Tencent need Sogou, or to fight against Ali and byte jump

category:Internet
 Tencent need Sogou, or to fight against Ali and byte jump


However, sell oneself Tencent, can you do a good search? News out, Sohu and Sogou share price trend shows that the market is optimistic about this move. However, in the situation of byte skipping and Ali all supporting search, there are still many unknowns about the future search market pattern.

On the evening of July 27, Sogou, Chinas second largest search company, announced that it had received a privatization offer from Tencent. Tencent is prepared to buy other shares of Sogou at a price of $9 per share. If the acquisition is successful, Sogou will delist from the U.S. stock market.

As of the end of the day, Sogous share price rose 48%, with a price of $8.5 and a market value of $3.2 billion. Meanwhile, Sohu shares surged 39.96% to $15.55 on Monday.

The frustrating fate of the second largest search company

On September 16, 2013, Sohu, Sogou and Tencent jointly announced the strategic cooperation. Tencent injected US $448 million into Sogou, and incorporated Tencents Sogou business and other related assets into Sogou. After the transaction, Tencent acquired 36.5% of Sogous fully diluted shares.

In Tencents ecology, Sogou has been blessed, and it is default as a general search engine, providing general search products. Even wechat also opens the door to Sogou.

If Sogou is not on the market, Wang Xiaochuan will not find a girlfriend. This widely circulated saying once represented the determination of Wang Xiaochuan, a technical elite. Even with Baidu, Wang Xiaochuan did not shrink back and give up, and eventually created Sogou input method and other national applications.

However, since the listing, Sogous share price has been falling.

On the evening of November 9, 2017, Sogou was officially listed on the New York Stock Exchange with the stock trading code of SOGO and the issue price was US $13 per American Depository Share (ads). On the day of listing, the opening price was the same as the offering price, and the closing price was up 4.38%. The market value of the company reached 5.3 billion US dollars.

The day before the announcement of the Tencent acquisition, Sogou closed at $5.75, just 44% of the offering price.

Wang Xiaochuan, who was appointed by Zhang Chaoyang to kill Baidu, did not kill Baidu. When facing the risk of selling himself, he chose Tencent as a life-saving straw. Now, when the development encounters a bottleneck and the value is not recognized, it is Tencent that comes forward to offer an invitation.

A company, like life, wants to live. We often say that to be a company, to live is the first thing. .

At present, whether it is Sogou or Sohu, to survive, has become a serious proposition that can not be bypassed.

Wang Xiaochuan once said that entrance + content is the condition for search, users must be able to think of you as long as they want to get information. Obviously, Wang Xiaochuan is going in the right direction.

Among them, relying on Tencents strong ecological drainage, Sogou search users accounted for 32.0%, baidu mobile search users accounted for 71.1%, and Alibabas Shenma search also accounted for 40.3%.

However, in recent years, the rise of headlines, the impact of information flow advertising and the surge of traffic price make Sogou unable to find a new growth point, and its revenue growth is weak.

Once the acquisition of Sogou by Tencent is completed, Sogou will become a private indirect wholly-owned subsidiary of Tencent. According to Wang Xiaochuans circle of friends, Sogou expressed his gratitude to Tencent for its recognition of Sogous value, technical capability and product innovation capability. Next, it will seriously discuss and measure relevant issues, so as to enable Sogou to continuously create greater value for users.

Search business has always been Tencents obsession. At that time, the search business that Tencent merged into Sogou was once an independent search division within Tencent. However, it was simplified and divided and disappeared with the incorporation of Sogou. However, with the increasing volume of Tencent, Tencents action in search has never stopped, and the cooperation with Sogou is also deepening.

According to the official data released by wechat this year, the number of small programs exceeded 3.2 million and the daily life exceeded 400 million. During the epidemic period, the data performance and social value of wechat small programs were more widely recognized

For Tencent, the past cooperation with Sogou is Sogous third party service for WeChat. If Kwai Sogou is incorporated, WeChat will be able to find a huge Content Ecosystem in search of prime business. In addition, Tencent eco partners, such as Jingdong and fast hand, can also take advantage of the potential to develop traffic cooperation.

The entrance and content mentioned by Wang Xiaochuan can be easily realized in Tencent ecology. For Tencent, Sogou can not only give mature technology, but also become an important key closed loop in ecological development. Strengthening its search capabilities will help Tencent develop its social networking and advertising.

Not long ago, Alibaba innovation business group established the intelligent search business department, focusing on the layout of the previously launched intelligent search app quark. Its published data show that the number of active users of quark search has increased 5 times, the search volume has increased 6 times, and the search volume of AI camera recognition has increased by more than 10 times in the past year. Alipay is also reintegrating search business, opening the flow of home search center, upgrading the search box to better match the new positioning of Alipay after upgrading to digital life platform. In the post mobile Internet era, the significance of code adding search business may not only lie in making money and doing business, but also in opening up the ecology and enabling users to get a better experience. After experiencing the rough development stage of Baidu Putian system, search business has entered the stage of fine operation of competition technology and ecology. For Wang Xiaochuan or Tencent, it is necessary to adjust the expectation of search. If Wang Xiaochuans Sogou continues to be independent, it may become a chicken rib. But once Tencent becomes the owner, it may become the engine of the giant. Extended reading Oh, good! Jay Chou quickly broadcast live for half an hour to earn a suite. Reporters on the spot hit the Kwai. Sky question No.1 soaring to the scene cheering: never so proud and tears! Tianwen-1 Mars probe launched successfully_ NT2541

Not long ago, Alibaba innovation business group established the intelligent search business department, focusing on the layout of the previously launched intelligent search app quark. Its published data show that the number of active users of quark search has increased 5 times, the search volume has increased 6 times, and the search volume of AI camera recognition has increased by more than 10 times in the past year. Alipay is also reintegrating search business, opening the flow of home search center, upgrading the search box to better match the new positioning of Alipay after upgrading to digital life platform.

In the post mobile Internet era, the significance of code adding search business may not only lie in making money and doing business, but also in opening up the ecology and enabling users to get a better experience. After experiencing the rough development stage of Baidu Putian system, search business has entered the stage of fine operation of competition technology and ecology.

For Wang Xiaochuan or Tencent, it is necessary to adjust the expectation of search. If Wang Xiaochuans Sogou continues to be independent, it may become a chicken rib. But once Tencent becomes the owner, it may become the engine of the giant.