BEIJING, CHINA, October 14, 2002 - SOHU.COM Inc. (Nasdaq: SOHU), China's leading online media, communications and e-commerce company, announces that on October 11, 2002, SOHU and a group of third-party investors completed a block purchase of 6.7 million shares of SOHU common stock from Hong Kong Beida Jade Bird Science and Technology Ltd (Jade Bird).
Of the total 6.7 million shares sold by Jade Bird, SOHU purchased 1.2 million shares and three institutional investors purchased the balance of 5.5 million shares. Among the three were the following institutions.

· Hermes Pensions Management Ltd, an independent fund manager investing approximately US$59 billion on behalf of over 100 clients including pension funds, insurance companies, government entities and financial institutions, as well as charities and endowments. With the completion of its purchase of 3 million shares of SOHU common stock, Hermes holds approximately 8.4% of SOHU's outstanding common stock.
· Martin Currie Investment Management Ltd, one of Scotland's leading privately owned investment management companies, with approximately US$9 billion under management. With the completion of its purchase of 1.5 million shares of SOHU common stock, Martin Currie holds approximately 4.2% of the outstanding common stock.

"SOHU represented an excellent opportunity to invest in an attractively valued stock, of a well-managed company with strong fundamentals and a leading competitive position in the world's most promising Internet and wireless consumer market," commented Robert Clements, Director of Emerging Markets of Hermes Investment Management Ltd.

"Martin Currie has early on demonstrated its interest in investing in China and our purchase of SOHU common stock underscores our firm commitment to a deeper and long-term engagement in this market," said Willie Watt, Chief Executive Officer of Martin Currie Investment Management.

SOHU purchased its 1.2 million shares at a price per share of $1.65 for total consideration of US$1.98 million and paid a brokerage commission of US$0.02 per share. The 1.2 million shares purchased by SOHU will cease to be outstanding, and will be held by the company as treasury shares.

"We decided that this share buy-back is an attractive investment for the Company and sends a positive message to our shareholders," said Charles Zhang, CEO and President of SOHU.

Safe Harbor Statement
This announcement contains forward-looking statements, including, among other things, a statement of SOHU's expectations regarding future profitability. Forward- looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, SOHU's historical and future losses, limited operating history, uncertain regulatory landscape in the People's Republic of China, fluctuations in quarterly operating results, and the Company's reliance on online advertising sales, e-subscriptions (mainly short messaging services) and e-commerce for a significant portion of its revenues. Further information regarding these and other risks is included in SOHU's Annual Report on Form 10K for the 2001 fiscal year, its quarterly report on Form 10Q for the quarter ended June 30, 2002, and in its other filings with the Securities and Exchange Commission.

About SOHU.com
SOHU.com is the leading Internet portal in Mainland China with current daily page views exceeding 12 million. It provides navigation/search, news, sports, business and finance, real estate channel, entertainment, chat, email and e-commerce activities for a solid and wide base of visitors. Dr. Charles Zhang founded SOHU.com in 1997. Its investors include Intel, Dow Jones, IDG, the Morningside China Group, PCCW, Legend and Hikari. Its content partners include CNET, DOW Jones and dozens of local media organizations in China.

For further information:
Dahlia Wei
SOHU Investor Relations and Communications
Tel: +86 10 6272 6598
E-mail: ir@sohu-inc.com
http://www.sohu.com/about/English/