Baidu, the largest search engine which claims over 83.6% of Chinese search market share, announced this Monday that the company had struck a deal to team up with Microsoft’s search offering Bing in an effort to speed up Baidu’s overseas expansion pace.
According to the deal reached by the two parties, Baidu will show English language search results from Bing on its results page. Revenue generated through user searches will go to Baidu and the partnership doesn’t involving financial terms. The service will go online by year end.
Baidu also explained from technology side how the cooperation works: it’s all about itsBox Computing platform. After users input English keywords in its search box, Baidu will leverage the Box Computing technology to analyse and understand users’ intention and desirable results, then connect to Bing for English search result before labelled and integrated Bing’s search results into Baidu’s search results.
As we mentioned before, Baidu started tapping into overseas market since 2008 with huge investment but only to find over USD 105 million in loss. Teaming up with Bing in terms of English search reflects the Chinese search giant’s eagerness to venture into markets outside China.
Also, the deal is questioned when Hongkong-based Credit Suisse analyst Wallace Cheung said “Overall it’s good news, but I think it will do little to affect Baidu’s existing businesses. Because few people use Baidu to search for English contents, usually people will choose Google to do so.”