Thursday, July 22, 2010

Baidu -- Murky Tech Future

Baidu (BIDU) announced earnings and then confused thinking investors about the future. Robin Li, Baidu's chairman and chief executive officer made this comment in the earnings release "Baidu continues to focus on user experience and has many initiatives on this front to ensure Baidu remains at the center of China's Internet ecosystem."

No real substance. Just a motherhood statement. No comment as to possible acquisitions of technology or funding of R&D. They are on a rocket right now. Yes the Chinese market is huge. But remember Google (GOOG) knocked Yahoo (YHOO) off its perch. Baidu shows no signs of understanding that critical lesson.

Disclosure: No position in any stocks mentioned in this post.