With hundreds of millions of traffic, Baidu has been exploring ways to monetize other than advertising
Baidu is about to acquire Huanju New progress has been made in the domestic business of YY live broadcast.
According to market news, the two parties’ acquisition negotiations are nearly complete. After the merger, the YY client will continue to be retained, the content and technology will be provided to Baidu simultaneously, and the domestic live broadcast team will also be assigned to Baidu. The transaction price is between US$3 billion and US$4 billion.
Analyzed by industry insiders, Baidu’s technology and the technology in the field of live broadcast differ greatly in sophistication and user matching. The introduction of YY may make up for its shortcomings in live broadcast technology and operations and revitalize its own traffic.
At the second quarter financial report meeting of this year, Robin Li said, “Live e-commerce has now become a trend, and I think it will become an important form of business in the future, and live broadcast may become video, text The same important media.”
At the same time, he said that live broadcast is helpful to enrich products and provide better services to advertisers. “When advertisers find us, we can provide various In the form of media, he integrates his products, services, APP, etc. with Baidu’s products.”
Under the impact of the epidemic, Baidu’s advertising business has encountered a lot of bottlenecks.
In the first quarter of this year, Baidu’s online advertising revenue was 14.2 billion yuan, a year-on-year decrease 19%; In the second quarter, Baidu’s overall online advertising revenue fell 8% year-on-year to 17.7 billion yuan.
In addition, the compliance issue of Baidu’s advertising business has recently attracted attention again. Last month, it was reported that Shi Youcai, the head of Baidu’s advertising sales, was taken away by the police for illegal online advertising, especially gambling.
The key online advertising business is recovering slowly, and Baidu is in urgent need of monetization methods other than advertising. Baidu took aim at YY live broadcast, probably to enrich its e-commerce live broadcast scene.
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