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Beijing-based domestic Internet giant Baidu Inc and China CITIC Bank Corp jointly launched a direct bank Wednesday, competing with two other Internet giants in the country to offer financial services to consumers.
Internet giant Baidu Inc and China CITIC Bank Corp jointly launched a direct bank Wednesday Internet giant Baidu Inc and China CITIC Bank Corp jointly launched a direct bank Wednesday Internet giant Baidu Inc and China CITIC Bank Corp jointly launched a direct bank Wednesday Internet giant Baidu Inc and China CITIC Bank Corp jointly launched a direct bank Wednesday
A direct bank is an online bank without any branch network that offers its services via online platforms.
The new online bank, which will operate under the name of Baixin Bank, has 2 billion yuan ($313.19 million) in registered capital, according to a filing by CITIC Bank posted on the website of the Shanghai Stock Exchange Wednesday.
CITIC's share price soared almost 10 percent on Wednesday, closing at 8.13 yuan.
Baidu's arch rivals Alibaba Group Holding and Tencent Holdings have already dipped a toe in the online bank sector.
E-commerce giant Alibaba launched its online bank Authentic Keith Yandle Jersey , MYBank, in June. The bank aims to provide financial solutions to rural consumers and small businesses, according to the company's website.
And Tencent, which runs the country's most popular social networking mobile app WeChat, established a privately owned commercial bank called WeBank in Shenzhen, South China's Guangdong Province Authentic Roberto Luongo Jersey , according to Tencent's annual report in March. Tencent and its partners invested 900 million yuan in WeBank, in which Tencent owns a 30 percent stake.
Compared to WeBank and Baixin Bank, Alibaba has edges in data processing with respect to Internet financing services, Li Chao, an analyst at Beijing-based research firm iResearch, told the Global Times Wednesday.
He noted that Alibaba's ability to process big data has already been highlighted by its financial products Jared McCann Jersey , such as Yu'ebao.
However, it's not too late for Baidu to enter the online financial services sector, which has yet to be predominantly controlled by Alibaba and Tencent, Li said.
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