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Due to new investors related to terminated security purchase agreements

^[1]

467

685

905

884

Payable for purchasing of software technology *

421

411

Taxes payable *

^[1]

3,019

2,910

Other payables *

^[1]

675

487

Total current liabilities

8,874

7,620

Long-term borrowing from a director

129

126

Total Liabilities

9,003

7,746

Equity:

Common stock (US$0.001 par value; authorized 50,000,000 shares; issued and outstanding 12,265,542 shares and 12,158,542 shares at June 30, 2017 and December 31, 2016, respectively)

Additional paid-in capital

29,633

29,285

Statutory reserves

2,607

Accumulated deficit

(12,238)

(10,362)

Accumulated other comprehensive income

1,167

700

Total ChinaNet Online Holdings, Inc.’s stockholders’ equity

21,181

22,242

Noncontrolling interests

Total equity

21,250

22,296

Total Liabilities and Equity

$ 30,253

$ 30,042

[1]	All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company’s general assets (Note 2).

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Jun. 30, 2017	Dec. 31, 2016
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common stock, shares issued (in shares)	12,265,542	12,158,542
Common stock, shares outstanding (in shares)	12,265,542	12,158,542

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Revenues
From unrelated parties	$ 10,417,000	$ 8,264,000	$ 17,662,000	$ 13,276,000
From related parties	83,000	172,000	102,000	220,000
Total revenues	10,500,000	8,436,000	17,764,000	13,496,000
Cost of revenues	8,800,000	5,939,000	14,792,000	9,395,000
Gross profit	1,700,000	2,497,000	2,972,000	4,101,000
Operating expenses
Sales and marketing expenses	825,000	1,063,000	1,659,000	1,943,000
General and administrative expenses	992,000	1,832,000	2,084,000	3,538,000
Research and development expenses	305,000	590,000	700,000	1,016,000
Total operating expenses	2,122,000	3,485,000	4,443,000	6,497,000
Loss from operations	(422,000)	(988,000)	(1,471,000)	(2,396,000)
Other income (expenses)
Interest income	18,000	26,000	37,000	53,000
Interest expense	(37,000)		(73,000)
Other expenses	(203,000)	(1,000)	(206,000)	(13,000)
Total other (expenses)/income	(222,000)	25,000	(242,000)	40,000
Loss before income tax expense, noncontrolling interests and discontinued operation	(644,000)	(963,000)	(1,713,000)	(2,356,000)
Income tax expense	(113,000)	(180,000)	(113,000)	(152,000)
Loss from continuing operations	(757,000)	(1,143,000)	(1,826,000)	(2,508,000)
Loss from and on disposal of discontinued operation, net of income tax		(14,000)		(60,000)
Net loss	(757,000)	(1,157,000)	(1,826,000)	(2,568,000)
Net income attributable to noncontrolling interests from continuing operations	(32,000)	(123,000)	(50,000)	(123,000)
Net loss attributable to ChinaNet Online Holdings, Inc.	$ (789,000)	$ (1,280,000)	$ (1,876,000)	$ (2,691,000)

Comprehensive Income Statement - USD ($)
$ in Thousands

3 Months Ended

6 Months Ended

Jun. 30, 2017

Jun. 30, 2016

Jun. 30, 2017

Jun. 30, 2016

Net loss

$ (757)

$ (1,157)

$ (1,826)

$ (2,568)

Foreign currency translation gain/(loss)

326

(590)

432

(478)

Comprehensive loss

(431)

(1,747)

(1,394)

(3,046)

Comprehensive income attributable to noncontrolling interests

(34)

(111)

(15)

(94)

Comprehensive loss attributable to ChinaNet Online Holdings, Inc.

$ (465)

$ (1,858)

$ (1,409)

$ (3,140)

Loss from continuing operations per common share

Basic and diluted (in dollars per share)

$ (0.07)

$ (0.11)

$ (0.16)

$ (0.23)

Loss from discontinued operations per common share

Basic and diluted (in dollars per share)

$ (0.01)

Weighted average number of common shares outstanding:

Basic and diluted (in shares)

^[1]

11,999,304

11,358,971

11,990,950

11,350,971

[1]	Weighted average number of shares outstanding and per share amounts for the six and three months ended June 30, 2016 have been retroactively restated to reflect the Company’s 1 for 2.5 reverse stock split, which was effective on August 19, 2016.

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Cash flows from operating activities
Net loss	$ (1,826)	$ (2,568)
Adjustments to reconcile net loss to net cash (used in)/provided by operating activities
Depreciation and amortization	707	760
Share-based compensation expenses	348	1,135
Loss on disposal of fixed assets		21
Reverse of allowances for doubtful accounts	(29)
Loss on deconsolidation of VIEs		9
Deferred taxes	113	152
Changes in operating assets and liabilities
Accounts receivable	(1,666)	(771)
Other receivables	(19)	1,325
Prepayment and deposit to suppliers	173	612
Due from related parties	(10)	(25)
Other current assets	(37)	1
Accounts payable	24	(154)
Advances from customers	1,050	(388)
Accrued payroll and other accruals	225	89
Other payables	86	296
Taxes payable	38	86
Commitment and contingencies		(129)
Net cash (used in)/provided by operating activities	(1,273)	273
Cash flows from investing activities
Payment for office equipment and leasehold improvement	(2)	(148)
Long-term investment in and advance to cost/equity method investees		(754)
Payment for purchasing of software technology		(1,991)
Proceeds from disposal of VIEs		28
Cash effect on deconsolidation of VIEs		(18)
Net cash used in investing activities	(2)	(2,883)
Cash flows from financing activities
Net cash provided by/(used in) financing activities
Changes in cash and cash equivalents included in assets classified as held for sale		55
Effect of exchange rate fluctuation on cash and cash equivalents	56	(72)
Net decrease in cash and cash equivalents	(1,219)	(2,627)
Cash and cash equivalents at beginning of the period	3,035	5,503
Cash and cash equivalents at end of the period	1,816	2,876
Supplemental disclosure of cash flow information
Income tax paid		2
Interest expense paid	$ 19

Note 1 - Organization and Nature of Operations

6 Months Ended

Jun. 30, 2017

Nature of Operations [Text Block]

1.	Organization and nature of operations

ChinaNet Online Holdings, Inc. (the “Company”) was incorporated in the State of Texas in

April 2006

and re-domiciled to become a Nevada corporation in

October 2006.

June 26, 2009,

the Company consummated a share exchange transaction with China Net Online Media Group Limited (the “Share Exchange”), a company organized under the laws of British Virgin Islands (“China Net BVI”). As a result of the Share Exchange, China Net BVI became a wholly owned subsidiary of the Company and the Company is now a holding company, which, through certain contractual arrangements with operating companies in the People’s Republic of China (the “PRC”), is engaged in providing advertising, precision marketing, online to offline (

O2O

) sales channel expansion and the related data services to small and medium enterprises (“SMEs”) and entrepreneurial management and networking services for entrepreneurs in the PRC.

As of

June 30, 2017,

the Company operated its business primarily in China through its PRC subsidiaries and operating entities, or Variable Interest Entities (“VIEs”) as discussed in the Company’s Annual Report on Form

-K for the fiscal year ended

December 31, 2016,

previously filed with the Securities and Exchange Commission (the

“2016

Form

-K”).

Note 2 - Variable Interest Entities

6 Months Ended

Jun. 30, 2017

Variable Interest Entities Disclosure [Text Block]

2.	Variable interest entities

Summarized below is the information related to the VIEs’ assets and liabilities reported in the Company’s condensed consolidated balance sheets as of

June 30, 2017

and

December 31, 2016,

respectively:

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)
Assets
Current assets:
Cash and cash equivalents	$	1,740	$	2,915
Term deposit		3,129		3,056
Accounts receivable, net		5,084		3,315
Prepayment and deposit to suppliers		4,607		4,710
Due from related parties, net		212		197
Other current assets		121		71
Total current assets		14,893		14,264

Long-term investments		44		43
Property and equipment, net		227		286
Intangible assets, net		5,087		5,468
Goodwill		5,090		4,970
Deferred tax assets		1,156		1,241
Total Assets	$	26,497	$	26,272

Liabilities
Current liabilities:
Short-term bank loan	$	738	$	721
Accounts payable		125		83
Advances from customers		2,519		1,388
Accrued payroll and other accruals		183		256
Due to Control Group		10		10
Payable for purchasing of software technology		421		411
Taxes payable		2,578		2,480
Other payables		206		162
Total current liabilities		6,780		5,511

Total Liabilities	$	6,780	$	5,511

All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do

not

represent additional claims on the Company’s general assets.

Summarized below is the information related to the financial performance of the VIEs reported in the Company’s condensed consolidated statements of operations and comprehensive loss for the

six

and

three

months ended

June 30, 2017

and

2016,

respectively:

	Six Months Ended June 30,
	2017			2016
	US$(’000)			US$(’000)

Revenues	$	17,733		$	13,387
Cost of revenues		(14,792	)		(9,314	)
Total operating expenses		(3,159	)		(4,094	)
Loss from discontinued operations		-			(60	)
Net loss before allocation to noncontrolling interests		(516	)		(260	)

	Three Months Ended June 30,
	2017			2016
	US$(’000)			US$(’000)

Revenues	$	10,469		$	8,348
Cost of revenues		(8,800	)		(5,859	)
Total operating expenses		(1,526	)		(2,211	)
Loss from discontinued operations		-			(14	)
Net (loss)/income before allocation to noncontrolling interests		(163	)		75

Note 3 - Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2017

Significant Accounting Policies [Text Block]

Summary of significant accounting policies

Basis of presentation

The condensed consolidated interim financial statements are prepared and presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

The condensed consolidated interim financial information as of

June 30, 2017

and for the

six

and

three

months ended

June 30, 2017

and

2016

have been prepared without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures, which are normally included in annual consolidated financial statements prepared in accordance with U.S. GAAP, have been omitted pursuant to those rules and regulations. The condensed consolidated interim financial information should be read in conjunction with the financial statements and the notes thereto, included in the

2016

Form

-K.

In the opinion of management, all adjustments (which include normal recurring adjustments) necessary to present a fair statement of the Company’s consolidated financial position as of

June 30, 2017,

its consolidated results of operations for the

six

and

three

months ended

June 30, 2017

and

2016,

and its consolidated cash flows for the

six

months ended

June 30, 2017

and

2016,

as applicable, have been made. The interim results of operations are

not

necessarily indicative of the operating results for the full fiscal year or any future periods.

Principles of consolidation

The condensed consolidated interim financial statements include the financial statements of all the subsidiaries and VIEs of the Company. All transactions and balances between the Company and its subsidiaries and VIEs have been eliminated upon consolidation.

Use of estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of these condensed consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. The Company continually evaluates these estimates and assumptions based on the most recently available information, historical experience and various other assumptions that the Company believes to be reasonable under the circumstances. Since the use of estimates is an integral component of the financial reporting process, actual results could differ from those estimates.

Foreign currency translation

The exchange rates used to translate amounts in RMB into US$ for the purposes of preparing the condensed consolidated financial statements are as follows:

	June 30, 2017		December 31, 2016

Balance sheet items, except for equity accounts		6.7744		6.9370

	Six Months Ended June 30,
	2017		2016

Items in the statements of operations and comprehensive loss, and statements of cash flows		6.8697		6.5303

	Three Months Ended June 30,
	2017		2016
Items in the statements of operations and comprehensive loss, and statements of cash flows		6.8536		6.5317

representation is made that the RMB amounts could have been, or could be converted into US$ at the above rates.

Advertising costs

Advertising costs for the Company’s own brand building are

not

includable in cost of revenues, they are expensed when incurred or amortized over the estimated beneficial period and are included in “sales and marketing expenses” in the statements of operations and comprehensive loss. For the

six

months ended

June 30, 2017

and

2016,

advertising expenses for the Company’s own brand building were approximately

US$1,103,000

and

US$960,000,

respectively. For the

three

months ended

June 30, 2017

and

2016,

advertising expenses for the Company’s own brand building were approximately

US$593,000

and

US$537,000,

respectively.

Research and development expenses

The Company accounts for the cost of developing and upgrading technologies and platforms and intellectual property that are used in its daily operations in research and development cost. Research and development costs are charged to expense when incurred. Expenses for research and development for the

six

months ended

June 30, 2017

and

2016

were approximately

US$700,000

and

US$1,016,000,

respectively. Expenses for research and development for the

three

months ended

June 30, 2017

and

2016

were approximately

US$305,000

and

US$590,000,

respectively.

Note 4 - Term Deposit

6 Months Ended

Jun. 30, 2017

Term Deposit [Text Block]

4.	Term deposit

Term deposit as of

June 30, 2017

and

December 31, 2016

represented the amount of cash placed as a term deposit by

one

of the Company’s operating VIEs in a major financial institution in China, which management believes is of high credit quality. The term deposit matured on

July 7, 2017.

The interest rate of the term deposit was

2.25%

per annum.

Note 5 - Accounts Receivable, Net

6 Months Ended

Jun. 30, 2017

Accounts Receivable Disclosure [Text Block]

Accounts receivable, net

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Accounts receivable		7,868			6,034
Allowance for doubtful accounts		(2,777	)		(2,712	)
Accounts receivable, net		5,091			3,322

All of the accounts receivable are non-interest bearing. Based on the assessment of the collectability of the accounts receivable as of

June 30, 2017

and

December 31, 2016,

the Company provided approximately

US$2,777,000

and

US$2,712,000

allowance for doubtful accounts, which were primarily related to the accounts receivable of the Company’s internet advertising and TV advertising business segment. The Company evaluates its accounts receivables with an aging over

six

months and determines the allowance based on aging data, historical collection experience, customer specific facts and economic conditions.

Note 6 - Prepayments and Deposit to Suppliers

6 Months Ended

Jun. 30, 2017

Prepayments and Deposits to Suppliers Disclosure [Text Block]

6.	Prepayments and deposit to suppliers

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)

Deposits to internet resources providers		952		1,074
Prepayments to internet resources providers		2,878		2,874
Deposits to other services providers		738		721
Other deposits and prepayments		125		85
		4,693		4,754

The Company purchases internet resources from large internet search engines and technical services from suppliers to attract more internet traffic to its advertising portals and provide value-added services to its clients.

Deposits to internet resources providers are paid as contractual deposits to the Company’s resources and services suppliers. As of

June 30, 2017

and

December 31, 2016,

deposit to internet resources providers primarily consisted of the contractual deposits paid for purchasing internet resources from

two

of the Company’s largest internet resources suppliers.

According to the contracts signed between the Company and its suppliers, the Company is normally required to pay the contract amounts in advance. These prepayments will be transferred to cost of revenues when the related services are provided. As of

June 30, 2017

and

December 31, 2016,

prepayments to internet resources providers primarily consisted of advance payments paid for purchasing internet resources from

two

of the Company’s largest internet resources suppliers.

As of

June 30, 2017

and

December 31, 2016,

deposits to other service provider represented the deposit for an advisory contract related to finding new investors for the Company, which will expire on

December 31, 2017.

Note 7 - Due From Related Parties

6 Months Ended

Jun. 30, 2017

7.	Due from related parties, net

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Beijing Saimeiwei Food Equipment Technology Co., Ltd.		33			31
Chuangshi Meiwei (Beijing) International Investment Management Co., Ltd.		153			150
ChinaNet Chuang Tou (Shenzhen) Co., Ltd.		13			-
GuohuaShiji (Beijing) Communication Co., Ltd.		178			175
Beijing Saturday Education Technology Co., Ltd.		-			1
		377			357
Allowance for doubtful debts		(148	)		(144	)
Due from related parties, net		229			213

Related parties of the Company represented the Company’s direct or indirect unconsolidated investee companies. As of

June 30, 2017

and

December 31, 2016,

due from related parties primarily included short-term working capital loans of

RMB1.0

million (approximately

US$0.15

million) and

RMB1.2

million (approximately

US$0.18

million) to Chuangshi Meiwei and Guohua Shiji, respectively. The working capital loans are lent to supplement the short-term operational needs of these related parties to assist certain of their business developing projects. The working capital loans are non-interest bearing and needs to be repaid to the Company within

one

year. Based on the assessment of the collectability, the Company provided approximately

US$148,000

and

US$144,000

allowance for doubtful accounts against its amounts due from related parties as of

June 30, 2017

and

December 31, 2016,

respectively, which was related to the working capital loan lent to Chuangshi Meiwei.

Note 8 - Long-term Investments

6 Months Ended

Jun. 30, 2017

Equity Method Investments and Joint Ventures Disclosure [Text Block]

Long-term investments

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Equity method investments:
Investment in equity method investees		726			709
Advance to equity method investees		77			75
Impairment on equity method investments		(803	)		(784	)
Total equity method investments		-			-

Cost method investments:
Investment in cost method investees		1,528			1,492
Impairment on cost method investments		(155	)		(152	)
Total cost method investments		1,373			1,340

Total long-term investments		1,373			1,340

Equity method investments

As of

June 30, 2017,

the Company beneficially owned

23.18%

and

25.5%

equity interest in Shenzhen Mingshan and Zhao Shang Ke Hubei, respectively. The Company accounts for its investments in these companies under equity method of accounting. Based on the facts of the significant decline in level of business activities from

2015,

insufficient amount of working capital and the lack of commitment from majority shareholders, these

two

investment affiliates had become dormant and the possibility of the business recovery is remote. As a result, the Company reduced the carrying value of these investments to

zero

as of the end of

2015.

Cost method investments

As of

June 30, 2017,

the Company beneficially owned a

19%

equity interest in ChinaNet Chuang Tou and Guohua Shiji, respectively, a

10%

equity interest in Chuangshi Meiwei and Beijing Saturday, respectively, and a

15%

equity interest in ChinaNet Korea. The Company accounts for its investments in these companies under cost method of accounting. As the business plan of ChinaNet Korea and Chuangshi Meiwei were

not

implemented smoothly and based on the facts of the significant decline in level of business activities, insufficient amount of working capital and the lack of commitment from majority shareholders, the possibility of the business recovery of these

two

companies is remote. As a result, the Company reduced the carrying value of these investments to

zero

as of the end of

2016.

The following table summarizes the movement of the investments in cost method investees for the

six

months ended

June 30, 2017:

	Beijing Saturday		Guohua Shiji		ChinaNet Chuang Tou		Total
	US$(’000)		US$(’000)		US$(’000)		US$(’000)

Balance as of December 31, 2016		16		27		1,297		1,340
Exchange translation adjustment		1		1		31		33
Balance as of June 30, 2017 (Unaudited)		17		28		1,328		1,373

Note 9 - Property and Equipment, Net

6 Months Ended

Jun. 30, 2017

Property, Plant and Equipment Disclosure [Text Block]

Property and equipment, net

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Leasehold improvement		325			317
Vehicles		781			763
Office equipment		1,405			1,371
Electronic devices		1,122			1,096
Property and equipment, cost		3,633			3,547
Less: accumulated depreciation		(3,093	)		(2,922	)
Less: impairment loss on abandoned fixed assets		(158	)		(154	)
Property and equipment, net		382			471

Depreciation expenses in the aggregate for the

six

months ended

June 30, 2017

and

2016

were approximately

US$100,000

and

US$137,000,

respectively. Depreciation expenses in the aggregate for the

three

months ended

June 30, 2017

and

2016

were approximately

US$49,000

and

US$64,000,

respectively.

Note 10 - Intangible Assets, Net

6 Months Ended

Jun. 30, 2017

Intangible Assets Disclosure [Text Block]

10.

Intangible assets, net

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)
Intangible assets not subject to amortization:
Domain name		1,426			1,393
Intangible assets subject to amortization:
Customer relationship		1,966			1,920
Non-compete agreements		1,082			1,057
Software technologies		303			295
Cloud compute software technology		1,370			1,338
Intelligent marketing data service platform		4,766			4,655
Internet safety, information exchange security and data encryption software		1,919			1,874
Cloud video management system		1,402			1,369
Other computer software		116			113
Intangible assets, cost		14,350			14,014
Less: accumulated amortization		(5,607	)		(4,875	)
Less: accumulated impairment losses		(1,920	)		(1,875	)
Intangible assets, net		6,823			7,264

Amortization expenses in aggregate for the

six

months ended

June 30, 2017

and

2016

were approximately

US$607,000

and

US$623,000,

respectively. Amortization expenses in aggregate for the

three

months ended

June 30, 2017

and

2016

were approximately

US$304,000

and

US$312,000,

respectively.

Based on the current carrying value of the finite-lived intangible assets recorded, which weighted average remaining useful life was

6.08

years as of

June 30, 2017,

and assuming

further subsequent impairment of the underlying intangible assets, the estimated future amortization expenses is approximately

US$606,000

for the

six

months ending

December 31, 2017,

approximately

US$

1,207,000

each year for the years ending

December 31, 2018

through

2020,

and approximately

US$1,137,000

for the year ending

December 31, 2021.

Note 11 - Goodwill

6 Months Ended

Jun. 30, 2017

Goodwill Disclosure [Text Block]

11.

Goodwill

	Amount
	US$(’000)

Balance as of December 31, 2016		4,970
Exchange translation adjustment		120
Balance as of June 30, 2017 (unaudited)		5,090

Note 12 - Short-term Bank Loan

6 Months Ended

Jun. 30, 2017

Short-term Debt [Text Block]

12.

Short-term bank loan

Short-term bank loan as of

June 30, 2017

and

December 31, 2016

represented short-term bank loans of

RMB5.0

million (approximately

US$0.7

million), in the aggregate, borrowed by

one

of the Company’s VIEs from a major financial institution in China to supplement its short-term working capital needs, of which

RMB3.0

million (approximately

US$0.4

million) matured and was repaid on

July 18, 2017,

the remaining RMB

2.0

million (approximately

US$0.3

million) will mature on

October 30, 2017.

The interest rate of these short-term bank loan is

5.22%

per annum, which is

20%

over the benchmark rate of the People’s Bank of China (the “PBOC”).

Note 13 - Accrued Payroll and Other Accruals

6 Months Ended

Jun. 30, 2017

Accounts Payable and Accrued Liabilities Disclosure [Text Block]

13.	Accrued payroll and other accruals

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)

Accrued payroll and staff welfare		243		319
Accrued operating expenses		224		366
		467		685

Note 14 - Due to New Investors Related to Terminated Security Purchase Agreements

6 Months Ended

Jun. 30, 2017

Guarantee Payment and Prepayment from New Investors [Text Block]

14.

Due to new investors related to terminated security purchase agreements

May 2015,

the Company entered into securities purchase agreements with Beijing Jinrun Fangzhou Science & Technology Co, Ltd. (“Jinrun Fangzhou”) and Dongsys Innovation (Beijing) Technology Development Co., Ltd. (“Dongsys Innovation”), public companies listed on the National Equities Exchange and Quotations of the PRC (the “NEEQ”), respectively, pursuant to which these companies agreed to purchase a certain number of shares of common stock of the Company. The Company had received the

10%

guarantee payment and

15%

prepayment in an aggregate amount equal to

US$790,000

from Jinrun Fangzhou, and the

10%

guarantee payment in an amount equal to

US$115,000

from Dongsys Innovation, respectively.

Due to certain restriction stipulated in the “Measures for Overseas Investment Management” issued by the Ministry of Commerce of the PRC (the “MOFCOM”), the Company and its investors experienced difficulties in obtaining approval for the transactions from the MOFCOM. As a result, on

May 12, 2016,

the Company terminated the security purchase agreements with the

two

investors, respectively. The Company did

not

make any repayment to these investors afterwards during

2016

and the

first

half year of

2017.

As agreed by the parties, beginning on

January 1, 2017,

the Company will bear a

12%

annualized interest rate for the unpaid amounts and the amounts shall be refunded to the investors

later than

December 31, 2017.

The Company expects to settle the balances with the

two

investors within

2017.

Interest expense for the unpaid amounts accrued for the

six

and

three

months ended

June 30, 2017

was approximately

US$0.05

million and

US$0.02

million, which has been recorded in other payables account.

Note 15 - Payable For Purchasing of Software Technology

6 Months Ended

Jun. 30, 2017

Accounts Payable and Accrued Liabilities for Software Disclosure [Text Block]

15.

Payable for purchasing of software technology

Payable for purchasing of software technology as of

June 30, 2017

and

December 31, 2016

represented the remaining outstanding payment balance of approximately

RMB

2.85

million (approximately

US$

0.4

million) for purchasing of software technology, which transaction consummated in the

fourth

fiscal quarter of

2016.

The Company expects to settle the balance with the counter party within

2017.

Note 16 - Taxation

6 Months Ended

Jun. 30, 2017

Income Tax Disclosure [Text Block]

16.

Taxation

)

Income tax

The entities within the Company file separate tax returns in the respective tax jurisdictions in which they operate.

i). The Company is incorporated in the state of Nevada. Under the current law of Nevada, the Company is

not

subject to state corporate income tax. Following the Share Exchange, the Company became a holding company and does

not

conduct any substantial operations of its own.

provision for federal corporate income tax has been made in the financial statements as the Company has

assessable profits for the

six

and

three

months ended

June 30, 2017,

or any prior periods. The Company does

not

provide for U.S. taxes or foreign withholding taxes on undistributed earnings from its non-U.S. subsidiaries because such earnings are intended to be reinvested indefinitely. If undistributed earnings were distributed, foreign tax credits could become available under current law to reduce the resulting U.S. income tax liability.

ii). China Net BVI was incorporated in the British Virgin Islands (“BVI”). Under the current law of the BVI, China Net BVI is

not

subject to tax on income or capital gains. Additionally, upon payments of dividends by China Net BVI to its shareholders,

BVI withholding tax will be imposed.

iii). China Net HK was incorporated in Hong Kong and does

not

conduct any substantial operations of its own.

provision for Hong Kong profits tax has been made in the financial statements as China Net HK has

assessable profits for the

six

and

three

months ended

June 30, 2017

or any prior periods. Additionally, upon payments of dividends by China Net HK to its shareholders,

Hong Kong withholding tax will be imposed.

iv). The Company’s PRC operating subsidiaries and VIEs, being incorporated in the PRC, are governed by the income tax law of the PRC and is subject to PRC enterprise income tax (“EIT”). The EIT rate of PRC is

25%

which applies to both domestic and foreign invested enterprises.

November 2015,

Business Opportunity Online was re-approved by the related PRC governmental authorities as a High and New Technology Enterprise, which enabled the entity, as approved by the local tax authorities of Beijing, the PRC, to continue enjoying the favorable statutory tax rate of

15%

until

November 2018.

Therefore, for the

six

and

three

months ended

June 30, 2017

and

2016,

the applicable income tax rate of Business Opportunity Online was

15%

The applicable income tax rate for other PRC subsidiaries and operating entities of the Company was

25%

for the

six

and

three

months ended

June 30, 2017

and

2016.

The current EIT law also imposed a

10%

withholding income tax for dividends distributed by a foreign invested enterprise to its immediate holding company outside China. A lower withholding tax rate will be applied if there is a tax treaty arrangement between mainland China and the jurisdiction of the foreign holding company. Holding companies in Hong Kong, for example, will be subject to a

withholding tax rate.

For the

six

and

three

months ended

June 30, 2017

and

2016,

the preferential income tax treatment enjoyed by the Company’s PRC VIE, Business Opportunity Online was based on the current applicable laws and regulations of the PRC and approved by the related government regulatory authorities and local tax authorities where Business Opportunity Online operates in. The preferential income tax treatment is subject to change in accordance with the PRC government economic development policies and regulations. The preferential income tax treatment is primarily determined by the regulation and policies of the PRC government in the context of the overall economic policy and strategy. As a result, the uncertainty of the preferential income tax treatment is subject to, but

not

limited to, the PRC government policy on supporting any specific industry’s development under the outlook and strategy of overall macroeconomic development.

)

Turnover taxes and the relevant surcharges

Service revenues provided by the Company’s PRC operating subsidiaries and VIEs were subject to Value Added Tax (“VAT”). VAT rate for provision of modern services (other than lease of corporeal movables) is

and for small scale taxpayer,

Therefore, for the

six

and

three

months ended

June 30, 2017

and

2016,

the Company’s service revenues are subject to VAT at a rate of

6%,

after deducting the VAT paid for the services purchased from suppliers, or at a rate of

without any deduction of VAT paid for the services purchased from suppliers. The surcharges of the VAT is

12%

14%

of the VAT, depending on which tax jurisdiction the Company’s PRC operating subsidiaries and VIE operate in.

As of

June 30, 2017

and

December 31, 2016,

taxes payable consists of:

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)

Turnover tax and surcharge payable		1,187		1,147
Enterprise income tax payable		1,832		1,763
Total taxes payable		3,019		2,910

For the

six

and

three

months ended

June 30, 2017

and

2016,

the Company’s income tax expense consisted of:

	Six Months Ended June 30,						Three Months Ended June 30,
	2017			2016			2017			2016
	US$(’000)			US$(’000)			US$(’000)			US$(’000)
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)

Current-PRC		-			-			-			-
Deferred-PRC		(113	)		(152	)		(113	)		(180	)
Income tax expenses		(113	)		(152	)		(113	)		(180	)

The Company’s deferred tax assets at

June 30, 2017

and

December 31, 2016

were as follows:

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Tax effect of net operating losses carried forward		9,944			9,345
Bad debts provision		946			931
Valuation allowance		(9,446	)		(8,754	)
Total deferred tax assets		1,444			1,522

The net operating losses carried forward incurred by the Company (excluding its PRC operating subsidiaries and VIEs) were approximately

US$17,905,000

and

US$17,544,000

June 30, 2017

and

December 31, 2016,

respectively, which loss is applicable to the Company’s U.S. income tax return and carry forwards gradually expire over time, the last of which expires in

2037.

A full valuation allowance has been recorded because it is considered more likely than

not

that the deferred tax assets will

not

be realized through sufficient future earnings of the entity to which the operating losses relate.

The net operating losses carried forward (excluding bad debts provision and non-deductible expenses) incurred by the Company’s PRC subsidiaries and VIEs were approximately

US$19,314,000

and

US$17,939,000

June 30, 2017

and

December 31, 2016,

respectively, which loss is applicable to the Company’s PRC income tax return and carry forwards gradually expire over time, the last of which expires in

2022.

The related deferred tax assets were calculated based on the respective net operating losses incurred by each of the PRC subsidiaries and VIEs and the respective corresponding enacted tax rate that will be in effect in the period in which the losses are expected to be utilized. The Company recorded approximately

US$503,000

and

US$297,000

net valuation allowance for the

six

months ended

June 30, 2017

and

2016,

respectively, and approximately

US$270,000

and

US$137,000

net valuation allowance for the

three

months ended

June 30, 2017

and

2016,

respectively, because it is considered more likely than

not

that this portion of the deferred tax assets will

not

be realized through sufficient future earnings of the entities to which the operating losses relate. The Company also utilized approximately

US$111,000

and

US$193,000

previously recognized deferred tax assets for the

six

months ended

June 30, 2017

and

2016,

respectively, and approximately

US$99,000

and

US$158,000

previously recognized deferred tax assets for the

three

months ended

June 30, 2017

and

2016,

respectively, due to earnings generated during the respective periods.

Full valuation allowance to bad debts provision related deferred tax assets were recorded because it is considered more likely than

not

that this portion of deferred tax assets will

not

be realized through bad debts verification by the local tax authorities where the PRC subsidiaries and VIEs operate in.

The tax authority of the PRC government conducts periodic and ad hoc tax filing reviews on business enterprises operating in the PRC after those enterprises had completed their relevant tax filings, hence the Company’s tax filings

may

not

be finalized. It is therefore uncertain as to whether the PRC tax authority

may

take different views about the Company’s tax filings which

may

lead to additional tax liabilities.

Note 17 - Long-term Borrowing From a Director

6 Months Ended

Jun. 30, 2017

Long-Term Borrowing from Director Disclosure [Text Block]

17.

Long-term borrowing from a director

Long-term borrowing from a director is a non-interest bearing loan from a director of the Company relating to the original paid-in capital contribution in the Company’s wholly-owned subsidiary Rise King WFOE, which is

not

expected to be repaid within

one

year.

Note 18 - Restricted Net Assets

6 Months Ended

Jun. 30, 2017

Restricted Assets Disclosure [Text Block]

18.

Restricted net assets

As most of the Company’s operations are conducted through its PRC subsidiary and VIEs, the Company’s ability to pay dividends is primarily dependent on receiving distributions of funds from its PRC subsidiary and VIEs. Relevant PRC statutory laws and regulations permit payments of dividends by its PRC subsidiary and VIEs only out of their retained earnings, if any, as determined in accordance with PRC accounting standards and regulations and after it has met the PRC requirements for appropriation to statutory reserves. Paid in capital of the PRC subsidiary and VIEs included in the Company’s consolidated net assets are also non-distributable for dividend purposes.

In accordance with the PRC regulations on Enterprises with Foreign Investment, a WFOE established in the PRC is required to provide certain statutory reserves, namely general reserve fund, the enterprise expansion fund and staff welfare and bonus fund which are appropriated from net profit as reported in the enterprise’s PRC statutory accounts. A WFOE is required to allocate at least

10%

of its annual after-tax profit to the general reserve until such reserve has reached

50%

of its registered capital based on the enterprise’s PRC statutory accounts. Appropriations to the enterprise expansion fund and staff welfare and bonus fund are at the discretion of the board of directors. The aforementioned reserves can only be used for specific purposes and are

not

distributable as cash dividends. Rise King WFOE is subject to the above mandated restrictions on distributable profits. Additionally, in accordance with the Company Law of the PRC, a domestic enterprise is required to provide a statutory common reserve of at least

10%

of its annual after-tax profit until such reserve has reached

50%

of its registered capital based on the enterprise’s PRC statutory accounts. A domestic enterprise is also required to provide for a discretionary surplus reserve, at the discretion of the board of directors. The aforementioned reserves can only be used for specific purposes and are

not

distributable as cash dividends. All of the Company’s PRC VIEs are subject to the above mandated restrictions on distributable profits.

As a result of these PRC laws and regulations, the Company’s PRC subsidiary and VIEs are restricted in their ability to transfer a portion of their net assets to the Company. As of

June 30, 2017

and

December 31, 2016,

net assets restricted in the aggregate, which include paid-in capital and statutory reserve funds of the Company’s PRC subsidiary and VIEs that are included in the Company’s consolidated net assets, was approximately

US$7.9

million and

US$7.8

million, respectively.

The current PRC Enterprise Income Tax Law also imposed a

10%

rate. Rise King WFOE is invested by its immediate holding company in Hong Kong and will be entitled to the

preferential withholding tax rate upon distribution of the dividends to its immediate holding company.

The ability of the Company’s PRC subsidiary and VIEs to make dividends and other payments to the Company

may

also be restricted by changes in applicable foreign exchange and other laws and regulations.

Foreign currency exchange regulation in China is primarily governed by the following rules:

Foreign Exchange Administration Rules (

1996

), as amended in

August 2008,

or the Exchange Rules;

Administration Rules of the Settlement, Sale and Payment of Foreign Exchange (

1996

), or the Administration Rules.

Currently, under the Administration Rules, Renminbi is freely convertible for current account items, including the distribution of dividends, interest payments, trade and service related foreign exchange transactions, but

not

for capital account items, such as direct investments, loans, repatriation of investments and investments in securities outside of China, unless the prior approval of the State Administration of Foreign Exchange (the “SAFE”) is obtained and prior registration with the SAFE is made. Foreign-invested enterprises like Rise King WFOE that need foreign exchange for the distribution of profits to its shareholders

may

effect payment from their foreign exchange accounts or purchase and pay foreign exchange rates at the designated foreign exchange banks to their foreign shareholders by producing board resolutions for such profit distribution. Based on their needs, foreign-invested enterprises are permitted to open foreign exchange settlement accounts for current account receipts and payments of foreign exchange along with specialized accounts for capital account receipts and payments of foreign exchange at certain designated foreign exchange banks.

Although the current Exchange Rules allow the convertibility of Chinese Renminbi into foreign currency for current account items, conversion of Chinese Renminbi into foreign exchange for capital items, such as foreign direct investment, loans or securities, requires the approval of SAFE, which is under the authority of the People’s Bank of China. These approvals, however, do

not

guarantee the availability of foreign currency conversion. The Company cannot be sure that it will be able to obtain all required conversion approvals for its operations or the Chinese regulatory authorities will

not

impose greater restrictions on the convertibility of Chinese Renminbi in the future. Currently, most of the Company’s retained earnings are generated in Renminbi. Any future restrictions on currency exchanges

may

limit the Company’s ability to use its retained earnings generated in Renminbi to make dividends or other payments in U.S. dollars or fund possible business activities outside China.

As of

June 30, 2017

and

December 31, 2016,

there was approximately

US$16.4

million and

US$17.6

million retained earnings in the aggregate, respectively, which was generated by the Company’s PRC subsidiary and VIEs in Renminbi included in the Company’s consolidated net assets, aside from

US$2.6

million and

US$2.5

million of statutory reserve funds as of

June 30, 2017

and

December 31, 2016,

respectively, that

may

be affected by increased restrictions on currency exchanges in the future, and accordingly,

may

further limit the Company’s PRC subsidiary’s and VIEs’ ability to make dividends or other payments in U.S. dollars to the Company, in addition to the approximately

US$7.9

million and

US$7.8

million of restricted net assets as of

June 30, 2017

and

December 31, 2016,

as discussed above.

Note 19 - Employee Defined Contribution Plan

6 Months Ended

Jun. 30, 2017

Pension and Other Postretirement Benefits Disclosure [Text Block]

19.	Employee defined contribution plan

Full time employees of the Company in the PRC participate in a government mandated defined contribution plan, pursuant to which certain pension benefits, medical care, employee housing fund and other welfare benefits are provided to employees. Chinese labor regulations require that the PRC subsidiaries of the Company make contributions to the government for these benefits based on certain percentages of the employees’ salaries. The employee benefits were expensed as incurred. The Company has

legal obligation for the benefits beyond the contributions made. The total amounts for such employee benefits were approximately

US$226,000

and

US$298,000

for the

six

months ended

June 30, 2017

and

2016,

respectively. The total amounts for such employee benefits were approximately

US$97,000

and

US$144,000

for the

three

months ended

June 30, 2017

and

2016,

respectively.

Note 20 - Concentration of Risk

6 Months Ended

Jun. 30, 2017

Concentration Risk Disclosure [Text Block]

20.	Concentration of risk

Credit risk

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash and cash equivalents, term deposit and accounts receivable. As of

June 30, 2017

and

December 31, 2016,

substantially all of the Company’s cash and cash equivalents and term deposit were held by major financial institutions located in Mainland China, which management believes are of high credit quality. For accounts receivables, the Company extends credit based on an evaluation of the customer’s financial condition, generally without requiring collateral or other security. In order to minimize the credit risk, the Company delegated a team responsible for credit approvals and other monitoring procedures to ensure that follow-up action is taken to recover overdue debts. Further, the Company reviews the recoverable amount of each individual trade debt at each balance sheet date to ensure that adequate allowances are made for doubtful accounts. In this regard, the Company considers that the Company’s credit risk for accounts receivables is significantly reduced.

Risk arising from operations in foreign countries

All of the Company’s operations are conducted within the PRC. The Company’s operations in the PRC are subject to various political, economic, and other risks and uncertainties inherent in the PRC. Among other risks, the Company’s operations in the PRC are subject to the risks of restrictions on transfer of funds, changing taxation policies, foreign exchange restrictions; and political conditions and governmental regulations.

Currency convertibility risk

Significant part of the Company’s businesses is transacted in RMB, which is

not

freely convertible into foreign currencies. All foreign exchange transactions take place either through the People’s Bank of China or other banks authorized to buy and sell foreign currencies at the exchange rates quoted by the People’s Bank of China. Approval of foreign currency payments by the People’s Bank of China or other regulatory institutions requires submitting a payment application form together with suppliers’ invoices and signed contracts. These exchange control measures imposed by the PRC government authorities

may

restrict the ability of the Company’s PRC subsidiaries and VIEs to transfer its net assets, which to the Company through loans, advances or cash dividends.

Concentration of customers

For the

six

months ended

June 30, 2017,

one

customer individually accounted for

21%

of the Company’s revenues. For the

three

months ended

June 30, 2017,

the same

one

customer individually accounted for

21%

of the Company’s revenues. Except for the aforementioned customer, there was

other single customer who accounted for more than

10%

of the Company’s revenues for the

six

three

months ended

June 30, 2017.

There was

single customer who accounted for more than

10%

of the Company’s revenues for the

six

three

months ended

June 30, 2016.

As of

June 30, 2017,

three

customers individually accounted for

28%,

17%

and

11%

of the Company’s accounts receivables, respectively. As of

December 31, 2016,

two

customers individually accounted for

22%

and

14%

of the Company’s accounts receivable, respectively. Except for the aforementioned, there was

other single customer who accounted for more than

10%

of the Company’s accounts receivable as of

June 30, 2017

December 31, 2016.

Concentration of suppliers

For the

six

months ended

June 30, 2017,

two

suppliers individually accounted for

75%

and

16%

of the Company’s cost of revenues, respectively. For the

three

months ended

June 30, 2017,

the same

two

suppliers individually accounted for

81%

and

11%

of the Company’s cost of revenues, respectively. Except for the afore-mentioned, there was

other single supplier who accounted for more than

10%

of the Company’s cost of revenues for the

six

three

months ended

June 30, 2017.

For the

six

months ended

June 30, 2016,

two

suppliers individually accounted for

60%

and

12%

of the Company’s cost of revenues, respectively. For the

three

months ended

June 30, 2016,

the same

two

suppliers individually accounted for

60%

and

10%

of the Company’s cost of revenues, respectively. Except for the afore-mentioned, there was

other single supplier who accounted for more than

10%

of the Company’s cost of revenues for the

six

three

months ended

June 30, 2016.

Note 21 - Commitments and Contingencies

6 Months Ended

Jun. 30, 2017

Commitments and Contingencies Disclosure [Text Block]

21.	Commitments and contingencies

The following table sets forth the Company’s operating lease commitment as of

June 30, 2017:

	Office Rental
	US$(’000)
	(Unaudited)
Six months ending December 31,
-2017		218
Year ending December 31,
-2018		436
-2019		109
Total	$	763

For the

six

months ended

June 30, 2017

and

2016,

rental expenses under operating leases were approximately

US$191,000

and

US$310,000,

respectively. For the

three

months ended

June 30, 2017

and

2016,

rental expenses under operating leases were approximately

US$93,000

and

US$140,000,

respectively.

Note 22 - Segment Reporting

6 Months Ended

Jun. 30, 2017

Segment Reporting Disclosure [Text Block]

22.

Segment reporting

The Company follows ASC Topic

280

“Segment Reporting”, which requires that companies disclose segment data based on how management makes decisions about allocating resources to segments and evaluating their performance. Reportable operating segments include components of an entity about which separate financial information is available and which operating results are regularly reviewed by the chief operating decision maker (“CODM”), the Company’s Chief Executive Officer, to make decisions about resources to be allocated to the segment and assess each operating segment’s performance.

Six Months Ended

June 30, 2017 (

Unaudited)

	Internet Ad. and data service			TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item			Total
	US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)

Revenues		17,764			-			-			-			17,764
Cost of revenues		14,792						-			-			14,792
Total operating expenses		3,182			56			1,205	(1)		-			4,443
Depreciation and amortization expense included in total operating expenses		658			1			48			-			707
Operating loss		(210	)		(56	)		(1,205	)		-			(1,471	)

Expenditure for long-term assets		-			-			2			-			2

Net loss from continuing operations		(563	)		(56	)		(1,207	)		-			(1,826	)

Total assets – June 30, 2017		29,781			300			11,383			(11,211	)		30,253
Total assets – December 31, 2016		29,520			348			11,882			(11,708	)		30,042

(

)

Including approximately

US$348,000

share-based compensation expenses.

Three Months Ended

June 30, 2017 (

Unaudited)

	Internet Ad. and data service			TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item		Total
	US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)		US$ (‘000)

Revenues		10,500			-			-			-		10,500
Cost of revenues		8,800			-			-			-		8,800
Total operating expenses		1,621			28			473	(1)		-		2,122
Depreciation and amortization expense included in total operating expenses		329			1			23			-		353
Operating income/(loss)		79			(28	)		(473	)		-		(422	)

Expenditure for long-term assets		-			-			2			-		2

Net loss from continuing operations		(254	)		(28	)		(475	)		-		(757	)

(

)

Including approximately

US$137,000

share-based compensation expenses.

Six Months Ended

June 30, 2016 (

Unaudited)

	Internet Ad. and data service			TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item		Total
	US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)		US$ (‘000)

Revenues		13,496			-			-			-		13,496
Cost of revenues		9,395						-			-		9,395
Total operating expenses		4,207			76			2,214	(1)		-		6,497
Depreciation and amortization expense included in total operating expenses		712			1			47			-		760
Operating loss		(106	)		(76	)		(2,214	)		-		(2,396	)

Expenditure for long-term assets		2,036			-			103			-		2,139
Net loss from continuing operations		(284	)		(76	)		(2,148	)		-		(2,508	)

(

)

Including approximately

US$1,135,000

share-based compensation expenses.

Three Months Ended

June 30, 2016 (

Unaudited)

	Internet Ad. and data service		TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item		Total
	US$ (‘000)		US$ (‘000)			US$ (‘000)			US$ (‘000)		US$ (‘000)

Revenues		8,436		-			-			-		8,436
Cost of revenues		5,939		-			-			-		5,939
Total operating expenses		2,302		28			1,155	(1)		-		3,485
Depreciation and amortization expense included in total operating expenses		354		1			21			-		376
Operating income/(loss)		195		(28	)		(1,155	)		-		(988	)

Expenditure for long-term assets		627		-			1			-		628

Net income/(loss) from continuing operations		8		(28	)		(1,123	)		-		(1,143	)

(

)

Including approximately

US$571,000

share-based compensation expenses.

Note 23 - Loss Per Share

6 Months Ended

Jun. 30, 2017

Earnings Per Share [Text Block]

23.	Loss per share

Basic and diluted loss per share for each of the periods presented are calculated as follows (All amounts, except number of shares and per share data, are presented in thousands of U.S. dollars):

	Six Months Ended June 30,						Three Months Ended June 30,
	2017			2016			2017			2016
	US$(’000)			US$(’000)			US$(’000)			US$(’000)
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)

Net loss attributable to ChinaNet Online Holdings, Inc. from continuing operations (numerator for basic and diluted loss per share from continuing operations)	$	(1,876	)	$	(2,631	)	$	(789	)	$	(1,266	)

Net loss attributable to ChinaNet Online Holdings, Inc. from discontinued operation (numerator for basic and diluted loss per share from discontinued operation)	$	-		$	(60	)	$	-		$	(14	)

Weighted average number of common shares outstanding – Basic and diluted		11,990,950			11,350,971			11,999,304			11,358,971

Loss per share-Basic and diluted from continuing operations	$	(0.16	)	$	(0.23	)	$	(0.07	)	$	(0.11	)
Loss per share-Basic and diluted from discontinued operations	$	-		$	(0.01	)	$	-		$	-

For the

six

and

three

months ended

June 30, 2017,

the diluted loss per share calculation for continuing operations did

not

include options to purchase up to

835,216

shares of the Company’s common stock, because they were out of the money, and did

not

include

266,238

shares of unvested restricted common stock, because their effect was anti-dilutive, as the Company incurred a loss for the period from continuing operations.

For the

six

and

three

months ended

June 30, 2016,

the diluted loss per share calculation for continuing and discontinued operations did

not

include options to purchase up to

835,216

shares of the Company’s common stock, because they were out of the money, and did

not

include

799,570

shares of unvested restricted common stock, because their effect was anti-dilutive, as the Company incurred a loss for the period from both continuing and discontinued operations.

** Weighted average number of shares outstanding and per share amounts, number of unvested restricted common stocks and common stock purchase options discussed in the above tables and paragraphs for the

six

and

three

months ended

June 30, 2016

have been retroactively restated to reflect the Company’s

for

2.5

reverse stock split, which was effective on

August 19, 2016.

Note 24 - Share-based Compensation Expenses

6 Months Ended

Jun. 30, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

24.

Share-based compensation expenses

The Company granted

75,000

and

20,000

shares of the Company’s restricted common stock to its investor relations services provider, in exchange for its services to the Company for the year ended

December 31, 2017

and

2016,

respectively. These shares were valued at

US$1.02

and

US$3.00

per share, the closing bid price of the Company’s common stock on the earlier of the performance commitment date or the date service was completed, respectively. Total compensation expense recognized for the service was

US$38,250

and

US$30,000

for the

six

months ended

June 30, 2017

and

2016,

respectively. Total compensation expense recognized for the service was

US$19,125

and

US$15,000

for the

three

months ended

June 30, 2017

and

2016,

respectively.

February 2017,

the Company granted

20,000

shares of the Company’s restricted common stock to

one

of its independent directors in exchange for his services provided to the Company. These shares were valued at

US$1.12

per share, the closing bid price of the Company’s common stock on the date of grant. Total compensation expense recognized for the

six

and

three

months ended

June 30, 2017

was

US$

22,400

and US$nil, respectively.

April 1, 2016,

the Company granted

16,000

shares of the Company’s restricted common stock in aggregate to

two

marketing service providers in exchange for their services to the Company for a

-month period commencing on

April 1, 2016.

These shares were valued at

US$1.73

per share, the closing bid price of the Company’s common stock on the earlier of the performance commitment date or the date service was completed. Total compensation expense recognized for the

six

and

three

months ended

June 30, 2017

and

2016

was approximately

US$

6,900

respectively.

The Company granted

140,000

shares of the Company’s restricted common stock to a management consulting service provider in exchange for its services to the Company for a

-month period commencing on

May 1, 2015.

These shares were valued at

US$3.93

per share, the closing bid price of the Company’s common stock on the earlier of the performance commitment date or the date service was completed. Total compensation expense recognized for the

six

months ended

June 30, 2017

and

2016

was approximately

US$91,580

and

US$137,380,

respectively. Total compensation expense recognized for the

three

months ended

June 30, 2017

and

2016

was approximately

US$22,900

and

US$68,690,

respectively.

September 14, 2015,

under its

2015

Omnibus Securities and Incentive Plan, the Company granted its employees in the aggregate of

266,238

shares of the Company’s restricted common stock, which will be vested on the

third

anniversary of the date of the grant. These shares were valued at

US$2.10

per share, the closing bid price of the Company’s common stock on the date of grant. The Company adopted a

forfeiture rate for recognition of the related compensation expenses of these unvested shares. Total compensation expenses recognized for the

six

months ended

June 30, 2017

and

2016

was approximately

US$87,720

and

US$88,200

respectively. Total compensation expenses recognized for the

three

months ended

June 30, 2017

and

2016

was approximately

$44,100

respectively.

September 14, 2015,

under its

2015

Omnibus Securities and Incentive Plan, the Company also granted

-year common stock purchase options to its employees, in the aggregate, to purchase up to

477,240

shares of the Company’s restricted common stock at an exercise price of

US$2.10

per share, of which

159,080

options vested upon the date of grant,

159,080

options vested on

September 14, 2016

and the remaining

159,080

options will be vested on

September 14, 2017.

These options were valuated at

US$1.03

US$1.39

per option. The Company adopted a

forfeiture rate for recognition of the related compensation expenses of the unvested part of options. Total compensation expenses recognized for these options for the

six

months ended

June 30, 2017

and

2016

was approximately

US$101,940

and

US$92,490,

respectively. Total compensation expenses recognized for these options for the

three

months ended

June 30, 2017

and

2016

was approximately

US$51,250

and

US$46,250,

respectively.

December 30, 2014,

the Company issued

1,680,000

shares of the Company’s restricted common stock to its executive officers, of which

613,334

restricted shares vested upon issuance,

533,333

restricted shares vested on

December 30, 2015

and the remaining

533,333

restricted shares vested on

December 30, 2016.

The restricted stock was valued at

$2.93

per share, the closing bid price of the Company’s common stock on the date of grant. Total compensation expenses recognized for the

six

and

three

months ended

June 30, 2016

was

US$780,000

and

US$390,000,

respectively.

**The number of restricted common stocks, common stock purchase options and the related stock price discussed in the above paragraphs, which related transactions occurred before

August 19, 2016,

have been retroactively restated to reflect the Company’s

for

2.5

reverse stock split, which was effective on

August 19, 2016.

Options issued and outstanding at

June 30, 2017

and their movements during the

six

months then ended are as follows:

	Option Outstanding						Option Exercisable
	Number of underlying shares		Weighted Average Remaining Contractual Life (Years)		Weighted Average Exercise Price		Number of underlying shares		Weighted Average Remaining Contractual Life (Years)		Weighted Average Exercise Price

Balance, December 31, 2016		835,216		4.04	$	2.49		676,136		4.11	$	2.59
Granted/Vested		-						-
Forfeited		-						-
Exercised		-						-
Balance, June 30, 2017 (unaudited)		835,216		3.54	$	2.49		676,136		3.62	$	2.59

The aggregate unrecognized share-based compensation expenses as of

June 30, 2017

and

2016

is approximately

US$294,000

and

US$1,693,000,

respectively.

Note 25 - Subsequent Event

6 Months Ended

Jun. 30, 2017

Subsequent Events [Text Block]

25.

Subsequent event

July 2017,

the Company granted and issued

75,000

shares of the Company’s restricted common stock in the aggregate to

two

of its consulting services providers in exchange for their services for a

-month period commencing on

July 1, 2017.

Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2017

Accounting Policies [Abstract]

Basis of Accounting, Policy [Policy Text Block]

Basis of presentation

The condensed consolidated interim financial statements are prepared and presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

The condensed consolidated interim financial information as of

June 30, 2017

and for the

six

and

three

months ended

June 30, 2017

and

2016

Form

-K.

In the opinion of management, all adjustments (which include normal recurring adjustments) necessary to present a fair statement of the Company’s consolidated financial position as of

June 30, 2017,

its consolidated results of operations for the

six

and

three

months ended

June 30, 2017

and

2016,

and its consolidated cash flows for the

six

months ended

June 30, 2017

and

2016,

as applicable, have been made. The interim results of operations are

not

necessarily indicative of the operating results for the full fiscal year or any future periods.

Consolidation, Policy [Policy Text Block]

b)	Principles of consolidation

Use of Estimates, Policy [Policy Text Block]

c)	Use of estimates

Foreign Currency Transactions and Translations Policy [Policy Text Block]

Foreign currency translation

The exchange rates used to translate amounts in RMB into US$ for the purposes of preparing the condensed consolidated financial statements are as follows:

	June 30, 2017		December 31, 2016

Balance sheet items, except for equity accounts		6.7744		6.9370

	Six Months Ended June 30,
	2017		2016

Items in the statements of operations and comprehensive loss, and statements of cash flows		6.8697		6.5303

	Three Months Ended June 30,
	2017		2016
Items in the statements of operations and comprehensive loss, and statements of cash flows		6.8536		6.5317

representation is made that the RMB amounts could have been, or could be converted into US$ at the above rates.

Advertising Costs, Policy [Policy Text Block]

Advertising costs

Advertising costs for the Company’s own brand building are

not

six

months ended

June 30, 2017

and

2016,

advertising expenses for the Company’s own brand building were approximately

US$1,103,000

and

US$960,000,

respectively. For the

three

months ended

June 30, 2017

and

2016,

advertising expenses for the Company’s own brand building were approximately

US$593,000

and

US$537,000,

respectively.

Research and Development Expense, Policy [Policy Text Block]

Research and development expenses

six

months ended

June 30, 2017

and

2016

were approximately

US$700,000

and

US$1,016,000,

respectively. Expenses for research and development for the

three

months ended

June 30, 2017

and

2016

were approximately

US$305,000

and

US$590,000,

respectively.

Note 2 - Variable Interest Entities (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Variable Interest Entities [Table Text Block]

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)
Assets
Current assets:
Cash and cash equivalents	$	1,740	$	2,915
Term deposit		3,129		3,056
Accounts receivable, net		5,084		3,315
Prepayment and deposit to suppliers		4,607		4,710
Due from related parties, net		212		197
Other current assets		121		71
Total current assets		14,893		14,264

Long-term investments		44		43
Property and equipment, net		227		286
Intangible assets, net		5,087		5,468
Goodwill		5,090		4,970
Deferred tax assets		1,156		1,241
Total Assets	$	26,497	$	26,272

Liabilities
Current liabilities:
Short-term bank loan	$	738	$	721
Accounts payable		125		83
Advances from customers		2,519		1,388
Accrued payroll and other accruals		183		256
Due to Control Group		10		10
Payable for purchasing of software technology		421		411
Taxes payable		2,578		2,480
Other payables		206		162
Total current liabilities		6,780		5,511

Total Liabilities	$	6,780	$	5,511

Financial Performance of VIEs [Table Text Block]

	Six Months Ended June 30,
	2017			2016
	US$(’000)			US$(’000)

Revenues	$	17,733		$	13,387
Cost of revenues		(14,792	)		(9,314	)
Total operating expenses		(3,159	)		(4,094	)
Loss from discontinued operations		-			(60	)
Net loss before allocation to noncontrolling interests		(516	)		(260	)

	Three Months Ended June 30,
	2017			2016
	US$(’000)			US$(’000)

Revenues	$	10,469		$	8,348
Cost of revenues		(8,800	)		(5,859	)
Total operating expenses		(1,526	)		(2,211	)
Loss from discontinued operations		-			(14	)
Net (loss)/income before allocation to noncontrolling interests		(163	)		75

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details

Note 3 - Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2017

Foreign Currency Exchange Rates [Table Text Block]

	June 30, 2017		December 31, 2016

Balance sheet items, except for equity accounts		6.7744		6.9370

	Six Months Ended June 30,
	2017		2016

Items in the statements of operations and comprehensive loss, and statements of cash flows		6.8697		6.5303

	Three Months Ended June 30,
	2017		2016
Items in the statements of operations and comprehensive loss, and statements of cash flows		6.8536		6.5317

Note 5 - Accounts Receivable, Net (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Accounts Receivable [Table Text Block]

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Accounts receivable		7,868			6,034
Allowance for doubtful accounts		(2,777	)		(2,712	)
Accounts receivable, net		5,091			3,322

Note 6 - Prepayments and Deposit to Suppliers (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Prepayments and Deposit to Suppliers [Table Text Block]

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)

Deposits to internet resources providers		952		1,074
Prepayments to internet resources providers		2,878		2,874
Deposits to other services providers		738		721
Other deposits and prepayments		125		85
		4,693		4,754

Note 7 - Due From Related Parties (Tables)

6 Months Ended

Jun. 30, 2017

Due From Related Parties [Member]

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Beijing Saimeiwei Food Equipment Technology Co., Ltd.		33			31
Chuangshi Meiwei (Beijing) International Investment Management Co., Ltd.		153			150
ChinaNet Chuang Tou (Shenzhen) Co., Ltd.		13			-
GuohuaShiji (Beijing) Communication Co., Ltd.		178			175
Beijing Saturday Education Technology Co., Ltd.		-			1
		377			357
Allowance for doubtful debts		(148	)		(144	)
Due from related parties, net		229			213

Note 8 - Long-term Investments (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Investment In and Advance to Equity Investment Affiliates [Table Text Block]

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Equity method investments:
Investment in equity method investees		726			709
Advance to equity method investees		77			75
Impairment on equity method investments		(803	)		(784	)
Total equity method investments		-			-

Cost method investments:
Investment in cost method investees		1,528			1,492
Impairment on cost method investments		(155	)		(152	)
Total cost method investments		1,373			1,340

Total long-term investments		1,373			1,340

Schedule of Cost Method Investments [Table Text Block]

	Beijing Saturday		Guohua Shiji		ChinaNet Chuang Tou		Total
	US$(’000)		US$(’000)		US$(’000)		US$(’000)

Balance as of December 31, 2016		16		27		1,297		1,340
Exchange translation adjustment		1		1		31		33
Balance as of June 30, 2017 (Unaudited)		17		28		1,328		1,373

Note 9 - Property and Equipment, Net (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Property and Equipment [Table Text Block]

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Leasehold improvement		325			317
Vehicles		781			763
Office equipment		1,405			1,371
Electronic devices		1,122			1,096
Property and equipment, cost		3,633			3,547
Less: accumulated depreciation		(3,093	)		(2,922	)
Less: impairment loss on abandoned fixed assets		(158	)		(154	)
Property and equipment, net		382			471

Note 10 - Intangible Assets, Net (Tables)	6 Months Ended
Note 10 - Intangible Assets, Net (Tables)	Jun. 30, 2017
Notes Tables
Schedule of Finite and Indefinite-Lived Intangible Assets [Table Text Block]	<div style="display: inline; font-family: times new roman; font-size: 10pt"><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; margin-left: 21.25pt;"> <tr style="vertical-align: bottom"> <td nowrap="nowrap" style="font-size: 10pt; text-align: center"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.1pt"> </td> <td nowrap="nowrap" colspan="3" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.1pt solid">June 30, <br />2017</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.1pt"> </td> <td nowrap="nowrap" colspan="3" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.1pt solid">December 31, <br />2016</td> </tr> <tr style="vertical-align: bottom"> <td nowrap="nowrap" style="font-size: 10pt; text-align: center"> </td> <td style="font-size: 10pt; font-weight: bold"> </td> <td nowrap="nowrap" colspan="3" style="font-size: 10pt; font-weight: bold; text-align: center">US$(’000)</td> <td style="font-size: 10pt; font-weight: bold"> </td> <td nowrap="nowrap" colspan="3" style="font-size: 10pt; font-weight: bold; text-align: center">US$(’000)</td> </tr> <tr style="vertical-align: bottom"> <td nowrap="nowrap" style="font-size: 10pt; text-align: center"> </td> <td style="font-size: 10pt; font-weight: bold"> </td> <td nowrap="nowrap" colspan="3" style="font-size: 10pt; font-weight: bold; text-align: center">(Unaudited)</td> <td style="font-size: 10pt"> </td> <td nowrap="nowrap" colspan="3" style="font-size: 10pt; text-align: center"> </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; text-align: justify">Intangible assets not subject to amortization:</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"> </td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="width: 68%; font-size: 10pt; text-align: justify; text-indent: 8.6pt">Domain name</td> <td style="width: 2%; font-size: 10pt"> </td> <td style="width: 1%; font-size: 10pt; text-align: left"> </td> <td style="width: 12%; font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,426</div></td> <td style="width: 1%; font-size: 10pt; text-align: left"> </td> <td style="width: 2%; font-size: 10pt"> </td> <td style="width: 1%; font-size: 10pt; text-align: left"> </td> <td style="width: 12%; font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,393</div></td> <td style="width: 1%; font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; text-align: justify">Intangible assets subject to amortization:</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"> </td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 10pt; text-align: justify; text-indent: 8.6pt">Customer relationship</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,966</div></td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,920</div></td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; text-align: justify; text-indent: 8.6pt">Non-compete agreements</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,082</div></td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,057</div></td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 10pt; text-align: justify; text-indent: 8.6pt">Software technologies</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">303</div></td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">295</div></td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; text-align: justify; text-indent: 8.6pt">Cloud compute software technology</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,370</div></td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,338</div></td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 10pt; text-align: justify; text-indent: 8.6pt">Intelligent marketing data service platform</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">4,766</div></td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">4,655</div></td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; text-align: left; text-indent: 8.6pt">Internet safety, information exchange security and data encryption software</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,919</div></td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,874</div></td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 10pt; text-align: left; text-indent: 8.6pt">Cloud video management system</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,402</div></td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">1,369</div></td> <td style="font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; text-align: justify; padding-bottom: 1.1pt; text-indent: 8.6pt">Other computer software</td> <td style="font-size: 10pt; padding-bottom: 1.1pt"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">116</div></td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; padding-bottom: 1.1pt"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">113</div></td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 10pt; font-weight: bold; text-align: justify">Intangible assets, cost</td> <td style="font-size: 10pt; font-weight: bold"> </td> <td style="font-size: 10pt; font-weight: bold; text-align: left"> </td> <td style="font-size: 10pt; font-weight: bold; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">14,350</div></td> <td style="font-size: 10pt; font-weight: bold; text-align: left"> </td> <td style="font-size: 10pt; font-weight: bold"> </td> <td style="font-size: 10pt; font-weight: bold; text-align: left"> </td> <td style="font-size: 10pt; font-weight: bold; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">14,014</div></td> <td style="font-size: 10pt; font-weight: bold; text-align: left"> </td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; text-align: justify">Less: accumulated amortization</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">(5,607</div></td> <td style="font-size: 10pt; text-align: left">)</td> <td style="font-size: 10pt"> </td> <td style="font-size: 10pt; text-align: left"> </td> <td style="font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">(4,875</div></td> <td style="font-size: 10pt; text-align: left">)</td> </tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 10pt; text-align: justify; padding-bottom: 1.1pt">Less: accumulated impairment losses</td> <td style="font-size: 10pt; padding-bottom: 1.1pt"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">(1,920</div></td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left">)</td> <td style="font-size: 10pt; padding-bottom: 1.1pt"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left"> </td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">(1,875</div></td> <td style="border-bottom: Black 1.1pt solid; font-size: 10pt; text-align: left">)</td> </tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-size: 10pt; font-weight: bold; text-align: justify; padding-bottom: 2.5pt">Intangible assets, net</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 10pt; font-weight: bold; text-align: left"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 10pt; font-weight: bold; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">6,823</div></td> <td style="border-bottom: Black 2.5pt double; font-size: 10pt; font-weight: bold; text-align: left"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 10pt; font-weight: bold; text-align: left"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 10pt; font-weight: bold; text-align: right"><div style="display: inline; font-style: italic; font-weight: inherit; font-style: normal;">7,264</div></td> <td style="border-bottom: Black 2.5pt double; font-size: 10pt; font-weight: bold; text-align: left"> </td> </tr> </table></div>

Note 11 - Goodwill (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Goodwill [Table Text Block]

	Amount
	US$(’000)

Balance as of December 31, 2016		4,970
Exchange translation adjustment		120
Balance as of June 30, 2017 (unaudited)		5,090

Note 13 - Accrued Payroll and Other Accruals (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Accrued Liabilities [Table Text Block]

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)

Accrued payroll and staff welfare		243		319
Accrued operating expenses		224		366
		467		685

Note 16 - Taxation (Tables)

6 Months Ended

Jun. 30, 2017

Schedule Of Taxes Payable [Table Text Block]

	June 30, 2017		December 31, 2016
	US$(’000)		US$(’000)
	(Unaudited)

Turnover tax and surcharge payable		1,187		1,147
Enterprise income tax payable		1,832		1,763
Total taxes payable		3,019		2,910

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

	Six Months Ended June 30,						Three Months Ended June 30,
	2017			2016			2017			2016
	US$(’000)			US$(’000)			US$(’000)			US$(’000)
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)

Current-PRC		-			-			-			-
Deferred-PRC		(113	)		(152	)		(113	)		(180	)
Income tax expenses		(113	)		(152	)		(113	)		(180	)

Schedule Of Deferred Tax Assets [Table Text Block]

	June 30, 2017			December 31, 2016
	US$(’000)			US$(’000)
	(Unaudited)

Tax effect of net operating losses carried forward		9,944			9,345
Bad debts provision		946			931
Valuation allowance		(9,446	)		(8,754	)
Total deferred tax assets		1,444			1,522

Note 21 - Commitments and Contingencies (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]

	Office Rental
	US$(’000)
	(Unaudited)
Six months ending December 31,
-2017		218
Year ending December 31,
-2018		436
-2019		109
Total	$	763

Note 22 - Segment Reporting (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Segment Reporting Information, by Segment [Table Text Block]

	Internet Ad. and data service			TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item			Total
	US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)

Revenues		17,764			-			-			-			17,764
Cost of revenues		14,792						-			-			14,792
Total operating expenses		3,182			56			1,205	(1)		-			4,443
Depreciation and amortization expense included in total operating expenses		658			1			48			-			707
Operating loss		(210	)		(56	)		(1,205	)		-			(1,471	)

Expenditure for long-term assets		-			-			2			-			2

Net loss from continuing operations		(563	)		(56	)		(1,207	)		-			(1,826	)

Total assets – June 30, 2017		29,781			300			11,383			(11,211	)		30,253
Total assets – December 31, 2016		29,520			348			11,882			(11,708	)		30,042

	Internet Ad. and data service			TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item		Total
	US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)		US$ (‘000)

Revenues		10,500			-			-			-		10,500
Cost of revenues		8,800			-			-			-		8,800
Total operating expenses		1,621			28			473	(1)		-		2,122
Depreciation and amortization expense included in total operating expenses		329			1			23			-		353
Operating income/(loss)		79			(28	)		(473	)		-		(422	)

Expenditure for long-term assets		-			-			2			-		2

Net loss from continuing operations		(254	)		(28	)		(475	)		-		(757	)

	Internet Ad. and data service			TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item		Total
	US$ (‘000)			US$ (‘000)			US$ (‘000)			US$ (‘000)		US$ (‘000)

Revenues		13,496			-			-			-		13,496
Cost of revenues		9,395						-			-		9,395
Total operating expenses		4,207			76			2,214	(1)		-		6,497
Depreciation and amortization expense included in total operating expenses		712			1			47			-		760
Operating loss		(106	)		(76	)		(2,214	)		-		(2,396	)

Expenditure for long-term assets		2,036			-			103			-		2,139
Net loss from continuing operations		(284	)		(76	)		(2,148	)		-		(2,508	)

	Internet Ad. and data service		TV & Bank kiosks Ad.			Others			Inter- segment and reconciling item		Total
	US$ (‘000)		US$ (‘000)			US$ (‘000)			US$ (‘000)		US$ (‘000)

Revenues		8,436		-			-			-		8,436
Cost of revenues		5,939		-			-			-		5,939
Total operating expenses		2,302		28			1,155	(1)		-		3,485
Depreciation and amortization expense included in total operating expenses		354		1			21			-		376
Operating income/(loss)		195		(28	)		(1,155	)		-		(988	)

Expenditure for long-term assets		627		-			1			-		628

Net income/(loss) from continuing operations		8		(28	)		(1,123	)		-		(1,143	)

Note 23 - Loss Per Share (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]

	Six Months Ended June 30,						Three Months Ended June 30,
	2017			2016			2017			2016
	US$(’000)			US$(’000)			US$(’000)			US$(’000)
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)

Net loss attributable to ChinaNet Online Holdings, Inc. from continuing operations (numerator for basic and diluted loss per share from continuing operations)	$	(1,876	)	$	(2,631	)	$	(789	)	$	(1,266	)

Net loss attributable to ChinaNet Online Holdings, Inc. from discontinued operation (numerator for basic and diluted loss per share from discontinued operation)	$	-		$	(60	)	$	-		$	(14	)

Weighted average number of common shares outstanding – Basic and diluted		11,990,950			11,350,971			11,999,304			11,358,971

Loss per share-Basic and diluted from continuing operations	$	(0.16	)	$	(0.23	)	$	(0.07	)	$	(0.11	)
Loss per share-Basic and diluted from discontinued operations	$	-		$	(0.01	)	$	-		$	-

Note 24 - Share-based Compensation Expenses (Tables)

6 Months Ended

Jun. 30, 2017

Share-based Compensation, Stock Options, Activity [Table Text Block]

	Option Outstanding						Option Exercisable
	Number of underlying shares		Weighted Average Remaining Contractual Life (Years)		Weighted Average Exercise Price		Number of underlying shares		Weighted Average Remaining Contractual Life (Years)		Weighted Average Exercise Price

Balance, December 31, 2016		835,216		4.04	$	2.49		676,136		4.11	$	2.59
Granted/Vested		-						-
Forfeited		-						-
Exercised		-						-
Balance, June 30, 2017 (unaudited)		835,216		3.54	$	2.49		676,136		3.62	$	2.59

Note 2 - Variable Interest Entities - Consolidated VIE's Assets and Liabilities (Details)
¥ in Thousands, $ in Thousands

Jun. 30, 2017

USD ($)

Jun. 30, 2017

CNY (¥)

Dec. 31, 2016

USD ($)

Dec. 31, 2016

CNY (¥)

Jun. 30, 2016

USD ($)

Dec. 31, 2015

USD ($)

Cash and cash equivalents

$ 1,816

$ 3,035

$ 2,876

$ 5,503

Term deposit

3,129

3,056

Accounts receivable, net

5,091

3,322

Prepayment and deposit to suppliers

4,693

4,754

Due from Related Parties, Current

229

213

Other current assets

183

Total current assets

15,141

14,475

Long-term investments

1,373

1,340

Property and equipment, net

382

471

Intangible assets, net

6,823

7,264

Goodwill

5,090

4,970

Deferred tax assets

1,444

1,522

Total Assets

30,253

30,042

Accrued payroll and other accruals

^[1]

738

721

Accounts payable

^[1]

130

102

Advances from customers

^[1]

2,519

1,420

^[1]

467

685

Payable for purchasing of software technology *

421

¥ 2,850

411

¥ 2,850

Taxes payable

^[1]

3,019

2,910

Other payables

^[1]

675

487

Total current liabilities

8,874

7,620

Total Liabilities

9,003

7,746

VIEs [Member]

Cash and cash equivalents

1,740

2,915

Term deposit

3,129

3,056

Accounts receivable, net

5,084

3,315

Prepayment and deposit to suppliers

4,607

4,710

Due from Related Parties, Current

212

197

Other current assets

121

Total current assets

14,893

14,264

Long-term investments

Property and equipment, net

227

286

Intangible assets, net

5,087

5,468

Goodwill

5,090

4,970

Deferred tax assets

1,156

1,241

Total Assets

26,497

26,272

Accrued payroll and other accruals

738

721

Accounts payable

125

Advances from customers

2,519

1,388

183

256

Due to Control Group

Payable for purchasing of software technology *

421

411

Taxes payable

2,578

2,480

Other payables

206

162

Total current liabilities

6,780

5,511

Total Liabilities

$ 6,780

$ 5,511

[1]	All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company’s general assets (Note 2).

Note 2 - Variable Interest Entities - Consolidated VIE's Financial Performance (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Loss from discontinued operations		$ (14)		$ (60)
Net loss	(757)	(1,157)	(1,826)	(2,568)
Revenues	10,417	8,264	17,662	13,276
Cost of revenues	8,800	5,939	14,792	9,395
Total operating expenses	2,122	3,485	4,443	6,497
VIEs [Member]
Loss from discontinued operations		(14)		(60)
Net loss	(163)	75	(516)	(260)
Revenues	10,469	8,348	17,733	13,387
Cost of revenues	(8,800)	(5,859)	(14,792)	(9,314)
Total operating expenses	$ (1,526)	$ (2,211)	$ (3,159)	$ (4,094)

- Definition

Amount after tax of income (loss) from a discontinued operation including the portion attributable to the noncontrolling interest. Includes, but is not limited to, the income (loss) from operations during the phase-out period, gain (loss) on disposal, gain (loss) for reversal of write-down (write-down) to fair value, less cost to sell, and adjustments to a prior period gain (loss) on disposal.

+ References + Details

Note 3 - Summary of Significant Accounting Policies (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Advertising Expense	$ 593,000	$ 537,000	$ 1,103,000	$ 960,000
Research and Development Expense	$ 305,000	$ 590,000	$ 700,000	$ 1,016,000

Note 3 - Summary of Significant Accounting Policies- Exchange Rates Used to Translate Amounts in RMB into US$ (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Items in the statements of operations and comprehensive loss, and statements of cash flows	6.8536	6.5317	6.8697	6.5303
Balance Sheet Items, Except Equity Accounts [Member]
Balance sheet items, except for equity accounts	6.7744		6.7744		6.937

Note 4 - Term Deposit (Details Textual)	Jun. 30, 2017	Dec. 31, 2016
Time Deposits, Weighted Average Interest Rate, Maturities Year One	2.25%	2.25%

Note 5 - Accounts Receivable, Net (Details Textual) - USD ($)	Jun. 30, 2017	Dec. 31, 2016
Allowance for Doubtful Accounts Receivable, Current	$ 2,777,000	$ 2,712,000
Internet Advertising and TV Advertising [Member]
Allowance for Doubtful Accounts Receivable, Current	$ 2,777,000	$ 2,712,000

Note 5 - Accounts Receivable, Net - Accounts Receivable, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Accounts receivable	$ 7,868	$ 6,034
Allowance for doubtful accounts	(2,777)	(2,712)
Accounts receivable, net	$ 5,091	$ 3,322

Note 6 - Prepayments and Deposit to Suppliers (Details Textual)	6 Months Ended	12 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Number of Largest Internet Resources Suppliers	2	2

Note 6 - Prepayments and Deposit to Suppliers - Prepayments and Deposit to Suppliers (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Prepayment and deposit to suppliers	$ 4,693	$ 4,754
Deposits to TV Ad and Internet Ad Resources Providers [Member]
Prepayment and deposit to suppliers	952	1,074
Prepayment to TV Ad and Internet Ad Resources Providers [Member]
Prepayment and deposit to suppliers	2,878	2,874
Deposits to Other Service Providers [Member]
Prepayment and deposit to suppliers	738	721
Other Deposits and Prepayments [Member]
Prepayment and deposit to suppliers	$ 125	$ 85

Note 7 - Due From Related Parties (Details Textual) ¥ in Millions	Jun. 30, 2017 USD ($)	Jun. 30, 2017 CNY (¥)	Dec. 31, 2016 USD ($)	Dec. 31, 2016 CNY (¥)
Due from Related Parties, Current	$ 229,000		$ 213,000
Allowance for Doubtful Accounts Receivable	148,000		144,000
Related-party Working Capital Loans [Member] \| Chuangshi Meiwei and Guoshua Shiji [Member]
Due from Related Parties, Current	$ 150,000	¥ 1.0	$ 180,000	¥ 1.2

Note 7 - Due From Related Parties, Net - Due from Related Parties (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Due from related parties, gross	$ 377	$ 357
Allowance for doubtful debts	(148)	(144)
Due from related parties, net	229	213
Beijing Saimeiwei Food Equipment Technology [Member]
Due from related parties, gross	33	31
Chuangshi Meiwei [Member]
Due from related parties, gross	153	150
ChinaNet Chuang Tou [Member]
Due from related parties, gross	13
Guohua Shiji [Member]
Due from related parties, gross	178	175
Beijing Saturday Education Technology Co., Ltd. [Member]
Due from related parties, gross		$ 1

Note 8 - Long-term Investments (Details Textual) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016	Dec. 31, 2015
Equity Method Investments	$ 726	$ 709
Shenzhen Mingshan [Member]
Equity Method Investment, Ownership Percentage	23.18%
Zhao Shang Ke Hubei [Member]
Equity Method Investment, Ownership Percentage	25.50%
Shenzhen Mingsham and Zhao Shang Ke Hubei [Member]
Equity Method Investments			$ 0
ChinaNet Chuang Tou [Member]
Cost Method Investment Ownership Percentage	19.00%
Chuangshi Meiwei [Member]
Cost Method Investment Ownership Percentage	10.00%
ChinaNet Korea [Member]
Equity Method Investment, Ownership Percentage	15.00%
ChinaNet Korea and Chuangshi Meiwei [Member]
Equity Method Investments		$ 0

Note 8 - Long-term Investments - Summary of Investment in and Advance to Equity Investment Affiliates (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Investment in equity method investees	$ 726	$ 709
Advance to equity method investees	77	75
Impairment on equity method investments	(803)	(784)
Total equity method investments
Investment in cost method investees	1,528	1,492
Impairment on cost method investments	(155)	(152)
Total cost method investments	1,373	1,340
Total long-term investments	$ 1,373	$ 1,340

Note 8 - Long-term Investments - Movement in Cost Method Investments (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2017 USD ($)
Cost method investments, balance	$ 1,340
Cost method investments, balance	1,373
ChinaNet Korea [Member]
Cost method investments, balance	16
Exchange translation adjustment	1
Cost method investments, balance	17
Beijing Saturday [Member]
Cost method investments, balance	27
Exchange translation adjustment	1
Cost method investments, balance	28
Chuangshi Meiwei [Member]
Cost method investments, balance	1,297
Exchange translation adjustment	31
Cost method investments, balance	1,328
Guohua Shiji [Member]
Cost method investments, balance	1,340
Exchange translation adjustment	33
Cost method investments, balance	$ 1,373

Note 9 - Property and Equipment, Net (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Depreciation	$ 49,000	$ 64,000	$ 100,000	$ 137,000

Note 9 - Property and Equipment, Net - Property and Equipment, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Property and equipment, gross	$ 3,633	$ 3,547
Less: accumulated depreciation	(3,093)	(2,922)
Less: impairment loss on abandoned fixed assets	(158)	(154)
Property and equipment, net	382	471
Leaseholds and Leasehold Improvements [Member]
Property and equipment, gross	325	317
Vehicles [Member]
Property and equipment, gross	781	763
Office Equipment [Member]
Property and equipment, gross	1,405	1,371
Electronic Devices [Member]
Property and equipment, gross	$ 1,122	$ 1,096

Note 10 - Intangible Assets, Net (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Amortization of Intangible Assets	$ 304,000	$ 312,000	$ 607,000	$ 623,000
Finite-Lived Intangible Asset, Useful Life			6 years 29 days
Impairment of Intangible Assets, Finite-lived			$ 0
Finite-Lived Intangible Assets, Amortization Expense, Remainder of Fiscal Year	606,000		606,000
Finite-Lived Intangible Assets, Amortization Expense, Year Two	1,207,000		1,207,000
Finite-Lived Intangible Assets, Amortization Expense, Year Five	1,137,000		1,137,000
Finite-Lived Intangible Assets, Amortization Expense, Year Three	1,207,000		1,207,000
Finite-Lived Intangible Assets, Amortization Expense, Year Four	$ 1,207,000		$ 1,207,000

Note 10 - Intangible Assets, Net - Intangible Assets, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Finite-lived intangible assets	$ 14,350	$ 14,014
Less: accumulated amortization	(5,607)	(4,875)
Less: accumulated impairment losses	(1,920)	(1,875)
Intangible assets, net	6,823	7,264
Customer Relationships [Member]
Finite-lived intangible assets	1,966	1,920
Noncompete Agreements [Member]
Finite-lived intangible assets	1,082	1,057
Software Technologies [Member]
Finite-lived intangible assets	303	295
Cloud-Computing Based Software Platforms [Member]
Finite-lived intangible assets	1,370	1,338
Intelligent Marketing Data Service Platform [Member]
Finite-lived intangible assets	4,766	4,655
Internet Safety, Information Exchange Security and Data Encryption Software [Member]
Finite-lived intangible assets	1,919	1,874
Computer Software, Cloud Video Management System [Member]
Finite-lived intangible assets	1,402	1,369
Other Computer Software [Member]
Finite-lived intangible assets	116	113
Domain Name [Member]
Domain name	$ 1,426	$ 1,393

Note 11 - Goodwill - Goodwill (Details) $ in Thousands	6 Months Ended
Note 11 - Goodwill - Goodwill (Details) $ in Thousands	Jun. 30, 2017 USD ($)
Balance as of December 31, 2016	$ 4,970
Exchange translation adjustment	120
Balance	$ 5,090

Note 12 - Short-term Bank Loan (Details Textual)
$ in Thousands, ¥ in Millions

6 Months Ended

Jun. 30, 2017

USD ($)

Jun. 30, 2017

CNY (¥)

Dec. 31, 2016

USD ($)

Jun. 30, 2016

USD ($)

Jun. 30, 2016

CNY (¥)

^[1]

$ 738

$ 721

VIEs [Member]

VIEs [Member] | Benchmark Rate of People’s Bank of China [Member]

$ 738

$ 721

Debt Instrument, Basis Spread on Variable Rate

20.00%

VIEs [Member] | Loans Payable [Member]

Short-term Debt, Weighted Average Interest Rate, at Point in Time

$ 700

¥ 5

5.22%

VIEs [Member] | Loan Payable Maturing on July 18, 2017 [Member]

VIEs [Member] | Loan Payable Maturing on October 30, 2017 [Member]

$ 400

¥ 3

$ 300

¥ 2

[1]	All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company’s general assets (Note 2).

Note 13 - Accrued Payroll and Other Accruals - Accrued Payroll and Other Accruals (Details) - USD ($)
$ in Thousands

Jun. 30, 2017

Dec. 31, 2016

Accrued Payroll and Staff Welfare [Member]

^[1]

$ 467

$ 685

Accrued Operating Expenses [Member]

243

319

Turnover tax and surcharge payable

$ 224

$ 366

[1]	All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company’s general assets (Note 2).

Note 14 - Due to New Investors Related to Terminated Security Purchase Agreements (Details Textual) - USD ($)	3 Months Ended	6 Months Ended	12 Months Ended
	Jun. 30, 2017	Jun. 30, 2017	Dec. 31, 2016	May 31, 2015
Number of Investors Security Purchase Agreement Terminated				2
Repayment for Security Purchase Agreement		$ 0	$ 0
Security Purchase Agreement Termination Failure to Refund Amounts Annualized Interest Rate for Unpaid Amounts	12.00%	12.00%
Other Payables [Member]
Common Stock Purchase Agreement, Accrued Interest	$ 20,000	$ 50,000
Jinrun Fangzhou [Member]
Common Stock Purchase Agreement Guarantee Payments Initial Payment Due Within Five Days Percentage				10.00%
Common Stock Purchase Agreement Guarantee Payment Due Within Thirty Days, Percentage				15.00%
Common Stock Purchase Agreement Guarantee Payment				$ 790,000
Dongsys Innovation [Member]
Common Stock Purchase Agreement Guarantee Payments Initial Payment Due Within Five Days Percentage				10.00%
Common Stock Purchase Agreement Guarantee Payment				$ 115,000

Note 15 - Payable For Purchasing of Software Technology (Details Textual) ¥ in Thousands, $ in Thousands	Jun. 30, 2017 USD ($)	Jun. 30, 2017 CNY (¥)	Dec. 31, 2016 USD ($)	Dec. 31, 2016 CNY (¥)
Payable for Purchasing of Software Technology	$ 421	¥ 2,850	$ 411	¥ 2,850

Note 16 - Taxation (Details Textual) - USD ($)	3 Months Ended			6 Months Ended
Note 16 - Taxation (Details Textual) - USD ($)	Jun. 30, 2017	Mar. 31, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016	Nov. 30, 2015
Operating Loss Carryforwards	$ 17,905,000			$ 17,905,000		$ 17,544,000
Federal Income Tax Expense (Benefit), Continuing Operations	0			0
Profits Assessable	$ 0			$ 0
Income Tax Withholding Rate Pursuant to EIT Law	10.00%			10.00%
Minimum [Member]
PRC Value Added Tax Surcharge Rate	12.00%			12.00%
Maximum [Member]
PRC Value Added Tax Surcharge Rate	14.00%			14.00%
PRC Subsidiary And VIE's [Member]
Operating Loss Carryforwards	$ 19,314,000			$ 19,314,000		$ 17,939,000
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount	270,000		$ 137,000	503,000	$ 297,000
Deferred Tax Liabilities Reversal	99,000		$ 158,000	111,000	$ 193,000
British Virgin Islands [Member]
Other Tax Expense (Benefit)				0
Hong Kong [Member]
Federal Income Tax Expense (Benefit), Continuing Operations	0			0
Profits Assessable	$ 0			0
Other Tax Expense (Benefit)				$ 0
PRC [Member]
PRC Value Added Tax Rate for Modern Service Provided	6.00%		6.00%	6.00%	6.00%
PRC [Member] \| Provision of Modern Services Small Scale Tax Payer [Member]
PRC Value Added Tax Rate for Modern Service Provided Small Scale Tax Payer	3.00%		3.00%	3.00%	3.00%
PRC [Member] \| Other PRC Operating Entities [Member]
Applicable Income Tax Rate	25.00%	25.00%	25.00%	25.00%	25.00%
PRC [Member] \| Business Opportunity Online [Member]
Applicable Income Tax Rate	15.00%		15.00%	15.00%	15.00%
PRC [Member] \| Business Opportunity Online [Member] \| Minimum [Member]
Enterprise Income Tax Rate In PRC							15.00%
Tax Treaty Agreement [Member]
Income Tax Withholding Rate Pursuant to EIT Law	5.00%			5.00%

Note 16 - Taxation - Taxes Payable (Details) - USD ($)
$ in Thousands

Jun. 30, 2017

Dec. 31, 2016

$ 1,187

$ 1,147

Enterprise income tax payable

1,832

1,763

Total taxes payable

^[1]

$ 3,019

$ 2,910

[1]	All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company’s general assets (Note 2).

Note 16 - Taxation - Income Tax Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Current-PRC
Deferred-PRC	(113)	(180)	(113)	(152)
Income tax expenses	$ (113)	$ (180)	$ (113)	$ (152)

Note 16 - Taxation - Deferred Tax Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Tax effect of net operating losses carried forward	$ 9,944	$ 9,345
Bad debts provision	946	931
Valuation allowance	(9,446)	(8,754)
Total deferred tax assets	$ 1,444	$ 1,522

Note 18 - Restricted Net Assets (Details Textual) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Withholding Tax Rate Pursuant To EIT Law	10.00%
Preferential Withholding Tax Rate	5.00%
Amount of Restricted Net Assets for Consolidated and Unconsolidated Subsidiaries	$ 7,900	$ 7,800
Statutory Accounting Practices, Retained Earnings Not Available for Dividends	2,607	2,607
PRC Subsidiary And VIE's [Member]
Amount of Restricted Net Assets for Consolidated and Unconsolidated Subsidiaries	16,400	17,600
Statutory Accounting Practices, Retained Earnings Not Available for Dividends	$ 2,600	$ 2,500
WFOE [Member]
Minimum Required Reserve As Percent Of Registered Capital	50.00%
Minimum Percentage Of Annual After-tax Profit For General Reserve	10.00%
Domestic Enterprise [Member]
Minimum Required Reserve As Percent Of Registered Capital	50.00%
Minimum Percentage Of Annual After-tax Profit For General Reserve	10.00%

Note 19 - Employee Defined Contribution Plan (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Defined Contribution Plan, Cost	$ 97,000	$ 144,000	$ 226,000	$ 298,000

Note 20 - Concentration of Risk (Details Textual)	3 Months Ended		6 Months Ended		12 Months Ended
Note 20 - Concentration of Risk (Details Textual)	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Sales Revenue, Net [Member] \| Customer Concentration Risk [Member]
Number of Customers	1	0	1	0
Sales Revenue, Net [Member] \| Customer Concentration Risk [Member] \| One Customer [Member]
Concentration Risk, Percentage	21.00%		21.00%
Accounts Receivable [Member] \| Customer Concentration Risk [Member]
Number of Customers			3		2
Accounts Receivable [Member] \| Customer Concentration Risk [Member] \| Customer 1 [Member]
Concentration Risk, Percentage			28.00%		22.00%
Accounts Receivable [Member] \| Customer Concentration Risk [Member] \| Customer 2 [Member]
Concentration Risk, Percentage			17.00%		14.00%
Accounts Receivable [Member] \| Customer Concentration Risk [Member] \| Customer 3 [Member]
Concentration Risk, Percentage			11.00%
Cost Of Sales Total [Member] \| Supplier Concentration Risk [Member]
Number of Suppliers	2	2	2	2
Cost Of Sales Total [Member] \| Supplier Concentration Risk [Member] \| Supplier 1 [Member]
Concentration Risk, Percentage	81.00%	60.00%	75.00%	60.00%
Cost Of Sales Total [Member] \| Supplier Concentration Risk [Member] \| Supplier 2 [Member]
Concentration Risk, Percentage	11.00%	10.00%	16.00%	12.00%

Note 21 - Commitments and Contingencies (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Operating Leases, Rent Expense	$ 93,000	$ 140,000	$ 191,000	$ 310,000

Note 21 - Commitments and Contingencies - Contractual Obligations (Details) - Office Rental [Member] $ in Thousands	Jun. 30, 2017 USD ($)
-2017	$ 218
-2018	436
-2019	109
Total	$ 763

Note 22 - Segment Reporting (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
Note 22 - Segment Reporting (Details Textual) - USD ($)	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Allocated Share-based Compensation Expense	$ 137,000	$ 571,000	$ 348,000	$ 1,135,000

Note 22 - Segment Reporting - Summary of Segment Reporting Information (Details) - USD ($)
$ in Thousands

3 Months Ended

6 Months Ended

Jun. 30, 2017

Jun. 30, 2016

Jun. 30, 2017

Jun. 30, 2016

Dec. 31, 2016

$ (757)

$ (1,143)

$ (1,826)

$ (2,508)

30,253

$ 30,042

10,500

8,436

17,764

13,496

8,800

5,939

14,792

9,395

Depreciation and amortization expense included in total operating expenses

2,122

3,485

4,443

6,497

353

376

707

760

(422)

(988)

(1,471)

(2,396)

Intersegment Eliminations [Member]

628

2,139

(11,211)

(11,708)

Depreciation and amortization expense included in total operating expenses

Internet Ad [Member] | Operating Segments [Member]

(254)

(563)

(284)

29,781

29,520

10,500

8,436

17,764

13,496

8,800

5,939

14,792

9,395

Depreciation and amortization expense included in total operating expenses

1,621

2,302

3,182

4,207

329

354

658

712

195

(210)

(106)

TV Ad [Member] | Operating Segments [Member]

627

2,036

(28)

(56)

(76)

300

348

Depreciation and amortization expense included in total operating expenses

(28)

(56)

(76)

Others [Member] | Operating Segments [Member]

(475)

(1,123)

(1,207)

(2,148)

11,383

$ 11,882

Depreciation and amortization expense included in total operating expenses

473

^[1]

1,155

^[2]

1,205

^[3]

2,214

^[4]

(473)

(1,155)

(1,205)

(2,214)