Apple to Get Share of Advertising Cash Generated From Baidu Searches
Apple is to get a share of advertising revenue generated by searches using China’s Baidu service.
Apple is shifting away from Google services to reduce dependence on its main rival in the smartphone market. Apple is utilizing regional alternatives, such as Baidu search in China.
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.
Via BBC News.
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