Rumor went around last month that Baidu was in talks with PPStream (PPS) on a potential acquisition. In the past week local media were told by sources that iQiyi, Baidu’s online video service would merge PPS, a peer-to-peer streaming video software, with about $350m to $400m (in Chinese). After the merger, iQiyi and PPS will go dual-branded accordingly.

Back in 2010 when most video site players were burning cash struggling in that crowd, PPS had already announced revenues and even planned for an IPO. In 2011, PPS started to cooperate with game and e-comm players on joint operation, and membership points incentives. Currently game service has grown bgigger in PPS, which contributed 200m to 300m yuan annual revenues to the company.

PPS raised three rounds of funding,  US$1 mn from Ceyuan in 2005; US$10 mn from Ceyuan and Qiming Ventures in 2007; US$20m from LB, Ceyuan and Qiming Ventures. And in 2011, PCCW bought US$28.6409 mn worth of shares

Start your free trial now.

Get instant access to all our premium content, archives, newsletters, and online community.

Monthly Membership

Yearly Membership

What you get

Full access to all premium content and our full archives

Members'-only newsletters

Preferential access and discounts to all TechNode events

Direct access to the TechNode newsroom

Start your free trial now.

Get instant access to all our premium content, archives, newsletters, and online community.

Monthly Membership

Yearly Membership

Charlie Sheng

动点科技驻湾区记者. Charlie is an entrepreneur based in San Francisco and Hong Kong who calls herself the undefeated caffeine champion. You can reach her at charlie.sheng (at) technode.com