The First Instance Verdict of the 3Q Battle: 360 Found Guilty of Commercial Disparagement
On April 26th, in the morning, the Chaoyang District Court of Beijing delivered its first-instance verdict in Tencent's lawsuit against Qihoo 360 for unfair competition. The court found that Qihoo 360 had engaged in unfair competition and ruled that it must apologize to Tencent and pay a compensation of 400,000 yuan. Since the conflict between the two companies erupted in September of the previous year, the "3Q battle" has garnered attention from all sides. With this verdict, there is finally some resolution to the matter.
In this dispute, 360 Privacy Protector claimed that QQ2010 software monitored files "that may involve privacy." However, after investigation by the court, it was proven that these were executable files and did not involve user privacy. Based on this, the Chaoyang District Court of Beijing publicly announced its verdict: Qihoo 360 and other defendants must cease distribution of the 360 Privacy Protector, publicly eliminate any adverse effects caused by their infringing actions for 30 days, pay a compensation of 400,000 yuan, and delete related infringing statements on the 360 website.
From the results of the first-instance verdict, it is clear that the court's position is very explicit. This grand 3Q battle has finally given everyone an answer in the fairest and most objective way possible. Qihoo 360’s history of unfair competition isn't just a one-off incident; its targets have not been limited to Tencent alone. Below, we will revisit the commercial disparagement incidents involving 360.
A Review of 360's Commercial Disparagement Incidents: From Intimidation to Defamation
On May 20, 2010, during a version update of 360 Security Guard, users were prompted to forcibly uninstall Kingsoft Net Shield due to compatibility issues. On May 21, Kingsoft issued a statement accusing 360 Security Guard of maliciously unloading Kingsoft Net Shield, to which 360 responded that Kingsoft Net Shield interfered with normal operations.
On May 26, 2010, just after Kaspersky Antivirus was released, it was blocked from running by 360 Security Guard using what was described as "the most violent interception box."
During the same period, 360 also attacked Kingsoft, Kaspersky, and Maxthon, alleging that Maxthon and Kingsoft Net Shield colluded, using violent methods to forcibly insert themselves into other browsers, making them slower and more prone to crashes.
On May 28, 2010, Maxthon CEO Mingjie Chen revealed that Maxthon's own security enhancements, supported by Kingsoft modules, made the overall security of Maxthon Browser surpass that of 360 Browser, leading to 360's malicious defamation of Maxthon. 360's strategy was to start with security, control browsers, and then control the entire internet, but Maxthon became an obstacle to its development and thus suffered malicious attacks from 360.
The 3Q Battle Retrospective: Starting with False Accusations by the Privacy Protector
On September 26, 2011, 360 issued a new announcement titled "360 Security Guard Releases Privacy Protector, Exposing 'Peeping' Software," directly targeting Tencent QQ, claiming that it scanned users' private files and data. The announcement stated, "If a chat software on your computer always quietly scans your hard drive in the background, peering at your private files, wouldn’t you feel uneasy? And if you still have to use this software?" It further mentioned that the current version of the software only supported "the instant messaging software QQ, which receives the most complaints and has the largest coverage." This announcement immediately pushed Tencent QQ into the spotlight.
On September 27, 360 officially promoted the Privacy Protector and encouraged netizens to download, take screenshots, and upload them to Weibo, saying, "Let's all expose it together." However, shortly afterward, some netizens pointed out that renaming any software to QQ.exe and monitoring it with the 360 Privacy Protector would result in accusations of privacy invasion. Clearly, 360's move was targeted at Tencent. Informed sources said that because Tencent intended to enter the computer security field, 360 felt threatened and thus took this action.
On October 29, 2010, 360 launched a security tool specifically targeting QQ called "QQ Guardian," claiming that it could prevent QQ software from viewing users' private files, protect against Trojan theft of QQ accounts, and speed up QQ. This was a more direct attack on Tencent QQ following the Privacy Protector.
Tencent argued that QQ Guardian destroyed many functions of QQ through external means, severely affecting the security and integrity of QQ software, with methods unprecedented in China's internet industry.
Netizens Deceived by 360, Legal Justice Restored for Tencent
Ultimately, the conflict between Qihoo 360 and Tencent escalated, sparking a full-scale online war. From the initial heated exchanges to the gradual calming down and moving to the courtroom, and finally the court's first-instance verdict, we now see clearly that this was merely a farce staged by Qihoo 360. Defamation and public opinion manipulation cannot escape legal scrutiny. The court's fair ruling has also helped previously deceived netizens see the true nature of Qihoo 360. Engaging in commercial competition through illegitimate means will ultimately be punished by law.
The "3Q battle" may soon come to an end, leaving us with deep reflections on the broader issue of the business competition environment across the internet.
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