Launched Sogou Search Engine
Context: Baidu already held over 80% of China's search market, Google was second, entering search was seen as suicidal
Decision: Entered search market through vertical search (healthcare, legal) and user experience differentiation rather than direct competition
Reasoning: Direct competition with Baidu would fail, but vertical domains could build professional barriers, while synergy between search and input methods could create a unique technology ecosystem
Outcome: Sogou Search built a differentiated reputation in healthcare, English academic and other vertical domains, maintaining approximately 10% market share
Lesson: In markets dominated by giants, differentiated vertical strategies offer more survival space than direct competition