Sina – Investment Conference Presentation – Part 2 –

Sina Presentation – Part 2 – Mobile and P2P
For part 1, see http://chinese-net-gaming-stock.blogspot.com/2007/04/sina-investment-conference-presentation.html

Mobile -

Next, Charles Chao, CEO of Sina, talked about the mobile business. He think under the current model, the SP model, the mobile business will continue the decline. But for the long term, he believe many users will access the internet through mobile phones.

Sina is currently doing two things for the long term future:
1. All the efforts Sina is doing on the portal side, be it contents or applications, all have mobile phones in mind.
2. Invest in the free WAP service.

He see the future business models for the mobile phone business is:
1. through advertising and
2. through m-commerce (similar to e-commerce on the internet).

He thinks for the next two years, ad will grow 40% YoY, while mobile will decrease by 15% YoY. Thus, by 2008, mobile will present a very minor part of Sina.

P2P –

In the Q&A session, he talked about the challenge he faces from the new startups. There are many startups in China who have a head start on blogs and P2P. They are the hottest recipients for venture capitalist’s funding right now. But he believe these companies’ products can be easily copied. They will be crushed by big established company’s like Sina. Sina is starting to dominate the blog in china and will likely do so on video sharing or P2P (point to point).

In part 3, I would have my comments.