Company Description
MicroAlgo Inc. (NASDAQ: MLGO) is a Cayman Islands exempted company focused on the development and application of bespoke central processing algorithms. According to the company’s own descriptions in multiple press releases, MicroAlgo integrates its central processing algorithms with software, hardware, or both to provide solutions that help customers increase the number of end users, improve user satisfaction, achieve direct cost savings, reduce power consumption, and meet technical objectives. The company’s shares trade on Nasdaq under the symbol MLGO, and its principal executive offices are located in Shenzhen, People’s Republic of China.
MicroAlgo’s business, as described in public disclosures, is organized around central processing algorithm services and intelligent chips and services. Earlier descriptions note that the majority of its revenue is generated from central processing algorithm services, which cover computing algorithms, analytical algorithms, recommendation algorithms and acceleration algorithms. Intelligent chips and services revenues include income from the resale of intelligent chips. The company has disclosed that all of its net revenues have been generated in the PRC, Hong Kong and Singapore, with the majority from the PRC.
Focus on bespoke central processing algorithms
Across its news releases, MicroAlgo consistently states that it is dedicated to bespoke central processing algorithms. These algorithms are used to optimize computing performance and data processing for customers. The company highlights several types of services within this focus:
- Algorithm optimization – improving the efficiency and performance of existing computing processes.
- Accelerating computing power without hardware upgrades – using software and algorithmic improvements to increase effective computing capacity without changing physical hardware.
- Lightweight data processing – handling data in a way that reduces resource consumption.
- Data intelligence services – applying algorithms to extract value and insights from data.
MicroAlgo describes its ability to deliver software and hardware optimization through bespoke algorithms as a key driver of its long-term development.
Quantum computing and advanced algorithm research
Recent company news shows that MicroAlgo is actively researching and announcing a series of advanced algorithms, particularly in quantum computing, quantum information processing, and machine learning. These announcements provide insight into the technical directions the company is exploring:
- Grover-based quantum algorithm for pure Nash equilibria – MicroAlgo has announced a Grover-based quantum algorithm designed to find pure Nash equilibria in graphical games. The company explains that it transforms the oracle in a graphical game into a Boolean satisfiability problem, encodes game participants, strategies and payoffs as Boolean variables and logical expressions, and maps the payoff structure into a quantum circuit. It reports that experiments on random graphical game instances using a quantum simulator showed improved speed and accuracy in finding pure Nash equilibria compared to traditional methods.
- Quantum image LSQb algorithm with quantum encryption – MicroAlgo has described integrating a Least Significant Quantum Bit (LSQb) algorithm with quantum encryption technology to build a more secure information hiding and transmission system. The company states that this approach embeds secret information into least significant quantum bits, uses compressed sensing and sparse representation for preprocessing, and combines Quantum Key Distribution (QKD), quantum error correction codes and quantum entanglement to enhance security, efficiency and robustness in quantum networks.
- Quantum phase estimation (QPE) for quantum neural network training – The company reports adopting Quantum Phase Estimation to enhance training of Quantum Neural Networks (QNNs). It outlines steps such as quantum circuit construction, quantum state initialization, controlled unitary operations, inverse Quantum Fourier Transform, parameter optimization, and error correction. MicroAlgo states that this approach aims to accelerate convergence and improve training efficiency and accuracy in tasks such as image processing and natural language processing.
- Quantum error correction algorithms – MicroAlgo has announced work on optimizing quantum error correction algorithms to improve the accuracy and reliability of quantum algorithms. It describes methods involving quantum information encoding with redundant qubits, error detection via auxiliary qubits, error correction operations, and iterative optimization to reduce error rates and enhance robustness in quantum communication, quantum computing, quantum simulation and quantum optimization.
- Quantum machine learning algorithms – The company has discussed research into quantum machine learning algorithms that combine quantum computing with machine learning for tasks such as classification, regression and clustering. It describes a closed-loop process of problem modeling, quantum circuit design, experimental validation and optimization iteration, including quantum feature mapping, circuit optimization, hybrid quantum–classical architectures and noise suppression techniques.
- Entanglement-assisted training algorithm for supervised quantum classifiers – MicroAlgo has introduced an entanglement-assisted training algorithm that uses quantum entanglement to operate on multiple training samples simultaneously and a cost function based on Bell inequalities. According to the company, this allows encoding errors from multiple samples at once and aims to improve training speed and classification accuracy for supervised quantum classifiers.
- Quantum Information Recursive Optimization (QIRO) algorithm – The company has announced research on a Quantum Information Recursive Optimization algorithm for combinatorial optimization problems. It describes combining recursive algorithms with quantum state superposition and interference, using recursive invocation of quantum optimization processes, measurement and result extraction, and subsequent verification and refinement. MicroAlgo notes potential applications in logistics and distribution, financial investment, artificial intelligence and scientific research.
- Blockchain-based traceable IP rights protection algorithm – MicroAlgo has described a blockchain-based algorithm for intellectual property rights protection that uses a quadratic matrix transformation model, a distributed random embedding mechanism and positional mapping functions. The company states that this approach is intended to provide precise traceability and secure protection of IP rights throughout their lifecycle.
- Quantum Convolutional Neural Network (QCNN) architecture – The company has reported work on a QCNN architecture that combines quantum computing with classical convolutional neural networks for computer vision tasks. It describes steps such as data preparation, quantum state encoding, quantum convolutional and pooling layers, quantum fully connected layers, and quantum measurement and output.
- Quantum image encryption algorithm based on quantum key images – MicroAlgo has announced a quantum image encryption algorithm that uses a quantum key image prepared with a GQIR storage method and quantum random number generation. The company explains that encryption is achieved through bitwise XOR operations between the plaintext image and the quantum key image, with secure transmission supported by Quantum Key Distribution.
These disclosures indicate that MicroAlgo’s algorithm work extends beyond classical central processing algorithms into quantum algorithms, quantum encryption, quantum machine learning, and blockchain-based data and IP protection, as described in its own news releases.
Corporate structure and capital-related disclosures
MicroAlgo’s SEC filings identify it as a foreign private issuer that files reports on Form 20-F and Form 6-K. The company’s filings list its principal executive office in Shenzhen, People’s Republic of China, and confirm its status as a Cayman Islands exempted company. A Form 6-K dated June 20, 2025 describes a convertible note transaction with its parent company, WiMi Hologram Cloud Inc., under which MicroAlgo issued an unsecured convertible promissory note. The filing notes that the conversion feature could lead to substantial dilution and that the transaction is a related-party financing.
In a Form 6-K dated July 14, 2025, MicroAlgo reports the results of an Extraordinary General Meeting of shareholders. A subsequent Form 6-K dated October 10, 2025 explains that shareholders approved a share consolidation, an increase in authorized share capital, a reduction of share capital and an amendment to the Memorandum and Articles of Association. The filing states that the Grand Court of the Cayman Islands confirmed the reduction of share capital and that the par value of each issued share was reduced, with the resulting credit transferred to a distributable reserve account. It also notes a change in authorized share capital and publication of a notice in the Cayman Gazette and Hong Kong Special Administrative Region.
Another Form 6-K dated September 10, 2025 contains MicroAlgo’s unaudited interim condensed consolidated financial statements for the six months ended June 30, 2025 and related management’s discussion and analysis, and states that this information is incorporated by reference into a registration statement on Form F-3.
Geographic revenue base
According to earlier company descriptions, all of MicroAlgo’s net revenues have been generated in the People’s Republic of China, Hong Kong and Singapore, with the majority from the PRC. This indicates that, as described by the company, its commercial activities and customers are concentrated in these markets.
How MicroAlgo describes value to customers
In repeated “About MicroAlgo Inc.” sections across its press releases, the company states that by integrating bespoke central processing algorithms with software and hardware, it aims to help customers increase the number of customers, improve end-user satisfaction, achieve direct cost savings, reduce power consumption and reach technical goals. It also notes that its ability to efficiently deliver software and hardware optimization through bespoke algorithms is a driving force for its long-term development.
Frequently asked questions (FAQ)
The following FAQs summarize information that MicroAlgo has provided in its public descriptions and regulatory filings.
- What does MicroAlgo Inc. do?
MicroAlgo Inc. describes itself as a Cayman Islands exempted company dedicated to the development and application of bespoke central processing algorithms. It states that it integrates these algorithms with software or hardware, or both, to provide solutions such as algorithm optimization, accelerating computing power without hardware upgrades, lightweight data processing and data intelligence services. - How does MicroAlgo describe the benefits of its algorithms for customers?
According to the company’s own descriptions, its solutions are intended to help customers increase the number of customers, improve end-user satisfaction, achieve direct cost savings, reduce power consumption and achieve technical goals by optimizing software and hardware performance through bespoke central processing algorithms. - In which regions does MicroAlgo generate its revenue?
Earlier company disclosures state that all of MicroAlgo’s net revenues were generated in the People’s Republic of China, Hong Kong and Singapore, with the majority from the PRC. - What business segments has MicroAlgo described?
MicroAlgo has been described as having two segments: central processing algorithm services, and intelligent chips and services. Central processing algorithm services include computing, analytical, recommendation and acceleration algorithms. Intelligent chips and services revenues include revenues generated from the resale of intelligent chips. - What types of advanced algorithms has MicroAlgo announced?
In its news releases, MicroAlgo has discussed a range of advanced algorithms, including a Grover-based quantum algorithm for finding pure Nash equilibria in graphical games, a Quantum Information Recursive Optimization (QIRO) algorithm for combinatorial optimization, quantum machine learning algorithms, an entanglement-assisted training algorithm for supervised quantum classifiers, quantum error correction algorithms, a Quantum Convolutional Neural Network (QCNN) architecture, quantum image encryption algorithms based on quantum key images, and a blockchain-based traceable IP rights protection algorithm. - How is MicroAlgo involved in quantum computing?
Multiple company announcements describe research and development efforts in quantum algorithms and quantum information processing. Examples include using Grover’s algorithm for game-theoretic problems, adopting Quantum Phase Estimation for quantum neural network training, optimizing quantum error correction, developing quantum machine learning techniques, and designing quantum image encryption schemes and QCNN architectures. - What has MicroAlgo disclosed about its capital structure changes?
A Form 6-K dated October 10, 2025 explains that shareholders approved and the Grand Court of the Cayman Islands confirmed a reduction of share capital, alongside a share consolidation, an increase in authorized share capital and amendments to the company’s Memorandum and Articles of Association. The filing states that the par value of each issued share was reduced and that the resulting credit was transferred to a distributable reserve account, with changes to authorized share capital registered with the Cayman Registrar of Companies. - What related-party financing has MicroAlgo reported?
In a Form 6-K dated June 20, 2025, MicroAlgo reports entering into a Convertible Note Purchase Agreement with its parent company, WiMi Hologram Cloud Inc. The filing describes an unsecured convertible promissory note with a floating conversion price based on a discount to the lowest closing market price over a specified period and notes that this structure may result in substantial and unpredictable dilution to existing shareholders and presents conflicts of interest due to its related-party nature. - Where is MicroAlgo based and how does it report to the SEC?
SEC filings identify MicroAlgo Inc. as a Cayman Islands exempted company with principal executive offices in Shenzhen, People’s Republic of China. The company files annual reports on Form 20-F and current reports on Form 6-K as a foreign private issuer. - What is the stock symbol and exchange for MicroAlgo?
MicroAlgo’s ordinary shares trade on Nasdaq under the ticker symbol MLGO, as stated in the company’s news releases.