Tuesday, March 15, 2011

Baidu fight google

Finally, Google gave up and left China with his server transfer to Hong Kong. Although Google's leave the grounds to hold the principle of freedom, his departure makes Baidu successfully monopolize Internet search engine business in the City of the Great Wall. In fact, Google could have on the Baidu IPO in 2005, but they did not hear a financial advisor to raise U.S. $ 2 billion bid. Google's decision in March 2010 for his server transfer to Hong Kong took the wind is good for Baidu. The move is based on Google's desire to no longer censor the news according to the principle of press freedom who embraced its founder. However, this decision is expected to make the dominance of Google as a search engine in China has narrowed. James Mitchell, analyst at Goldman Sachs, said the Internet access of China to Google's servers in Hong Kong will be slow or worse, nothing at all. This is what makes Baidu can enjoy the monopoly of the Chinese-language search engine. Other competitors do not have that control more than 1% of the market. Eric Schmidt, Chief Executive Officer (CEO) of Google at the time, was already aware, the release of Google from China will bring negative consequences. Therefore, he tried to persuade the two Google founders, Sergey Brin and Larry Page to rethink his decision. But, through the Chief Legal Officer (CLO), David C. Drummond, Google's move. "After several years of trying to comply with the law in China, we assess is inconsistent with the values ​​we profess," said Google. Actually, Baidu and Google have formed a relationship for a long time. In fact, in 2004, Google invested U.S. $ 5 million in Baidu. This is Google's strategy for the next most popular internet search site that can acquire Baidu World wide. At the time of Baidu's initial public offering IPO in 2005 alias, Google's actual acquisition bid of U.S. $ 1.6 billion. Google's bid was also received from Draper Fisher Jurvetson, one of Baidu's initial investor. He has aggressively lobbied for Baidu's shares took off to Google. However, Robin Li worked hard to convince the members of the board of directors not to accept any proposal Baidu Google. "It was a period that makes me very stressed," said Robin. Finally, members of the board of directors agree with Robin. Moreover, there was news of Robin would resign in order to thwart Google's application. According to Asad Jamal, a member of the board of directors of Baidu, Google's acquisition will succeed if they hoisted his offer to $ 2 billion as its financial adviser recommended. After failing to acquire Baidu, Google and Baidu competition tougher. In fact, when Brin and Page to Baidu in late 2005, Robin accidentally scheduled a meeting on national holidays, so they do not know how many engineers are owned by Baidu. Peak, in February 2010, Google experienced hacking attempt on the electronic mail system or email. However, the collapse of the dominance of Google in China makes Brin and Page furiously. They accuse any collusion between Baidu and the Chinese Government. Moreover, Internet users in China who typed Google.cn redirected to Baidu site. Schmidt even once stated, government is very pro-China and Baidu profitable. Because, compared with Google, Baidu is a good kid. At the request of the Government of China, Baidu users will not be able to find news about the politically sensitive Taiwan, the Dalai Lama, the bloody incident Tianmen, and pornography.

No comments:

Post a Comment