Posts Tagged ‘Asia

08
Aug
10

First 3D Porn movie being shot in Hong Kong

NEWS
First 3D Porn movie being shot in Hong Kong

Sunday, August 8, 2010

Entertainment••• A group of Hong Kong filmmakers have started shooting what they claim will be the world’s first 3D pornographic film, a report said on Sunday.

The $3.2 million 3-D Sex and Zen: Extreme Ecstasy, set for release in May, has already generated interest in a host of Asian film markets, as well as Europe and the U.S., the Sunday Morning Post reported.
Loosely based on a piece of classical Chinese erotic literature, The Carnal Prayer Mat, the movie will star Japanese adult actresses Yukiko Suo and Saori Hara, the Post said.

The film chronicles the story of a young man who, after being introduced to the erotic world of a duke, realises his ex-wife is the love of his life and features ‘orgies, swinging and some very graphic sex scenes’, the paper said.
Producer Stephen Shiu acknowledged that censors would likely block the movie’s screening in mainland China, a key market for Hong Kong filmmakers.

‘(But) we are almost closing deals with some markets including Japan, Korea, Southeast Asia and some pay TV channels in Hong Kong,’ Shiu told the paper.

Italian director Tinto Brass has announced he would produce a 3D remake of his 1979 erotic film Caligula, while Hustler plans to release a pornographic spoof of 3D science fiction film Avatar, the top-grossing movie of all time which has earned about $2.7 billion worldwide since its release.
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04
Aug
10

News Corp. Posts $875 Million Profit as Ad Sales Rise

NEWS
News Corp. Posts $875 Million Profit as Ad Sales Rise

Wednesday, August 04, 2010

••• Media and entertainment giant News Corp. reported, Wednesday, that it has swung to profit in the fiscal fourth quarter on the back of strong performance from its television networks division which posted impressive ad sales.

News Corp. said its net profit in June quarter was $875 million or $0.33 per share as against loss of $203 million or $0.08 per share in the year ago period.

The company said its revenue moved up 5.7 percent to $8.11 billion.

Analysts, on average, had expected News Corp. to report profit of $0.20 per share on revenue on $7.87 billion.

However, operating profit, or sales minus the cost of goods sold and administrative expenses, slipped 1.7 percent year-on-year in June quarter to $932 million from $948 million.

The media conglomerate said its earnings were driven by strong performance put up by its television networks division, which accounted for more than half of its operating income.

Profits at domestic channels surged by 30 percent while international channels improved 40 percent. Overall, operating profit at cable television networks division, which include channels such as Fox News Channel and FX, surged 31 percent to $563 million on the back of advertising revenue which jumped 11 percent. The division also saw double-digit growth in revenue from fees paid by cable, satellite and fiber video providers.

Operating profit at News Corp.’s broadcast television division also surged 13 percent to $113 million on improved ad sales offsetting higher programming expenses at the company’s national broadcast network – Fox Broadcasting.

The group’s filmed entertainment division also did well but could not beat third quarter performance. Operating income in June quarter dropped 32 percent year-on-year to $137 million. In March quarter, profit stood at $497 million. At the time of announcing third quarter earnings, News Corp. had warned that one should not expect stellar performance from this division in the fourth quarter, largely due to an expected year-over-year decline in the film business due to the timing of releases.

The newspapers and information services division, which include the Wall Street Journal, Barron’s, MarketWatch and Dow Jones, also reported 20 percent surge in profit to $115 million on higher ad revenue, though it was below Street estimates.

The company’s digital media division, which include social networking site MySpace, however, disappointed, reporting an operating loss of $174 million in the June quarter on lower search and advertising revenue. News Corp. said MySpace is set for a “major overhaul.”

News Corp.’s satellite TV division also disappointed, reporting a 37 percent slide in operating income to $97 million on the back of continued weakness at Sky Italia.

To reduce dependence on the economically sensitive advertisement-based revenue, News Corp. said it is beefing up its portfolio of subscription-based assets. In June, it said it has made a bid for the 61 percent stake of pay-TV operator British Sky Broadcasting Group Plc (BSkyB) it doesn’t already own.

“The opportunity for us to expand the scale of our franchises is significant, including through taking advantage of the continual technological advances that will broaden the reach of our core content and distribution businesses,” News Corp. CEO Rupert Murdoch said in a statement.

The company’s full-year results were more impressive.

News Corp. said its net profit in fiscal year 2010 was $2.5 billion, helped primarily by blockbuster movie “Avatar.” DVD sales of other films like “Ice Age: Dawn of the Dinosaurs,” “X-Men Origins: Wolverine” and “Night at the Museum: Battle of the Smithsonian” also bumped up its profits. In the prior year, News Corp. incurred a net loss of $3.4 billion, which included a one-time pre-tax impairment and other charges of $9.2 billion.

“These results underscore just how well positioned we are – fiscally, operationally and strategically – for further growth across all of our markets,” Murdoch said.

Shares of News Corp., which owns Dow Jones, Wall Street Journal, New York Post, MySpace and 20th Century Fox among other things, closed up 1.61 percent at $13.85. Following the financial results announcement, the company’s shares were up 3.25 percent in the after-market hours.
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• Source(s): News Corporation
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04
Aug
10

MasterCard 2Q profit jumps 31 percent, tops view

NEWS
MasterCard 2Q profit jumps 31 percent, tops view

Wednesday, August 04, 2010

••• Anaemic consumer spending in the U.S. was offset by strong international growth to help boost MasterCard Inc’s second-quarter profit by 31 percent.

The gain topped Wall Street profit expectations, but fell short of the 38 percent leap in operating income posted by the company’s larger rival, Visa Inc., last week.

MasterCard shares slipped $1.76, to $200.70 in midday trading as the broader market sputtered.

MasterCard’s gains showed the Purchase, NY-based payment processor’s reliance on overseas use of its cards and networks. Worldwide purchasing volume rose eight per cent, while U.S. purchasing volume eked out a gain of less than 1 percent.

Worldwide, credit card use rose 10 percent, while debit card use leaped 29 percent.

Chief Financial Officer Martina Hund-Mejean said in an interview that card use was particularly strong in Latin America and Asia Pacific, which both saw double-digit growth rates.

‘Even in Europe,’ she said, alluding to the economic turmoil on the Continent in recent months. ‘We do not see any significant impact on our numbers in terms of the Europeans not spending.’

U.S. credit card use edged down 1.5 percent, continuing a two-year decline, but showing the smallest drop since the third quarter of 2008.

Debit card use edged up less than 1 percent. That reflects more frequent use of debit cards, but was held down by MasterCard’s loss of several debit card deals with banks, most notably the former Washington Mutual, which was bought by JPMorgan Chase in 2008. Hund-Mejean said US debit growth was closer to 20 percent if the banks winding down their MasterCard programs are stripped out.

U.S. spending, particularly with credit cards, picked up in April but was less robust later in the quarter, Hund-Mejean said. ‘People still feel a little careful and cautious, and I think that’s what we saw in May and June,’ she said.

Analysts noted the growth compared with a weak quarter last year. Thomas McCrohan from Janney Capital Marketssaid it is hard to read into the results to say whether they indicate any real improvement in the economy. But there was ‘nothing alarming’ in the results.

‘There’s nothing that would support a double dip’ of the recession, McCrohan said.

The number of transactions MasterCard handled was basically flat at 5.6 billion. Cross-border volume jumped 15.2 percent.

Net income rose to $458 million, or $3.49 per share, compared with $349 million, or $2.67 per share, a year ago.

Revenue rose 7 percent to $1.37 billion from $1.28 billion in the 2009 second quarter. MasterCard said the revenue increase reflected the higher cross-border volumes, higher gross dollar volume of the transactions it processed and the impact of price increases of 4 percent.

Wall Street expected earnings of $3.33 per share on revenue of $1.38 billion.

Total operating expences dropped 10 percent to $648 million. The decrease was led by a drop in severance and compensation costs as a result of layoffs in 2009.

President and CEO Ajay Banga said it is too early to tell what results MasterCard will feel from the limits on debit card fees included in the financial overhaul bill signed by President Barack Obama last month.

‘I know that everybody is eager to fully understand the impact on our business, but the truth is we just have to wait for the (Federal Reserve) to develop the regulations, and for our customers to react, before we will know the full implications both for the industry and for our company,’ he said during a conference call.

Banga noted there are a number of options for implementing the new rules, and quipped that MasterCard benefits in this case from having a smaller market share of U.S. debit than Visa.

Regardless of the new regulations, Banga said he doesn’t see the shift from cash and checks to electronic payments slowing down. He spoke enthusiastically about a number of pilot projects and overseas ventures MasterCard has to expand its network beyond card payments. Deals the company struck on mobile payments in Latin America, money transfer services in China and contactless payments in the U.S. position MasterCard for continued growth as the payments market evolves, he said.

David Parker, an analyst with Lazard Capital Markets, said it will be a few years before ‘electronic wallets’ are a reality, and there are some challenges in terms of customer and merchant adoption, but it is clear the market is moving in that direction.

MasterCard’s investments in this area could help it overcome its disadvantage in debit cards.

‘I think there is an opportunity there with mobile commerce,’ he said.
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07
Jul
10

Google’s China webpage licence under review

NEWS
Google’s China webpage licence under review

Wednesday, July 7, 2010

••• Google Inc’s application to renew its Chinese Website license (Internet Content Provider license) is currently under review, the Ministry of Industry and Information Technology said yesterday.

But the ministry didn’t give a deadline for the license review.

It was the Chinese regulator’s latest response regarding the fate of Google China, which recently stopped redirecting automatically web searchers on China’s mainland to its Hong Kong site and applied to renew its license in the world’s largest Internet market last month.

“Google’s annual check-in is under way but there’s no detailed deadline for the result because its submission is relatively late,” said ministry spokesperson Wang Lijian.

The ministry is the body responsible for renewing and reviewing Internet content provider licenses.

Google shut down its mainland-based search engine on March 22 and rerouted users to its Hong Kong site.

It stopped the automatic redirect because regulators told the company its Internet license would not be renewed if it kept it going.

“We re-applied for the license at the end of last month and we are waiting for the results now,” said Marsha Wang, Google China’s spokesperson.

At present, only “music,” “translate” and “shopping” links, in Chinese, appear on the Google China webpage.

Visitors to google.cn will also see a tab that says, in English, “We have moved to google.com.hk.”

Clicking on that takes users to the Chinese-language site in Hong Kong.

Google clearly doesn’t want to give up the Chinese market, with more than 300 million netizens on the mainland. On the other hand, it has said it does not want to subject its Web searches to what it considers censorship under Chinese law.
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30
Apr
10

Samsung Electronics posts record Q1, says optimistic on Q2

NEWS
Samsung Electronics posts record Q1, says optimistic on Q2

Friday, April 30, 2010

Samsung Electronics says net profit has surged in the first quarter of this year amid higher sales.

The company said on Friday that it earned 3.99 trillion won ($3.58 billion) in the three months ended March 31. It had net profit of 580 billion won ($520.26 million) the year before.

Samsung said sales in the first quarter totalled 34.64 trillion won ($31.07 billion). That was 20.8 percent higher than the 28.67 trillion won ($25.72 billion) reported a year earlier.

Samsung is the world’s largest manufacturer of computer memory chips, flat screen televisions and liquid crystal displays. It ranks No.2 in mobile phones behind Finland’s Nokia Corp.

Samsung Electronics said yesterday that it plans to significantly increase its investment in both chips and flat-screens in 2010, giving a bullish outlook for the remainder of this year.

Samsung posted a historic high operating profit of 4.41 trillion won ($3.9 billion) in the first quarter, mainly driven by the stellar performance of its chip business, which reported 1.96 trillion won in operating profits. Its operating profits are slightly higher than its earlier forecast of 4.3 trillion won ($3.88 million). Samsung’s first-quarter sales reached 3.99 trillion won, compared with its guidance of 34 trillion won.

Samsung expected its earnings to further improve in the second quarter, and said it was “cautiously optimistic” about the second half as well, expecting strong demand for memory and LCDs, and a sales increase for handsets and TVs.

Samsung is the world’s top maker of memory chips, LCD panels and LCD TVs, and the No. 2 handset vendor.

“In order to address the increased demand in the market, we are planning to substantially increase the capital expenditure from the initial guidance, which was 5.5 trillion ($4.93 billion) for memory and 3 trillion ($2.69 billion) for LCDs,” Robert Yi, Samsung’s head of investor relations, said at an earnings conference call yesterday.

Media and analysts have speculated that Samsung may expand its chip investment to more than 7.5 trillion won ($6.73 billion) and its LCD spending to 4.5 trillion won ($4.04 billion) this year.

As for the memory market, Samsung expected supply and demand to remain tight for both DRAM and NAND in the current quarter, saying that a supply increase may not be enough to catch up with robust demand.

However, Samsung’s LCD division posted a lower-than-expected operating profit of 490 billion won ($439.53 million), ceding its top position in terms of profitability to its rival LG Display. LG, the world’s No. 2 LCD maker by sales, reported first-quarter operating profit of 789.4 billion won ($708.09 million), which beat market forecasts.

Samsung said the fall was mainly caused by depreciation costs, and expected an improved profit in the current quarter.

Samsung faces an increasing threat from LG Display, which seeks to catch up not only in profit but sales, with aggressive investment plans. To cope with the challenge, Samsung may spend an additional 1.5 trillion won ($1.35 billion) in expanding its eighth-generation LCD line, on top of the already earmarked 3 trillion won ($2.69 billion), market watchers say.

Yi said that a revision of its investment may be announced before the second-quarter earnings results will be announced in July.

Samsung’s mobile operating profit beat expectations, reaching 1.1 trillion won ($986.7 million). Samsung’s telecommunications division, which includes its handset business, posted a 12 percent operating profit margin, which Samsung ascribed to a reduction in marketing costs and strong sales of mid-end and high-end devices, especially touchscreen phones and messaging phones. Samsung expects a double-digit operating margin for its handset business this year, according to Yi.

A Samsung executive also said during the conference call that the company aims to achieve handset sales that would exceed its initial target of 270 million units this year. Samsung also expected that Android phones would account for more than half of its smartphones this year, while models based on its proprietary Bada platform will make up one third of its total smartphone models.
Yi said Samsung was developing a tablet-like PC which would challenge Apple’s iPad, and said the new model would hit the market after the first half of this year.

Samsung’s Digital Media division, which includes its TV business, saw its operating profit increase 11 percent to 520 billion won ($466.44 million) this year. Its TV sales reached a record high of 8.4 million units in the January to March period, up by nearly 50 percent from a year ago, driven by the growth of shipments to both advanced and developing markets, the company said.

Samsung shares jumped 2.9 percent at yesterday’s close, while the broader market rose 0.8 percent.

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31
Mar
10

Google searches turn up empty

NEWS
Google searches turn up empty

Wednesday, March 31, 2010

Internet users on the Chinese mainland who tried to conduct a Google search Tuesday most likely failed to obtain results while mobile services users reported partial blocking during the last two days.

Last week, users who attempted to use Google.cn were redirected to the Hong Kong website.

Users found out Tuesday that both the English site, Google.com, and the Chinese version of the search engine failed to return search results, although the homepages popped up.

AFP reported that its Shanghai reporter experienced no problems with the Google search engine.

But an Internet user in Shanghai said no search results came up.

The advanced search icon on both the English and Chinese sites were accessible.

A Google spokeswoman in Beijing told that they were aware of the problem but she was not able to say what caused it.

In the wake of Google’s decision to redirect Google.cn traffic to its Hong Kong website last week, Google also set up a website www.google.com/prc/report.html that was still accessible on the mainland Tuesday.

It provided daily status reports on the availability of its other popular services in China, including Doc, News, Mobile, Gmail, Blogger and Picasa service.

According to that website, Google’s search engine service on the Chinese mainland experienced “no issues” Tuesday but the mobile service was partially blocked on the mainland since Sunday.

The Google search engine on a reporter’s mobile phone, which uses Google’s Android mobile phone system, was working normally after it rerouted to Google’s Hong Kong sites in Wi-fi connections.

But Google search, maps and news service could not be accessed with the same mobile phone when it uses China Mobile GPRS data connection.
• Source(s): Xinhua News Agency & Global Times (China)
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31
Mar
10

Google blames China’s ‘great firewall’ for blocking searches

NEWS
Google blames China’s ‘great firewall’ for blocking searches

Wednesday, March 31, 2010

Google’s search sites in China abruptly stopped working yesterday, but the explanation for the outage changed as the day wore on.

The Internet giant first blamed its own engineers, citing a technical glitch, but later reversed course and pointed to the heavy hand of China’s “Great Firewall” – even as service appeared to be back to normal.

The evolving explanation caught Google watchers by surprise and showed how fraught with confusion the relationship between China and Google remains.

The episode risks escalating their battle a week after Google stopped censoring its search engine in China.

Google struggled to discern the cause of the massive disruption, in which users received error messages for Google searches from China on the company’s Hong Kong-based search site, Google.com.hk.

Google began routing Chinese Internet users to its Hong Kong site last week as it said it would no longer comply with China’s censoring policies and wouldn’t run a censored Chinese search engine.

Later in the day, Google reversed itself, saying it had made those changes a week earlier.

“So whatever happened to block Google.com.hk must have been as a result of a change in the Great Firewall,” the company said.

Wang Lijian, spokesman for the Ministry of Industry and Information Technology, one of China’s main Internet regulators, said he was unaware of any Google disruption.

Any permanent blockage of Google’s searches by China would deal a sharp blow to the company’s hopes of continuing to operate part of its business in the country after dismantling its censored Chinese site.

Google said last week that it hoped to maintain its music search and maps services in China, along with sales and research-and-development operations.

Beijing has expressed anger at Google for publicly flouting its censorship regime, and a decision to block access to Google entirely has always been considered possible.

Many analysts have believed Beijing would stop short of that for fear of infuriating Google’s tens of millions of regular Chinese users, not to mention foreign businesses that require access to information.

Because Google censored its old Chinese site, Google.cn, in accordance with government rules, that site wasn’t filtered by the government’s firewall.

Its international sites, such as the Hong Kong one, have always been subjected to filtering, meaning that Chinese users’ searches of some sensitive terms like those related to the 1989 crackdown on pro-democracy protests, the initials RFA, for Radio Free Asia, or even the names of top leaders might trigger an error message from the browser instead of a results page.

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28
Mar
10

Shaoxing City is world’s hacker hub

NEWS
Shaoxing City is world’s hacker hub

Sunday, March 28, 2010

••• An American Internet security company has named the Chinese city of Shaoxing as the world’s cyber-espionage capital.

According to a research by Symantec, almost 30 % of “targeted attacks” were sent from China and 21.3 % originated from Shaoxing in eastern China alone.

The key targets of Chinese hackers were mainly experts in Asian defence policy and human rights activists, researchers, who traced 12 billion emails for the study, said – suggesting state involvement.

Symantec is assisting the investigation into suspected hacking attacks on Google, which closed its website in China last week after refusing to censor itself on the government’s orders.
Cyber-espionage uses emails sent in small volumes with legitimate-looking attachments or documents to fool the user into letting a malicious code infect their computer.

“The ultimate aim is to gain access to sensitive data or internal systems by targeting specific individuals or companies,” the report said.

Previously, hackers in China had been able to camouflage themselves behind servers in Taiwan.

The findings show China was the source of 28.2 % of global targeted attacks.

It was followed by Romania, with 21.1 %, presumed to be mostly attempts at commercial fraud.

The United States came third, followed by Taiwan and then Britain, with 12 % of attacks.

Symantec: Internet Security Treat Report Volume XV

Symantec: RSA 2010 Francis De Souza

Symantec: RSA 2010 Kevin Rowney

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24
Mar
10

Google’s withdrawal from China pushing itself into corner

NEWS
Google’s withdrawal from China pushing itself into corner

Wednesday, March 24, 2010

•••Google’s decision to stop censoring its Chinese search engine and redirect mainland users to its servers in Hong Kong was tantamount to pushing itself into a corner and ruining its image and interests, world media and experts say.

“If Google had hoped to rally rivals to its cause, it failed. If Google was planning to embarrass China by whipping up a global debate on Internet freedom, it failed,” the Financial Times wrote in an article published Monday.

China trade economist Derek Scissors of the U.S. Heritage Foundation called Google’s move to Hong Kong “pretty close to a complete exit” that will provoke Beijing and puts Google outside the firewall with regard to advertisers and other partners.

Russian newspaper Vedomosti said Google has completely burned all of its bridges in China behind it and is unlikely to ever return to the Chinese market.

Google, the world’s top search engine, held only an estimated 30 percent share of China’s search market in 2009, compared with home-grown rival Baidu Inc’s 60 percent. Official statistics put the number of netizens in China at 384 million by the end of 2009.

Michel Riguidel, head of the Department of Computer Science and Networks at Telecom Paris Tech, said all companies pay great attention to building their own images.

Google claimed that its image is based on freedom, information exchange and respecting human rights, but the fact is that it absorbs large amounts of personal information and does research on the information without getting agreements from web users, Riguidel said.

Izumi Harada, chief fellow of the Crisis and Risk Management Society of Japan, told Xinhua that there is no question that multinational companies should follow local laws while running their businesses in other countries.

Google has breached the commitment to observe Chinese laws and regulations that it made when entering China (four years ago), he said.

Jesse Wright, a leading expert of Institute Internet, told a Russian radio station that Google has been working in China since 2005 and knows the requirements of Chinese law.

“Compliance with the requirements of the Chinese was a condition of work in this market,” Wright said. “So, trying to force China to reconsider its own censorship requirements – be it Google or others – it seems to me untenable.”

Alexey Basov, CEO and co-founder of Begun, Russia’s largest contextual ad service, said if Google quits the Chinese market, it will be a major strategic loss for the company.

At about 3 a.m. Tuesday Beijing time, Google’s chief legal officer David Drummond made the “stop censoring” announcement in a blog post, saying “users visiting Google.cn are now being redirected to Google.com.hk, where we are offering uncensored searches in simplified Chinese.”

In reaction, Chinese Foreign Ministry spokesman Qin Gang told a routine media briefing that: “The Google case is just a business case and will not undermine China-U.S. relations unless someone politicizes the issue.”
• Source(s): Xinhua News Agency (China)
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24
Mar
10

Arguments over Google’s withdraw

NEWS
Arguments over Google’s withdraw

Wednesday, March 24, 2010

••• Google is also citing censorship in its withdrawal from the Chinese mainland market. Some netizens and experts say foreign companies should abide by the laws of the country.

Chinese Internet users and experts say abiding by the laws of the country is an established convention. They say all this applies to all companies, including Google.

A Chinese internet user said, “China has its own system and you have to abide by the laws in China if you want to do business in China. “

Shi Xiangsheng, Deputy Sec’y Gen., Internet Society of China, said, “The foreign Internet companies must promise to respect the local customs and laws when they start business in China. And it’s also the international convention.”

Google says another factor in the pull-out was attacks by hackers.

Shi said, “We are not quite clear about the hacker attack Google mentioned. But it did not appeal to the relevant regulator or ask the Chinese government to carry out investigations on the case. “

Some say it’s debatable that Google has completely withdrawn from China, as it transferred its search business to Hong Kong.
• Source(s): CCTV (China)
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24
Mar
10

Google in hot water

NEWS
Google in hot water

Wednesday, March 24, 2010

••• Google has recently been warned by several foreign authorities over its controversial services including Google news, Google street view, as well as the latest social network service Google buzz.

Last month, the European Union Commission said it had received various requests for anti-monopoly investigations regarding the Internet search giant. They claim Google has been filtering out its competitors on purpose in order to keep more advertisement profits.

In France, the government has formed a special team to investigate lawsuits filed by local media companies against Google. They accuse the company of profiting from their products without reimbursement. Another lawsuit was filed by Louis Vutton.

The luxury bagmaker said it has found links on Google’s website to pirated products. Italian authorities have also launched an anti-trust investigation against Google filed by the country’s print media.

Meanwhile, Google street view, which was introduced in 2007, has challenged privacy laws in Britain and Germany. Though the company has begun to obscure search results for human faces and car license plates, it is still frequently taken to court for violating privacy rights. Its latest social web service, Google Buzz, has also been accused of a privacy breach. The company was ordered by the Canadian government to explain privacy bugs, which have already triggered widespread complaints.

Google’s trouble seems to be everywhere. Recently Spanish telecom operator Telofonica accused the company of using free bandwidth for its own benefit. The company said it is considering charging Google for network use.
• Source(s): CCTV (China)
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24
Mar
10

Who will share the cheese after Google moves?

NEWS
Who will share the cheese after Google moves?

Wednesday, March 24, 2010

••• Netizens said Tuesday Google’s withdrawal from the Chinese mainland was only a “publicity stunt” while experts believed the online search giant had abandoned its cheese when no others moved it.

Google announced Tuesday morning that it had stopped censoring its Chinese-language search engine Google.cn and redirected Chinese mainland users to another portal in Hong Kong.

Google’s earlier threats to pull out of China and its latest move to reroute traffic to Hong Kong were just “publicity stunts,” said a netizen named Ding Wei on the Internet industrial network www,sootoo.com.

“Google’s redirecting Google.cn to Google.com.hk is a compromised decision reflecting that the company wants to save its reputation in China,” the netizen said.

Google said in Tuesday’s statement it still intended to continue research and development and maintain a sales staff in the Chinese mainland.

Experts interviewed by Xinhua said they believed Google’s latest move was mainly out of business and market concerns, adding that Baidu and other Internet companies doing business in China would benefit from Google’s withdrawal.

“Google faces censorship in about 25 countries, but why does it only quit the Chinese mainland? Because it can not beat Baidu,” said Dr. Wang Yu, a Nanjing University lecturer.

“Google does not give up its smart phone operating system Android or other partnerships with domestic Internet companies, because unlike Google.cn, they are all promising,” said Wang who specializes in network information studies.

The domestic search giant Baidu would not be the only beneficiary of Google’s exit.

“Google’s about 30 percent market share in search services on the mainland will be absorbed not only by search engine rivals but also companies doing other search-related businesses,” said Li Zhi, a senior analyst with Analysys International, a leading Chinese Internet consulting company.

According to Analysys, Baidu occupies about 60 percent of the market share. Sohu’s Sogou, Tencent’s Soso and other new-comers including Microsoft’s Bing were all eyeing Google’s share of the market, analysts said.

Microsoft’s Beijing office said in an email reply to Xinhua on Tuesday that the company regarded China as the most important online search service market.

“The pull-out is the price to pay for Google’s move of politicizing commercial issues,” Li Zhi said.

Sean Tzou, CEO of Trina Solar Limited, a U.S. joint venture based in Changzhou of Jiangsu Province, said the biggest challenge for many joint ventures in China was their willingness and ability to adapt to the local environment.
• Source(s): Xinhua News Agency (China)

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23
Mar
10

Google case will not affect China – United States relations

NEWS
Google case will not affect China – United States relations
▪ China says Google issue will not affect China – United States ties

Tuesday, March 23, 2010

••• Google’s withdrawal from the Chinese mainland will not affect China-U.S. relations “unless someone politicizes the issue,” Chinese Foreign Ministry spokesman Qin Gang said Tuesday.

Qin told a regular press conference the Google issue was a commercial matter and would not damage the image of China.

He said moves to tie the issue to the China-U.S. relations were “making a fuss” and “overstating the issue.”

The Chinese government encouraged and pushed for the openness of Internet and its management according to its laws and regulations, which was common practice in all countries, Qin said.

“What China is striving to prevent on the Internet is the flow of information that would pose a danger to national security and the interests of the society and the public,” he said.

“Any foreign company operating in China must abide by Chinese laws and regulations,” Qin said.

China would stick to the strategy of opening-up and the principle of mutual benefits, and welcome foreign entrepreneurs to invest and do business in China within the law.

“We will create a sound environment for them,” he said.

Google’s chief legal officer David Drummond said his company would “stop censoring” in a blog post at about 3 a.m. Tuesday Beijing Time, more than two months after the company said it had been attacked by hackers operating in China and was reconsidering its approach to China.
• Source(s): Xinhua News Agency (China)

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22
Mar
10

China says Google breaks promise, totally wrong to stop censoring

NEWS
China says Google breaks promise, totally wrong to stop censoring

Monday, March 22, 2010

••• Google has “violated its written promise” and is “totally wrong” by stopping censoring its Chinese language searching results and blaming China for alleged hacker attacks, a government official said early Tuesday morning.

The official in charge of the Internet bureau under the State Council Information Office made the comments about two hours after the online search service provider announced it has stopped censoring its Chinese-language search engine Google.cn and is redirecting Chinese mainland users to a site in Hong Kong.

“Google has violated its written promise it made when entering the Chinese market by stopping filtering its searching service and blaming China in insinuation for alleged hacker attacks,” said the official.

“This is totally wrong. We’re uncompromisingly opposed to the politicization of commercial issues, and express our discontent and indignation to Google for its unreasonable accusations and conducts,” the official said.
Google’s chief legal officer David Drummond made the “stop censoring” announcement in a blog post at about 3 a.m. Tuesday Beijing Time, more than two months after the company said it had been attacked by hackers supported by the Chinese government and was considering pulling out of the Chinese market.

The Information Office official said relevant departments of the Chinese government talked with Google twice at its requests, on Jan. 29 and Feb. 25 respectively, to hear the company’s real intentions and demonstrate sincerity of the government.

“We made patient and meticulous explanations on the questions Google raised (in the talks), …telling it we would still welcome its operation and development in China if it was willing to abide by Chinese laws, while it would be its own affair if it was determined to withdraw its service,” the official said.

“Foreign companies must abide by Chinese laws and regulations when they operate in China, ” the official said.

He noted that the Chinese government encourages the development and promotes the opening-up of Internet.

“Online opinion exchanges are very active in China and e-commerce grows rapidly here. As facts have demonstrated, the environment for Internet investment and development in China is sound,” the official said.

“China will unswervingly adhere to the opening-up principle and welcomes foreign companies’ participation in the development of Internet in the country,” he said.

The official also vowed the government will provide good service to foreign businesses, adding Internet will maintain, as before, rapid growth in China.
• Source(s): Xinhua News Agency (China)

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22
Mar
10

Google says its Google.cn site redirected

NEWS
Google says its Google.cn site redirected

Monday, March 22, 2010

••• Google Inc. on Monday said users visiting Google.cn are now being redirected to Google.com.hk.

The U.S. Internet company said in a blog posting that it intends to continue R&D work in China and also to maintain a sales presence there.

• Google to offer browser plug-in for privacy protection

Google is working on developing a browser plug-in that will let users opt-out of being tracked by Google Analytics.

Google Analytics product Manager Amy Chang said that engineers had been working on the plug-in during the past years and it would become available globally in the coming weeks.

According to a study by University of California, Google Analytics had been used in 71 percent of roughly 400,000 top domains as of March 2009. Google-controlled web bugs are tracking users on 92 of the net’s top 100 sites.

Although widely used in the world, the tool, Google Analytics, has always been criticized for privacy infringement.

“Now, there is a solution to that,”said Chang,”The plug-in will give users the choice to fully opt-out of sending any information back to Analytics”.

Google Analytics is a tool for tracking and analyzing site traffic. If the plug-in is finally installed in a large proportion of netizens’ computers, website builders and advertisers might find it hard to get the accurate data of click rate.
• Source(s): Xinhua News Agency (China)
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22
Mar
10

Google stops censoring in China

NEWS
Google stops censoring in China
• Google moves Chinese search to Hong Kong

Monday, March 22, 2010

••• Google has stopped censoring its search and news results in China and began redirecting visitors to Google’s Chinese-language service hosted in Hong Kong, making good on a threat in its high-profile standoff over censorship with Chinese officials.

The company said it is not pulling out of China and it will continue to host non-search services in China and intends to keep sales and research operations in China.

A Google spokesman said it is “too early to tell” what will happen to its roughly 600 employees in China, who may be reassigned.

David Drummond, the company’s chief legal officer, wrote in a blog post that the company’s Hong Kong site is “offering uncensored search in simplified Chinese, specifically designed for users in mainland China and delivered via our servers in Hong Kong”.

Mr Drummond said Google believes the move is a “sensible decision,” but said Google is “well aware that it could at any time block access to our services”. The company has also set up a site showing users which of its services are available in China and which are being blocked by the government.

“We want as many people in the world as possible to have access to our services, including users in mainland China, yet the Chinese government has been crystal clear throughout our discussions that self-censorship is a non-negotiable legal requirement,” Mr Drummond wrote.

The announcement comes after months of suspense over the fate of Google’s Chinese business, which has been in jeopardy since January 12, when the company said it would stop censoring its search results after it was hit by cyber attack it traced to China.

Google said at the time that it was increasingly troubled by China’s attempts to limit free speech.

The White House said it is “disappointed” that Google and China couldn’t settle a months-old dispute over censorship, but respects the company’s decision to stop its censored web-search services in China, Dow Jones Newswires reported later.

“We are disappointed that Google and the Chinese government were unable to reach an agreement that would allow Google to continue operating its search services in China on its google.cn Web site,” National Security Council spokesman Mike Hammer said.
Google said earlier that it will rout users to uncensored versions of Google Search, Google News and Google Images hosted in Hong Kong (Google.com.hk). The firm, which said in January that it was hit by a cyber-attack it traced to China, said it isn’t pulling out of the country, however.

Mr Hammer said in an email that the NSC was informed by Google shortly before its announcement.

“Google made its decision based on what it believed was in its interest,” Mr Hammer said. “We respect Google’s decision and refer you to the company for details. We have previously raised our concerns about this issue directly with the Chinese government.”

The matter is the latest in a series of disputes between Washington and Beijing, a list that includes the US’s concerns over China’s currency and China’s fury over a US arms deal with Taiwan.

Mr Hammer said US-Sino ties are “mature” enough to cope with differences of opinion.

• Source(s): The Wall Street Journal & Dow Jones

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22
Mar
10

Indifference, uncertainty cloud Google’s China threat

NEWS
Indifference, uncertainty cloud Google’s China threat

Monday, March 22, 2010

••• As the world’s largest search engine Google has been reported to announce its plan of leaving China on Monday, most Chinese Internet users believe they will be ok with a no-Google Internet despite all predictable inconvenience.

In a survey conducted by http://www.huanqiu.com, the official website of the Global Times newspaper, an affiliate of the People’s Daily, Internet users were asked “What’s your opinion of Google’s pulling out of China?”

Up to 84 percent of more than 27,000 respondents answered the “Don’t care” option.

“If Google wants to leave, just do it, and I will turn to Baidu. For sure we can survive without Google,” said an anonymous comment from Shandong Province on the news portal Xinmin.cn.

Google stirred up controversy in the world’s media and on the Internet in January when the company’s chief legal officer, David Drummond, said in a blog that Google might shut down google.cn and its China office due to disputes with the Chinese government and unidentified cyber attacks against its Chinese users.

The drama has continued for more than two months, during which its senior executives reiterated the company’s threat to stop “censoring search results in China,” while at the same time revealing the company was “negotiating with the Chinese government.”

The Chinese government has insisted that it maintains its regulation of the Internet and that foreign companies must abide by Chinese laws and regulations.

Google CEO Eric Schmidt said earlier in mid March that the company’s course of action would be announced “soon”.

“At first I felt sorry for Google, but after so many disputes, many of us get sick of it,” said a posting by “Caidao Rouqing” on the popular Tianya website.

Google has had problems in other countries too, ranging from lawsuits to disputes with governments in Germany, Britain, France, the Republic of Korea and its homeland, the United States.

However, Chinese users fear they will be unable to use the English-language google.com and other Google services, such as Gmail and Gtalk, if Google shuts down google.cn.

The worst but also likely scenario would be “an absolute pulling out” of all Google services, said Peter M. Herford, former producer of the U.S. current events show, “60 Minutes,” and journalism professor with Shantou University in south China’s Guangdong Province.

“Chinese searchers have Baidu and a few minor search engines, and English searchers will have Microsoft’s Bing and Yahoo,” Herford said, who is a long-term Google user and Internet observer.

“Google search in China is a minor player, and China is a very small part of Google’s search business. This is not the end of the world by any means,” Herford said.

Still, some netizens do regret the loss of services tailored for Chinese users on google.cn, such as maps, videos, music and translation.

Chinese blogger Ding Wenqiang said people would feel uncomfortable using alternative services at first, but would soon get over it.

“It’s like breaking up with boyfriends or girlfriends. People will find new ones soon,” Ding said.

Internet users in China who rely on Google for business also have their own worries.

Although Google’s threat to pull out did not mention its Internet advertisement businesses in China such as Google AdWords and AdSense, website operators who profit from the business-to-business tools still worry about the uncertainty.

“Google’s advertising services have created a lot of job opportunities in the Chinese Internet market, which has not been noticed by ordinary Internet users,” said Huang Haowen, an I.T. blogger who proclaims to be a loyal google fan.

Li Zhi, an analyst with Analysys International, said that AdSense was the main source of Google’s profit in China and a major competitor among tailor-made advertisement publishing tools in China’s market.

“If Google also pulls out AdSense, Baidu will be more dominant in online advertising business, and that might raise the costs for Chinese advertisers,” Li said.

As of 7 p.m. Monday, Google has yet to make any announcement on its plan of quiting China.
• Source(s): Xinhua News Agency (China)

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