31/Jul/2014 - Last News Update: 00:06

Apple shares advert cash generated by Baidu searches

Category: Technology

Published: 15th Jun 2012 17:33:12

Apple is to get a share of advertising revenue generated by searches using China's Baidu service.

The revenue-sharing deal is a result of an upgrade to iOS which sees Baidu used as the default search engine on Apple gadgets sold in China.

The iOS 6 update applies to both iPad tablet computers and iPhones.

The move is widely seen as a snub to Google and a key plank in Apple's plans to improve its market share on the Chinese mainland.

Baidu is the dominant saerch firm in China and about 80% of the searches done in the country take place via its site. How much cash Apple can expect from the deal has not been revealed.

About 20% of Apple's sales were generated in China in the firm's last quarter. It is keen to improve its standing among China's increasingly affluent middle-class.

"IPhone users are China's elite," said independent analyst Bill Bishop.

"This is good for Baidu though it is not really clear Apple had much choice," he said. "Google search is unreliable in China and other Chinese search engines still do not offer a good user experience."

One unknown quantity, he said, was how well Apple's voice search software Siri would work with the Chinese language. If it worked well that could reduce the number of searches sent via Baidu.

The update to iOS will see an app for Baidu installed on iPads and iPhones sold in China.

News about the deal emerged soon after the closing of Apple's World Wide Developers Conference. At that conference, Apple announced plans to end its use of Google Maps on its smartphones and tablets.

Source:
BBC News External Link Show Citation

Latest News

Harvard Citation

BBC News, 2012. Apple shares advert cash generated by Baidu searches [Online] (Updated 15th Jun 2012)
Available at: http://www.ukwirednews.com/news/1434963/Apple-shares-advert-cash-generated-by-Baidu-searches [Accessed 31st Jul 2014]

News In Other Categories

  • Bristol Academy extends reach overseas with first foreign students

    With the doors to its brand new £1million training centre officially open, one of the UK's leading apprentice training providers, Bristol based S&B Automotive Academy, is showcasing its world-class facilities by launching a series of foreign student exchanges for the first time in its 41-year history. To get a flavour of what life is like as an apprentice in the UK, the Academy hosted 16 apprentice engineers and bus drivers from the G9 Automotive College in Hamburg, Germany, as part of a Europe-wide vocational training initiative called the ‘Leonardo Programme’ with support from the European Social Fund. In a reciprocal arrangement, S&B will be sending nine apprentices to Germany during February 2012 so that they can get an appreciation of life in the automotive industry on the Continent. A further three German exchange groups are being planned for next year. Designed to assist the development of vocational skills and training across Europe, including work placements for trainees, the Leonardo Programme has a budget of €1.75bn, which is helping to encourage UK organisations to work with their counterparts abroad. In what is expected to be another challenging year for employers in the UK automotive sector, S&B’s Chief Executive, Jon Winter, claims that the exchange initiative will bring many benefits to the Academy and its apprentices: “In a world of global automotive brands, it’s important for our learners to understand the international context of the industry they have chosen to make their career. This new exchange programme will enable apprentices and Academy staff alike to achieve a better understanding of the challenges and opportunities within the automotive arena in Europe. With the Academy’s influence also extending to the USA and Asia, there’s every possibility that this initiative could move further afield in the future.” Continued Winter: “The need for skilled technicians across the world is on the increase and we actively encourage our apprentices to look at broader horizons during their training. Many of them have already learned the phrase ‘Vorsprung durch Gelehrtheit’, quite simply, ‘Advancement through learning.” In the 2010/11 academic year, S&B doubled the number of successful Apprenticeships over the previous year with some 350 apprentices graduating from the Academy. At the same time, achievement levels reached an all-time high with an overall success rate of 85%. For those learners on the Advanced Apprenticeship three-year programme, success rates were even higher, at over 98%. PHOTO CAPTION: As part of their exchange visit, S&B Automotive Academy arranged for the German apprentices to visit Hampshire bus operator, Bluestar, at its Barton Park depot. The students are pictured with S&B’s Andy West (3rd right) and Steve Prewett, Bluestar’s Area Engineering Manager (2nd right). Ends http://www.sandbaa.com
  • 'Offer rejected' on Argentine debt

    Argentina's Economy Minister Axel Kicillof says "hold out" investors rejected an offer as the debt default deadline looms.
  • Call for 'radical action' on drug-resistant malaria

    Drug-resistant malaria is spreading in South East Asia, and has now reached the Cambodia-Thailand border, according to a study.
  • Glasgow 2014 round-up: Day Seven

    The Commonwealth Games is 11 days of non-stop action.
  • Police release CCTV images after Cardiff Gaza march fights

    These are the men police want to speak to after violence broke out during a protest march in Cardiff opposing Israel's military action in Gaza.
  • Gossip column: Cazorla, Torres, Hernandez, Lukaku, Vidal

    For a list of confirmed transfers, check out the transfers page.