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The Dragon's Web and Asia Internet
 

The Dragon's Web and Asia Internet

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According to the latest report from CNNIC, we surely see a huge potential on web and mobile market in China. A Massive Market might be the most common description for the Dragon’s web. : ...

According to the latest report from CNNIC, we surely see a huge potential on web and mobile market in China. A Massive Market might be the most common description for the Dragon’s web. :

* 316million Internet users, ~2.9million Chinese web sites;
* But, the Internet penetration has reached only around 25%;
* 107million bloggers by end of 2008;
* 670million mobile subscribers;
* and ~117million users surfing Internet on their mobile devices.
But, considering the population of China, you probably would not be surprised by the figures above. So in this post, I am not going to spend time on these figures which I do think are getting boring. What is the most important and also interesting topic, at least for me, is: How dose this industry evolve?

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    The Dragon's Web and Asia Internet The Dragon's Web and Asia Internet Presentation Transcript

    • The Dragon’s Web & Asian Internet Dr. Gang Lu Founder & Chief Editor of MOBINODE.com Co-founder of OpenWeb.Asia Workgroup Co-organizer of OpenWebAsia Conference
    • An Open ‘Me’ Ad hoc Networks 3G Application JBoss Netvibes TechCrunch ReadWriteWeb Universal Widget API Blogger Evangelist OpenWeb.Asia Entrepreneur MOBINODE.com Widgetized Open Web 2002 China/Asia Web Now
    • Dragon’s Web
      • 316million Internet users, ~2.9million Chinese web sites.
      • The Internet penetration has reached only around 25% .
      • 107million bloggers by end of 2008.
      • 670million mobile subscribers, ~117million users surfing Internet on their mobile devices
    • The Evolution of Dragon’s Web
    • Fact One - Copycats
      • The C2C (Copy-2-China) Model:
      • YouTube - Youku , Tudou , Ku6 , 56 etc
      • Facebook - Xiaonei , Hainei , Xiaoyou , Tongxue, Kaixin001 etc
      • Twitter - Fanfou , Jiwai , Zuosa , Digu etc
      • Linkedin - Wealink , Tianji , Linklist etc
      * Unlike copycats in other countries, Chinese copycats can not only survive , and also dominate the local market.
    • Fact Two - Reformation
      • Social Networking - Kaixin001 .com skyrocketed to 30 million registered users from the middle of last year focusing on white collar users with social gaming; 51.com implemented Virtual Coin and payment API into its open platform and the API will be integrated into OpenSocial and already implemented in Hi5.com ;
      • Microblogging (Twitter) - Digu .com is turning Twitter like service from a Tool for sharing information to Entertainment to attract Chinese young generation and non-geeks.
    • Fact Three - Innovation
      • Social Networks can be distributed - Comsenz developed UCHome a mini version of Facebook-like SNS which can downloaded for free . Over 150K downloads so far ;
      • Combination of Traditional business and Web 2.0 - Dianpin .com is very popular place to search for restaurant; Alipay .com allows you to pay after you receive the goods; Liba .com provides a full package for your living (housing, wedding etc).
    • Internet Culture
      • QQ - by end of 2008, 891.9millions registered user accounts, 376.6millions active user accounts; 31.4millions Fee-based Internet value-added services registered subscriptions; 14.7millions fee-based mobile and telecommunications value-added services registered subscriptions. Tencent, owner of QQ has RMB 7.15billion revenue, its gross profit reached RMB 4.98billion .
      • Bulletin Board System (BBS) - In China the registered BBS users have reached 3000+ millions ; ~80% of Chinese sites are running their own BBS and the total daily page view is over 1600 millions and 10 millions posts are published every day. In China around 36.3% users spend 1-3 hours on BBS, about 44.7% users spend 3-8 hours and even 15.1% users are on BBS for more than 8 hours a day. Over 60% of users will login at least 3 BBS more than 3 times each every week.
    • Ads Market: from Offline to Online
      • In China, Ads are everywhere in your real life.
      • Sina the biggest online Chinese news portal acquired Focus Media the leading outdoor media operator
      ?
    • When West Internet Culture Meets Dragon
      • Many foreign Internet companies fail in Chinese web market, including MySpace , eBay , AOL etc, Google is doing OK but just takes ~30% market share; It is too late for Facebook ; Netvibes is too complex; Twitter is still for geeks; YouTube has very strong competitors ;
      • However , many foreigners are now setting up their startups in China, e.g. Qifang won Technology Pioneer award from WEF; ChinesePod was TOP10 podcast site by TIME; CMUNE creates a new web-based cross-platform 3D engine; Neocha is one of the leading SNS focus on artists and indie musicians;
    • Asia Web
    • US/EU Web and Asia Web
      • In US/Europe Web
        • Becoming an International company is relatively Easier!
        • Language is Not huge barrier,e.g. Le Web 3
      • In Asia web
        • China has a huge market; Japan has a very advanced Mobile market ( Felica Networks ); Korea is leading the online gaming ( Nexon )
        • Hardly find a cross-country web company or service.
        • It is very interesting that Asia local industry seldom or never talked to its neighbours despite the culture is similar.
    • What is Really Happening in Asia 1 Japan - Mobile market is far ahead of the rest of world,e.g. Mixi , GREE , FelicaNetworks ; Always the entry market for western service, e.g. Youtube, Facebook, Twitter etc; There are some clones, but with more innovations, Nicovideo.jp ; HongKong - Not many startups, but they focus on global market, EditGrid , AliveNotDead ;Some companies have their office set up in GZ/BJ/SH, e.g. CityIN , Moochi etc; Taiwan - You can always find some influencial and successful person are from Taiwan, e.g. the co-founder of YouTube; Korea - has very good infrastructure; Naver still dominating the market; Online gaming is conquering the world, e.g. Nexon , CMUNE ; CyWorld is operating outside the Korea; StoryBlender won TechCrunch 40; Wisia . us has very good implementation and cool design!
    • What is Really Happening in Asia 2 Singapore - Small market but its government is very supportive and the centre of SouthEast Asia; Israel - Many startups actually are founded by Israel entrepreneurs; Vietnam - The battle place when those big names decide to go abroad; China - 289 million users, 162 million users blog, 118 million users surfing web from mobile device; SNS, Video-sharing, Open platform, P2P, B2B, C2C etc, the market is so promising; Many startups founded by foreigners but are based in China, e.g. Qifang , Neocha , Chinesepod etc are doing great work. Mobile market is much larger than wired web market and more mature; 3G just arrived; Web market is still very young and still entertainment-centric. India - is Not really in Web2.0 yet; But they don’t have the language barrier and very active in western market, e.g. SlideShare.net ; Startups are getting hot, e.g. Burrp , Picsquare etc;
    • We Need an Open Web in Asia OpenWeb.Asia Workgroup
    • Missions of OpenWeb.Asia Workgroup
      • OpenWeb.Asia Workgroup is an independent organization focus on Asia web/mobile market, we are
      • Building an efficient channel connecting the Western and Eastern web;
      • Bringing more Asian countries/regions into the big family and bridging Asian local markets;
      • Building an ecosystem, recognizes the great startups, companies, individuals from Asia and bring them to the greater stage;
    • OWA Union
      • Local Communities
      WebWednesday (hk) 5G Group (cn) Barcamp (cn) Lunch 2.0 (cn) Bangke (cn) E27 (sg) TokyoWeb2.0 (jp) PunchParty (tw) OWA India iDrink (is) OpenWeb.Asia Union - Unite the Local Communities BossOnly (cn)
      • The first truly pan-Asia international conference focus on Asia web industry has been held in Seoul Korea at 14th Oct, 2008 , in association with the 9th World Knowledge Forum .
      • Speakers include Loic Le Meur , Jason Calacanis , Yongseok Jang , James W.Kim , Arthur Chang , Kevin Day , Shusaku Maruko and many others.
      • Companies include Friendster , Yahoo Korea , Felica Networks , Nexon , 51 , Opera Asia , Alibaba , Mahalo , etc
      • Sponsored MCST and Naver , and media partners include 163 .net (China), CNET Japan , ReadWriteWeb , Maeil Business (Korea), Mashable , Sohu (China) etc.
      • Visit www.openwebasia.com for detail.
      OpenWebAsia ‘08
    • OWA Ecosystem OWA Union Angel Fund Venture Capital Incubators OpenWebAsia Conference Startups Experts Individual s Asian Audience TechCrunch NetExplorateur DLD LIFT Talk to Asia, Identify the Best, Introduce them to the World Le Web
    • Thank You!
      • msn: uklugang@hotmail.com skype: crazypalm twitter: ganglu blog (en ) : www.mobinode.com blog (cn): www.mobinode.com/chinese