Baidu (NASDAQ:BIDU), China’s top search engine, released its Q2 earnings report overnight. The financials were dull (see here; PDF), but the conference call with Baidu execs yielded some interesting user numbers and a few new milestones. With a strong focus on mobile – now that China’s mobile internet users outnumber its PC web users – Baidu CEO Robin Li hailed the fact that the company’s “mobile revenue, which is largely comprised of mobile search revenue, accounts for 30 percent of our total revenue.” (With thanks to SeekingAlpha for the call transcript). Li also revealed that Baidu’s mobile search service grew to over 500 million monthly active users (MAUs) in June, which is a new high. He partly attributed the growth to a recently redesigned mobile search homepage, as well as to new content partnerships that result in more embedded information available at a glance in search results. See: Baidu’s image-recognition software isn’t perfect, but it’s super smart 200 million MAUs on maps Here are a few more stats that Li revealed in the call: The Mobile Baidu app reached 70 million daily active users. Baidu Maps surpassed 200 million MAUs for the first time. 130 million Android app downloads per day on the Baidu App Store and its sister site, 91 Wireless. Baidu’s consumer cloud storage service grew to “nearly 200 million registered users in Q2, from 160 million registered users in Q1.” Li ended his comments by talking about Baidu’s new R&D center in Sunnyvale, California, and how it adds to the web giant’s growing expertise in big data, artificial intelligence, and ‘deep learning’. He explained the importance of deep learning to the search engine and its other products: Deep learning already touches on much of what we do, from speech recognition to image-based search, and from ad ranking to big data analytics. It will fundamentally improve our ability to understand natural language, to provide more accurate translation, and to make more intelligent recommendations. Baidu’s CEO made no mention of losing more market share to arch-rival Qihoo (NYSE:QIHU) in the newest data from CNZZ for a search engine’s share of desktop PC page-views in China. Baidu’s share is down to 59.6 percent in new numbers for June, while Qihoo is still growing and has reached 26.1 percent. However, CNZZ’s data does not cover mobile search and there’s no adequate information on the web for market share just on mobile in China. Qihoo is behind in terms of mobile search tech and has only quite recently added advanced features common on Google or Baidu for several years, such as location-aware search results. The newest available data from Enfodesk claims that Baidu’s total search share (mobile plus PC) is at 72.9 percent in Q1 2014 – a number that’s growing due to its investments in mobile.Read more: Baidu’s search engine reaches 500 million active users on mobile http://www.techinasia.com/baidu-mobile-search-engine-hits-500-million-active-users/
Baidu, after releasing its last financial report announced in a conference afterwards that they would focus more on mobile users from now on.
Revenue and market share
Indeed,According to the CEO, the Mobile market cover 30% of China’s largest search engine, a not so surprising result when you think about it. In the country, mobile users outnumber the computer users and the trend is accentuating.
It explains the massive difference of the mobile internet user’s number, which is bugger, and the computer internet users’ number.
500 million monthly active users, has been announced in June, which Baidu affirmed that it is the record number that company never made before. A recent improvement was made in the home page of the search mobile, and also the new harmonious partnerships which lead to more embedded information available at a glance in search results are the contributors of this massive growth.
Statistics about Baidu
Some of the company success parts are resumed in the following statistics:
- The real number of Baidu Cloud users has reached 160 million in Q1 of the company and 200 million in Q2.
- In Baidu App Store and 91 Wireless (kind of Baidu’s sister), in total, have registered 130 million Android apps downloads.
- As above, Baidu has more than 200 million of monthly active users.
- Every day, Baidu Mobile App figured 70 million active users.
Baidu open a new research centre in the US
The new centre of R&D (Research and Development) of Baidu is in Sunnyvale, United-States, California was also an important focus of the conference. This new location would accelerate the growing expertise of the web giant in huge data, artificial intelligence, and ‘deep learning’. Robin Li, CEO of Baidu, explained the influence of the deep learning to the engine research and to some products during an interview he declared that it would help the company move into higher technology like deep artificial intelligence.
Always a competitive edge over its competitors
During the interview of the CEO, he did not talk about their loss on the market share inside of China to Qihoo, his main rival. CNZZ, one statistical analysis centre of the new technologies well known in China, has recently published this information on June. It posts that the Baidu PC engine search share market is down to 59.6% however Qihoo keeps climbing and drives to 26,1% of growing.
No matter how, this information of CNZZ does not touch the whole market shares because it does not cover the mobile search. Thus, we can say its data is not reliable because there is an insufficiency of information on the web about the market share which is only on the mobile in China. Qihoo has recently redesigned its system on mobile search and added some advanced characteristics as we find on Google and Baidu, like the result of the localization-aware search. Of course, in terme of mobile tech, Qihoo is still far away behind Baidu. Accessible Information, on EnfoDesk, is, for the first semester of 2014, Baidu achieved 72.8% growth of its search part (PC & Mobile). According to their investments in mobile, this number change as well.
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