After the looming shutdown of TikTok on January 19 due to its US ownership (unless the Supreme Court intervenes), it looks like another Chinese app is getting attention. American users are flocking to Chinese short-form video apps Xiaohongshu (known as RedNote in English). The app today rose to the top spot for free apps in the US App Store. It is also the top social networking app among all free iPhone apps.
Several TikTok creators promote Xiaohongshu on their accounts, encouraging their followers to switch to the platform. Influencers may not have a crystal ball to predict whether TikTok will face a ban, but Xiaohongshu gives them a way to hedge their social bets.
(We’re looking into installation numbers and will update this post with more data as we get it.)
Why Xiaohongshu?
Originally launched in 2013, Xiaohongshu has many of the right notes for creators looking for a TikTok alternative: it has a Pinterest-like layout. It is commonly seen as China’s answer to Instagram. and critically boasts a number of social shopping features.
And it was also on a strong, viral trajectory. After a few years of steady growth, during the COVID-19 pandemic, Xiaohongshu experienced a boom among younger Chinese consumers. It now boasts 300 million monthly active users, 79% of whom are women. And it is currently the top app in the US
As expected, the startup has attracted the attention of investors. To date, it has raised about $917 million in venture funding, with backers including Tencent, Alibaba, ZhenFund, DST, HongShan (formerly Sequoia China) and about 13 others. It was reportedly valued at 17 billion dollars following a secondary share sale in 2024.
According to a report from Bloombergthe app is projected to grow to over $1 billion in revenue by 2024 (last year it hit $1 billion in quarterly sales, per this FT report), before a potential IPO. This development not only hints at the app’s potential, but also hints at the promising opportunities it could offer its creators.
It is unclear whether Xiaohongshu will maintain the interest it currently has. And if he does, it also remains to be seen what that might mean in terms of scrutiny by US authorities, given that Xiaohongshu not only hails from China, but apparently has no pretense of being a US businessman.
Meanwhile, it’s notable that TikTok users aren’t recommending apps from TikTok’s biggest rival in the country, which is going through its own drama. Meta recently announced that its stable of social networking apps, which include Facebook, Instagram, Threads and WhatsApp, will ease its content moderation policies, cutting off third-party fact-checking in the process – raising concerns about the potential spread of hateful content and misinformation in the its platforms.
