Blockbuster Rumor: Facebook Partners with Baidu to Enter China
techrice.com
techrice.com
Considering this from the article: "Facebook is really on the eve of entering China, the contract has been signed, with some Chinese partner who will build the new site according to some model, but which will not completely connect to Facebook.com."
I'd say, it's still not clear that Baidu/Facebook will be able to execute a workable social network (above board means monitored by government).
Pooling the effort of losers in a market is like having the second and third place finishers in the hundred meter dash tie their legs together to run three-legged and then challenging the winner to a rematch. (I think I first read that comparison on Daring Fireball).