Related Party Transactions

12 Months Ended

Dec. 31, 2021

23.	RELATED PARTY TRANSACTIONS

a)	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 (Note 4)

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

	For the year ended December 31,
	2019		2020		2021		2021
	RMB		RMB		RMB		US$
Membership services
Membership services revenue earned from memberships sold to Baidu Group		20,886		19,799		—		—
Membership services revenue earned from memberships sold by Others		6,361		5,772		3,766		591
Online advertising revenues
Advertising services provided to Baidu Group		67,452		113,934		122,919		19,289
Advertising services provided to Others		9,674		92,690		174,001		27,305
Content distribution revenues
Content licensed to Others (iii)		443,503		176,227		297,304		46,653
Other revenues
Other services provided to Baidu Group		12,343		15,430		14,496		2,275
Others		36,534		38,634		45,189		7,091
Interest income
Loans due from Others		4,856		1,247		—		—
		601,609		463,733		657,675		103,204
Cost of revenues
License fees to Baidu Group		23,064		13,691		13,894		2,180
Bandwidth fees to Baidu Group		976,523		1,007,461		918,758		144,173
Traffic acquisition and other services provided by Baidu Group (i)		479,497		—		—		—
Others (ii)		86,766		90,577		306,392		48,080
Selling, general and administrative
Advertising services provided by Baidu Group		1,825		2,466		13,354		2,096
Others		3,756		2,579		10,989		1,724
Research and development
Cloud services provided by Baidu Group		19,486		7,412		—		—
		1,590,917		1,124,186		1,263,387		198,253

(i)

On April 12, 2018, the Company issued to Baidu an aggregate of 36,860,691 Class B ordinary shares pursuant to a share purchase agreement with Baidu entered into in February 2018, in exchange for Baidu providing traffic acquisition and other services in relation with ticket booking service, which was recorded as intangible assets.

(ii)

The transactions mainly represent revenue sharing arrangements with various equity investees. The Group entered into a significant revenue sharing arrangement in 2018 and 2021 to become the exclusive sales agent for an equity investee and provided a minimum guarantee of RMB100,000 and RMB100,000 (US$15,692) of annual sales for a given period, respectively. RMB67,358, nil and RMB125,052 (US$19,623) were recognized as cost of revenues for the years ended December 31, 2019, 2020 and 2021, respectively.

(iii)

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

For the years ended December 31, 2019, 2020 and 2021, the Group purchased content from equity investees in an amount of RMB909,450, RMB1,455,933 and RMB2,358,680 (US$370,128), respectively.

c)	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, 2020 and 2021 relate to transactions arising from the ordinary and usual course of business of the Group and were trade in nature.

	As of December 31,
	2020		2021		2021
	RMB		RMB		US$
Amounts due from related parties, current:
Due from Baidu Group (i)		38,346		34,894		5,476
Due from Others (ii)		57,765		120,618		18,927
		96,111		155,512		24,403
Amounts due from related parties, non-current:
Due from Others (iii)		39,400		81,000		12,711
		39,400		81,000		12,711

	As of December 31,
	2020		2021		2021
	RMB		RMB		US$
Amounts due to related parties, current:
Loans due to Baidu Group (iv)		50,000		50,000		7,846
Due to Baidu Group (v)		1,035,659		1,402,493		220,082
Deferred revenue in relation to services to be provided to an equity investee (vi)		164,810		211,802		33,236
Due to Others (vii)		528,314		969,794		152,182
		1,778,783		2,634,089		413,346
Amounts due to related parties, non-current:
Loans due to Baidu Group (iv)		650,000		650,000		101,999
Due to Baidu Group (v)		2,138		2,989		469
Deferred revenue in relation to services to be provided to an equity investee (vi)		325,227		127,591		20,022
Due to Others		42		35		6
		977,407		780,615		122,496

(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 provided by Baidu in January 2018 that will mature in January 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 licensed copyrights and advances made for online advertising services.