Feeds

Google facing irrelevance in China

Local rival Qihoo drops Google from popular portal

Bridging the IT gap between rising business demands and ageing tools

Google's key local partner Qihoo dropped has dropped the text ad giant from its popular portal site and promptly replaced it with its own newly launched service.

A visit to Qihoo’s hao.360.cn directory site, which it claims gets more traffic than a similar page run by Baidu – hao123.com – shows the firm has indeed relegated Google to alternative search options along with the likes of Baidu and newcomer Jike.

In its place is Qihoo’s so.360.cn search service, which it launched last week.

The firm’s move could be bad news for Google, according to market watcher Bill Bishop.

“Qihoo was a very important traffic partner for Google in China,” he wrote in a daily newsletter.

“If Qihoo no longer sends Google searches then Google’s China search market share could drop to as low as five to seven per cent, aka irrelevance.”

There are rumours flying around the Chinese web that so.360.cn has already managed to supplant Google in the domestic search market.

Fu Sheng, CEO of local software company Kingsoft, claims in an Tencent Tech article (via Marbridge Daily) that Qihoo already has a 10 per cent market share, although such speculation would seem to be a little premature.

Google’s current market share in 15.7 per cent while Baidu is sitting pretty with 78.6 per cent. The Chocolate Factory has never recovered since it moved its search servers to Hong Kong in 2010 as a result of frustrations with local censorship laws.

However, it may be too early to judge the impact of Qihoo’s decision to drop Google as its default search engine.

The firm, which claims to make China’s most popular browser and also sells AV tools, was recently accused by Anonymous of lying about the traffic it gets to hao.360.cn in order to boost ad revenue.

If the claims made by Anonymous and others are true than perhaps Google’s market share won’t be hit too hard by the decision.

The hype is certainly working, however, with Baidu shares dropping over five per cent and Qihoo’s jumping to a three month high on Tuesday, according to Bloomberg. ®

Build a business case: developing custom apps

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple ran off to IBM
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.