Baidu is expanding its online video business to increase its market share. According to iResearch, a consulting firm, the revenue of the online video market will reach RMB 16.2 billion (US $ 2.6 billion) next year. Baidu is competing for users with Alibaba, China's largest e-commerce company. Alibaba announced in July that it has designed a smart TV operating system and set-top box.
Baidu declined to comment. He Dan, a spokesman for Huanwang Technology, declined to comment.
Baidu stock has risen 39% this year, while the Nasdaq Composite Index has risen 21%.
Baidu announced last week that it has agreed to acquire a 59% stake in e-commerce website operator Nuomi.com for $ 160 million.
In June of this year, Baidu acquired the online video business PPS at a price of US $ 370 million. It intends to merge PPS with the iQiyi website it acquired last year to build China's largest online video platform.
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