Netease to use Google Search and Ads

[Chndru]

Netease, one of China's biggest internet portals, has begun using search services provided by US market leader Google and the two companies are co-operating in online advertising under a new strategic partnership.

[news.ft.com...]

[Woz]

Good find Chndru, it seems Google is consilidating their Chinese presence at the moment, although, according to this article [thestreet.com] there seems to be a hickup with Netease at the moment. The articles states "NetEase.com ~ warned of a second-quarter revenue shortfall [saying] that text-messaging revenue hadn't met expectations for the second quarter ended June 30."

I would imagine Google is aware of the situation and is going into the agreement with their eyes open.

One very interesting comment in the FT article is that "Growth in internet users was above 30 per cent last year, while the number of households with broadband soared more than 160 per cent to 17m, according to the China Internet Network Information Centre."

So, Chinese INteret useg is still on the climb, and the market still warrants close attention for future potential.

Onya
Woz

[bill]

163.com is a fairly big deal if my traffic from them is any indication. Zhongsou is certainly taking a beating from Google and Baidu on several fronts.