Friday, November 12, 2004

China Auction Market News: Alibaba, Microsoft, EachNet, 1Pai, Taobao

From yahoo finance UK: Microsoft China in talks with Alibaba.com for MSN messenger online auctioning

"Microsoft China is in talks with Alibaba.com to add an online auctioning function to the software giant's increasingly popular instant messaging service, a public relations official at Alibaba.com told XFN-Asia. Both sides have been in talks for some time, although a final agreement is yet to be reached, Hu Yuanyuan from Alibaba.com said."

"Alibaba.com is a rapidly expanding online merchant serving small and medium-sized businesses in mainland China. Its consumer online auction unit, Taobao.com, is one of the most popular online auction sites in the country. "


From Pacific Epoc:

"Alibaba is in negotiations with Microsoft on cooperation in the online auction business, according to a Ccidnet report. Ccidnet is quoting Alibaba public relations department manager Hu Yuanyuan, who confirmed the rumor in a discussion with an unnamed media representative. Hu said that an agreement might be signed before year-end. Microsoft (China) spokesman Chen Ranfeng refused to comment on the issue. Earlier rumors specualted that Microsoft's instant messaging software MSN Messenger will partner with Alibaba's C2C subsidiary Taobao to jointly develop an online auction business."


From Pacific Epoc: eBayEachnet CEO Shao Yibo Resigns

"eBayEachnet chairman and CEO Shao Yibo has resigned as CEO, eBayEachnet announced this morning. Shao will keep his position as chairman. eBayEachnet CFO James Zheng will temporarily take charge of eBayEachnet's daily operations. eBayEachnet said that Shao's resignation will allow him to focus on eBay and eBayEachnet's long term development strategy. At the same time, Zheng was appointed eBayEachnet's COO. According to Sina, Zheng may become eBayEachnet's new CEO. eBay CEO Meg Whitman said that she was satisfied with Zheng's performance and that the management team will not be changed in the short term."


Good overview on the Chinese Auction Market in this Bloomberg article: Yahoo, Ahead in Most of Asia, Gains on EBay in China

"EBay became the first overseas auctioneer to tap China's market when it invested $30 million in closely held EachNet in March 2002. ... The value of merchandise sold on EachNet totaled $250 million on an annualized basis during the second quarter of 2004, according to EBay's earnings statement. A T-shirt sells every 10 seconds on EachNet and an MP3 music player every three minutes, EBay Chief Executive Meg Whitman said in an April presentation in Beijing."

"``We are really excited about the China opportunity,'' says Whitman, 48. ``If things go well, someday it will be our largest market.''

"To take on EBay in the world's most populous nation, Yahoo formed 1Pai.com in January with Shanghai-based Sina Corp., which operates China's biggest Internet portal."

"Yahoo isn't the only challenger to EBay in China, nor the largest. Taobao.com, an auction site founded 16 months ago, expects to handle transactions totaling more than $200 million this year, says Jack Ma, the chief executive of its owner, Hangzhou, China-based Alibaba.com. " Read More

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