“Upon TikTok’s impending shut down, another Chinese app, Xiaohongshu (RedNote in English), is gaining traction among U.S users. As of today, it has soared to the top spot in the U.S. App Store’s free apps section, and remains a top social networking app among iPhone users.
Several TikTok stars are endorsing Xiaohongshu on their platforms, urging followers to migrate. As the fate of TikTok remains uncertain, Xiaohongshu serves as a safety net for social media influencers.
Xiaohongshu’s Rise to Popularity
Xiaohongshu, launched in 2013, resembles Pinterest in its layout and bears a striking resemblance to Instagram. With unique social shopping features, the app appeals to creators seeking TikTok alternatives.
Growing steadily over the years, Xiaohongshu experienced a surge in users, largely younger Chinese consumers, during the COVID pandemic. With approximately 300 million monthly active users, Xiaohongshu has secured the top app spot in the U.S.
The startup, with roughly $917 million in venture funding, has garnered attention from investors like Tencent and Alibaba. Its current valuation stands at $17 billion following a secondary share sale in 2024.
Forecasted Growth and Uncertainties
Reports suggest Xiaohongshu’s profits could exceed $1 billion in 2024, indicating the app’s potential and opportunities for creators. However, it is yet to be seen if Xiaohongshu can maintain the current interest and how it will handle potential scrutiny from U.S. authorities due to its Chinese roots and seemingly lack of U.S. operations.
Meanwhile, conspicuously, TikTok users are refraining from promoting apps from TikTok’s main competitor, Meta, amid ongoing controversies related to Meta’s revised content moderation policies.”
Original source: Read the full article on TechCrunch
