Core Insights - The development of China's mobile internet is shifting from population dividends to new technologies like 6G and AI, with a significant increase in non-phone smart devices such as XR and connected vehicles [1][5][12] - The core user demographic is primarily aged 25-45, with notable penetration among older adults and a high proportion of users from lower-tier cities, indicating a shift in growth sources [1][6] - User behavior is transitioning from passive consumption to active value acquisition, reflected in decreased usage time and frequency, indicating a trend towards higher quality engagement [1][9] Industry Overview - As of June 2025, the number of monthly independent devices in China's mobile internet is approaching 1.45 billion, with growth driven by device replacement cycles and emerging technologies [5] - The user base is increasingly diverse, with significant representation from both younger and older demographics, and a notable presence in lower-tier cities [6][32] User Behavior Trends - The average effective usage time per device has decreased from 303 minutes to 273 minutes, and the number of daily uses has dropped from 73 to 61, indicating a shift towards more meaningful engagement [9] - The decline in usage is attributed to stricter regulations on gaming and social media, as well as a resurgence in offline activities post-pandemic [9] Sector-Specific Insights Video and Audio Entertainment - Long video platforms are entering a low-growth mature phase, while short video platforms are facing saturation, with competition focusing on user engagement and content innovation [2][20][27] - Online music is experiencing steady growth, driven by technological advancements and improved user experiences, with a focus on ARPU enhancement [34][36] Smart Applications - The smart home and wearable device sectors are expected to double in user numbers over five years, with significant growth driven by health monitoring and AI integration [41][49] - Language models have seen explosive growth, with a 1004% increase in user numbers, while traditional smart tools are struggling to maintain user engagement [53][55] AI and Intelligent Tools - AI applications are leading in growth, with a notable increase in user engagement driven by advancements in technology and integration into daily tools [3][15] - The user base for intelligent tools is expanding into lower-tier cities, indicating a sustained demand for basic smart functionalities [62] Competitive Landscape - The competitive environment is shifting from stock competition to technology-driven innovation, with AI, health monitoring, and cross-scenario integration becoming key growth drivers [3][12] - Major apps like Douyin and Taobao continue to dominate user engagement, while emerging apps in AI and smart services are gaining traction [65][66]