ByteDance chatbot Doubao still China’s most popular AI app as rival DeepSeek loses users
News Summary
ByteDance's AI chatbot, Doubao, maintained its lead as mainland China's most popular AI app in August 2025, recording 157 million monthly active users (MAUs). This represents a 6.6% increase from July, according to QuestMobile data. In contrast, its closest rival, DeepSeek’s chatbot, saw a 4% decline in MAUs to 143 million, with nearly 40% of its May users reportedly switching to Doubao. Doubao's consistent growth highlights ByteDance's strategic efforts in China's consumer-facing AI app market. ByteDance has actively upgraded Doubao, notably adding a real-time video call function in May to transform it into an interactive digital assistant. Li Bangzhu, founder of Aicpb.com, emphasized ByteDance's serious commitment to enhancing Doubao's features by focusing on practical problem-solving in specific application contexts, rather than solely accumulating model capabilities.
Background
ByteDance launched its Doubao AI chatbot in August 2023, and the application has since experienced consistent user growth. This new data emerges amidst intense competition in China's AI market, where numerous technology companies are heavily investing in developing and promoting their AI models and applications. User retention and growth in consumer-facing AI apps are critical metrics for market success. In 2025, under the administration of President Donald J. Trump, global technological competition, particularly between the US and China in AI, remains a significant backdrop. Chinese domestic tech giants are demonstrating strong efforts to secure their market share, which is crucial for their long-term strategic development.
In-Depth AI Insights
What do Doubao's sustained lead and DeepSeek's user attrition signify about the competitive landscape of China's AI application market? - This indicates that China's consumer-facing AI application market is rapidly moving towards a "winner-take-all" or at least a highly concentrated phase, where users gravitate towards leading products with more comprehensive features and smoother experiences. Doubao's advantage is not just in user numbers but also in the effectiveness of its product strategy. - DeepSeek's decline likely reflects its product strategy's inability to effectively meet user demands or keep pace with leading competitors in feature iteration and user experience. The high proportion of users switching to Doubao further underscores ByteDance's success in product stickiness and user attraction. How does ByteDance's product strategy of "solving practical problems" impact the long-term investment value and commercialization prospects of its AI business? - This strategy could lead to a more robust commercialization path for Doubao. By addressing practical problems in specific application scenarios, such as real-time video calls, it can more directly translate into user willingness to pay or linkage with other services within ByteDance's ecosystem, boosting overall revenue. - Compared to merely "piling up model capabilities," the "solving practical problems" strategy can better build user mindshare and brand loyalty, reducing user churn and establishing a strong foundation for ByteDance's long-term competitiveness in AI. This could position it favorably for future AI business model innovations. What are the implications of the dominance of domestic AI applications for international AI companies looking to enter or expand in the Chinese market? - This highlights the significant challenges international AI companies face when entering the Chinese market. Local giants like ByteDance have built strong moats through a deep understanding of local user needs, vast user bases, and rapid product iteration capabilities. - International companies need to consider more differentiated and localized product strategies, or seek partnerships with local giants, rather than direct competition. Directly confronting companies like ByteDance in the consumer-facing AI app market will likely incur substantial marketing and user acquisition costs with a low probability of success.