Today Sina Technology News, released a second quarter earnings comparison report between two of China’s major video streaming websites, Tudou and Youku. The key point is that Youku is extending its financial lead over Tudou.
Youku’s 2nd Quarter 2011 net revenue was US $30.6 million, a growth of 178% over the same period in 2010. In contrast, Tudou reported US $17.8 million net revenue, and growth of 94.5% over the same period.
In terms of net profit loss, Youku registered a loss of US $4.35 million compared with Tudou’s loss of US $12 million.
Tudou is blue and Youku is yellow
Youku’s cash and cash equivalents totalled US $625 million versus US $20.7 million for Tudou.
Tudou’s operating costs were US $13.1 million, an increase of 38.4% over the same period in 2010. This has been attributed to increased bandwidth costs, mobile operating costs, mobile application store design services, advertising costs and compensation expenses.
Tudou is running low on cash reserves, so has already filed for IPO with SEC and plans to raise US$106 million. There is a rumour circulating that Baidu will acquire Tudou to consolidate it with its already strong video streaming site, Qiyi.com.