Sou Hu Cai Jing·2025-08-24 03:09Core Viewpoint - Baidu's latest financial report reflects the complexities and challenges of its transformation amid the AI wave, showcasing a stark contrast between breakthrough progress in AI new businesses and a decline in overall revenue and profit [1][3]. Group 1: Financial Performance - In Q2 2025, Baidu's non-online marketing revenue surpassed 10 billion RMB for the first time, achieving a 34% year-on-year growth [1]. - Baidu's intelligent cloud revenue grew by 27% year-on-year, reaching 6.5 billion RMB, becoming a key growth driver [1]. - The core online marketing revenue, once a cash cow, has seen a continuous decline for five consecutive quarters, dropping by 15% to 16.2 billion RMB in the latest quarter [1]. Group 2: AI Transformation Strategy - Baidu is aggressively pushing for AI integration in its search business, aiming to become the most aggressive player in global search AI [1][3]. - As of July, AI-generated content covered over 64% of mobile search result pages, significantly higher than Google's coverage, indicating Baidu's commitment to AI search [1]. - Baidu's strategy contrasts with Google's more conservative approach, as Baidu seeks to fully disrupt search through technology, while Google opts for a gradual integration of generative AI capabilities [3]. Group 3: Market Challenges and Strategic Adjustments - Baidu faces internal and external pressures, including competition from community and short video platforms, leading to a weakened search market [5]. - The company is under pressure to find new growth points, but traditional business instability and short-term returns from new ventures pose challenges [5]. - Baidu's leadership acknowledges the need to focus and optimize resource allocation, aiming to balance short-term pressures with long-term vision in the AI era [5].