The three BAT giants (baidu, alibaba and tencent) are a symbol of China's Internet age. But with the Internet industry split and old and new, the BAT camp is likely to be upended.

In terms of capital markets, both alibaba and tencent have now passed the $200bn mark, almost four times baidu's. In the latest quarter, alibaba and tencent had revenues of more than $30bn, while baidu had revenues of $18.2bn.

Behind baidu, not only netease, jd.com, 360 and Letv are struggling to catch up, but also unlisted didi, xiaomi and ant financial services are chasing after each other

Ma yun, the chairman of alibaba's board of directors, predicted that the BAT structure would change within three years. "Internet companies are under a lot of pressure and are walking on thin ice every day."

Who is most likely to be the fourth pole to topple BAT?

netease

In terms of the market value of listed companies, those closest to baidu include netease with a market value of more than $28 billion and jd.com with a market value of more than $30 billion.

Among them, netease is a low-key and special presence among China's first Internet companies. From the perspective of business layout, it radiates from portal and mailbox to youdao and other tool businesses, including Internet finance, music, education, e-commerce and even photo customization. According to the latest second-quarter results, both the growth rate of net revenue and net profit were over 90%, higher than that of tencent and baidu. It is also an established portal with a market value several times that of sina and sohu combined.

According to the latest financial results, netease's three business sectors continued to perform strongly, with net revenue from online gaming services reaching 6.438 billion yuan ($969 million) in the quarter, up 76.0% from a year earlier. Net income from advertising services reached 531 million yuan ($79.92 million), up 24.0% year on year. At the same time, thanks to netease koala sea and purchasing such as netease electric business transaction is the rapid development of the second quarter, netease mail, electricity and other business in the second quarter net income of 1.983 billion yuan ($298 million), rose and rose 31.6% and 310.6%, respectively.

But Netease chairman ding thinks, whether it's the early Internet NSS (Netease Netease, Sohu, Sohu, Sina, Sina) or the BAT now, make enterprise real mission and purpose is not to be "label", but with a kind of "attitude" of the spirit, constantly explore and innovation, to meet consumer needs.

Once upon a time, in his opinion, netease did a lot of virtual products such as news, email, games, now bet on a new type of electricity, to transform traditional manufacturing, netease sense of achievement from the consumer's satisfaction.

It is worth mentioning that in netease overall revenue scale is rising at the same time, the mailbox, electricity and other business sectors than has been increased to 22.4% of revenue, which shows that netease considerable progress in diversified business layout.

jingdong

Jd.com is a strong contender for the fourth pole of the Internet.

It a market capitalisation of $50 billion for the first time in June 2015 at its highest level since going public, compared with 2014 at the end of may jingdong in nasdaq close to $30 billion in market value in the day, the market capitalisation of jingdong rose by nearly 66.7% a year after the listing.

But jd.com, which has seen its share price halve in the past year, is back up, with a $25 share price and a market value of more than $30 billion in 2014.

Having transformed its e-commerce business from a proprietary 3C to a full-category one, as well as a co-existence of proprietary and joint ventures, jd.com is now more willing to tell stories outside of e-commerce in the capital market. On the eve of the listing, Mr Liu said that 70 per cent of jd.com's net profits would come from its financial business in the next decade. In early 2016, liu announced plans to spend 10 billion to build the third net, to start from fresh electricity invested heavily to build a covered all large and medium-sized cities in China refrigeration freezing integration of the B2C network, and fresh division is now tied with 3 c, household appliances, such as jingdong's sixth largest division.

Qihoo 360, xiaomi

After alibaba, tencent and baidu, lei jun and Zhou Hongyi became players of the same TABLE.

If back to three years ago, you can see is that 360 market value of billions and billions of valuations of millet also are competing for the fourth largest Internet giant BAT, but since then, millet valuations reached 45 billion us dollars, jingdong value also has more than $40 billion, while 360 remains at more than $80.

Now, the return of 360, unhappy with the undervalued options of Wall Street investors, could put it back on top of the TABLE.

In Zhou Hongyi's view, a return of a massive company like 360 would be risky, with the total amount approaching $10 billion. But there are still risks to be taken, not just in terms of capital, but also in terms of national security.

Have the Internet, analysts say, no matter from the strategic and tactical intentions in the history of all of this is probably the most complicated of a buyout offer, because this is not just a company 360, almost all of the development of China's Internet rhythm will be influenced by it, some don't want to get involve in any relationship with companies such as baidu, tencent, at this time also was forced to have to make corresponding response to checks and balances.

In fact, from the perspective of qihoo's own business, qihoo's products now cover security software applications, smart wear, smart home, Internet of vehicles and smart phones. 360 is also moving from a pure Internet security company to a secure Internet company, providing users with online and offline security services.

Previously, cicc analysts believed qihoo 360 would be worth up to 380 billion yuan ($61.3 billion) if it returned to the a-share market, or nearly seven times its market value. This is still a "conservative estimate" and does not give a premium to qihoo 360's leadership and so on.

Compared with qihoo 360, xiaomi had previously kept the pace of completing financing once a year. After almost every round of financing, its value will "triple jump". By December 2014, xiaomi's latest round of fundraising valued it at more than $40 billion, 160 times more than in 2010.

This also makes the Zhou Hongyi had predicted, "millet value beyond two years B, the year after next to A basic billions of magnitude, the best chance of PK" penguin ", the future pattern of the Internet is no longer A BAT, but ATM."

But now, with xiaomi at the center of the storm, whether its $45 billion valuation is real money or a bubble, the real return on investment is still in the future.

Le regard

As for the "three mountains" of BAT, jia yueting, chairman of Letv, said in March this year that BAT is three mountains, leaving countless start-ups in the dark. Startups generally face three fates: either being copied by BAT, acquired by BAT, or taken equity.

"Letv's ecological model spans a lot of industries, and there are some areas that compete directly with BAT, but Letv is completely out of the same dimension as BAT, and it's hard for these giants to beat Letv," he said.

In terms of capital market performance, letv's market value is around 100 billion yuan.

Among them, letv is an important listed company under Letv, including Letv video, Letv super TV, Letv mall, Letv cloud, flower TV and other businesses. However, businesses including Letv mobile phones, Letv sports and Letv supercars are not included in the main listing body of Letv, but the unlisted core business of Letv.

Meanwhile, Letv activity, from music networks to Letv pictures of injection, to TV, mobile phone, VR, sports, such as cloud computing and super car, into the real estate business, Letv depicts a with content of the "platform + + terminal + application" sihuan clasped the ecology.

So far, Letv has spawned Letv sports, Letv cloud, Letv pictures and Letv smart move unicorns. According to jia yueting at the annual conference on the scale of 10,000 people in February, the ecological value of Letv has exceeded 300 billion yuan.

The ant gold dress

If you look at the valuation, the $60 billion ant financial service is already worth about as much as baidu.

In April, ant financial announced that it had completed a round B financing of $4.5 billion. It is the world's largest single private equity financing by far for the Internet industry.

At present, the ant gold have alipay, balance, lucky treasure, treasure treasure, bank of electronic retailing, ants spend bai, sesame credit, financial cloud, ants guest, multiple business sectors such as insurance service platform, and appear in the from online to offline, from financial services to the service life of many scenarios.

Behind the rapid growth of ant financial services, there are macro reasons: China's economy has shifted from investment to consumption and financial liberalization. It is also the result of technology-driven development: the application of big data, cloud computing, mobile Internet and other technologies is becoming more and more mature, which is improving the efficiency and capability of all fields and links of finance.

The future development space of ant financial services is internationalization and rural finance.

drops

Among unlisted tech companies, didi's latest valuation has reached $35bn.

On valentine's day a year ago, the combined value of didi kuaidi was $6 billion, according to industry sources.

In July 2015, less than half a year after the merger, didi kuaidi announced that it had raised $2 billion, with this round of financing valuing didi kuaidi at $16.5 billion.

Less than a year later, on June 16, 2016, drops has announced it had completed a new round of $4.5 billion in equity financing, make the company valuations rise to nearly $28 billion, valuations are up 70% compared with the same period last year.

A month and a half later, didi raised the new company's valuation to nearly $35bn, or 232.5bn yuan, through a merger with Uber's China operations. Uber is valued at nearly $7bn in China, while didi chuxing maintains its most recent post-financing valuation of between $27bn and $28bn.

At this rate, it is highly likely that didi will overtake more listed tech companies in valuation terms.