Wang Zhicheng, deputy chief of the Department of Copyright Administration of China's General Administration of Press and Publication (GAPP), criticized a number of Chinese online video sites as well as Chinese internet company Baidu (Nasdaq: BIDU) at a ceremony in Beijing today announcing the launch of GAPP's "Operation Sword-Net" anti-piracy campaign.
Representatives of 14 major foreign and domestic IP-holding companies and 18 online video sites attended the ceremony.
In September 2010, GAPP called on 15 major online video sites to review the top 50 most-viewed films and top 50 most-viewed TV programs on their own website as well as the top 100 most-viewed films and top 100 most-viewed TV programs across all online video sites, and report the results to GAPP.
Wang Zhicheng said that GAPP had criticized UUSee and VeryCD for not eliminating pirated content from their sites and included both on a list of companies to face increased scrutiny, while Shanda Interactive (Nasdaq: SNDA) video subsidiary Ku6 (Nasdaq: KUTV) and Tencent (0700.HK) received warnings for submitting reports with significant discrepancies when compared to GAPP's own findings. Wang also warned that Baidu's "so-called" video search site Baidu Video would be held legally responsible if providing search results linking to IPR-infringing content. Together, the 18 online video companies participating in the anti-piracy campaign account for 95% of the market.
Editor's Note: For more background on this topic, please see "Chinese Authorities Initiate Piracy Crackdown" MD 7/22/10 issue.