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Baidu Monetizing Mobile Search Traffic

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Baidu is China’s premier search engine and it is planning to begin monetizing its mobile search traffic and social media platforms this year in order to try to boost its growth. It is a web services company offering many services including a Chinese language search engine for websites, audiophiles and images. Baidu has spread its dominance in China’s internet search market ever since Google pulled out of Beijing and relocated a couple of years back to Hong Kong after a big battle with the Chinese government over internet censorship.

Baidu feels that mobile phones are going to become an important channel to distribute its products and it is able to realize this plan over the last quarter. In the past, Baidu had not spent any resources in monetizing the mobile traffic. It is working towards how to better serve its customers on its mobile platform.

About a couple of months back, Dell launched a smartphone based on Baidu Yi, a Linux based mobile platform that links with Baidu’s internet services which will also run Android Apps. Baidu is looking to work with more smartphone vendors to expand the use of its mobile platform.

Baidu is expected to earn first quarter revenue of $688 million this year. Other than the mobile platform angle, Baidu is also working on a strategy to monetize its social media platforms and expand its business globally.

Baidu has set up its base by opening up new offices that would help in its mobile internet research as a centre and which can also work as its international headquarters in Beijing. Baidu’s stock in the share market has appreciated by about 17% in just a couple of months since the announcement of its monetizing plan.