Xinhua intervention sees China's search engine market hot up

CHINA-based Xinhua News Agency has purchased the domain names Guoso.cn and Guoso.com.cn as it seeks to launch its own search engine by the end of this year.

Xinhua has been looking to move into the search business for a couple of years – having launched the poorly performing search.news.cn back in 2008. However, last week’s deal signed with China Mobile , the world's largest mobile phone operator, sees the firm set to enter the increasingly competitive Chinese mobile search engine market.

People's Daily launched the search engine goso.cn in June this year and Sohu.com, China's second largest internet portal and Alibaba Group, China's biggest e-commerce firm, announced cooperation on the building of China's second largest search engine.

These developments pose a challenge to Baidu, China’s largest search engine – not to mention Google, who have faced numerous challenges in China.

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