This excerpt taken from the SOHU 10-Q filed Aug 8, 2005.
Our ability to generate and maintain significant online advertising revenues could suffer if any of the real estate, information technology, automobile, online gaming, internet or other major industries does not develop as anticipated.
Our online advertising customers are mainly from several industries in the PRC, namely real estate, information technology, automobile, online gaming, and internet. Brand advertising revenues from these industries accounted for more than 60% of our brand advertising revenues for the quarter ended June 30, 2005. Due to our heavy reliance on advertisers from these industries for online advertising revenues, any downturn in the general economy or in these industries or any regulatory change in these industries may lead to a decline of advertising spending of our customers, and therefore our online advertising revenues may be negatively impacted.