Baidu takes stake in UiTV

China's largest search engine, Baidu, announced it will take a stake and partner with number one Chinese internet video provider UiTV. UiTV will operate Baidu's Internet TV channel, which hosts licensed content from most of large content providers in China.

Baidu stated in a release that the partnership will utilize its reach in the market and UiTV's expertise in online video serving to provide an excellent end-user experience.

Baidu will pay $15 million for UiTV's services and an 8.3 percent stake in the company. The partnership is another indication of widespread consolidation across Chinese media, as many of its large telecommunications companies and cable companies have merged recently in government-sponsored deals. In December 2007, China issued a ruling that required that online video sites be owned by a government entity or government-backed company, which Baidu is.

For more:
- see the joint Baidu-UiTV press release here 

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