In order to even off the distance with its main Chinese competitor – Baidu - Google is engaging in co-branding initiatives with the local software company Kingsoft by launching a web-based dictionary.

The new application will provide users with Google’s translations, web and photo search services in Kingsoft popular English – Chinese dictionary software PowerWord which has an estimated user base of 30 million.
This initiative is in line with Google strategy to reach the online ad sales performance of its Chinese competitor Baidu, which is also the preferred choice of Chinese consumers when it comes to search engines. At the same time, partnering with the local software company should eventually scoop the competition of small local players that in China are performing better than international giants such as Yahoo! and eBay.
Co-branding with Kingsoft should expand Google’s user base in China while enforcing its branding strategy focus: turning itself into a more localized company by partnering with Chinese players such as China Mobile, China Telecom and Sina.com.