02-19-2008, 08:04 AM
I just read this on the Australian Stock Exchange...........http://www.asx.com.au/asx/research/Compa...ryGroup=NO
Mooter Media Limited (ASX: MMZ) today announced that, following the strategic review
outlined at the Company’s Annual General Meeting in late November, it will now
discontinue its operations in China.
It is anticipated that the Chinese business will be closed, staff made redundant and assets
liquidated by the end of February 2008. Collections from publishers will continue for a few
months thereafter. The net “one-off” cash effect of the closure is expected to be
approximately $93,000 up to the end of February.
Mooter Media launched its syndicated search listings network in China in June 2006 and
effectively created a new market segment - enabling search engines to syndicate their
search listings on third party content through Mooter’s Mooter adVantage platform.
Despite initial success, the growth could not be sustained as search engine partners
elected to build their own proprietary networks (driven by the success of the model).
Without the infrastructure and licenses to support a direct relationship with advertisers, the
dynamics of the Chinese market are such that establishment of an economically
sustainable business is marginal compared with other alternatives available to Mooter.
Accordingly, the decision to close Mooter’s Chinese operations will allow Mooter to better
focus on a number of potentially more attractive opportunities in more developed markets
in the US, Australia, Asia and Europe. In particular, those markets have proven that they
more highly value Mooter’s ability to better target and behaviourally optimise the delivery of
online advertising.
Paul Siminsky, CEO of Mooter Media, said, “China is an extremely attractive market if
you are in a position to make a significant investment for the long run, with numerous
intermediate hurdles. Over the last two years, Mooter has developed a range of scalable
technologies and methodologies that enable advertisers to better reach their target
audience, and online publishers to improve their site monetisation. As Mooter moves to
commercialise its capabilities in a scalable environment it is important that we focus on
those opportunities that have the ability to deliver significant value now, rather than those
with potential value in the long term”.
Looks like we were right to stay with Alimama and SinoTech
Mooter Media Limited (ASX: MMZ) today announced that, following the strategic review
outlined at the Company’s Annual General Meeting in late November, it will now
discontinue its operations in China.
It is anticipated that the Chinese business will be closed, staff made redundant and assets
liquidated by the end of February 2008. Collections from publishers will continue for a few
months thereafter. The net “one-off” cash effect of the closure is expected to be
approximately $93,000 up to the end of February.
Mooter Media launched its syndicated search listings network in China in June 2006 and
effectively created a new market segment - enabling search engines to syndicate their
search listings on third party content through Mooter’s Mooter adVantage platform.
Despite initial success, the growth could not be sustained as search engine partners
elected to build their own proprietary networks (driven by the success of the model).
Without the infrastructure and licenses to support a direct relationship with advertisers, the
dynamics of the Chinese market are such that establishment of an economically
sustainable business is marginal compared with other alternatives available to Mooter.
Accordingly, the decision to close Mooter’s Chinese operations will allow Mooter to better
focus on a number of potentially more attractive opportunities in more developed markets
in the US, Australia, Asia and Europe. In particular, those markets have proven that they
more highly value Mooter’s ability to better target and behaviourally optimise the delivery of
online advertising.
Paul Siminsky, CEO of Mooter Media, said, “China is an extremely attractive market if
you are in a position to make a significant investment for the long run, with numerous
intermediate hurdles. Over the last two years, Mooter has developed a range of scalable
technologies and methodologies that enable advertisers to better reach their target
audience, and online publishers to improve their site monetisation. As Mooter moves to
commercialise its capabilities in a scalable environment it is important that we focus on
those opportunities that have the ability to deliver significant value now, rather than those
with potential value in the long term”.
Looks like we were right to stay with Alimama and SinoTech