Microsoft to Sunset China Search and News Services
August 22, 2016
Recent news has made clear that online content from the U.S. or any country foreign to China faces challenges in China. An article from CNN Money recently published Microsoft is giving up on its Chinese web portal. This piece informs us that Microsoft will sunset it’s MSN website in China on June 7. Through their company statement, Microsoft mentions their commitment to China remains and notes China is home to the largest R&D facility outside the U.S. An antitrust investigation on Microsoft in China has been underway since July 2014. The article shares an overview of the bigger picture,
The company’s search engine, Bing, also flopped in the country amid tough competition with homegrown rivals. It didn’t help that in Chinese, “Bing” sounds similar to the word for “sickness.
In September, Microsoft finally ditched Bing for users of its Edge browser in China, striking a deal with Chinese Internet giant Baidu (BIDU, Tech30) to use its search engine as the default.
Other Western tech firms have come under scrutiny in China before, including Qualcomm(QCOM, Tech30) and Apple (AAPL, Tech30). Social networks like Facebook (FB, Tech30) and Google (GOOG) remain blocked in the country.”
It looks like Bing will bite the dust soon, in China at least. Does this news mean anything for Microsoft as a company? While regulations China are notably stringent, the size of their population makes up a notably sized market. We will be watching to see how search plays out in China.
Megan Feil, August 22, 2016
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