Baidu (BIDU) Is Worse Off Than Google (GOOG)

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By Douglas A. McIntyre Published
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No one in his right mind would be happy about the slide in Google’s (NASD: GOOG) shares this year. They are now off 27% on an earnings report that Wall St. did not like and concerns a slowing economy might turn down the burner on its hyper-growth.

One company which is actually worse off is China search engine leader Baidu (NASD: BIDU). It shares have collapsed 40% since the first day of trading in 2008.

Baidu suffers from the same concerns that Google does, plus one more. Wall St. is still convinced that Google will do whatever is necessary to get the market share lead in search in China. The country now has the second largest number of people online of any country in the world, and is expected to pass the US soon.

If data show that Baidu is losing search share, its shares will go much lower.

Douglas A. McIntyre

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Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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