Baidu, often dubbed China’s version of Google, is one of the world’s leading search engine platforms, boasting impressive reach and growth that have significantly altered global digital landscape.
Baidu offers news, maps, government searches, an encyclopedia and internet TV, in addition to Baidu Knows: an online community closely related to Baidu Search Service.
How Baidu Was Founded
Robin Li (commonly referred to by his various nicknames Baidou, Badu and Li Yanhong) hails from China but later relocated to New York State in order to study computer science at State University of New York (SUNY). Following graduation he secured employment at Dow Jones and Company IDD Information Services where he developed software algorithms for search engines such as Bing.
He later joined Infoseek and developed his site-scoring algorithm known as RankDex, later using this technology in creating Baidu search engine. Together with Eric Xu as co-founder, they raised $1.2 million from Integrity Partners and Peninsula Capital before returning to Beijing to launch their venture.
As Internet use became widespread in the late 90s, Baidu quickly emerged as a formidable search engine. Baidu outpaced competitors in terms of growth and revenue/profit increase – by the end of 1999 it had grown into a billion-dollar enterprise with over 400 employees.
By 2003, Google had begun expanding into other aspects of the internet. They introduced news search, picture search and blog platforms; as well as a free music download service popular because it allowed users to access pirated music such as that available through Napster.
The company also created and released an effective mobile phone application in China, which proved highly successful. This free-to-download app provided search results as well as mobile versions of their websites; thus helping to expand and diversify user bases in a country where mobile phones were rapidly gaining prominence among the population.
As its business grew, so too did its investor base. Finally in August 2005, they made an initial public offering on NASDAQ which resulted in share prices increasing from $27 to $122, valuing them at over $4 billion dollars on their inaugural day of trading.
Getting Started
Robin Li is one of those millionaires who recognized an emerging industry and decided to invest. He created China’s most widely used search engine and today stands as one of the wealthiest individuals in his home nation.
Li co-founded Baidu with biotech salesman Eric Xu in 2000 using technology he had invented while working for Infoseek (then an early search engine). While working there he patented a system for ranking websites according to how many links they had; later known as RankDex.
Li was inspired to found Baidu while visiting his hometown of Yangzhou and noticed that many businesses there had websites but few appeared when searching on major search engines. Determined to change that situation, he ultimately established Baidu which today controls over 80% of China’s search market.
Baidu, like any growing business, experiences its share of growing pains. Last year it came under heavy criticism following the death of 21-year-old college student Wei Zexi after spending thousands on DC-CIK treatment for synovial sarcoma found through Baidu social media sites and discovering its existence through DC-CIK treatment provided through DC-CIK itself. Furthermore, state officials initiated an investigation against Baidu for advertising unqualified hospitals through its search engine Tieba search.
Despite these setbacks, Alibaba continues its rapid expansion at an astounding rate. Revenue increased by nearly 50% in its first quarter this year – enough for it to become China’s most valuable tech firm and gain ground internationally, according to research conducted by Gartner who ranks it second behind only Google as an online search provider.
Baidu’s success can be attributed to its growth mindset, and CEO Jian Ghomeshi and his team must continuously demonstrate they can meet long-term objectives despite obstacles or setbacks.
The Company’s Business Model
Robin Li is one of the pioneers of China’s enduring internet services. Together with Eric Xu, they launched their search engine in 2000 with an aim of revolutionizing internet searching through tailored support for Chinese.
This company utilizes machine learning and natural language processing to deliver results for their users, using big data analytics to enhance existing algorithms and create new services while partnering with content providers, advertisers and technology firms – an approach which has proved immensely successful as their user base has continued to increase rapidly.
Li is currently worth an estimated net worth of $16.5 billion and ranks 8th richest person in China due to his massive stake in Baidu, one of Beijing’s search engines with 648 million monthly active users and revenue over $18.4 billion annually. Baidu also provides other products, such as Chinese-language encyclopedia and mobile application called Baidu Create.
Li was born into a working-class family in Tangquan, a rural region in China’s Shanxi province, but always displayed ambition to achieve greatness. After working hard for acceptance into Peking University and receiving his bachelor’s degree in information management in 1991, he relocated to Buffalo State University for further studies where he earned a master’s in computer science by 1994.
After graduation, he found work with IDD Information Services of Dow Jones and Company in New Jersey where he helped develop software for The Wall Street Journal online version. Later he transitioned to Infoseek Silicon Valley where he designed real-time information system used by Wall Street Journal website.
In 1998, Li published Silicon Valley Business War to share his observations of the US technology industry in the 1990s, with particular attention given to Internet search development and commercialization. At that same time, he also served on China’s People’s Political Consultative Conference as a member advisory body.
The Future
Robin Li is an iconic business entrepreneur known for his unfaltering commitment to innovation. His groundbreaking search engine algorithms changed how we browse the Internet, cementing Baidu as a global technology leader. Robin has garnered numerous accolades throughout his career for his efforts – his awards and honors demonstrate just that; while through various ventures he continues to shape digital technology’s future.
Li is known for co-founding Baidu, as well as serving as Chairman for other important organizations including iQiyi (an online video platform) and New Oriental Education, an educational service provider. Furthermore, his philanthropic efforts include offering scholarships to children in need as well as supporting organizations focused on environmental protection or disaster relief.
Li is well known as an innovative tech pioneer; however, in his personal life he prefers a low profile life and prefers living quietly with his family in Beijing. Married to Dongmin Ma who also works at Baidu and they share four children. Li loves playing basketball, hiking and watching movies during his spare time.
Baidu’s dedication to technological progress is one of the reasons so many top engineers in China choose the company, especially when offered lucrative stock options. Therefore, it should come as no surprise that other tech giants compete fiercely with Baidu for top talent.
Although Baidu’s growth has been phenomenal, it isn’t without challenges. Competition has intensified while regulatory issues have arisen and its U.S. shares have seen dramatic drops from their high point in 2005 of over $900 per share to current levels below $300 per share.
However, Baidu remains dedicated to its mission of pioneering next-generation AI and driving human progress forward. This commitment has propelled Baidu into China’s digital landscape where it remains one of its top search engines as well as being among one of its most beloved websites worldwide.