China Central Television (CCTV), the largest state-owned television network in China, recently ran a report accusing Baidu of questionable practices regarding medical search advertising. The accusations suggest that Baidu was allowing non-licensed medical companies to advertise while preventing some of the licensed ones from bidding on popular medical terms.
Baidu engaged in talks with CCTV to learn more about their accusations. They also removed paid search listings of medical companies who did not have proper licensing on file with Baidu.
Baidu maintains that they do not prevent the licensed companies from advertising. Advertising by medical companies makes up about 10-15% of Baidu's revenue.
Baidu's Profit Increases 91% in Third Quarter 2008
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