Youku CEO Victor Koo and P2P streaming media site Funsion's CEO Frank Luo said that they welcomed CCTV.com, the first effort by China Central Television to enter the video-sharing field. Asked about what effect the new site would have on traffic, Luo acknowledged that it would certainly affect traffic, but said that Funshion "focuses on on-demand broadcasts, and has a clear advantage in the quantity and video quality of its programming. In the short term, CCTV.com poses no direct threat. Victor Koo said that the video-sharing market is "big enough for everybody to develop together."
Previously, the State Administration of Radio Film and Television (SARFT) had issued an announcement on its website that CCTV.com was preparing to launch a national online television station.
Editor's Note: For more background on CCTV.com's entry into the online video space, please see"CCTV.com to Launch National Online TV Station"