Snail, Inc. Enters Related-Party Service Agreements with Suzhou Snail

What Happened
Snail, Inc. filed an 8-K (Item 1.01) disclosing that its subsidiaries entered two service agreements with related party Suzhou Snail Digital Technology Co., Ltd. On August 5, 2026, Interactive Films, LLC contracted Suzhou Snail for technical development, marketing and commercial operation services for the SaltyTV platform for the period August 1, 2026 through July 31, 2027 for $864,000. Also on August 5, 2026, Snail Games USA, Inc. contracted Suzhou Snail for game testing services (functionality, compatibility, network, compliance, regression, cross-platform) for the same period for $252,000. Payments for each agreement are payable in four quarterly installments beginning September 30, 2026.

Key Details

• Total commitment: $864,000 (SaltyTV services) + $252,000 (game testing) = $1,116,000 for Aug 1, 2026–Jul 31, 2027.
• Payment schedule: four quarterly installments for each contract; first payments due September 30, 2026.
• Related parties disclosed: Mr. Hai Shi (Snail CEO, Chief Strategy Officer, and Chairman) is founder and chair and former CEO of Suzhou Snail; Ms. Ying Zhou (Snail director) is Suzhou Snail vice president/director and spouse of Mr. Shi.
• Agreements were entered on August 5, 2026 by Snail subsidiaries Interactive Films, LLC and Snail Games USA, Inc.

Why It Matters
These are material, related-party contracts that commit Snail to roughly $1.12 million of services over a 12‑month period and involve the company’s CEO and a director through ties to Suzhou Snail. Investors should note the size, timing of cash outflows (quarterly payments starting Sept 30, 2026), and the disclosed relationships for governance and conflict-of-interest considerations.