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CommentTuesday, September 18, 2007

Baidu Begins Running Online Video Ads

Remember those Little League games in which one team would completely crush the other?  Scores of 16-1, or 20-2, are starting to remind me of the gap between Baidu and Google in China.  And with the launch of new online video ads, Baidu looks ready to further trounce its opponent.

The last time we checked in with these two, Google’s market share was behind Baidu’s by roughly 35 percent.  Since then, “[financial shares] of Chinese online search engine operator Baidu.com Inc. hit a new high . . . after an RBC Capital Markets analyst increased his price target for the stock on expectations for a solid third quarter,” according to the AP.

Now there’s news of the video ads, which will bring in even more revenue.  Kai-Fu Lee, the president of Google China, can’t be happy.

On the bright side (from Google’s perspective), the ads aren’t as far-reaching as they could be; in a country of around 1.3 billion people, “Baidu TV will allow advertisers to post video commercials on about 160,000 Web sites that already display text ads placed by Baidu,” according to the Wall Street Journal.

All in all, “Advertisers will be able to reach more than 140 million Web Chinese users.”  Or “just” 140 million, in the same way that some winning baseball teams score “just” 12 runs.

About the author:
Doug is a staff writer for WebProNews. Visit WebProNews for the latest eBusiness news.

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