Thursday, April 26, 2012 2:26:06 PM
By Mark Lee - Apr 24, 2012 1:57 PM MT
http://www.bloomberg.com/news/2012-04-24/tencent-sohu-baidu-unit-to-form-online-video-alliance.html?cmpid=yhoo
Tencent Holdings Ltd. (700), Sohu.com Inc. (SOHU) and Baidu Inc. (BIDU)’s iQiyi.com unit said they will form an alliance to offer online video services in China, a month after industry leader Youku Inc. agreed to buy a rival to cut costs.
The agreement between Tencent, Sohu and iQiyi will cover collaboration on content licensing and broadcasts, according to a joint statement e-mailed by the companies yesterday. The partnership will help restore “rational pricing” for video content, it said.
Youku, China’s most-popular online video website, last month agreed to buy Tudou Holdings Ltd. (TUDO) to add online users and help boost pricing power over purchase of content. The deal, valued at $1 billion at the time, would combine two companies that together accounted for more than a third of China’s Web video advertising revenue in the fourth quarter, according to data from Analysys International.
Sohu accounted for 13.3 percent of China’s online video advertising revenue in the fourth quarter, behind Youku’s 21.8 percent and Tudou’s 13.7 percent, according to Analysys. iQiyi, a venture between Baidu and Providence Equity Partners, ranked fourth with a market share of 6.9 percent, according to the Beijing-based researcher.
Tencent, China’s biggest Internet company by market value, rose 0.9 percent to HK$238.80 at the close in Hong Kong, valuing the Shenzhen-based company at HK$440 billion ($56.7 billion). Baidu, owner of China’s most-popular search-engine, and Sohu are both based in Beijing, while their stock are traded in New York.
The deal with Tudou will generate as much as $60 million in cost savings annually, Youku Senior Vice-President Michael Xu said at the time. Both Youku and Tudou are unprofitable as the costs of licensing video content soared for Chinese Internet companies.
If at first you don’t succeed, remove all evidence you ever tried.
Recent SOHU News
- Sohu.com to Report First Quarter 2024 Financial Results on May 20, 2024 • PR Newswire (US) • 05/06/2024 05:00:00 AM
- Sohu.com Limited Announces its 2023 Annual Report on Form 20-F is Available on the Company's Website • PR Newswire (US) • 03/18/2024 10:45:00 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 03/04/2024 11:07:48 AM
- SOHU.COM REPORTS FOURTH QUARTER AND FISCAL YEAR 2023 UNAUDITED FINANCIAL RESULTS • PR Newswire (US) • 03/04/2024 05:00:00 AM
- Sohu.com to Report Fourth Quarter and Fiscal Year 2023 Financial Results on March 4, 2024 • PR Newswire (US) • 02/20/2024 05:00:00 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 11/13/2023 11:10:27 AM
- SOHU.COM REPORTS THIRD QUARTER 2023 UNAUDITED FINANCIAL RESULTS • PR Newswire (US) • 11/13/2023 05:00:00 AM
- Sohu.com to Report Third Quarter 2023 Financial Results on November 13, 2023 • PR Newswire (US) • 10/30/2023 05:00:00 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 09/13/2023 10:06:34 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 08/07/2023 11:04:34 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 08/07/2023 11:00:08 AM
- SOHU.COM REPORTS SECOND QUARTER 2023 UNAUDITED FINANCIAL RESULTS • PR Newswire (US) • 08/07/2023 05:00:00 AM
- Sohu.com to Report Second Quarter 2023 Financial Results on August 7, 2023 • PR Newswire (US) • 07/24/2023 05:00:00 AM
- SOHU.COM REPORTS FIRST QUARTER 2023 UNAUDITED FINANCIAL RESULTS • PR Newswire (US) • 05/15/2023 05:00:00 AM
Avant Technologies Equipping AI-Managed Data Center with High Performance Computing Systems • AVAI • May 10, 2024 8:00 AM
VAYK Discloses Strategic Conversation on Potential Acquisition of $4 Million Home Service Business • VAYK • May 9, 2024 9:00 AM
Bantec's Howco Awarded $4.19 Million Dollar U.S. Department of Defense Contract • BANT • May 8, 2024 10:00 AM
Element79 Gold Corp Successfully Closes Maverick Springs Option Agreement • ELEM • May 8, 2024 9:05 AM
Kona Gold Beverages, Inc. Achieves April Revenues Exceeding $586,000 • KGKG • May 8, 2024 8:30 AM
Epazz plans to spin off Galaxy Batteries Inc. • EPAZ • May 8, 2024 7:05 AM