Baidu's AI Search strategy 'will bear fruit' despite starting later than Google: Bernstein

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Baidu's AI Search strategy 'will bear fruit' despite starting later than Google: Bernstein

Baidu's stock has been rated as Outperform by Bernstein, with a revised price target of $130. The analysts noted that while Baidu's AI Search strategy is developing, it lags behind Google's more advanced features. Despite this, there is optimism that Baidu's approach will eventually yield positive results.

The comparison between Baidu and Google highlights the differences in their AI feature rollouts and monetization strategies. Google has experienced rapid user engagement and ad revenue growth following its AI Overview launch, while Baidu's monetization has been slower. However, the analysts believe Baidu's strategy is sound and that the market has not yet priced in its potential success.

• Baidu's AI Search strategy is developing but lags behind Google's advanced features.

• Google's rapid user engagement contrasts with Baidu's slower monetization approach.

Key AI Terms Mentioned in this Article

AI Search

This term is relevant as both Baidu and Google are enhancing their search capabilities through AI technologies.

User Engagement

The article discusses how Google has seen increased user engagement following its AI Overview launch.

Monetization

Baidu's staggered monetization strategy is highlighted as a key difference from Google's rapid revenue growth.

Companies Mentioned in this Article

Baidu

The company is focusing on developing its AI Search strategy to compete with global leaders.

Google

and is a leader in search engine technology and AI development. The company's rapid rollout of AI features has set a benchmark for competitors like Baidu.

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