Development of China’s IT industry and its career prospects

Philip Zheng

Senior HR Director, Baidu.com

51,310

45,730

38,400

29,800

21,000

13,70011,100

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Unit ： 10K

Source ： CNNIC

77%

23%

No. of internet Users 2005-2011Proportion of Chinese Internet Users

2011

Unit ： %

* 2.27 billion netizens by 2011 globally

China: the Largest Internet Users Market in the World

High Growth Potential vs. Low Penetration Rate (38%)

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Global Average 35 %

JP 94%

US 77%

Penetration Rate of Chinese Internet Users 2002-2011

Source ： CNNIC ， 2011/1

Size of Chinese Internet Economy: RMB 272B (2011)

5,647

3,901

2,729

1,513983

705

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Average annual growth rate for Chinese internet industry is 52% YoY. The size of Chinese internet economy exceeded RMB 200B in 2011, which was only 0.58% of the total GDP.

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Size of China internet economy2008-2013e As a Percentage of Chinese economy

Unit:100M RMBUnit:%

Source ： iResearch & Baidu.com

Key Players in Chinese Internet Industry

Trend of Chinese Internet Market

10% 9%

17% 16% 13% 16% 20% 23% 25%

19% 26%34% 40% 44% 44% 45%

7%7%8%9%9% 1%1%1%1%1%1%1%Online payment

Search engine

Mobile internet

Internet ads

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Web game

ecommerce

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*others

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Search ： New Search EngineMobile ： Mobile internetLife ： e-commerce

Source ： iResearch

Vertical business for China internet market 2008-2014e

Search : Next Generation Search Engine

558

384

259

188

1107050

29149

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History ： 20 X in the past 7 years

New Milestone: New Search Engine

Business Size for Internet Search 2005-2014eUnit ： RMB100M

Focus on multi-media, large scale data mining and applications

Source ： iResearch & Baidu.com

Mobile Internet: Accelerate and Explode in China

1,941

1,275

768

393203155120

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Gaining Momentum

Exploding

Source ： iResearch

Business Size for Mobile internet 2008-2014eUnit: RMB 100M

It only took 4 years for mobile internet users to grow up to 350M in China

E-commerce: High YoY Growth in Online Shopping Business Size

15,243

12,692

9,940

7,736

4,980

2,630

1,282

10,744

13,19812,310

11,384

10,2349,7379,860

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China US

2008-2014e on-line shopping size: China vs US

The market size of online shopping in China exceeded RMB770B in 2011, with YoY increase rate of 55%.

Huge Demand for Talent in Chinese Internet Industry

• Size of large internet companies: - Tencent > 20K; Baidu 17K; Alibaba Group >25K

• Hire & Compete for the best in campus recruitment

• Key talent needs• Developers• Testers• Product Managers• Product Operations• UE engineers• Sales and marketing professionals

Talent Profile of Successful Candidates

• Be a fast learner • Be creative• Focus on the final results, rather than the process• Be the best in your technical/ professional area• Be an excellent communicator and collaborator• Be passionate on what you are

going to do• Be willing to win

Gap in Talent Supply for Chinese Internet Industry

• Technical Excellence, Esp. Coding Capabilities

• Experience in Product Development

• Independent Thinking Ability

• Problem Solving Capability

The Beauties of Working in POEs

• Large platform for your career

• Huge growth opportunities

• High performance driven culture

• Simple communication environment

• Less hierarchies

• More earning opportunities

& the Challenges of Working in POEs

• Management is direct and immature

• Process is not right on your hand

• Tools & resources are not well prepared

• Peer pressure is high with faster pace

• You need to figure it out!

The Internet Industry is looking for Those who Want to ......

• Innovate for a new industry

• Stand out as a leader

• Make a big impact for a great mission

• Grow on a fast track• Take a risk but bet

on a bright future