Google’s Fight for Chinese Market Share
October 5, 2007 by Pablo Palatnik
No one compares to Google’s market share in the United States when it comes to search, but if you want to go international…Google does have a rival in Baidu.
Baidu is China’s largest search engine, having the largest market share beating out Google in that market. I’m not too sure how and what Chinese people think about their dominant search engine and how loyal they are to it as American are to Google when it comes to search, but doesn’t seem to be losing any steam at all with users.
Motley Fool had a story titled, “Is Google the Next Baidu,†which is also later followed by the question, “Is Baidu the Next Google?â€
Let’s touch on the financial side for a second which that’s what it comes to on their end. Publicly, Baidu is traded at $315 a share (currently) and Google is traded at $540+ a share (currently).
Here are the stats to consider taken from Motley Fools piece:
“Baidu’s market share has grown to 58% during the second quarter, up from its 57% chunk a quarter earlier.â€
“Google is growing more quickly, but only because it’s doing a better job of carving up the 19% of the market that Baidu and Google don’t currently watch over in the search space.â€
“Google commands a $180 billion market cap, while Baidu is just an $11 billion company.â€
“Baidu’s 58% market share in China is actually greater than the approximately 54% market share that Google is ringing up domestically.â€
“48% of Google’s revenues this past quarter came from its international operations.â€
“Baidu, The company should be earning substantially more in a few years, even if its market share settles for substantially less.â€
