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NetEase and pollution – China’s latest business and technology news


Air purifiers

  • Despite the Chinese government’s efforts, air pollution is going to be a fact of life for many Chinese cities for years to come. So it makes sense that TechNode reports that “the market for air purifiers in China is predicted to pass the RMB 100 billion mark ($15 billion) this year.”
  • TechNode says that foreign brands have generally been preferred “with even big [domestic] names such as Xiaomi previously heavily criticized by Chinese media for quality issues,” but that Chinese brands are catching up.
  • Internet company NetEase, best known for games, has begun producing air purifiers based on the success of its air-quality mobile phone app.

Ecommerce

Bloomberg says that Kaola, an ecommerce unit of NetEase, “will buy about $11 billion of inventory over the next three years from the U.S., Europe and Japan to woo customers with everything from Dutch baby formula to Japanese cosmetics.”

  • Kaola is “already the biggest player in China’s cross-border ecommerce sector with about 24 percent of the market in the first half of 2017.”
  • Bloomberg says ecommerce “has rapidly transformed from a side business into a core part of NetEase’s future,” which already accounts for 21 percent of the company’s revenue.
  • NetEase has its work cut out for it to compete against the many ecommerce offerings of Alibaba and its upstart competitor JD.com, as well as the millions of online stores on WeChat and other platforms.

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Jeremy Goldkorn

Jeremy Goldkorn worked in China for 20 years as an editor and entrepreneur. He is editor-in-chief of SupChina, and co-founder of the Sinica Podcast.