Core Insights - The report by QuestMobile indicates that by September 2025, the total number of internet users in China is expected to reach 1.269 billion, reflecting a 2% year-on-year growth, while the average monthly usage time per user is projected to be 178.2 hours, marking an 8.2% increase, the highest growth rate in nearly a year [1][3] Group 1: AI Integration and User Engagement - The integration of AI technologies has led to significant user engagement, with mobile AI applications reaching 729 million users, and In-App AI applications alone accounting for 706 million users, showing a compound growth rate of 9.3% in the third quarter [1][3] - AI as a foundational technology has expanded existing business models, with In-App AI and mobile manufacturers' AI assistants surpassing 706 million and 535 million monthly active users, respectively [3][5] Group 2: Competitive Landscape and Ecosystem Collaboration - Major internet companies in China have shifted from a competition based on parameter comparisons to an ecosystem collaboration model, focusing on optimizing models to meet customer needs, with 182 model upgrades completed by leading firms from January to September 2025 [7][9] - The competitive focus has transitioned to ecosystem synergy, with internal applications within Tencent, Alibaba, and Douyin ecosystems being interconnected to enhance user experience and service offerings [7][9] Group 3: Growth of AI Applications - The third quarter saw the emergence of several high-growth AI applications, with eight applications achieving a compound growth rate exceeding 10%, and five of the top ten applications by growth rate being native apps from leading internet groups [5][9] - The "360 AI Office" application led the growth in PC client applications with a remarkable 74.8% increase, benefiting from the support of other applications within the 360 ecosystem [9]