Morgan Stanley: TENCENT (00700) releases Hy4 model with broader vision and computer operation capabilities

Morgan Stanley released a research report stating that TENCENT (00700)'s Hunyuan yesterday (the 4th) released the official version of Hy4, featuring broader vision and computer operation capabilities. The rating of "Overweight" and target price of HK$550 are maintained. Tencent Hunyuan has significantly improved across various comprehensive capabilities including instruction following, long-document understanding, long-horizon tasks, and deep research, and has added vision and computer operation capabilities, enabling it to process image details, complex charts, and visual mathematics, as well as operate computers through graphical interfaces and command lines. The bank stated that Hy4 has achieved substantial improvements in real-world productivity performance, leading domestic models in office collaboration, and also scoring relatively high in financial scenarios. It noted that Hy4 API pricing remains unchanged, with cached input, uncached input, and output tokens priced at RMB0.3, RMB6, and RMB18 per million tokens respectively. Tencent plans to open-source the model weights soon and expand training scale to narrow the gap with closed-source models. Tencent also plans to launch a faster, lower-cost Hy4 Flash. The bank believes that broader adoption of WorkBuddy across industries, as well as deeper integration with WeCom/Buddy One, will help strengthen the feedback loop, accelerate model iteration, and support enterprise AI applications.