Government Regulations Benefit Youku and Sina

   Shares of Chinese internet companies have soared this spring as booming revenues have attracted US investors. With 457 million online at the end of 2010, China already boasts the largest number of Internet users in the world and studies show that the number of users continues to grow at a rapid pace. The Bedford Report examines the outlook for companies in China's Internet Sector and provides research reports on Youku.com, Inc. (NYSE: YOKU) and Sina Corporation (NASDAQ: SINA). Access to the full company reports can be found at:

www.bedfordreport.com/2011-06-YOKU

www.bedfordreport.com/2011-06-SINA

Brokerage CLSA expects that number to increase to more than 800 million by 2013, while a recent study from the consultancy, McKinsey & Co estimated that 6 million people go online for the first time in the country every month.

With millions of Chinese users trying the internet for the first time each month, analysts project Chinese internet firms to continue showing impressive growth. Shares of Sina Corporation, the so called "Twitter of China" have more than doubled this year. During its most recent quarter, Sina posted an 18 percent year-on-year surge in revenue.

The Bedford Report releases regular market updates on the Chinese Internet Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at www.bedfordreport.com and get exclusive access to our numerous analyst reports and industry newsletters.

China's government heavily regulates the internet, and while this has drawn significant scrutiny from the West, government officials cite its heavily regulated internet as the reason why the county is seeing falling cybercrime year on year. China promoted its controversial 'Great Firewall' and its deeply regulated internet as key to stemming the cyber terrorist threat.

Under China's policy of internet censorship, the popular video site, both Twitter and YouTube are blocked. This has benefitted the so-called "YouTube of China" Youku.com. Last month Youku said that first quarter revenues more than doubled compared to the year ago period.

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