China's three major video sites Tencent, Sohu video and PPS Network TV are engaged in a copyright dispute, with each party accusing the others of infringement and asking for huge reimbursements, according to media reports.

Shi Yihua, commercial director of Shanghai Multimedia Industry Association, said that it is very common to prosecute in the online video industry. However, there are deeper reasons for this case.

China's video industry has grown rapidly in recent years. The opportunities to develop in the big market have created competition among online video enterprises for resources from Film and Television, Shi said.

An industry insider pointed out that, to some extent, the charges from the copyright dispute expose the vulnerability of the current distribution model.

China's copyright distribution is still at a stage where there is room to improve. With the gradual increase in the awareness of intellectual property rights (IPR) protection, interests in maintaining copyright are increasingly perceived as important by many major companies.

Ma Yuanchao, deputy director of Information Network and High-tech Business Research Council of Shanghai Bar Association, noted that, although the argument is "a bit messy", it is a "necessary stage" for the video sites to move towards healthy growth.