China Telecom has terminated cooperation with Yahoo China in its IP address and web domain businesses with the intention to launch its own search engine, Beijing Business News reported. A source at the company said that China Telecom plans to launch its own search engine in the next two months. The type of services would include website search and other multi-platform search services. As China’s biggest ISP services provider, China Telecom has a 70 percent share of the domestic Internet services market. In 2005, China Telecom’s broadband services had 21,020,000 users. Therefore, the company hopes to develop its value-added Internet services on such customer base. The termination of the partnership would have tremendous effects on Yahoo China’s Internet domain business. It also faces competition from Chinese Internet services providers include QQ, CNNIC and Baidu. Lu Benfu, an expert with the school of management at China Academy of Science, said that Yahoo China would encounter difficulties in developing its search engine business in China as Microsoft and China Telecom both plan to develop their own search engine services. However, since China Telecom has limited experience in the area, the company is still in need of a business partner.