COVER PROFESSIONAL

\"Actually， when our share price increased nearly 3times after the listing， we found the cloud and thunder wasapproaching us.\" Although MA was aware of something， hecouldn't evaluate rival's strength.

After ten year's accumulation， MA builds his AlibabaEmpire by his amazing willpower and profound discernment.This shining internet empire is based on B2B， C2C， softwareservice， online payment， search engine and online advertising.MA stands on his manor said proudly，\"I could not find a rival even by usingtelescope.\" When MA overlooks hisland haughtily， he didn't find Toocle.com(Toocle)'s SUN Deliang was coveting hisB2B transaction and approaching to itsilently.

In fact， MA holds a core code Alipay，which is the very key and weakest tache，because most of Alibaba's transactionsare connected with Alipay. It would bean unimaginable disaster if Alipay hadproblem. Alipay is a huge gold mine， butthe life line is controlled by banks andrelevant regulators.

Amo n g t h e e x i s t i n g Al i p a ytransactions， banks provide paymentservice for free， which is an unprofitablebusiness for banks. However， the thirdparty payment platform like Alipaygathers a larger number of users， whichwill be an important condition when theynegotiate with banks. The reason bankslet someone share this huge gold minein a certain period is they believe no onewould be out of their control. Therefore，the existing cash out problem of Alipayis a bomb in banks' hand.

MA said intrepidly， \"We must bethe last one to fall down even we wereon our knees. However， depending onAlibaba's strength today， we won't falldown easily.\" In fact we don't hope MAfalls down; we only wish he would notuse telescopes any more.

INVESTOR

WANG Qi， Prowling in Mezzanine

The particular background of theDevelopment Principles Group (DPG) buildsits particular model. DPG's managing partnerWANG Qi found a number of investmentopportunities by prowling in the mezzaninefund industry. WANG said， \"Our model isuncopyable.\" However， he didn't say that isunreferenced.

When investing in China High SpeedTransmission Equipment Group Co.， Ltd.(China Transmission)， DPG obtained theChinese most powerful power transmissionequipment manufacturer successfully bycooperating with Templeton Investments.On 4th July 2007， China Transmission listedon the Hong Kong stock exchange with 47times P/E ratio， which is not only stirred theentire stock market， but also gained over ten times return for DPG. The secret forDPG to be the final winner is introducing strategic investor， and beating of rivalsby partners' power.

COMPANY

My Show Kills Cartoon Media in A Second

A 3-5 seconds lasting cartoon seems unattractive， but Beijing Show WorldTechnologies Co.， Ltd. (MyShow) promoted these kind of cartoons and occupiedthe market of MSN， QQ and Skype in a extremely short time.

Recently， WANG， an office worker has got the illness which is called Mondaysyndrome. Every Monday， after the total relaxation and entertainment during theweekend， he feels exhausting and lazy when he got back to office. However， whenhe turns on his computer this Monday， a cartoon dog with black circle around itsright eye， wearing a yellow safety helmet appears on the screen. The dog pushes acart with bricks and shouts \"Let’s start working!\" Although this cartoon only lasts15 seconds， the funny face and action make WANG can not help laughing. Thecartoon can give him whole day's energy and power.

This funny dog is one of the cartoon images created by MyShow. In additionto cartoon images， MyShow has many other images. These lovely or funnyimages are the key for MyShow to win the market of many IM content providers.Combining the cartoon and IM， providing content and operation of networkcartoon in IM， and adding advertisings in cartoons， MyShow not only makespeople find the new things in cartoon， but gets the favour of VC.

INDUSTRY

3D Virtual World，Vanity Fair

The chair opposite to HiPiHi'sCEO XU Hui's desk was sat by overtens of venture capitalists. HiPiHi isa 3D digital world company whichis called the Chinese Second Life.HiPiHi still is a just launched firmwithout profit， but it attracts a numberof investors' interests. Generally，venture capitalists are interested inthe late stage company but earlystage one. Now they focus on the 3Dvirtual world means the area must beprofitable.

There are an increasing numberof 3D virtual world companies occurin the world， which will developthe text-centered internet into theexperience-centered 3D internet. Itis obvious that global virtual worldsurge stimulate the Chinese market.In 2005， 7 years after the startingof Second Life's RD， the firstgroup of Chinese 3D virtual worldcompany emerged like HiPiHi andNovoking. Subsequently， later comerslike Uworld， Mworld appeared. Asadherent， Chinese 3D virtual worldfirms set the American model asexample inevitably.

From copying American modelto innovating independently， theChinese 3D virtual world enters thehigh speed breakthrough phase. Manyvirtual world companies will enterthe mature stage by the beginning ofnext year. People from the industrythink the virtual world industry willgrow up rapidly in next two years，and the virtual world will became anecessary tool in ten years like instantmessaging software for now.