Sizing Up Google vs Baidu in China

Digimınd. Digimind.com - Web Intelligence For Your Business SEARCH ENGINE BATTLEFIELD CDIRA VS. IS THE BATTLE ALREADY LOST FOR GOOGLE? BAIDU FACTS INDEX ORIGIN: BĚIJĪNG 740mn 80mn 10mn Created early 2000 by Robin Li & Eric Xu web pages images multimedia files RANKS LITERAL MEANING "hundreds of times": #4: | #1 overall in terms persistent search for of traffic the ideal CONTENT STOCK MARKET 10X more articdes (3.5mn) N A S DAQ: BID U on Baidu Baike than Chinese (Baidu Encyclopedia) Wikipedia In 2004 Google paid $5mn for 2% stake in Baidu but sold it in 2006 after creating Google.cn SCOPE OF BUSINESS du Mains markets are in China &Chinese circles RHong-Kong, Taiwan, etc), while entering Japan and Korea G)** Around the World MARKET SHARE IN CDINA 81.9% 83.69 80.2% LLL 77.1% 75.3% China's search query market share Baidu 83.6% VS Google 11.1% 64bn 53,5bn AMOUNT OF SEARCH REQUESTS FOR BAIDU AMOUNT OF SEARCH 17.5% 18.4% REQUESTS IN CHINA 14.196 13.39 +18.69% from 2009 +29% from 2009 2009 2010 2010 2010 2010 Q4 of 2010 Q4 Q1 Q2 Q3 Q4 Bai du E Google FINANCIAL PERFORMANCES Bai du E All monetary references are in US S (2010 fiqures) Google 29.321 B 2.599 B 0.599 B OPERATINGINCOME 10.381 B REVENUE 8.505 B 3.674 B TOTAL ASSETS 1.974 B 57.857 B TOTAL EQUITY 46.241 B 10,887 EMPLOYEES 24,400 0.934 B PROFIT AUGUST 2005 IPO AUGUST 2004 85 $ 27 $ 125 $ JANUARY 2012 619 $ 44.28 B MARKET CAP 201.83 B IPO PRICE BAIDU'S ADVARTAGES Baidu Understands China BAIDU 38 Mandarin words meaning "I, vs 1 English word “I". KNOWS CHINESE BETTER UNDERSTANDING OF CHINESE CULTURE BAIDU HAS UNIQUE INSIGHT AND 57 Virtual Communities HERE IS THE TOP 10 (based on traffic) 1 Zhidao: Q&A COMMUNITY 6 Hi: INSTANT MESSENGER 2 Baike: WIKIPEDIA CLONE 7 NEWS 3 Tieba: FORUM SEARCH ENGINE 8 Wenku: BOOK SEARCH ENGINE 4 IMAGE SEARCH 9 MAP 5 VIDEO S888888 10 MP3 Others BAIDU SPACE: Social Networking SHUOBA: MICROBLOGGING MICROBLOGGING ZHUANLI: PATENT SEARCH FINANCE YOUXI: GAMES LIULANQI: BROWSER MP3 and Streaming Factors BAIDU PRIMARY VEHICLE TO DOWNLOAD FREE MP3 FILES Ttplayer (2006) the most popular music player in China Ting (2011) MP3 search, streaming and download Local Server FAST SEARCH SPEEDS BAIDU'S WEARNESSES - ORGANIC SEARCHWITH PAID SEARCH RESULTS ARE MIXED ŘESULTS • All paid search results will be placed before the organic search results · For example: If 20 customers buy the same keyword, the first organic search result will be found on page 3 · High risks of scams for users • #2 #3 #4 BAIDU'S SPIDERS ARE BLOCKED BY SNS SOCIAL NETWORKING SERVICES: SOHU, TAOBAO, XIAONEI... SEARCH RESULTS ARE FILTERED ACCORDING TO GOVERNMENTAL REQUIREMENTS NO CONTENT FROM CHINESE PAGES BR OAD IS INCLUDED BAIDU'S ACQVISITIONS & STAKES - – {2004} {2006} hao123com 千 干 静听 天空 下载 www.skycn.com HAO 123, Web Directory TPLAYER Music Player SKY CN, Software Download Portal - {2007} {2008} {2009} 随 视 传媒 联合 网 视 Ku6.com E Ads!t KU6, Online Video Sharing ADSLT, UITV Online TV Operator Video Advertisements - {2011} - fanshu.com 番薯 网 FAN SHU (40%), Digital Books & e-Reader Maker 点 讯 手机 应用 dayhand.com DAYHAND NETWORKS, Mobile Software Company PHOTOWONDER, Instagram Like 去 哪儿 ? Qunar.Com LEFTBRAIN anjuke .com QUNAR, Travel Search Engine Service ANJUKE, Real Estate Marketplace LEFTBRAIN, Vertical Media 360buyaom 360BUY.COM, Online Retailer {2012}ONTRACK... 36 36tuan.com 土豆 网 每个 人 都是 生活 的 导演 36TUAN.COM, Group Buying TUDOU.COM, Online Video Service O Digimind Inc.- All rights reserved - 2012 January