China Internet Population surges - passes US users

Posted by morad
April 21, 2008

Need another reason why US firms still try to jump into China-wagon despite the discrimination and law-issues they face with the Chinese Gov’t? Well, here it is:

According to the Beijing-based research firm BDA (in China) the new stats for internet users in China just jumped over 220 million users. yep! that is right… so with US 216 million users, that make China no.1 in number of Internet users.

But here is the catch: The Internet penetration in US remains higher as it is 71% while in China it is only 17%. But that also hints about the kind of potential there is in the Chinese Online market in the near future, which makes US firms / Internet companies go crazy over China.

And here is something I read in VentureBeat:

During its quarterly earnings call last week, Google spoke a lot about the large role of international growth in its recent success. Europe has so far been a big part of that, but the real prize that everyone is eyeing is China.

Google has been trying to outmaneuver leading Chinese search provider Baidu for access to those potential billion users. It even recently tried moving into the legally gray-area of searching for unlicensed music downloads.

Already the worldwide leader in mobile phone usage, China now has another technology bragging right as it  prepares to host this summer’s Olympic games.

So yeah - if you are starting something then better think twice about where to start it from or what to focus it on.

But here is my two cents: Just cause the population of Internet users in China is higher that doesn’t mean the online cashflow will be higher in comparison to US / Europe online market…… tsk tsk… China remains poor country.

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Analysis, Asia

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