Alimama, a new service of Chinese e-commerce provider Alibaba, says it will launch a new online advertisement product in the middle of this month.

According to ccidnet.com, Alimama's new product will rely on up to 400,000 websites and 180,000 blog sites currently served by the company. Though the company has refused to make any comment on the new product, it is believed that the product has been basically shaped and received good feedback from users in a small scale testing.

Alimama is said to have been investing a huge amount of material and human resource on the product since the beginning of this year, including sending technicians from Beijing to support the product's development in Hangzhou and holding communication exchanges with Yahoo in the U.S. on the product.

Alimama's new product model will pose a major challenge to such Chinese advertising alliances as Baidu.com's.

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