China’s 310 million mobile gamers increased their spending by 247% in 2013, an official Chinese government statistic that has China tech companies scrambling to grab handset gamers. Qihoo 360 Technology (QIHU), Baidu (BIDU) and others spent heavily in 2013 on new mobile-gaming apps and distribution platforms, efforts that in Q4 showed some early signs of paying off. “2014 is a critical year for many Internet companies in China,”
Nomura Equity Research initiated coverage of China’s Internet sector, with Baidu (BIDU), Vipshop Holdings (VIPS), YY (YY) and Tencent Holdings listed as the top picks with buy ratings. “The China Internet story in 2014 will naturally be all about mobile,” wrote Nomura analyst Chao Wang. “But in the end, investors care about monetization, which is evolving rapidly but remains work in progress.” Search-engine giant Baidu generates over 40% of its
Baidu (BIDU) ended 2013 with more than 100 million active mobile customers, driving its Q4 revenue beat and sending Baidu stock rising on Thursday. The company posted its Q4 results late Wednesday. “Mobile indeed was very strong” in Q4, Wedge Partners analyst Juan Lin told IBD via email. About 20% of the company’s revenue came via mobile, up from 10% six months prior. The company had 14 mobile apps at year’s end. “We forecast mobile revenue to