, Columnist
Baidu's Myopia
Traffic acquisition costs have climbed almost ninefold since early 2012, outpacing revenue growth.
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Baidu is facing a hard time boosting its bottom line -- the 34 percent plunge in net income for the second quarter was the fourth decline in 18 months.
Tougher rules on placement of ads for medical and financial services have crimped growth, and founder and CEO Robin Li told investors Friday it could take another three quarters before revenue recovers.