According to the data in the Quarterly Monitoring Report on China's Search Engine Market in 2018Q1released by Analysys, the transaction size of China's search engine providers reached RMB 20.374 billion in the first quarter of 2018, with a year-on-year growth of 29.21%.

In the first quarter of 2018, Baidu continued to maintain its leading position with a proportion of 80.09% in the search engine market. The market share of Sogou reached 6.63%, ranking second and that of and other providers was 3.27% and 10.01%, respectively. 

In the first quarter of 2018, China's mobile search engine market reached RMB 16.054 billion, with a year-on-year growth of 27.5%, indicating that the growth rate dropped off a little bit. 

China's search engine market continues to grow in this quarter. The growth rate of the overall market is relatively high due to the low base rate of the same period last year. As the search market has developed into a mature stage, it is expected that the year-on-year growth rate will show a downward trend in the next quarter. The market share of mobile search continues to grow and reached 78.79% in the search market in the first quarter of 2018. 

In the era of mobile Internet, the value of search portals has weakened while the attributes of search tools become apparent and begin to be one of the functions of mobile apps. Although the search advertising accounts for a relatively large proportion of the entire Internet advertising market, the market has entered into a mature period. Therefore, leading providers are active to seek transition for future development. At present, artificial intelligence becomes the transformation direction of the search providers. With in-depth exploration in AI technology, leading companies begin to turn to the artificial intelligence segmentation and try the preliminary commercialization of artificial intelligence.  

Currently, Baidu on the one hand strives to build a mobile search ecosystem mainly based on Baidu Mobile to fight for the users' time through the contents such as self-media and short videos as well as develop new advertising spaces to improve the commercialization efficiency with a mode of "search + information stream." On the other hand, Baidu continues the in-depth research and development of artificial intelligence. Focusing on the localization image recognition field, Baidu is exploring the commercialization mode in the car driving scene. In March, Baidu obtained the automatic drive road test license of Beijing and began to carry out the automatic drive road test, with a good overall development trend. As the artificial intelligence is still at the basic technology development stage, Baidu establishes cooperative relationships with artificial intelligence technology developers based on the open artificial intelligence platform, striving to obtain the sharing bonus of new technologies in the fast-growing artificial intelligence segments. 

Sogou continues to focus on voice-based artificial intelligence products and staggers competition with Baidu for grabbing market share. Last year, Sogou launched the English search function to facilitate users to communicate to the world. This year, Sogou continues to strengthen its multilingual search advantage and has launched the search function in Japanese and Korean, which further expands its search scope. Sogou also starts the commercialization of SogouInput by combining the input image and artificial intelligence to explore the commercialization of artificial intelligence in the field of natural language recognition this year.In addition, Sogou has released translation hardware products based on its ASR advantage, actively seeking emerging portals and artificial intelligence commercialization channels.