Google and China are more like oil and water. The Google magic touch seems to be impotent in the world’s largest and fastest growing market. In fact, it’s one of the few (if not only) major market where Google faces numbers that it is usually handing out to its competitors since Chinese engine Baidu has a 70% share of the search business in the world’s largest country by population.
So what does Google do to combat this? It axes arrangements with seven large ad resellers that represent an estimated 40% of Google China’s revenue (about $226 million).
Google Inc said on Tuesday its termination of contracts with seven large Chinese advertising resellers goes into effect on Oct 27, a development analysts say benefits China’s leading search engine Baidu.