With a 36% share of the Chinese online video market, Youku.com (YOKU +27.4%) and Tudou (TUDO...


With a 36% share of the Chinese online video market, Youku.com (YOKU +27.4%) and Tudou (TUDO +156.5%) will tower over #2 Sohu.com (SOHU) and #3 Baidu (BIDU) following their merger, notes Jiang Zhang. Moreover, the tie-up will help the combined company address rising bandwidth and content costs, and allow Youku to enter the Chinese mobile video market. Zhang speculates smaller players such as Ku6 (KUTV +11.9%) could now be acquisition targets for Sohu or Baidu.
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