China's Online Advertising Market Will Reach RMB 4.39 Billion in 2006

Press Release

Analysys International Says China's Online Advertising Market Will Reach RMB 4.39 Billion in 2006

Analysys International, a leading Internet based provider of business information about technology, media and telecom (TMT) industries in China, says in its recently released report "China Online Advertising Market Annual Report 2006", that China's online advertising market will reach RMB 4.39 billion for the full year 2006, increasing 35.9% year over year.
The search engine advertising market will account for 32.37% of the total market.

According to the report, China's online advertising market size reached RMB 3.23 billion in 2005, increasing 59.83% year over year. Sina, Sohu, Baidu and Yahoo! China were the top 4 online advertising vendors, with annual revenues exceeding RMB 300 million, accounting for 59.62% of the total market. In the first half of 2006, China's online advertising market reached RMB 2.1 billion.

In the first half of 2006, Baidu strengthened market expansion and further increased its market share from 9.51% in 2005 to 15.37%. Google China and Tencent also increased their market share by 1.1% and 0.78% respectively, reaching 4.82% and 4.25%. Yahoo's market share in China decreased from 9.48% in 2005 to 8.08% in the first half of 2006. Netease decreased from 7.41% in 2005 to 6.2% in the first half of 2006. Search engine operators' further improved their position in online advertising market.