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Wired for Profit: China's Internet Boom
Jupiter, Fla. (PRWEB) April 10, 2008 -- Tony Sagami takes a closer look at how China has become the most Internet savvy country. Mr. Sagami explains how the U.S. is no longer the most wired country and how China is now leading in Internet use.
Computers, video games, cell phones, and the Internet have become an integral part of modern life in America. After all, the U.S. is a very wired country. But it may come as a surprise to learn that the U.S. isn't the most wired country in the world. Recent numbers from the well-respected BDA Research group show that China has just leapfrogged over the U.S. and now has more Internet users than any other country in the world. At the end of 2007, China had 210 million Internet users. And that figure is expected to hit an astonishing 280 million users by the end of 2008.
However, China has only scratched the surface of its wired potential. There are 228 million Chinese Internet surfers right now. That translates into only a 16% penetration rate, well below the global average of 19.1% and the U.S.'s whopping 69.7%.The Internet boom may be mature in the U.S., but has a long ways to grow in China.
With nearly 200,000 new users coming online daily, Internet cafes have exploded in popularity across China. Chinese youth don't watch much TV because Chinese television is controlled by the Communist Party and its programming is extremely boring. The average Chinese youth spends more time (20 hours per week) on the Internet than the typical American youth (12 hours a week). And that's why advertisers who want to reach the free-spending Chuppies (Chinese yuppies) are using the Internet and cell phones to reach their target audience.
"That, of course, has some very important implications for investors. Any businesses that are successfully tapping into this booming audience are going to make a mountain of money and enrich their shareholders," Mr. Sagami explains.
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About TONY SAGAMI & MONEY AND MARKETS
Tony Sagami, a veteran investment advisor and a leading expert on Asian markets, is the owner and founder of Harvest Advisors, an investment research and money management company. Mr. Sagami has been managing money for more than 20 years and is one of the early pioneers in the application of technical and quantitative analysis to mutual funds and stocks. He is a featured contributor to Weiss Research's daily e-letter, Money and Markets and monthly Safe Money Report as well as the editor of Asia Stock Alert.
Prior to establishing his own firm, Mr. Sagami was managing director at W.E. Donoghue & Co, serving additionally as the director of investment. During his successful career, he also held the position of account executive at Merrill Lynch.
Mr. Sagami's views on Asian markets, specifically Chinese investments, have been featured in publications such as The Wall Street Journal, Barron's, Kiplinger's, Smart Money, Business Week, New York Times, Washington Post, Investors Business Daily, Bloomberg, Financial Planning Times, Mutual FundsMagazine, Chicago Tribune, and the LA Times, as well as on CNBC and CNBC Asia.
Mr. Sagami holds a degree in economics from the University of Washington.
Money and Markets (www.moneyandmarkets.com) is a free daily investment newsletter from Dr. Martin Weiss and Weiss Research analysts offering the latest investing news and financial insights for the stock market, including tips and advice on investing in gold, energy and oil. Weiss Research, Inc. is located in Jupiter, Florida. For more information about our editors, or to set up an interview, please contact Jennifer Moran at 561-627-3300 or visit www.moneyandmarkets.com.
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