Shanda and Baidu Forge Strategic Partnership

Mar 24, 2005, 00:00 ET from Shanda Interactive Entertainment Limited

    SHANGHAI, China, March 24 /Xinhua-PRNewswire/ -- Shanda Interactive
 Entertainment Limited (Nasdaq:   SNDA), the largest operator of online games in
 China, today announced a strategic partnership with Baidu.com, Inc., developer
 and operator of the world's largest Chinese language search engine.  Pursuant
 to a memorandum of understanding, Baidu will leverage its search platform to
 help introduce Shanda's extended interactive entertainment content offerings
 to a broad audience base, and Shanda will have Baidu's search tools embedded
 in Shanda's user platform, further strengthening Baidu's leadership position
 in the search market. In addition, the two companies will explore cross
 marketing opportunities on each other's platform.
     According to International Data Corporation, or IDC, a leading market
 research firm, the online population in China reached approximately 90 million
 in 2004 and is expected to grow to 170 million by 2009.  At the same time, an
 increasing amount of multimedia entertainment content is becoming available
 through the Internet, increasing the need for fast, efficient and
 comprehensive web search tools of such content.  The strategic cooperation
 between Shanda, the leading interactive entertainment content provider in
 China, and Baidu, the largest Chinese language search engine, will better
 serve the consumers' rapidly evolving Internet entertainment needs.
     "We are delighted about the opportunity to cooperate with Shanda.  We
 believe this cooperation will help to improve our users' search experience as
 well as enable us to reach more users with specific needs for interactive
 entertainment content," said Robin Li, chief executive officer of Baidu.
     "Making our content offerings more easily available to a broader user base
 is consistent with our strategy to become the leader of interactive
 entertainment in China.  The strategic cooperation with Baidu is an important
 step toward this goal," said Tianqiao Chen, chief executive officer of Shanda.
 "In addition, having Baidu's search engine available on our platform brings
 more convenience and value to our millions of users."
 
     About Shanda Interactive Entertainment Limited
     Shanda Interactive Entertainment Limited (Nasdaq:   SNDA) is the largest
 operator of online games in China.  Shanda offers a portfolio of massively
 multi-player and casual online games that users play over the Internet,
 including several of the most popular online games in China.  Shanda's game
 platform attracts a large and loyal user base, each member of which can
 interact with thousands of others, which creates a strong community among
 users.  For more information about Shanda, please visit http://www.snda.com .
 
     About Baidu.com Inc.
     Baidu.com, Inc. is the largest Chinese language search engine developer
 and operator in the world.  Based on its core value of "simple and
 dependable," Baidu aims to provide the best way for people to find information.
 Baidu offers a comprehensive index of Chinese web pages, mp3 files, images,
 news as well as an online community based on users' queries. Baidu boosts over
 100 million search page views on a daily basis and is ranked as the second
 largest website in China.  For more information about Baidu.com, please visit
 http://www.baidu.com .
 
     Safe Harbor Statement
     This announcement contains forward-looking statements that are based on
 current expectations, assumptions, estimates and projections about the
 companies and the industry.  All statements other than statements of
 historical fact in this announcement are forward-looking statements, including
 but not limited to statements regarding the growth of Internet users in China
 and the future benefits of the strategic partnership between Baidu and Shanda.
 These forward-looking statements involve various risks and uncertainties.
 Although the companies believe that their expectations expressed in these
 forward-looking statements are reasonable, they cannot assure you that their
 expectations will turn out to be correct.  Important risks and uncertainties
 could cause actual results to be materially different from expectations
 include but not limited to the risks set forth in Shanda's filings with the
 U.S. Securities and Exchanges Commission, including Shanda's registration
 statement on Form F-1.
 
 

SOURCE Shanda Interactive Entertainment Limited
    SHANGHAI, China, March 24 /Xinhua-PRNewswire/ -- Shanda Interactive
 Entertainment Limited (Nasdaq:   SNDA), the largest operator of online games in
 China, today announced a strategic partnership with Baidu.com, Inc., developer
 and operator of the world's largest Chinese language search engine.  Pursuant
 to a memorandum of understanding, Baidu will leverage its search platform to
 help introduce Shanda's extended interactive entertainment content offerings
 to a broad audience base, and Shanda will have Baidu's search tools embedded
 in Shanda's user platform, further strengthening Baidu's leadership position
 in the search market. In addition, the two companies will explore cross
 marketing opportunities on each other's platform.
     According to International Data Corporation, or IDC, a leading market
 research firm, the online population in China reached approximately 90 million
 in 2004 and is expected to grow to 170 million by 2009.  At the same time, an
 increasing amount of multimedia entertainment content is becoming available
 through the Internet, increasing the need for fast, efficient and
 comprehensive web search tools of such content.  The strategic cooperation
 between Shanda, the leading interactive entertainment content provider in
 China, and Baidu, the largest Chinese language search engine, will better
 serve the consumers' rapidly evolving Internet entertainment needs.
     "We are delighted about the opportunity to cooperate with Shanda.  We
 believe this cooperation will help to improve our users' search experience as
 well as enable us to reach more users with specific needs for interactive
 entertainment content," said Robin Li, chief executive officer of Baidu.
     "Making our content offerings more easily available to a broader user base
 is consistent with our strategy to become the leader of interactive
 entertainment in China.  The strategic cooperation with Baidu is an important
 step toward this goal," said Tianqiao Chen, chief executive officer of Shanda.
 "In addition, having Baidu's search engine available on our platform brings
 more convenience and value to our millions of users."
 
     About Shanda Interactive Entertainment Limited
     Shanda Interactive Entertainment Limited (Nasdaq:   SNDA) is the largest
 operator of online games in China.  Shanda offers a portfolio of massively
 multi-player and casual online games that users play over the Internet,
 including several of the most popular online games in China.  Shanda's game
 platform attracts a large and loyal user base, each member of which can
 interact with thousands of others, which creates a strong community among
 users.  For more information about Shanda, please visit http://www.snda.com .
 
     About Baidu.com Inc.
     Baidu.com, Inc. is the largest Chinese language search engine developer
 and operator in the world.  Based on its core value of "simple and
 dependable," Baidu aims to provide the best way for people to find information.
 Baidu offers a comprehensive index of Chinese web pages, mp3 files, images,
 news as well as an online community based on users' queries. Baidu boosts over
 100 million search page views on a daily basis and is ranked as the second
 largest website in China.  For more information about Baidu.com, please visit
 http://www.baidu.com .
 
     Safe Harbor Statement
     This announcement contains forward-looking statements that are based on
 current expectations, assumptions, estimates and projections about the
 companies and the industry.  All statements other than statements of
 historical fact in this announcement are forward-looking statements, including
 but not limited to statements regarding the growth of Internet users in China
 and the future benefits of the strategic partnership between Baidu and Shanda.
 These forward-looking statements involve various risks and uncertainties.
 Although the companies believe that their expectations expressed in these
 forward-looking statements are reasonable, they cannot assure you that their
 expectations will turn out to be correct.  Important risks and uncertainties
 could cause actual results to be materially different from expectations
 include but not limited to the risks set forth in Shanda's filings with the
 U.S. Securities and Exchanges Commission, including Shanda's registration
 statement on Form F-1.
 
 SOURCE  Shanda Interactive Entertainment Limited