TikTok Rival Gains Massive Traction

Summary

• Rednote, a Chinese social media app blending Instagram, Pinterest, and TikTok features, is experiencing a surge in popularity in the US, potentially replacing TikTok.
• Backed by Alibaba and Tencent, Rednote boasts a $17 billion valuation and is currently the top app on the US App Store.
• A mass migration of TikTok creators and users to Rednote is underway.

The potential US ban of TikTok has propelled Rednote, a Chinese social media platform, to unprecedented heights. Following legal battles throughout 2024, including a House-passed ban bill and lawsuits from the Department of Justice and multiple states, TikTok faces removal from US app stores on January 19, 2025, unless the Supreme Court intervenes. This looming ban has created a vacuum, and Rednote is poised to fill it.

Initially launched in 2013 as a product review platform, Rednote (Xiaohongshu in China) has evolved into a significant influencer hub, particularly popular among women (over 70% of its user base). Its blend of visual content and short-form video, similar to Instagram, Pinterest, and TikTok, has resonated with US users. With a $17 billion valuation (July 2024) and backing from Tencent and Alibaba, Rednote is well-positioned for growth.

Rednote's Ascent to the Top of the US App Store

Rednote's user-friendly interface, combining elements of popular platforms, has propelled it to the top of the US App Store charts, surpassing competitors like Lemon8, ChatGPT, and Threads. As of January 13th, it's the most downloaded app, attracting a significant influx of former TikTok creators seeking a new home. The app's rapid rise is generating viral content across various platforms, including TikTok itself, Twitter, and Instagram. Interestingly, existing Chinese users are welcoming this wave of American users.

The irony of TikTok's potential demise due to its Chinese ownership leading to the rise of another Chinese app is not lost on observers. Rednote's sustained popularity remains to be seen, particularly after January 19th, when TikTok's US fate will be clearer. A complete TikTok ban could further accelerate Rednote's user growth.