advertising services provided to Others		92,690		174,001		224,110		32,493
Content distribution revenues
Content licensed to Others (i)		176,227		297,304		190,398		27,605
Other revenues
Other services provided to Baidu Group		15,430		14,496		1,789		259
Others		38,634		45,189		53,521		7,760
Interest income
Loans due from Others		1,247		—		—		—
		463,733		657,675		581,861		84,362
Cost of revenues
License fees to Baidu Group		13,691		13,894		8,183		1,186
Bandwidth fees to Baidu Group		1,007,461		918,758		653,001		94,676
Others (ii)		90,577		306,392		223,149		32,354
Selling, general and administrative
Advertising services provided by Baidu Group		2,466		13,354		47,617		6,904
Others		2,579		10,989		22,011		3,191
Research and development
Cloud services provided by Baidu Group		7,412		—		—		—
Others		—		—		3,953		573
		1,124,186		1,263,387		957,914		138,884

(i)

The transactions mainly represent revenues derived from content distributed to Investee A and Investee B.

(ii)

The transactions mainly represent revenue sharing arrangements with various equity investees. The Group entered into a significant revenue sharing arrangement in 2021 and 2022 to become the exclusive sales agent for an equity investee and provided a minimum guarantee of RMB100,000 and RMB60,000 of annual sales for a given period, respectively. Nil, RMB125,052 and RMB23,639 (US$3,427) were recognized as cost of revenues for the years ended December 31, 2020, 2021 and 2022, respectively.

For the years ended December 31, 2020, 2021 and 2022, the Group purchased content from equity investees in an amount of RMB1,455,933, RMB2,358,680 and RMB1,513,683 (US$219,463), respectively.

The Group had the following related party balances with the major related parties:

Except for the non-trade balances disclosed below, amounts due from/due to related parties as of December 31, 2021 and 2022 relate to transactions arising from the ordinary and usual course of business of the Group and were trade in nature.


	As of December 31,
	2021		2022		2022
	RMB		RMB		US$
Amounts due from related parties, current:
Due from Baidu Group (i)		34,894		19,986		2,898
Due from Others (ii)		120,618		84,168		12,203
		155,512		104,154		15,101
Amounts due from related parties, non-current:
Due from Others (iii)		81,000		59,880		8,682
		81,000		59,880		8,682


	As of December 31,
	2021		2022		2022
	RMB		RMB		US$
Amounts due to related parties, current:
Loans due to Baidu Group (iv)		50,000		700,000		101,490
Due to Baidu Group (v)		1,402,493		1,877,298		272,183
Deferred revenue in relation to services to be provided to an equity investee (vi)		211,802		21,186		3,072
Due to Others (vii)		969,794		923,162		133,846
		2,634,089		3,521,646		510,591
Amounts due to related parties, non-current:
Loans due to Baidu Group (iv)		650,000		—		—
Due to Baidu Group (v)		2,989		1,828		265
Deferred revenue in relation to services to be provided to an equity investee (vi)		127,591		97,715		14,167
Due to Others		35		1,398		203
		780,615		100,941		14,635

(i)

The balance mainly represents amounts due from Baidu Group for advertising, membership and other services.

(ii)

The balance mainly represents amounts due from or advances made to equity investees for content distribution services and other services.

(iii)

The balance represents prepayments for licensed copyrights to be received from the Group’s equity investees.

(iv)

The total outstanding balance represents a non-trade interest-free loan of RMB50,000, which is due on demand and a non-trade interest-free loan of RMB650,000 which was provided by Baidu in January 2018 and fully repaid in March 2023.

(v)

The balance mainly represents amounts owed to Baidu for bandwidth and cloud services provided to the Group.

(vi)

The balance represents deferred revenue in relation to content distribution, licenses of intellectual property and traffic support services to be provided to Investee A.

(vii)

The balance mainly represents amounts owed to the Group’s equity investees for acquisition of licensed copyrights and advances made for online advertising services.