Google’s Chinese adventure
Recently a lot of things going on Google and China. Surprisingly even after owning video sharing site like YouTube, Google is yet to invest in another video sharing site, which is happen to be Xunlei, (don’t even think about visiting there, if you don’t understand Chinese) a Chinese start-up. According to “The New York Times” published article, Google struck a deal to invest about $5 million to Xunlei, which isn’t that big amount considering it’s Google we are talking about. But hey! Xunlei may be full Chinese (Which I or you may don’t understand) but they are considered as one of the fastest-growing Internet start-ups of China.
Xunlei have other investors too in their pocket, like IDG Venture Capital and Morningside Asia Advisory Ltd and partnership deal with Motorola Inc., Sina Corp. and Shanda Interactive Entertainment Ltd. So you can’t say $5 million was just thrown away. China is consider to be the second largest internet used country, so this deal might proven pretty useful for Google in near future, where most Us companies couldn’t make a ground. There is small indications that this move of Google maybe just to retaliate Baidu’s dominance–
With Xunlei, Google gains another path into the rapidly growing demand in China for downloading music and video over the Internet.
“It’s not YouTube, but it’s close enough,” says Richard Ji, an Internet analyst at Morgan Stanley. “Xunlei is a very interesting company. It’s a leader in video downloading and so this should help Google in the battle with Baidu.”
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