Monday, 28 August 2006

MySpace Founder Launches BroadWebAsia to Target Chinese Internet Properties

MySpace founder Brad Greenspan has launched and provided initial funding for BroadWebAsia (BWA), a new company that partners with and powers social networking, entertainment and Internet search properties across Asia.

BWA has already signed agreements to invest in and partner with more than 20 rapidly growing Chinese Internet companies. Combined, these companies have more than 20 million unique visitors and approximately one billion page views per month, with tremendous opportunity for growth, informs an official release.

"The launch of BroadWebAsia will allow me to implement my proven US internet strategy in China, where there are more than 120 million Internet users, making the country second only to the US in terms of online users," said Greenspan. "With less than 10 percent of the Chinese population online, there is vast potential for growth. By partnering with early leaders and working with local management, we will dramatically increase traffic and revenue potential for our emerging online Chinese partners."

Andrew Collier, an analyst with New York Global Securities, says Greenspan will have to make a choice of whether to buy into the existing Chinese social-networking industry or to launch something on his own.

"If he goes it alone, he'll have a tough time dealing with the politics and regulations of the Chinese Internet industry, Collier says. "If he tries to buy into what's already out there, he will face premium prices from the existing operators who are in what will probably be a very attractive area in China."