Search Engine Optimization (SEO) News
The Game Between Google And China |
15 January 2010 |
The search engine giant Google might have to step down from the China market forever, even if its plan to leave China is cancelled.
It's a Suicidal Decision
Due to a "highly sophisticated and targeted" cyber-attack at Google, the search giant has announced to withdraw from China as a gesture of protest against the country's stringent censorship control, to which the PRC merely replied: Companies that do business in China must follow the laws of the land. Despite the threat of closure, a compromise between the government and Google is unlikely to take place. What is worse, the warning has damaged Google's competitiveness in China even if the company chooses to stay afterwards. Google.cn will probably be eliminated for good. Other Google products like Android-phone and Google Apps such as Google Map or Gmail will have to leave the country as well.
The Ones who will Gain in Google's absence
Obviously, Google's decision comes as good news to its search competitors like Baidu, Yahoo, Bing, Sohu and smartphone enemies like Apple. Microsoft CEO Steve Ballmer has made it clear to continue its business in China actively, but local engines like Baidu and Sohu are more likely to be the ones to benefit from the Google-vs-China fight. These Chinese search engines, after all, know better how to deal with the customers' needs and to seek a balance between pursuing profits and trying the government limits.
More Behind the Scene
On the contrary, American firms which have been putting ads on Google.cn are upset to lose this good business partner for two major reasons. One: setting up a paid search account on Baidu is more difficult than on Google, having to spend extra time on dealing with the search engines and less time optimizing their marketing campaigns. Two: different search engines in China have different types of customers – Google helps them reach educated, professional and upwardly mobile users while Baidu have a more average consumer group; the loss of Google.cn means a broken link to this business group.
It might be a Face-saving Tactic
While Google has its market share increased to 43% in the second half of 2009 as opposed to Baidu's 56% share, it was speculated that Google's withdrawal is more likely a result of failing to get any breakthroughs in business. Indeed, the success of Baidu might be attributed to the Chinese government which persists to keep its local search engine as the main player in the market so as to demonstrate its political and technological dominance.
But there are more practical reasons as to why Google is always taking a second place, which would also give another perfect picture of how the search engine industry works. Such interesting topics will be discussed in the coming article. See you after the weekend!
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