Chinese Internet giant Baidu is the latest company to show that the financial tsunami is having truly global effects on media companies.
The Nasdaq-listed search engine revised down its fourth-quarter revenue forecasts from a previous range of 1.05 billion yuan ($155 million) to a 15% lower target of $131 million.
“The economic slowdown in China is having a greater than expected impact on online marketing particularly in machinery and franchising,” company said in a statement.
But chairman and CEO Robin Li forecast a return of business after a period of shakeout.
“As online marketing customers adjust to the current difficult economic environment, we believe they will increasingly realize the value of paid Internet search as a very powerful performance-based model,” Li said.